Exhibit 99.1
FOR IMMEDIATE RELEASE
Contact: Cheryl R. Johnson Edwin B. Cordell
Vice President, Investor Relations Chief Financial Officer
Novoste Corporation Novoste Corporation
(770) 717-6052 (770) 717-6053
NOVOSTE ANNOUNCES FOURTH QUARTER AND YEAR END 2000 FINANCIAL RESULTS
* TOTAL REVENUES INCREASED 276% OVER PRIOR YEAR *
NORCROSS, Georgia -- (January 29, 2001) -- Novoste Corporation (Nasdaq: NOVT)
today reported its financial results for the fourth quarter and year ended
December 31, 2000.
For the quarter ended December 31, 2000, net revenue was $3,280,000, compared to
$1,446,000 reported in the third quarter and $619,000 in the fourth quarter of
1999. For the year ended December 31, 2000, net revenue was $6,863,000, a 276%
increase compared to $1,823,000 in 1999. The increase in revenue was due to
continued sales growth in international markets, particularly in Germany, and
the market launch of the Company's Beta-Cath(TM) System in the United States in
November 2000.
Net loss for the fourth quarter was $10,041,000, or $(0.63) per share, compared
to a net loss of $7,354,000, or $(0.52) per share for the same period last year.
Net loss for 2000 was $33,073,000 or $(2.13) per share, compared to a net loss
of $30,920,000 or $(2.30) per share for the previous year. The increase in net
loss for the fourth quarter and the year was primarily related to the
expenditures incurred to support U.S. commercialization of the Beta-Cath(TM)
System, such as building a direct sales force, training customers, and ramping
up manufacturing activity. Novoste ended the year with $57.2 million in cash and
cash equivalents.
"The year 2000 was an exceptional year for Novoste," said William A. Hawkins,
Novoste's president and chief executive officer. "In the first quarter of the
year, we announced the results of the START Trial, the pivotal trial which
validated the safety and effectiveness of the Beta-Cath(TM) System in treating
patients with blocked stents. Novoste then received FDA approval for its device
and initiated product shipments in November, several months prior to
expectations."
Commenting further, Mr. Hawkins stated, "Our investment in clinical trials,
manufacturing readiness, and, more recently, a national sales force has led to a
very strong launch of the Beta-Cath(TM) System in the U.S. We are very
optimistic and enthusiastic about the rapid therapy adoption that is occurring
with the Beta-Cath(TM) System. As predicted, beta radiation is proving to be a
therapy which is practical and desirable for the many patients who suffer from
in-stent restenosis."
The Company will host a conference call this morning at 11:00 a.m. (Eastern) to
further discuss its financial results and company outlook. You may access the
conference call on the Investor Relations portion of the Company's website at
http://www.novoste.com. Listeners are advised to visit the website at least 20
minutes early to download and install any necessary audio software. An archived
copy of the call will be available for a period of one week.
Novoste Corporation, based in Atlanta, Ga., is a leader in the new field of
vascular brachytherapy (radiation therapy) to reduce the incidence of
restenosis. The company's Beta-Cath(TM) System is commercially available in the
United States, as well as in the European Union and several other countries. For
information on how to purchase the Beta-Cath(TM) System, please call
1-800-NOVOSTE (1-800-668-6783). For general company information, please call
(770) 717-0904 or visit the company's web site at www.novoste.com.
The forward-looking statements included in this news release reflect
management's best judgment based on factors currently known. Actual results may
differ materially from those projected in these forward-looking statements based
upon risks and uncertainties, such as timing and receipt of regulatory
approvals, continued market acceptance of the Beta-Cath(TM) System, and
continued demonstration of safety, efficacy, and device performance in
post-market surveillance studies, and other risks detailed in documents filed by
Novoste with the SEC including its S-3 registration statement and Forms 10-K,
10-Q and 8-K.
-FINANCIAL HIGHLIGHTS TO FOLLOW-
NOVOSTE CORPORATION
CONDENSED STATEMENT OF OPERATIONS
Three Months Ended December 31, Twelve Months Ended December 31,
2000 1999 2000 1999
------------------------------- -------------- --------------
Net Revenue $ 3,279,912 $ 618,695 $ 6,863,487 $ 1,823,394
Cost of Sales 1,996,613 425,452 4,591,508 1,642,395
------------ ------------ ------------ ------------
Gross Margin 1,283,299 193,243 2,271,979 180,999
------------ ------------ ------------ ------------
Operating expenses
Research and development 3,144,788 4,938,240 17,118,976 22,889,182
Sales and marketing 7,121,966 2,086,634 15,650,756 6,606,337
General and administrative 2,050,169 1,043,869 6,321,186 3,775,154
------------ ------------ ------------ ------------
Total operating expenses 12,316,923 8,068,743 39,090,918 33,270,673
------------ ------------ ------------ ------------
Loss from operations (11,033,624) (7,875,500) (36,818,939) (33,089,674)
Interest income 993,008 521,832 3,745,466 2,169,462
------------ ------------ ------------ ------------
Net loss $(10,040,616) $ (7,353,668) $(33,073,473) $(30,920,212)
============ ============ ============ ============
Net loss per share $ (0.63) $ (0.52) $ (2.13) $ (2.30)
============ ============ ============ ============
Shares used in computing net loss
per share 16,037,737 14,193,719 15,562,772 13,433,226
============ ============ ============ ============
CONDENSED BALANCE SHEETS
December 31, December 31,
2000 1999
----------- -----------
ASSETS
Current assets
Cash, cash equivalents and short-term investments $57,167,834 $41,423,692
Other current assets 6,203,851 3,699,527
----------- -----------
Total current assets 63,371,685 45,123,219
Property and equipment, net 7,277,734 3,509,203
Radiation and transfer devices 5,561,869 --
Other assets 942,427 734,980
----------- -----------
Total assets $77,153,715 $49,367,402
=========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities $ 9,711,070 $ 6,302,558
Long term liabilities 400,526 --
Stockholders' equity 67,042,119 43,064,844
----------- -----------
Total liabilities and stockholders' equity $77,153,715 $49,367,402
=========== ===========
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