Exhibit 99.1
FOR IMMEDIATE RELEASE
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Contacts: Urologix: Robert C. Ferris
Fred B. Parks, Chairman and CEO GCI Group
Todd E. Paulson, Vice President, Finance (212) 537-8025
(763) 475-1400 rferris@gcigroup.com
UROLOGIX REPORTS FISCAL FIRST QUARTER 2004
FINANCIAL RESULTS
MINNEAPOLIS -- October 23, 2003 -- Urologix, Inc. (NASDAQ:ULGX - news),
today reported financial results for the fiscal first quarter ended September
30, 2003.
Revenue for the first quarter of fiscal 2004 was $5.1 million, compared to
revenue of $4.5 million in the first quarter of fiscal 2003. Sales of
disposables accounted for 93% of revenue in the current quarter, compared to 88%
of revenue in the same period of the prior fiscal year. Gross margins, as a
percent of sales, were 61 percent compared to 66 percent in the same quarter a
year ago. Net loss for the quarter was $ 490,000, or $0.04 per share, compared
to a net loss of $1.7 million, or $0.13 per share, in the first quarter of
fiscal 2003. The installed base of Cooled ThermoTherapy systems was
approximately 390 units as of September 30, 2003.
Fred B. Parks, Chairman and Chief Executive Officer of Urologix commented,
"Our performance in the first quarter was consistent with our expectations. The
restructuring actions implemented in the fourth quarter of fiscal 2003 have
resulted in a significantly improved operating expense profile without impacting
our ability to provide the premium product to the market." Mr. Parks continued,
"In the second quarter we expect further improvement in our overall financial
performance as we effectively manage operating expenses and focus on gross
margin enhancement."
Urologix will host a conference call with the financial community to
discuss fiscal 2004 first quarter results and business outlook on Friday,
October 24, at 10:00 a.m. Central Time. Those interested in listening to the
call can log onto www.urologix.com.
About Urologix
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Urologix, Inc., based in Minneapolis, develops, manufactures and markets
minimally invasive medical products for the treatment of urological disorders.
The Company has developed and offers non-surgical, anesthesia-free,
catheter-based treatments that use a proprietary cooled microwave technology for
the treatment of benign prostatic hyperplasia (BPH), a condition that affects
more than 23 million men worldwide. Urologix markets its products under the
Targis(TM) and Prostatron(R) names. Both systems utilize Cooled
ThermoTherapy(TM) -- targeted microwave energy combined with a unique cooling
mechanism to protect healthy tissue and enhance patient comfort -- and provide
safe, effective, lasting relief of the symptoms of BPH.
Certain statements in this news release contain forward-looking
information. Actual results may vary significantly from those anticipated in
these forward-looking statements due to risks and uncertainties, including the
rate of adoption of Cooled ThermoTherapy by the medical community; the ability
of third-party suppliers to produce and supply products; the Company's ability
to successfully defend its intellectual property against infringement and the
cost and expense associated with that effort; the impact of competitive
treatments, products and pricing; the development and effectiveness of the
Company's sales organization and marketing efforts, developments in the
reimbursement environment for the Company's products including the determination
of reimbursement rates for Cooled ThermoTherapy (transurethral microwave
thermotherapy), the valuation of intangible assets and other risks, including
those set forth in the Company's reports filed with the Securities and Exchange
Commission.
UROLOGIX, INC.
CONDENSED STATEMENTS OF OPERATIONS
(Unaudited, in thousands, except per share data)
Three Months Ended
September 30,
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2003 2002
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Sales $ 5,061 $ 4,464
Cost of goods sold 1,982 1,506
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Gross profit 3,079 2,958
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Costs and expenses:
Selling, general and administrative 2,825 3,639
Research and development 584 974
Amortization of intangibles 166 166
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Total costs and expenses 3,575 4,779
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Operating loss (496) (1,821)
Interest income, net 6 71
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Net loss $ (490) $(1,750)
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Basic and diluted net loss per common share $ (0.04) $ (0.13)
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Basic and diluted weighted average number of
common shares outstanding 13,965 13,910
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Selected Balance Sheet Data
(Unaudited, in thousands)
September 30, June 30,
2003 2003
Cash and available for sale investments $3,872 $4,619
Accounts receivable 2,406 2,129
Inventory 2,682 2,893
Current assets 9,467 10,338
Total assets 34,590 35,862
Total liabilities 5,992 6,757
Shareholders' Equity 28,598 29,105
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