July 24, 2008 - Record Third Quarter Results Announced

INVESTOR CONTACT:

A. Ernest Whiton
Chief Financial Officer
ZOLL Medical Corporation
+1 (978) 421-9655

 

 

 

ZOLL Medical Corporation Announces Record Third Quarter Results

Q3 Revenue Exceeds $100M; Earnings Increase 33%

July 24, 2008CHELMSFORD, Mass.—ZOLL Medical Corporation (NasdaqGS: ZOLL), a manufacturer of resuscitation devices and software solutions, today announced revenues for the third quarter of fiscal 2008 of $100,244,000, an increase of 27% compared to revenues in the third quarter of last year. Net income for the quarter was $5,744,000, compared to $4,313,000 in the prior year, an increase of 33%.  Diluted earnings per share were $0.27, compared to $0.21 in the prior year.  Backlog at the end of the third quarter was approximately $9 million.

Third quarter sales to the North American market increased 25% to $74.8 million, compared to $60.0 million for the comparable prior-year quarter.  Sales to the North American hospital market increased 29% to $26.3 million, compared to $20.4 million in the third quarter of last year. Excluding US Military/Large Government sales, North American hospital sales increased 11%. US Military/Large Government sales were $5.6 million, compared to $1.7 million in the prior-year period.  Sales to the North American pre-hospital market increased 24% to $42.7 million, compared to $34.4 million in the same period last year.  International sales increased 32% to $25.4 million, compared to $19.2 million for the comparable prior-year quarter. Total AutoPulse® shipments increased 30% to $4.8 million in the quarter, compared to $3.7 million in the third quarter of the prior year.

Commenting on the Q3 results, Richard A. Packer, Chief Executive Officer of ZOLL, stated, “Overall, this was another great quarter for ZOLL. We experienced growth in all major parts of our business. In the North American hospital market, U.S military sales were particularly strong this quarter.  The North American pre-hospital business also did very well with LifeVest®, professional defibrillators, data management software, and AEDs, experiencing continued growth. Once again, our International business delivered solid growth, with particular strength this quarter coming from our distributor business. Shipments of AutoPulse also grew nicely, reflecting growing momentum in the International and North American hospital markets.”

“As we previously announced, we have also strengthened our management team. We are pleased to welcome Jonathan Rennert to ZOLL as President,” stated Mr. Packer. “Jon will be responsible primarily for managing ZOLL’s core defibrillator/resuscitation business.  With the significant growth that we have experienced, Jon will help add management depth to our day-to-day operations and help ensure ZOLL’s core business continues to succeed as we develop our future, emerging businesses. I am happy to add Jon to the ZOLL team and look forward to his contributions.”

Mr. Packer concluded, “Overall, we were very pleased with our operational performance in Q3. Both revenue and profit growth were very strong. As we finish out the final quarter of this year, our outlook continues to be positive. We continue to anticipate a successful Q4, allowing us to finish the year with EPS in line with our previous guidance.”

ZOLL will host a conference call on Thursday, July 24, 2008 at 10:30 a.m. EDT to discuss its third quarter financial results. This conference call will be accessible on the Company’s home page at www.zoll.com. Recorded replays of this conference call will be available on the web page beginning later that day.

About ZOLL Medical Corporation

ZOLL Medical Corporation is committed to developing technologies that help advance the practice of resuscitation. With products for pacing, defibrillation, circulation, ventilation, and fluid resuscitation, ZOLL provides a comprehensive set of technologies, including Real CPR Help® and See Thru CPR™, that help clinicians, EMS professionals, and lay rescuers resuscitate sudden cardiac arrest or trauma victims. ZOLL also designs and markets software that automates the documentation and management of both clinical and non-clinical information.

ZOLL markets and sells its products in more than 140 countries. The Company has direct operations, distributor networks, and business partners throughout the U.S., Canada, Latin America, Europe, the Middle East and Africa, Asia, and Australia. 2008 marks the 25th anniversary of ZOLL’s resuscitation product development. For more information, visit www.zoll.com.

Certain statements contained in this press release, including statements regarding the future business of the Company, and other statements contained herein regarding matters that are not historical facts, are "forward-looking" statements (as defined in the Private Securities Litigation Reform Act of 1995). Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include, but are not limited to, those factors discussed in the section entitled "Risk Factors" in the Company's Quarterly Report on Form 10-Q filed with the SEC on May 9, 2008. You should not place undue reliance on the forward-looking statements in this press release, and the Company disavows any obligation to update or supplement those statements in the event of any changes in the facts, circumstances, or expectations that underlie those statements.

 

©2008 ZOLL Medical Corporation. All rights reserved. 269 Mill Road, Chelmsford, MA 01824-4105. AutoPulse, LifeVest, See-Thru CPR, Real CPR Help, and ZOLL are registered trademarks of ZOLL Medical Corporation. All trademarks are property of their respective owners.