AMERICAN SHARED HOSPITAL SERVICES (NYSE AMEX:AMS), a leading provider of turnkey technology solutions for advanced radiosurgical and radiation therapy services, today announced financial results for the second quarter and first half of 2012.
Second Quarter Results
For the three months ended June 30, 2012, revenue increased 1.9% to $4,284,000 compared to $4,206,000 for the second quarter of 2011. Net income for the second quarter of 2012 was $15,000, or $0.00 per diluted share. This compares to net income of $21,000, or $0.00 per diluted share, for the second quarter of 2011.
The number of procedures performed on Gamma Knife Perfexion systems supplied by AMS increased 3.8% for the second quarter and 4.1% for the first six months of 2012 compared to the same periods of 2011. The total number of procedures performed in AMS' Gamma Knife business increased 17.1% for this year's second quarter and 10.9% for the first six months compared to the same periods of 2011, primarily reflecting the opening of a new Gamma Knife site in Turkey earlier this year. The additional revenue generated from this growth in procedure volume was partially offset by the loss of revenue from the early termination in the third quarter of 2011 of the existing 10-year lease on the Gamma Knife system AMS supplied to Lehigh Valley Hospital, and the expiration of a customer contract at another site.Gross margin for this year's second quarter was unchanged compared to the second quarter of 2011 at 43.7%, and increased sequentially compared to gross margin of 41.7% for the first quarter of 2012 and 39.5% for the fourth quarter of 2011. Selling and administrative expenses for the second quarter of 2012 increased to $1,109,000 compared to $1,041,000 for the second quarter of 2011. Operating income for this year's second quarter was unchanged compared to the second quarter of 2011 at $225,000.