American Shared Hospital Services(US:AMS)2021-05-15 05:07Financial Data and Key Metrics Changes - Total revenue for Q1 2021 was approximately $4.4 million, a 4.5% decline compared to $4.568 million in Q1 2020 [11][17] - Net income for Q1 2021 was $29,000, compared to a net loss of $135,000 in Q1 2020, marking a positive swing of $164,000 [19] - Gross margin increased to 32.9% of revenue in Q1 2021, up from 30.5% in Q1 2020 [13][18] Business Line Data and Key Metrics Changes - Gamma Knife revenue was $2.9 million, even with Q1 2020, while procedures decreased by 5.6% to 355 [12][18] - Proton therapy revenue decreased by 8.7% to $1.531 million, with total fractions down 26.6% to 1,231 [17][19] - Selling and administrative costs decreased by 10.5% to $1.084 million compared to Q1 2020 [19] Market Data and Key Metrics Changes - The company reported a positive working capital position of $4.2 million at the end of Q1 2021, compared to a negative $1.5 million at the end of 2020 [8] - Cash and cash equivalents increased to $5.013 million at March 31, 2021, from $4.325 million at December 31, 2020 [20] Company Strategy and Development Direction - The establishment of a $22 million credit agreement with Fifth Third Bank is aimed at enhancing long-term shareholder value and increasing growth [6][9] - The company is focusing on optimizing its cost structure and exploring new project negotiations with potential customers [9][15] Management's Comments on Operating Environment and Future Outlook - Management expects patient volumes to normalize as the pandemic recedes, which could positively impact future revenues [9] - The company is optimistic about future growth opportunities, particularly in expanding its Gamma Knife and proton therapy offerings [9][26] Other Important Information - The company completed two Cobalt-60 reloads in Q1 2021 and has several upgrades pending, including a new Gamma Knife installation in Ecuador [15] - Shareholders' equity increased to $23.844 million at March 31, 2021, compared to $23.650 million at December 31, 2020 [20] Q&A Session Summary Question: Has the company drawn down on its revolving credit facility? - Management confirmed that they have not drawn down on the revolving credit facility as there has been no need to do so [22][23] Question: Are there additional Gamma Knife units in the pipeline? - Management indicated ongoing efforts to find locations for Gamma Knife installations, with more discussions happening than in the recent past [25][26] Question: What is the status of the company's office lease? - Management acknowledged efforts to explore re-leasing options for their office space, which has approximately three years remaining on the lease [29][30]