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Cynosure Reports Financial Results for the First Quarter of 2011
Date:5/3/2011

WESTFORD, Mass., May 3, 2011 /PRNewswire/ -- Cynosure, Inc. (NASDAQ: CYNO) today announced financial results for the three months ended March 31, 2011.

Revenues for the first quarter of 2011 increased 16 percent to $21.9 million from $18.9 million in the same period of 2010.   Net loss for the first quarter of 2011 was $1.9 million, or $0.15 per basic and diluted share, compared with a net loss of $2.8 million, or $0.22 per basic and diluted share, for the comparable period of 2010.

Gross profit for the three months ended March 31, 2011 was 55.2 percent of total revenues, compared with 57.2 percent for the same period of 2010.  Results for the first quarter of 2011 included a one-time purchase accounting adjustment for the company's acquisition of the assets of Eleme Medical earlier this year.  The purchase accounting adjustment, which related to the write-up of Eleme Medical's finished goods inventory sold during the quarter, had the effect of reducing Cynosure's 2011 first quarter gross profit by approximately 100 basis points.  

Total operating expenses increased 5 percent to $13.9 million, or 64 percent of revenues, in the first quarter of 2011 from $13.3 million, or 71 percent of revenues, for the same period of 2010. Higher operating expenses in the 2011 period reflected higher research and development and sales and marketing costs associated with the company's new cellulite reduction platform, comprised of the new Cellulaze™ Cellulite Laser Workstation and SmoothShapes® XV.

"Laser product revenue increased 17 percent in the first quarter, as our North American direct sales force, European subsidiaries and international distributors all generated strong year-over-year results," said Cynosure President and Chief Executive Officer Michael Davin.  "While we were pleased with our revenue performance, our gross profi
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SOURCE Cynosure, Inc.
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