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Digirad Corporation Reports First Quarter 2009 Financial Results
Date:4/30/2009

Digirad Reaches Quarterly Net Income

POWAY, Calif., April 30 /PRNewswire-FirstCall/ -- Digirad Corporation (Nasdaq: DRAD), today reported it was ahead of internal schedules on its 2009 goal of generating consistent profitability and positive cash flow. Net income was $44,000 for the first quarter ended March 31, 2009.

Digirad CEO Todd Clyde said, "We are pleased to report significant financial and operational progress during the first quarter. We previously communicated our 2009 goals as:

        1) Creating greater efficiency by selling or closing underperforming
           hubs;
        2) improving our approach to launching and growing Centers of
           Influence (COI);
        3) introducing new imaging technologies;
        4) developing new technology platforms; and lastly,
        5) progress toward consistent profitability and positive cash flow.

"We are ahead of plan on nearly every one of these goals. We have sold or closed all but one underperforming hub, achieved double-digit growth in our current Centers of Influence locations, launched our Cardius(R) X-ACT rapid cardiac SPECT/VCT imaging system to help open the hospital and large cardiology practice markets, recorded net income in the first quarter of 2009 and burned less cash than anticipated."

First Quarter Financial Highlights:

  • Total revenue was $17.7 million, compared to $18.3 million in first-quarter 2008. DIS revenue remained stable at $13.9 million compared to $13.9 million in first-quarter 2008 despite the sale of several hubs during the period, and Product revenues were $3.9 million compared to $4.4 million in first-quarter 2008.
  • Gross profit was $5.1 million, or 29% of revenue, compared to $4.4 mil
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SOURCE Digirad Corporation
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