-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, H5GYklrICfoLtKBVRRNyb6bCiKjiWQ9i6RQWZT+GbKs5mwv4WsIlw3osrxFoEPRx qnbB+PzXU48WvpAsFcTrTg== 0001000096-99-000031.txt : 19990118 0001000096-99-000031.hdr.sgml : 19990118 ACCESSION NUMBER: 0001000096-99-000031 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19981130 FILED AS OF DATE: 19990115 FILER: COMPANY DATA: COMPANY CONFORMED NAME: MAMMATECH CORP CENTRAL INDEX KEY: 0000704366 STANDARD INDUSTRIAL CLASSIFICATION: ORTHOPEDIC, PROSTHETIC & SURGICAL APPLIANCES & SUPPLIES [3842] IRS NUMBER: 592181303 STATE OF INCORPORATION: FL FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 000-11050 FILM NUMBER: 99506953 BUSINESS ADDRESS: STREET 1: 930 NW 8TH AVE CITY: GAINESVILLE STATE: FL ZIP: 32601 BUSINESS PHONE: 9043750607 MAIL ADDRESS: STREET 1: 930 N W 8TH AVE CITY: GAINSEVILLE STATE: FL ZIP: 32601 10-Q 1 FORM 10-Q Form 10Q SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Quarterly Report Under Section 13 or 15 (d) of the Securities Exchange Act of 1934 For Quarter Ended: Nov. 30, 1998 ---------------------------------------------------- Commission File Number: 0-11050 ---------------------------------------------------- Mammatech Corporation ---------------------------------------------------- (Exact name of registrant as specified in its charter) Florida 59-2181303 ------------------------------ -------------------- (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification Number) 930 N.W. 8th Avenue, Gainesville, Florida 32601 - ----------------------------------------- ----- (Address of principal executive offices) (Zip Code) (904) 375-0607 -------------------------------------------------- (Registrant's telephone number, including area code) Indicate by check mark whether the registrant (1) has filed all reports required to be filed by section 13 or 15 (d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past ninety days. Yes No X ----- ----- Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date: Number of shares outstanding on Nov. 30, 1998 ----------------------------- 100,352,500 shares of which 6,208,500 are treasury shares TITLE OF EACH CLASS - ------------------- Common stock $.0001 par value The total number of pages of this report is 11. -1- Mammatech Corporation INDEX - -------------------------------------------------------------------------------- PART I. FINANCIAL INFORMATION PAGE NO. Item 1. Financial Statements Statements of Operations for Three Months Ended Nov. 30, 1998 and Nov. 30, 1997....................3 Balance Sheets for Nov. 30, 1998 and August 31, 1998........................................4-5 Statement of Cash Flow for the Quarter Ended Nov. 30, 1998......................................6 Statement of Cash Flow for the Quarter Ended Nov. 30, 1998......................................7 Notes to Financial Statements for the Quarter Ended Nov. 30, 1998......................................8 Item 2. Management's Discussion and Analysis of Financial Conditions and Results of Operations...........9 PART II. OTHER INFORMATION Item 6. Exhibits and Reports on Form 8-K...............10 SIGNATURES............................................. 11 -2- Mammatech Corporation Statements of Operations (Unaudited) Three Months Ended November, 1998 November, 1997 -------------- -------------- Sales, net $ 135,632 $ 175,012 Cost of sales $ 50,564 $ 47,925 ------------- ------------- Gross Profit $ 85,068 $ 127,087 Selling, general and administrative expense $ 109,924 $ 79,906 ------------- ------------- Operating Income (Loss) $ (24,856) $ 47,181 Other income (expense) Reimbursement (SBIR Grant) 57,002 26,307 Interest & Dividend Income 6,811 3,830 ------------- ------------- 63,813 30,136 Net Income before taxes $ 38,957 77,317 Provision for income taxes 0 0 Net Income 38,957 77,317 NET INCOME (LOSS) 38,957 77,317 ============= ============= Net income (loss) per share .0004 .0008 ============= ============= Weighted average shares 100,352,500 100,352,500 ============= ============= The accompanying notes are an integral part of the financial statements. -3- Mammatech Corporation Balance Sheets Nov. 30, Aug. 31, 1998 1998 (Unaudited) (Audited) ----------- --------- ASSETS - ------ Cash and Cash Equivalents $406,677 $342,740 Available for sale: securities 106,445 94,377 Accounts receivable: Trade 47,833 74,983 Other 3,190 3,190 Inventory 198,714 201,574 Other current assets Total Current Assets 762,859 716,864 -------------------- -------- -------- Property and equipment 44,180 43,622 Other assets: Other investments Patents, trademarks, and other intangibles, net of accumulated amortization of $66,955 and $64,675 respectively 7,392 8,657 -------- -------- Total other assets 7,392 8,657 ------------------ -------- -------- TOTAL ASSETS $814,431 $769,143 ======== ======== The accompanying notes are an integral part of the financial statements. -4- Mammatech Corporation Balance Sheets As of August 31, 1998 and Nov. 30, 1998 (continued) Nov.1998 Aug. 1998 -------- --------- LIABILITIES AND STOCKHOLDERS' EQUITY - ------------------------------------ CURRENT LIABILITIES - ------------------- Current portion of long term debt $ 4,796 $ 4,796 Accounts payable-trade 44,314 48,595 Customer deposits -0- -0- Accrued payable-officer 6,630 6,630 Accrued expenses 164,120 163,966 ----------- ----------- TOTAL CURRENT LIABILITIES 219,860 223,987 ----------- ----------- COMMITMENTS Long term debt 1,940 1,940 Stockholders' equity: Common stock, par value $.0001; 200,000,000 shares authorized; 100,352,500 shares issued and outstanding $ 10,035 $ 10,035 Additional paid-in capital 2,809,594 2,809,594 Accumulated deficit (2,091,016 (2,109,926 ----------- ----------- 728,613 709,703 Valuation allowance: mkt. sec 12,068 (18,436) Treasury stock at cost, 6,208,500 shares (148,051) (148,051) ----------- ----------- 592,631 543,216 ----------- ----------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 814,431 $ 769,143 =========== =========== The accompanying notes are an integral part of these statements. -5- Mammatech Corporation Statement of Cash Flow For the Three Months Ending Nov. 30, 1998 Net cash flow from operating activities $ 63,379 ======== Investing Activities: Purchase of fixed assets 558 Financing activities: Issuance of treasury shares -0- Net increase (decrease) in cash 63,937 Beginning cash 342,740 -------- Ending cash $406,677 ======== The accompanying notes are an integral part of the financial statements. -6- Mammatech Corporation Notes to Financial Statements Nov. 30, 1998 Note 1. In the opinion of the Company, the accompanying unaudited financial statements contain all adjustments (consisting of only normal recurring accruals) necessary to present fairly the financial position as of Nov. 30, 1998, and the results of operations and changes in financial position for the three months ended Nov. 30, 1998. Note 2. Loss per share is based on the weighted average number of shares outstanding during each period. Note 3. Gives effect to the Company's repurchasing 7,558,500 shares of stock from shareholders for treasury stock. -7 MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITIONS AND RESULTS OF OPERATION FOR MAMMATECH CORPORATION For the first quarter of Fiscal 1999,net sales decreased 23.2% from the previous quarter and were 22.5% below the first quarter of 1997. Operating costs of $109,924 decreased of 42% relative to the previous quarter but increased 37.6% in comparison to the same period last year.Part of the decrease compared to the fourth quarter of 1998 is the result of accruals charged to that period during the audit. The net income for the quarter was 49.6% below that of the first quarter of 1998 but, because of the accruals, cannot be meaningfully compared to the net income of the previous quarter. The most significant development of the quarter was the expansion of the Company's professional training program. Two highly qualified nurses were hired to replace the previous Director who resigned to pursue other interests. During the quarter, 16 new MammaCare Specialists were trained compared to seven the previous quarter. Additionally, a focused marketing program is being developed to enhance this aspect of the Company's business. Part of this program involves publicizing the achievements of each new MammaCare Specialist on the Company's expanded web site. The Company is presently in the second year of its Phase II SBIR grant under which MammaCare products are being developed for women with vision or hearing impairments. Further,in response the repeated demand from existing customers, selected MammaCare products are now available in Spanish. Of course, there can be no assurance that significant revenues will result from the sale of any of these products. With the exception of a small note to an unaffiliated supplier for a manufacturing facility, the Company remains debt free and has no immediate liquidity problems. It continues to seek a relationship with a larger health care organization. YEAR 2000 IMPLICATIONS. Many currently installed computer systems and software products are coded to accept only two-digit entries in the date code field and cannot reliably distinguish dates beginning on January 1, 2000 from dates prior to the year 2000. Many companies' software and computer systems may need to be upgraded or replaced in order to process correctly dates beginning in 2000 and to comply with the "Year 2000" requirements. The Company has reviewed its systems and internal programs and has determined that there are no significant Year 2000 problems exist. None of the Company's products are in any way date sensitive. However, although the Company believes that its systems are Year 2000 compliant, the equipment and software of its suppliers and subcontractors may not be Year 2000 compliant. Failure of such third-party equipment or software to properly process dates for the year 2000 and thereafter could require the Company to incur unanticipated expenses to remedy any problems, which could have a materially adverse effect on its business, results of operations and financial condition. -8- PART II - OTHER INFORMATION - --------------------------- Item 6. Exhibits and Reports on Form 8-K (a.) Exhibits - None (b.) There were no reports filed on Form 8-K during the three months ending Nov. 30, 1998. -9- 10-Q For the three months ended Nov. 30, 1998 Signatures Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. MAMMATECH CORPORATION --------------------- DATE: January 14, 1999 BY: /s/ Henry S. Pennypacker ----------------------------------- Henry S. Pennypacker, President and Director BY: /s/ Mary Sellers ----------------------------------- Mary Sellers, Treasurer and Chief Financial Officer -10- EX-27 2 FINANCIAL DATA SCHEDULE
5 3-MOS AUG-31-1998 NOV-30-1998 406,677 106,445 51,023 6,350 198,714 762,859 44,180 5,000 814,431 219,860 0 0 0 10,035 582,595 814,431 135,632 135,632 50,564 109,924 0 0 0 38,957 0 38,957 0 0 0 38,957 0 0
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