Medstone International Inc.: The Aliso Viejo company,...

Medstone International Inc.: The Aliso Viejo company, which develops and manufactures medical devices to treat diseases of the prostate, bladder and kidneys, reported that net income for the first quarter increased 39% to $860,454, or 16 cents a share, from $617,314, or 11 cents a share, for the like 1996 quarter. Revenue rose 22% to $5 million from $4.1 million.