Biolase May Revise Accounting, Earnings

Biolase Technology Inc., a maker of dental lasers, said revenue and earnings for previous periods may be lower than reported if the firm changes the way it records sales after asking the Securities and Exchange Commission for guidance on its purchase orders.

The firm has been recording revenue when it receives purchase orders from customers or ships products, San Clemente-based Biolase said.

Biolase is considering whether revenue should be recorded on shipment or when payment is received. Revenue for some unspecified previous periods may be reduced if Biolase changes the recording method, although the change would have a positive effect on third-quarter revenue.

Shares of Biolase fell 28 cents, or 2.5%, to $10.90 on Nasdaq.