UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   Form 10-KSB/A
                                  Amendment No. 1
(Mark One)

[x] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE


                      For the year ended December 31, 2004
                                         -----------------


[ ]  TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
     OF 1934
                  For the transition period from _____ to _____


                        Commission file number 33-26787-D
                                               ----------

                          ZYNEX MEDICAL HOLDINGS, INC.
                 ----------------------------------------------
                 (Name of small business issuer in its charter)


                 NEVADA                                    87-0403828
     -------------------------------                   -------------------
       (State or other jurisdiction                     I.R.S. employer
     of incorporation or organization                   Identification No.


     8100 Southpark Way, Suite A-9, Littleton, Colorado         80120
     --------------------------------------------------       ----------
        (Address of principal executive offices)              (Zip Code)


                    Issuer's telephone number: (303) 703-4906
                                               --------------

Securities registered under Section 12(b) of the Exchange Act:  None

Securities registered under Section 12(g) of the Exchange Act: None

                          Common Stock, $.001 par value
                          -----------------------------
                                (Title of Class)

     Check whether the issuer (1) filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act during the past 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 90 days. Yes[X] No[ ]

     Check if there is no disclosure of delinquent filers in response to Item
405 of Regulation S-B is not contained in this form, and no disclosure will be
contained, to the best of the registrant's knowledge, in definitive proxy or
information statements incorporated by reference in Part III of this Form 10-KSB
or any amendment to this Form 10-KSB. [X]

         The issuer's revenues for its most recent year were $1,256,676.
                                                             -----------

     The aggregate market value of the 3,617,577 common shares held by
non-affiliates of the registrant was $1,103,361 computed by reference to the
average closing bid and ask price of such stock as listed on the non NASDAQ over
the counter market on February 11, 2005.

     This computation is based on the number of issued and outstanding shares
held by persons other that officers, Directors and shareholders of 5% or more of
the registrant's common shares.

     As of February 11, 2005, 23,070,377 shares of common stock are issued and
outstanding.

<PAGE>

Documents incorporated by reference:  See exhibits.

Transitional Small Business Disclosure Form (check one):  Yes [ ]    No [X]

            This amendment to the 10-KSB filed for the fiscal year ended
December 31, 2004 amends the cover page and Items 9 and 11 to state that none of
the Company's securities are registered under Section 12 of the Exchange Act of
1934, to state that the Company is not required to file reports under Section
16(a) of the Exchange Act because it reports under Section 15(d), and to revise
the Equity Compensation Plan Information table.


ITEM 9. DIRECTORS, EXECUTIVE OFFICERS, PROMOTERS AND CONTROL PERSONS; COMPLIANCE
        WITH SECTION 16(A) OF THE EXCHANGE ACT

     The following table provides information concerning each of the Company's
directors and executive officers.

                                          Director
     Name                         Age      Since           Position or Office
     ---------------------        ---     ---------      -----------------------

     Executive Officer
     -----------------
     Thomas Sandgaard             46                     Chief Executive Officer

     Director
     --------
     Thomas Sandgaard             46        2004         Chairman

     During the five years preceding the date of this report, the director and
executive officer named above has not been convicted in any criminal proceeding
nor is he subject to any pending criminal proceeding. Mr. Sandgaard became an
employee in 1996 when he founded DMI. In 1998, he formed SRSI and in 2003 merged
DMI with SRSI and changed the surviving company's name to Zynex Medical, Inc.
Mr. Sandgaard has worked in several industries including semiconductors,
telecommunications, data communications and medical equipment. Mr. Sandgaard has
a degree in electronics engineering from the Odense Teknikum (in Denmark) and an
MBA from the Copenhagen Business School.

Compliance with Section 16(a) of the Securities Exchange Act of 1934

      Since we are governed under Section 15(d) of the Exchange Act, we are not
required to file reports of executive officers and directors and persons who own
more than 10% of a registered class of the Company's equity securities pursuant
to Section 16(a) of the Exchange Act.


ITEM 11. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND
         RELATED STOCKHOLDER MATTERS.


                      EQUITY COMPENSATION PLAN INFORMATION

     The following table provides information about shares of Common Stock
available for issuance under the Company's equity incentive plan as of January
3, 2005.

<TABLE>
<CAPTION>
                                                                                          Number of Securities
                                                                                         Remaining available for
                                      Number of Securities to                             future issuance under
                                      be Issued Upon Exercise                             Equity Compensation
                                      of Outstanding Options,    Weighted Average      Plans (excluding securities
                                       Warrants and Rights        Exercise Price         reflected in column (a)
Plan Category                                  (a)                     (b)                         (c)
----------------------------------    -----------------------   -----------------      ----------------------------
<S>                                   <C>                       <C>                    <C>
Plans Approved by Shareholders                None
-------------------------------------------------------------------------------------------------------------------

Plans Not Approved by Shareholders          190,000 (1)             $.30                    2,810,000

-------------------------------------------------------------------------------------------------------------------
   Total                                    190,000 (1)             $.30                    2,810,000
-------------------------------------------------------------------------------------------------------------------
</TABLE>
------------------------


(1) All of the listed securities are available for issuance under the Zynex
Medical Holdings, Inc. 2005 Stock Option Plan, approved by the Board of
Directors on January 3, 2005. The Board of Directors may decide to submit the
Company's 2005 Stock Option Plan to the shareholders for approval during the
2005 calendar year.

ITEM 13.   EXHIBITS AND REPORTS ON FORM 8-K.

Exhibit Number                            Description
--------------   ---------------------------------------------------------------

     31.2        Certification of Chief Executive Officer and Chief Financial
                 Officer Pursuant to Rule 13a-14(a)/15d-14(a) as Adopted
                 Pursuant to Section 302 of Sarbanes-Oxley Act of 2002.
     31.3        Certification of Chief Financial Officer Pursuant to Rule
                 13a-14(a)/15d-14(a) as Adopted Pursuant to Section 302 of
                 Sarbanes-Oxley Act of 2002.
     32.2        Certification Pursuant to 18 U.S.C. Section 1350, as Adopted
                 Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.


                                   SIGNATURES

     In accordance with Section 13 or 15(d) of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                     ZYNEX MEDICAL HOLDINGS, INC.


                     By: /s/ Thomas Sandgaard
                         -----------------------------------------------
                         Thomas Sandgaard
                         President, Chairman and Chief Executive Officer,
                         Principal Executive Officer
                         Date: June 16, 2005

                     By: /s/ Peter J. Leveton
                         -----------------------------------------------
                         Peter J. Leveton
                         Chief Financial Officer, Principal Financial Officer
                         Date: June 16, 2005

     Pursuant to the requirements of the Securities Exchange Act of 1934, this
report has been signed below by the following persons of the Registrant and in
the capacities and on the dates indicated:

      Date               Name and Title          Signature
      ----               --------------          ---------
      June 16, 2005      Thomas Sandgaard        /s/Thomas Sandgaard
                         Director                --------------------