Global Med Technologies(R), Inc. Delivers Record Q4 and Year End Revenues
March 25 2009 - 4:15PM
PR Newswire (US)
Recurring Revenues Soar 149%; Backlog Jumps 86%; Pipeline Increases
to $64 Million DENVER, March 25 /PRNewswire-FirstCall/ -- Global
Med Technologies(R), Inc. ("Global Med" or the "Company")
(OTC:GLOB) (BULLETIN BOARD: GLOB) , an international healthcare
information technology company, today reported record revenues for
both the fourth quarter and the year ended December 31, 2008.
(Logo: http://www.newscom.com/cgi-bin/prnh/20040226/GLOBALMEDLOGO)
Global Med's record revenues of $23.369 million for the year ended
December 31, 2008 represent an increase of $7.290 million, or
45.3%, over the $16.079 million recorded for 2007. The Company's
operating income for 2008 was $176 thousand compared to $1.887
million in 2007. The Company's net loss for 2008 was $419 thousand,
or $0.01 per basic common share outstanding, versus net income of
$1.978 million, or $0.08 per basic common share outstanding, in
2007. Global Med's record revenues of $6.991 million for the fourth
quarter of 2008 represent an increase of $2.694 million, or 62.7%,
over the $4.297 million recorded for the comparable 2007 period. In
the fourth quarter of 2008, the Company's operating loss was $664
thousand compared to operating income of $698 thousand during the
fourth quarter of 2007. The Company's net loss for the fourth
quarter of 2008 was $703 thousand, or $0.02 per basic common share
outstanding, versus net income of $680 thousand, or $0.03 per basic
common share outstanding, in the comparable 2007 period. The
Company's acquisitions of Inlog and eDonor were the primary drivers
of revenue growth in the fourth quarter and full-year 2008, but
they also drove the majority of Global Med's net loss for both
periods. Their post-acquisition operating results did not exceed
the associated increase in acquisition-related amortization,
interest expense and certain non-recurring expenses. While the
integration of Inlog and eDonor, along with opportunistic
cross-selling has taken longer than expected, based on strong
fourth quarter sales bookings and recent cost reduction measures,
management continues to believe in the synergies of these
acquisitions and in their ability to operate profitably. Recurring
annual maintenance revenues for the quarter were running at a
record annualized rate of over $15.2 million. Based on the backlog
as of December 31, 2008, the Company's annual recurring revenues,
when all contracted customer sites are implemented, will be
approximately $17.2 million, a 149% increase from 2007. The
Company's backlog (signed contracts) of unrecognized software
license fees and implementation fees was approximately $9.9
million, an increase of 86% from 2007. As of December 31, 2008, the
Company's cash balance was $4.472 million, a decrease of $2.276
million over December 31, 2007, due primarily to cash payments for
the Inlog and eDonor acquisitions. 2008 Business Developments and
Announcements: -- The Inlog and eDonor acquisitions in 2008
transformed the Company from a mainly U.S.-based business to an
international healthcare information technology company operating
in 20 countries with over 2,100 sites. -- The Inlog acquisition
added a European Laboratory Information System (that currently has
15% market share in France) and a cellular therapy tracking system
to our product line. -- EdgeCell was introduced into the U.S., and
eDonor and Donor Doc(TM) were introduced in Europe. -- Our
professional sales and marketing teams deployed at both Inlog and
eDonor booked approximately $5.0 million in new business since our
acquisitions. -- Exclusive of recent acquisitions, annual new
system sales increased 19% over 2007 and fourth quarter new system
sales increased 30% over 2008's third quarter and 90% over 2007's
fourth quarter. -- Our sales and marketing teams grew the
consolidated sales pipeline to a record $64.4 million at year-end.
-- The backlog of unrecognized software and implementation revenue
increased to a record high of $9.9 million, an increase of 86% from
the end of last year and up 43% from the end of the third quarter.
-- The Company increased recurring maintenance revenues to $17.2
million, an increase of 149% from 2007 and up 7% from the third
quarter of 2008. -- Cerner, one of the largest healthcare
information technology companies, joined Global Med as a channel
partner, to sell Global Med's donor and hospital transfusion center
systems, both domestically and internationally. Cerner made several
sales in 2008 and we expect a substantial increase in its sales in
2009. -- Global Med implemented significant cost savings measures,
domestically and internationally, to help ensure our expected
return to profitability in 2009. Michael I. Ruxin, M.D., Chairman
and CEO of Global Med Technologies, Inc., commenting on the
year-end results, stated, "We have truly had an incredible year
that was both transformational and transitional. It was
transformational in that we became one of the world leaders in
blood bank and hospital transfusion software, and we literally
transformed the Company. It was transitional in that due to the
nature of our two acquisitions and the state of the world's
financial health, we aggressively adapted to changing economic
conditions in order to better prepare the Company for future
growth." Dr. Ruxin continued, "The Company does not need cash at
this time. Our cash reserves are adequate to fund our continuing
operations for the foreseeable future. Now that we are close to the
final stages of integrating our acquisitions, we are definitely
back on the path to being cash-flow positive and we expect to have
a profitable 2009." Thomas F. Marcinek, the Company's President and
COO, stated, "Our management team is focused on the continued
growth of our business and our return to profitability. We plan to
achieve this goal as soon as possible by operationally meeting the
requirements to move sales bookings to our financial statements and
through our continued closing of the business opportunities in our
expanded pipelines. These activities are in addition to our
continued cost cutting measures and the efficiency gains of our
business integration. As a result of our management team's work, we
remain very excited for our business even as the world faces strong
economic headwinds." The following tables provide information
related to the Company's operations for the three months and year
ended December 31, 2008 and 2007: Global Med Technologies, Inc.
(OTC:GLOB.OB) (BULLETIN BOARD: GLOB.OB) Selected Results Three
Months Ended December 31, In (000s) Except Per Share Information
(Unaudited) 2008 2007 ---- ---- Revenues $6,991 $4,297 Cost of
revenues (2,981) (1,338) Operating expenses (4,674) (2,261) (Loss)
income from operations (664) 698 Other income, (expenses) and
(taxes) (39) (18) Net (loss) income $(703) $680 (Loss) income per
share: Basic $(0.02) $0.03 Diluted $(0.02) $0.01 Weighted average
shares outstanding: Basic 34,019 26,453 Diluted 34,019 45,860 Cash
flows (used in) provided by operations $(2,064) $1,050 Global Med
Technologies, Inc. (OTC:GLOB.OB) (BULLETIN BOARD: GLOB.OB) Selected
Results Year Ended December 31, In (000s) Except Per Share
Information (Unaudited) 2008 2007 ---- ---- Revenues $23,369
$16,079 Cost of revenues (9,158) (4,904) Operating expenses
(14,035) (9,288) Income from operations 176 1,887 Other income,
(expenses) and (taxes) (595) 91 Net (loss) income $(419) $1,978
(Loss) income per share: Basic $(0.01) $0.08 Diluted $(0.01) $0.05
Weighted average shares outstanding: Basic 29,914 24,640 Diluted
29,914 42,209 Cash flows (used in) provided by operations $(950)
$4,421 About Global Med Technologies(R), Inc. Global Med
Technologies, Inc. is an international healthcare information
technology company which develops regulated and non-regulated
products and services for the healthcare industry. As a leading
provider of blood and laboratory systems and services, Global Med's
products are deployed in 20 countries and serve over 2,100
transfusion centers, blood banks and laboratory sites. Global Med's
domestic companies are Wyndgate Technologies(R), a leader in
software products and services for donor centers and hospital
transfusion services; eDonor(R), which offers web-based donor
relationship management systems; and PeopleMed(TM), Inc., which
implements cost-effective software validation, consulting and
compliance solutions to hospitals and donor centers. Global Med's
European subsidiary, Inlog, SA, is a leading developer of donor
center and transfusion management systems as well as cellular
therapy software, laboratory information systems and quality
assurance medical software systems internationally. For more
information about Global Med's products and services, please call
800-996-3428 or visit http://www.globalmedtech.com/. This news
release may include statements that constitute forward-looking
statements, usually containing the words "believe," "estimate,"
"project," "expects" or similar expressions. These statements are
made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements inherently involve risks and uncertainties that could
cause actual results to differ materially from the forward-looking
statements. By making these forward-looking statements, the Company
undertakes no obligation to update these statements for revisions
or changes after the date of this news release.
http://www.newscom.com/cgi-bin/prnh/20040226/GLOBALMEDLOGO
http://photoarchive.ap.org/ DATASOURCE: Global Med Technologies,
Inc. CONTACT: Michael I. Ruxin, M.D., +1-303-238-2000, , or Karen
Davis, CFO, +1-916-404-8400, , both of Global Med Technologies,
Inc. Web Site: http://www.globalmedtech.com/
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