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Diversinet Reports Second Quarter 2012 Financial Results
TORONTO, July 26, 2012 /PRNewswire/ - Diversinet Corp.
(TSX Venture: DIV, OTCBB: DVNTF), a leader in secure mobile health
that "Powers Care Coordination through Mobility," reported its
second quarter 2012 results for the period ended June 30, 2012. All dollar amounts are in U.S.
dollars.
Financial Highlights
Revenues for the second quarter of 2012 increased 217% to
$419,000 from $132,000 in the same year-ago period. Revenues
for the six months ended June 30,
2012 increased 22% to $701,000
from $576,000 in the same period in
2011.
Revenues in the second quarter of 2012 included
$185,000 from the company's license
and reseller agreement with Mihealth Global Systems and
$75,000 from the University of Nebraska.
Net loss in the second quarter totalled
$1.1 million or $(0.03) per share, improving from $1.7 million or $(0.04) per share in the same year ago period.
Net loss for the six months ended June 30,
2012 was $2.6 million, or
$(0.06) per share, improving from
$2.8 million or $(0.07) per share in the first six months of
2011.
Cash and cash equivalents were $5.1 million at June 30,
2012 compared to $7.4 million
at December 31, 2011.
Operational Highlights
- Supported the roll-out of Janssen Healthcare Innovation's
Care4TodayTM Mobile Adherence platform, a new
patient-centered mobile website and app using Diversinet's
MobiSecure® technology. The secure, two-way messaging platform
reminds patients to take medications, refill prescriptions and keep
medical appointments.
- During the second quarter, the University
of Nebraska expanded their virtual preoperative assessment
initiative with Diversinet to include additional iterative rules
and algorithm designs.
- Received the 2012 CATA Alliance Award for Outstanding Product
Achievement in Healthcare. The award recognizes outstanding
technology engineering development that has resulted in the
production of world-class, field-proven products.
- Diversinet's CEO, Dr. Hon Pak,
was interviewed by SearchHealthIT at the 2012 American Telemedicine
Association conference. He shared his views on trends in
telemedicine adoption, mHealth and EHR systems. A link to the
interview is available at www.diversinet.com under the 'feature'
section.
- Subsequent to Q2 2012 Diversinet appointed Bret Jorgensen as chairman of the board
succeeding Albert Wahbe, who has
retired as chairman but remains a member of the board. Jorgensen
brings more than 20 years of experience as a healthcare
entrepreneur and corporate transformation executive to
Diversinet.
"Our second quarter growth was the result of our
renewed focus on creating, on behalf of our clients, more effective
patient engagement and care coordination using our MobiSecure®
technology," said Dr. Pak. "The improvement in revenue reflects the
strong leverage in our model and the value we've created in our
intellectual property.
"With MobiSecure, we are able to address the
increasing demand by healthcare organizations for patient-centered
mobile solutions that improve quality of care, reduce costs and
provide critical security in a mobile environment. No other mHealth
platform offers the security and feature-richness of MobiSecure,
including its ability to securely connect to back-end servers and
allow two-way communications or analysis of personal health
information. Security features embedded in our platform include
data encryption at rest and in transit, as well as patented mobile
software anti-cloning protection. Altogether, there is not a more
robust solution for delivering this type of patient care on the
market today.
"Increasingly major organizations that deliver
healthcare are beginning to take notice of this, as evidenced by
our growing marquee customer list that now includes Janssen, U.S.
Army, MiHealth, University of Nebraska,
and others. We anticipate our gathering momentum to continue as we
complete the second half 2012."
Financial Summary
|
|
Q2 2012 |
|
Q2 2011 |
Revenues |
|
$419,258 |
|
$132,108 |
Cost of revenues |
|
64,934 |
|
30,744 |
Gross margin |
|
354,324 |
|
101,364 |
|
|
|
|
|
Expenses |
|
|
|
|
|
Research and development |
|
702,828 |
|
734,971 |
|
Sales and marketing |
|
344,359 |
|
482,880 |
|
General and administrative |
|
444,635 |
|
559,605 |
|
Depreciation |
|
13,231 |
|
16,216 |
|
|
1,505,053 |
|
1,793,672 |
Loss before the undernoted |
|
(1,150,729) |
|
(1,692,308) |
Foreign exchange gain |
|
453 |
|
4,673 |
Interest income |
|
3,059 |
|
26 |
Loss for the period |
|
$(1,147,217) |
|
$(1,687,609) |
Basic and diluted earnings (loss) per
share |
|
$(0.03) |
|
$(0.04) |
|
|
|
|
|
Cash and cash equivalents |
|
$5,098,650 |
|
$9,790,920 |
Total assets |
|
$5,539,210 |
|
$10,159,955 |
Total current liabilities |
|
$749,699 |
|
$568,038 |
Total shareholders' equity |
|
$4,789,511 |
|
$9,591,917 |
|
|
|
|
|
Weighted average basic and fully
diluted common shares outstanding |
|
43,179,333 |
|
42,503,921 |
For complete financial statements, including the
notes and management's discussion and analysis, please visit our
website at www.diversinet.com/FinancialReports.html.
About Diversinet
Diversinet Corp. (TSX Venture: DIV, OTCBB: DVNTF) provides patented
and proven secure products that enable healthcare organizations to
rapidly deploy HIPAA-compliant mobile healthcare (mHealth)
applications to power care coordination. Learn more about
Diversinet at www.diversinet.com.
The Private Securities Litigation Reform Act
of 1995 and Canadian securities laws provide a "safe harbour" for
forward-looking statements. Certain information included in this
press release (as well as information included in oral statements
or other written statements made or to be made by the company)
contains statements that are forward-looking, such as statements
relating to the success of current product offerings. Such
forward-looking information involves important risks and
uncertainties that could significantly affect anticipated results
in the future and, accordingly, such results may differ materially
from those expressed in any forward-looking statements made by or
on behalf of the company. For a description of additional risks and
uncertainties, please refer to the company's filings with the
Securities and Exchange Commission available at www.sec.gov
and Canadian securities regulatory authorities available at
www.sedar.com.
The TSX Venture Exchange has not reviewed and
does not accept responsibility for the adequacy or accuracy of this
release. MobiSecure is a registered trademark of Diversinet
Corp.
SOURCE Diversinet Corp.