Chairman and CEO Alan Jay Weisberg
Issues Letter to Shareholders
MIAMI, FL -- March 3, 2021 -- InvestorsHub NewsWire --
Progressive Care Inc. (OTCQB:
RXMD) (“Progressive Care,” the “Company,” “we,” “our”), a
personalized healthcare services and technology company, issues the
following Letter to Shareholders from the Chief Executive
Officer:
Dear Valued Shareholder,
We have completed another impressive year in the history of
Progressive Care, Inc. I would like to share with you some of the
highlights and accomplishments of the past year, along with a clear
picture of where the Company is headed.
First and foremost, I want to thank everyone for having the
faith and confidence in allowing me to be your CEO. This is an
exciting time to be part of the executive team of Progressive
Care.
2020 was a transitional year for Progressive Care as a company.
We, along with many other healthcare companies, were challenged by
the unforeseeable events associated with the COVID 19 Pandemic and
subsequent lockdown. While many businesses including clinics and
doctors’ offices were closed, we as an essential business and a
5-Star rated pharmacy were posed with the challenges of staying
open for business and dispensing vital medication, along with the
daunting problems associated with the lockdown and safeguarding our
employees’ health.
Despite those challenges, we continued towards our
transformation into a data-centric healthcare technology platform
while reporting record performance in terms of both revenue and
numbers of prescriptions during the first quarter of 2020 compared
to 2019, with consolidated quarterly year-over-year growth in Net
Sales of 75%, surpassing $9 Million.
We attributed this record performance in part to our
industry-leading contactless prescription delivery service, which
proved to be a difference-maker between us and our competitors.
A significant aspect of our business plan is the development and
launching of new and innovative technology solutions to deliver
personalized patient-centered care. We completed a significant
component of that plan through the launch of our ClearMetrX
subsidiary, the Company’s first wholly-owned data management
company with services designed to support health care organizations
across the country. We believe in the power of Artificial
Intelligence (AI) to improve preventive healthcare by helping
physicians make informed decisions in the medication therapy
management process. Through ClearMetrX, the Company has increased
its third-party administrative and data management fees to over
$700,000 in 2020. These fees have gross margins significantly
greater than those generated from our pharmacy operations. The new
subsidiary focuses on providing insights, data security, and
technological development. The Company has transitioned data
service customers from the pharmacies to the ClearMetrX platform to
better scale the products and improve the capabilities of existing
analytics options.
The core products of ClearMetrX include data management and
Third Party Administration (TPA) services for 340B covered
entities, Pharmacy Analytics, and programs to manage HEDIS Quality
Measures such as Medication Adherence. These offerings cater to the
glaring need of frontline providers to understand best practices,
patient behaviors, care management processes, and the financial
mechanisms behind these decisions. The Company aims not just to
provide data access, but also actionable insights that providers
and support organizations can use to improve their practice and
patient care.
Another important aspect of our business plan was the
development and provision of health IT, HIPAA-compliant software
development, HL7 integrations, and virtual healthcare services on a
business-to-business (B2B) basis, delivering these services
directly to consumers and through channel partners. We planned to
do this through a series of major acquisitions, beginning with the
entry into a letter of intent with MyApps Corp., a leading
developer of healthcare software. Although the parties ultimately
determined not to complete the acquisition, we engaged MyApps Corp.
to accelerate development of software platforms for ClearMetrX.
In September 2020, we further enhanced our industry-leading
contactless delivery service by entering into a new partnership
with DeliverSTAT, a provider of an all-in-one pharmacy delivery
logistics solution. The new platform will allow PharmcoRx to
compete and possibly partner in the future with pharmacy delivery
apps such as Capsule, PillPack, NimbleRx and UberHealth in terms of
functionality and technology. The platform connects directly with
the pharmacy to help manage the prescription delivery process from
end to end, reducing overhead, simplifying operations, and
improving both patient and physician satisfaction.
During the third quarter 2020, the Company launched an
aggressive expansion of its COVID-19 testing service registered
through the FDA under its Emergency Use Authorization (“EUA”)
guidelines, featuring Polymerase Chain Reaction (“PCR”) and Antigen
testing systems that produces rapid detection of the SARS-CoV-2
virus with market-leading accuracy in 15 to 45 minutes. The systems
we use for Rapid Detection of the SARS-CoV-2 virus is a molecular
test using a lab technique called PCR, an antigen-based testing
system designed to detect proteins from the virus that causes
COVID-19. The Company provides these new testing systems to
patients at its North Miami Beach location and provides Antigen
testing at Palm Springs and Orlando pharmacies. To date, the
Company has successfully tested over 5,000 patients and built a
reputation as a preferred provider for in-patient and out-patient
COVID-19 Rapid Testing solution.
By the end of the third quarter 2020, new contractual
relationships with not-for-profit clinics and health care
institutions began to come online and drive revenue growth. The
collection of the buying power of all of our locations (North Miami
Beach, Davie, Palm Springs, and Orlando) allowed us to negotiate
more favorable discounts and purchasing terms.
You may recall that just over a year ago, we closed 2019 on a
positive note, when our administrative division moved to our
flagship building in Hallandale Beach, Florida. Our plan at that
time was to convert this facility into a modern state-of-the-art
fulfillment facility and operational center. In June 2020, we began
the work of consolidating our North Miami Beach and Davie locations
into a single large-scale pharmacy operation. We entered into a
construction contract with a local contractor and construction
activities began in the summer. In December 2020, the Company
completed its move into its new 11,000 sq ft pharmacy space in
Hallandale Beach, Florida and completed the move to its new 3,700
sq ft Orlando location in January 2021. Our expanded facility in
Orlando should drive important performance gains, advances in
productivity, volume, and market reach due to the expanded space
and anticipated efficiency.
To sum up the year 2020, in response to the challenges posed by
the COVID-19 pandemic, the subsequent lockdown in Florida and the
severe negative effects on the Florida economy, the Company was
nevertheless able to respond with flexibility and strong execution,
capitalizing on Progressive Care’s built-in competitive advantages,
including its established delivery infrastructure, to drive a
seamless transition into a pandemic-ready operational strategy.
The Company’s strong results owe in part to its ability to shift
in stride to a model centered on contactless prescription delivery,
a range of digital solutions, and an overall experience for
providers and customers that met the needs of its surrounding
communities during an uncertain and unpredictable period. We
experienced record quarterly revenue results. We filled more than
530,000 prescriptions in 2020, the highest in Company history. We
had over $40.6 million in sales, the highest in Company history.
The Company recorded over $600 thousand in revenues related to
rapid results COVID-19 testing in the last six months of 2020,
providing testing to over 5,000 patients. 340B revenue was $2.8
million, representing year-over-year growth of 323% compared to the
year ended December 31, 2019.
All of these results continued our trend of year-over-year
growth for the last 5 years. Our cash flow dramatically improved,
as did our profitability, reputation, and ability to execute on new
levels. We began to execute on our long-term business plan of
expanding our footprint in the healthcare data management market by
expanding our 340B Third Party Administration (TPA) service.
Outlook
Looking forward to 2021 and beyond, we look to continue progress
on expansion of our ClearMetrX 340B TPA services, as well as our
other data analytics platforms. At the end of the first quarter of
2021, we expect the ClearMetrX digital platform will be fully
operational, which will allow us to expand our third-party
administration services to 340B covered entities nationwide. The
Company expects that growth in this revenue component will continue
at a level at or above the record growth experienced in fiscal year
2020.
In February 2021, we entered into a service agreement with
EagleForce Health, LLC to integrate its proprietary telehealth
platform, called “myVax”, and develop a platform for the Company’s
Digital Passport for COVID-19 Testing and Vaccination Results. We
expect that this platform will be operational in the second quarter
of 2021, and that it will include complete patient scheduling,
telehealth, and tele-pharmacy platform services. The platform will
manage an individual’s COVID-19 Vaccine and Test Journey
documenting all transitions, including healthcare appointments,
billing, and telehealth services. This will also include a Digital
Passport or Digital Wallet that is QR-coded for registration,
verification, and documentation of COVID-19 vaccination and/or test
results.
This is expected to provide a powerful tool for various
processes that the Company believes will come to depend upon
accurate real-time virus spread risk abatement, including merchants
such as cruise lines, airlines, sports venues,
high-population-density, manufacturing, packing, or shipping
facilities, and institutions such as school districts,
universities, court proceedings, public transportation systems, and
other service providers.
Upon completion of our 2020 audit, we intend to carry on with
the process of uplisting to a national exchange, which will provide
us with access to a much larger, more diverse pool of prospective
investors, including a much wider institutional investor
audience.
Management has the following 2021 Strategic Goals:
- Strive to achieve over $50 million in sales.
- Expansion of COVID-19 testing and vaccination
programs.
- Completion of telehealth integration with the roll out of the
Eagle Force Digital Passport program.
- Nationwide launch of ClearMetrX 340B TPA services.
- Secure additional not-for-profit healthcare contracts and
long-term care facility relationships.
- Achieve full enterprise profitability and earnings
growth.
- Become SEC-registered and fully reporting.
- Complete an uplist to a national exchange.
Closing Remarks
2020 was a tough year for many companies including Progressive
Care. Despite the tremendous adversity posed by the COVID-19
Pandemic, we believe this was a defining year for our Company, as
it points to our resilience as a market leader in healthcare
services and shows us that we are on the right track in terms of
both our short-term and long-term business plans.
We are grateful for the continued support of our valued
shareholders, who have recognized that there is significant value
in our approach to healthcare, and that value is not always
reflected in just our stock market price. We are also thankful to
our employees, who carried us through a very difficult start to
2020. We are very appreciative of their talents, sacrifice and hard
work.
Our management team’s vision for Progressive Care is that the
healthier we make our patients, the more successful our business
will be, and we have not wavered from that vision despite the
adversity of the past year. This faith in our vision, along with
the hard work of our employees, has produced record-breaking
results. We are looking forward to 2021 and beyond to continue to
carry out that vision.
Respectfully submitted,
Alan Jay Weisberg
Chief Executive Officer
For more information about Progressive Care, please visit the
company’s website. Connect and stay in touch with us on social
media:
Progressive Care Inc.
https://www.progressivecareus.com/
https://twitter.com/ProgressCareUS
PharmCoRx
https://www.pharmcorx.com/
https://twitter.com/PharmCoRx
ClearMetrX
https://www.clearmetrx.com/
https://www.facebook.com/clearmetrx/
About Progressive Care Inc.
Progressive Care Inc. (OTCQB: RXMD), through its subsidiaries,
is a Florida health services organization and provider of
prescription pharmaceuticals, compounded medications, provider of
tele-pharmacy services, the sale of anti-retroviral medications,
medication therapy management (MTM), the supply of prescription
medications to long-term care facilities, and health practice risk
management.
Cautionary Statement Regarding Forward-Looking
Statements
Statements contained herein that are not based upon current or
historical fact are forward-looking in nature and constitute
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934. Such forward-looking statements reflect the Company’s
expectations about its future operating results, performance, and
opportunities that involve substantial risks and uncertainties.
These statements include but are not limited to statements
regarding the intended terms of the offering, closing of the
offering and use of any proceeds from the offering. When used
herein, the words “anticipate,” “believe,” “estimate,”“upcoming,”
“plan,” “target,” “intend” and “expect” and similar expressions, as
they relate to Progressive Care Inc., its subsidiaries, or its
management, are intended to identify such forward-looking
statements. These forward-looking statements are based on
information currently available to the Company and are subject to a
number of risks, uncertainties, and other factors that could cause
the Company’s actual results, performance, prospects, and
opportunities to differ materially from those expressed in, or
implied by, these forward-looking statements.
Public Relations Contact:
Carlos Rangel
carlosr@pharmcorx.com
Progressive Care (QB) (USOTC:RXMD)
Historical Stock Chart
From Mar 2024 to Apr 2024
Progressive Care (QB) (USOTC:RXMD)
Historical Stock Chart
From Apr 2023 to Apr 2024