Core Prescription Revenue Growth of
13%
Miami, FL -- August 12, 2022 -- InvestorsHub NewsWire --
Progressive Care, Inc. (OTCQB:
RXMD) (the “Company”), a personalized healthcare services and
technology provider, today announced financial and operational
results for the three and six months ended June 30, 2022.
Key Financial Highlights for the Three Months Ended June 30,
2022 compared to Three Months Ended June 30, 2021
- Revenue increased 4% to approximately $10.0 million
- Prescription revenue increased 13% to almost $9.3 million
- Operating loss remained flat at $0.2 million
- Cash balance of $2.2 million
Business Highlights for the Three Months Ended June 30, 2022
- Gained SEC reporting status
- Expansion into rapidly growing chronic care management and
remote patient monitoring markets
Summary Financials for the Three Months Ended June 30, 2022, as
Compared with the Three Months Ended June 30, 2021
|
|
For the Three Months
Ended June 30, |
|
|
|
2022 |
|
|
2021 |
|
Prescription revenue |
|
$ |
9,275,774 |
|
|
$ |
8,172,840 |
|
340B contract revenue |
|
|
706,102 |
|
|
|
725,323 |
|
Testing revenue |
|
|
368,197 |
|
|
|
1,057,232 |
|
Other revenue |
|
|
1,450 |
|
|
|
1,300 |
|
Sub total |
|
|
10,351,523 |
|
|
|
9,956,695 |
|
PBM Fees |
|
|
(377,939 |
) |
|
|
(356,748 |
) |
Sales returns |
|
|
- |
|
|
|
(2,813 |
) |
Revenues, net |
|
$ |
9,973,584 |
|
|
$ |
9,597,134 |
|
|
|
|
|
|
|
|
|
|
Management Commentary
Alan Jay Weisberg, Chairman and Chief Executive Officer of
Progressive Care, commented, “We continued to see improvement in
several segments of our business. Our 340B covered entity business
has continued to improve due to revenues related to dispensing
prescriptions and third-party administration fees, which have
returned to the same levels prior to January 2022. In our
value-based pharmacy business, our revenues have improved to over
$9 million this quarter, an improvement of over $1 million
year-over-year from the same period last year. Our patient numbers
have increased steadily quarter to quarter in 2022.”
Mr. Weisberg continued, “Going forward, our marketing and
business development focus will be on more profitable business
lines, such as our long-term care business, 340B contract pharmacy
services, and 340B third party administration services. We will
also develop new and expanded services in the areas of chronic care
management and remote patient monitoring. We have done a great job
identifying such opportunities in the past years with our testing
business as an example, which helped us during the pandemic to
improve our cash flow and liquidity, and we’re extremely excited to
enter the remote patient monitoring market. We are in the process
of finalizing the development of our RPM platform and expect to be
ready for the launch of our RPM solutions during the third quarter
of 2022.”
Financial Results for Three Months Ended June 30, 2022
For the three months ended June 30, 2022 and 2021, the Company
recognized overall revenue from operations of approximately $10.0
million and $9.6 million, respectively. Prescription revenue for
the three months ended June 30, 2022 was approximately $9.3 million
when compared to $8.2 million the same period in 2021, a 13%
period-over-period increase.
The Company’s pharmacy business filled approximately 118,000 and
107,000 prescriptions during the three months ended June 30, 2022,
and 2021, respectively, a 10% period over period increase in the
number of prescriptions filled.
Revenue from COVID-19 testing was approximately $0.4 million and
$1.1 million for the three months ended June 30, 2022, and 2021,
respectively. The decrease was primarily due to lower COVID-19
testing sales. As the COVID-19 pandemic faded worldwide, the need
for testing has decreased as it relates to travel and business
continuity. The Company’s CFO, Cecile Munnik said, “It is difficult
to predict whether these conditions will be recurring given recent
COVID-19 pandemic conditions but we are well positioned to react if
another COVID-19 outbreak occurs as we have built a reputation of
being a reliable partner for COVID-19 testing solutions. We have
built reputable relationships with well-known media productions
companies and these relationships provide us with recurring
COVID-19 testing revenue.”
340B contract revenue for the three months ended June 30, 2022
was flat as compared to the same period in 2021.
Gross profit margins decreased from 27% for the three months
ended June 30, 2021, to 20% when compared to the same period in
2022. The 7% period-over-period decrease is due to the decrease in
COVID-19 testing revenues, which have significantly higher margins
than pharmacy operations.
The loss from operations increased by approximately $12,000 for
the three months ended June 30, 2022, when compared to the same
period in 2021, due to the decrease in COVID-19 testing revenues,
which was offset by an increase in prescription revenue and a
decrease in overall operating expenses.
During the earnings call, Birute Norkute, the Company’s COO
said, “We are pleased to report that our second quarter activities
have built upon and continued the momentum from our first quarter
performance from all our business segments. Our focus on growth and
operational excellence has allowed us to retain a status of
performance as a Five-Star pharmacy, which will maximize our
reimbursements and will allow us to earn performance bonuses with
certain payors. This positive trend is already showing in our data.
We also see a significant uptick in new patient acquisition
numbers, more than in previous quarters, including patients testing
positive for COVID-19 looking for the latest and most effective
therapies to treat the virus.”
Financial Results for Six Months Ended June 30, 2022
For the six months ended June 30, 2022 and 2021, the Company
recognized overall revenue from operations of approximately $20.0
million and $19.2 million, respectively, a 4% year-over-year
increase. Prescription revenue for the six months ended June 30,
2022 was approximately $17.9 million when compared to $16.8 million
the same period in 2021, a 6% period-over-period increase.
The Company’s pharmacy business has filled approximately 229,000
and 223,000 prescriptions during the six months ended June 30,
2022, and 2021, respectively, a 3% period over period increase in
the number of prescriptions filled. The Company’s management
believes this trend will continue through the remainder of the year
as the medication adherence measures begin to impact providers’
performance and their future potential monetary incentives, which
are tied to their patients’ adherence measures.
Revenue from COVID-19 testing was approximately $1.7 million and
$1.6 million for the six months ended June 30, 2022, and 2021,
respectively. The Company recognized record COVID-19 testing
revenue in January 2022 as the country was dealing with the Delta
and Omicron outbreak during that period. Since January 2022 the
demand for COVID-19 testing has slowed down as the need for testing
has decreased as it relates to travel and business continuity.
Gross profit margins decreased from 26% for the six months ended
June 30, 2021, to 22% when compared to the same period in 2022. The
4% period-over-period decrease is due to the decrease in COVID-19
testing revenues, which have significantly higher margins than
pharmacy operations.
The loss from operations decreased by approximately $0.5 million
for the six months ended June 30, 2022, when compared to the same
period in 2021, due to the increase in pharmacy revenue, decrease
in overall operating expenses, which was offset by a decrease in
340B contract revenue.
Mr. Weisberg, concluded, “Our outlook for the remainder of 2022
and beyond is positive. We continue our progress towards
diversification and expansion of our business lines in long-term
care, chronic care management and remote patient monitoring and
development of our data platforms in our ClearMetrX subsidiary, and
to achieve other strategic goals such as widening our geographic
markets that we serve. We are endlessly grateful to our
shareholders for their continued confidence and support as we
continue on our path for a record breaking 2022.”
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.
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/
PharmCoRx
https://www.pharmcorx.com/
ClearMetrX
https://www.clearmetrx.com/
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.
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
Investor Relations Contact:
ClearThink Capital
nyc@clearthink.capital
p917-658-7878
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