- Revenues increase 138% versus Q2 2007
- Nine new Centers opened to date in 2008
VANCOUVER, Aug. 28 /PRNewswire-FirstCall/ - CRH Medical Corporation (CRM:TSX-V) announced today unaudited results for the three and six months ended June 30, 2008 (all figures are in US dollars). Revenue for the three months ended June 30, 2008 increased 138% to $1,653,891 compared to $695,994 for the same period in 2007. Revenue for the six months ended June 30, 2008 increased 150% to $3,001,333 compared to $1,202,048 for the same period in 2007. The Company recorded a net loss of $1,097,973 ($0.02 per share) and $2,056,711 ($0.05 per share) for the three and six months ended June 30, 2008 compared to a net loss of $773,785 ($0.02 per share) and $1,950,824 ($0.05 per share) for the same periods in 2007. Additionally, the Company announced that as of June 30, 2008 it had $1.976 million in cash and cash equivalents and working capital of $2.986 million.
The Company also announced that for the three months ended June 30, 2008, it had 6,496 patient visits at its Centers for Colorectal Health compared to 2,859 patient visits for the same period in 2007.
Commenting on the second quarter, 2008 results, Edward Wright, Chief Executive Officer stated, 'The addition of nine new centers opened to date in 2008 continues to demonstrate our ability to expand the Centers for Colorectal Health network. Additionally our direct to physician initiative, whereby we provide training and support for physicians purchasing our technology, is garnering strong momentum. These two strategies enable greater accessibility to our technology and treatment protocols which we expect will provide significant revenue growth.'
Summary of interim results (expressed in United States dollars):
Consolidated Balance Sheet
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June 30, December 31,
2008 2007
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Current assets:
Cash and cash equivalents $ 1,975,571 $ 3,531,818
Accounts receivable 1,452,086 975,290
Inventory 53,669 30,716
Prepaid expenses and deposits 170,888 262,084
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3,652,214 4,799,908
Property and equipment 871,710 879,394
Intellectual property 696,739 734,293
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$ 5,220,663 $ 6,413,595
Current liabilities:
Accounts payable and accrued liabilities $ 624,986 $ 323,791
Deferred leasehold inducements 41,426 41,426
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666,412 365,217
Deferred leasehold inducements 80,571 98,729
Shareholders' equity:
Share capital (note 6) 14,999,482 14,933,072
Contributed surplus (note 6) 2,919,956 2,405,624
Accumulated other comprehensive loss (66,772) (66,772)
Deficit (13,378,986) (11,322,275)
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4,473,680 5,949,649
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$ 5,220,663 $ 6,413,595
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Consolidated Statements of Operations, Comprehensive Loss and Deficit
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Three months ended Six months ended
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June 30, June 30, June 30, June 30,
2008 2007 2008 2007
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Revenue:
Center
operations $ 1,504,072 $ 646,700 $ 2,797,640 $ 1,099,617
Product sales 149,819 49,294 203,693 102,431
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1,653,891 695,994 3,001,333 1,202,048
Expenses:
Center
operations
and development 1,890,804 1,073,035 3,436,221 2,241,578
Medical products 143,336 84,473 214,932 142,119
Corporate and
other 640,103 569,702 1,253,735 1,017,282
Depreciation
and
amortization 88,325 72,665 175,592 137,331
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2,762,568 1,799,875 5,080,480 3,538,310
Operating loss (1,108,677) (1,103,881) (2,079,147) (2,336,262)
Other items:
Interest income 13,439 41,548 34,237 83,574
Foreign exchange
gain (loss) (4,226) 288,548 (13,912) 301,864
Other income 1,491 - 2,111 -
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10,704 330,096 22,436 385,438
Net loss and
comprehensive
loss (1,097,973) (773,785) (2,056,711) (1,950,824)
Basic and diluted
loss per share $ (0.02) $ (0.02) $ (0.05) $ (0.05)
Weighted average
shares
outstanding 44,878,418 43,177,351 44,801,334 43,054,684
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About CRH Medical Corporation:
CRH Medical Corporation is utilizing the first single use, patented, disposable, hemorrhoid banding system through its Center for Colorectal Health facilities. According to the National Institute of Health approximately 50% of the U.S. population will develop hemorrhoids by age 50. CRH Medical is opening its Center for Colorectal Health facilities in the United States specializing in the treatment of hemorrhoids, anal fissures, and colon cancer screening and plans to significantly increase the number of Centers for Colorectal Health across the U.S. to address this underserved market. The Company's goal is to become the preeminent resource on colorectal health for consumers and medical professionals in North America.
The information in this news release contains so-called 'forward-looking' statements. These include statements regarding CRH Medical expectations, beliefs, intentions or strategies for the future, which may be indicated by words or phrases such as 'anticipate', 'expect', 'intend', 'plan', 'will', 'we believe', 'CRH Medical believes', 'management believes' and similar language. All forward-looking statements are based on CRH Medical current expectations and are subject to risks and uncertainties and to assumptions made.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.
SOURCE CRH Medical Corporation
