Assured Pharmacy Reports First Quarter 2014 Results
Revenue per Business Day Increases 33% from December 2013 to March 2014
Targets Profitability in Third Quarter 2014
PLANO, TX - Assured Pharmacy, Inc. (“Assured Pharmacy” or the “Company”) (OTCQB: APHY), a growing provider of pharmacy services to patients and physicians primarily in the treatment of chronic pain, announced today results for the first quarter ended March 31, 2014.
Robert DelVecchio, Chief Executive Officer, stated, “We have spent the past several months restructuring and streamlining the business, which we believe will make Assured Pharmacy a stronger company and award shareholders for the long-term. These first quarter results reflect our initial progress and success, which we look to build upon over the remainder of 2014.”
- $28,681 revenue per business day, in the month of March, up 33% from $21,542 in the month of December 2013
- 12,389 total number of prescriptions dispensed and delivered, up 16% from 10,659 in the fourth quarter of 2013
- 6,554 total number of patients served, up 17% from 5,613 in the fourth quarter 2013
- $131 sales per prescription dispensed, up 17% from $112 in the fourth quarter 2013
- Net cash used in operations reduced to $202,000 for the quarter
- Secured a $600,000 revolving line of credit loan
First Quarter 2014 Compared to Fourth Quarter 2013
Due to the restructuring and streamlining of the business in mid-2013, we believe a financial comparison to the prior sequential quarter ending December 31, 2013 is more appropriate than a year-over-year comparison. For the first quarter ended March 31, 2014, revenues increased 36% to $1.6 million, as compared to $1.2 million in the fourth quarter ended December 31, 2013. The increase in revenue is due to the increases in prescriptions, patients and sales per prescription. Gross margins improved to 21%, up from 17% in the fourth quarter of 2013. Operating loss for the first quarter of 2014 improved by approximately $160,000, from $709,000 in the fourth quarter of 2014 to $550,000 in the first quarter of 2014. The Company’s net loss for the first quarter of 2014 decreased by approximately $581,000, from $456,000 net income in the fourth quarter of 2013 to $125,000 in net loss for the first quarter 2014. The decrease is primarily attributable to a $1.5 million gain on extinguishment of debt in the fourth quarter of 2013 compared to a $213,000 gain in the first quarter 2014 which was partially offset by improvements in interest expense and gains on changes in fair market value of derivative and warrant liability.
About Assured Pharmacy, Inc.
Assured Pharmacy, Inc. is a provider of pharmacy services to patients and physicians, primarily in the treatment of chronic pain. Through its network of pharmacies, the Company predominantly dispenses prescription medications to sufferers of chronic pain, while stringently adhering to federal and state reporting requirements for both patients and physicians. The majority of the Company’s business is derived from repeat visits from its customer base of physician-referred chronic patients. The Company currently has two operating pharmacies which are wholly owned. Learn more about Assured Pharmacy, Inc. at www.AssuredRxServices.com
Forward-Looking Statements. This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act") (which Sections were adopted as part of the Private Securities Litigation Reform Act of 1995). Statements preceded by, followed by or that otherwise include the words "believe," "anticipate," "estimate," "expect," "intend," "plan," "project," "prospects," "outlook," and similar words or expressions, or future or conditional verbs such as "will," "should," "would," "may," and "could" are generally forward-looking in nature and not historical facts. These forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the Company's actual results, performance or achievements to be materially different from any anticipated results, performance or achievements. The Company disclaims any intention to, and undertakes no obligation to, revise any forward-looking statements, whether as a result of new information, a future event, or otherwise. For additional risks and uncertainties that could impact the Company's forward-looking statements, please see the Company's Annual Report on Form 10-K for the year ended December 31, 2013, including but not limited to the discussion under "Risk Factors" therein, which the Company has filed with the SEC and which may be viewed at http://www.sec.gov.
Robert DelVecchio, CEO