LOS ANGELES, Aug. 23, 2004 (PRIMEZONE) -- PracticeXpert, Inc. (OTCBB:PXPT), today announced unaudited results for the second quarter of its fiscal year ended June 30, 2004.
Net revenues were $2,742,020 for the three month period ended June 30, 2004, reflecting an increase of 197% or $1,817,848, as compared to revenues of $924,172 for the three months ended June 30, 2003. Revenues in 2004 increased primarily as a result of new business and revenues from acquisitions completed since June, 2003. The net loss reported for the three months ended June 30 2004 was $615,409, or a basic and fully diluted net loss per share of $0.01, compared to a net loss of $676,726, or a basic and fully diluted net loss per share of $0.03 for the three months ended June 30, 2003.
Commenting on the results, Michael Manahan, chief financial officer of PracticeXpert, stated, "The results for the quarter show marked improvement over previous quarters. Although we reported a loss for the quarter, expenses for the quarter include $445,855 in depreciation and amortization primarily related to the amortization of purchased client lists, $163,708 in one-time fees associated with the termination of the Company's revolving credit facility, and approximately $100,000 in legal and audit fees related to the closing of financings and acquisitions. Our loss from operations was $490,069, so with the add back of depreciation and amortization, and the add back of these certain non-recurring charges, we demonstrated our first quarter of positive cash flow from normal operations."
As of June 30, 2004 the Company had approximately 105 physician practices as customers, which included approximately 400 physicians, and had approximately 70 hand-held devices utilizing its PXpert Revenue Management System being used, and paid for, by those customers.
Jonathan Doctor, CEO of PracticeXpert, Inc., stated, "Clearly the addition of Cancer Care Network to the PracticeXpert family of companies has had a significant impact on our operations. The increased revenues and cash flow from operations that we are experiencing is allowing us to move forward, on a number of fronts, to improve operations and to initiate programs designed to generate new business. We look forward to announcing the specifics of some of these initiatives in the coming weeks and months. Further, we continue to pursue acquisition opportunities. With the completion of the acquisition of Cancer Care Network we are finding an ever increasing group of stellar companies interested in talking with us, and interested in joining the PracticeXpert family of companies."
About PracticeXpert, Inc.
PracticeXpert, Inc. is in the business of providing "turn-key" administrative services to, as well as developing and deploying systems, technologies and services designed to improve operational efficiencies, reduce billing errors and enhance cash flow for medical practitioners. Our services revolve around our flagship Revenue Management System, PXpert(tm), and include medical billing and accounts receivable management, practice management, transcription, and consulting. Where applicable, PracticeXpert bundles its technology applications with its billing and other practice management services to provide a complete and integrated solution to its physician customers. To find out more about PracticeXpert, Inc. (OTCBB: PXPT), visit our website at www.practicexpert.com.
Note: Any statements released by PracticeXpert, Inc. that are forward- looking, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act. Editors and investors are cautioned that forward-looking statements invoke risk and uncertainties that may affect the Company's business prospects and performances. These include economic, competitive, governmental, technological and other factors discussed in the statements and in the Company's filings with the Securities and Exchange Commission.
PRACTICEXPERT, INC.
CONSOLIDATED STATEMENTS OF OPERATION
FOR THE THREE MONTH AND SIX MONTH PERIODS
ENDED JUNE 30, 2004 AND 2003
(Unaudited)
For the three month period For the six month period
ended June 30, ended June 30,
2004 2003 2004 2003
------ ------ ------ ------
Net Revenues:
Medical billings
and related
services $ 1,807,508 $ 924,172 $ 2,736,979 $ 1,527,645
Management
services 934,512 -- 934,512 --
----------- ---------- ----------- -------------
Total net
revenue 2,742,020 924,172 3,671,491 1,527,645
Operating expenses:
Medical billings
and related
services 2,752,694 1,306,309 4,205,703 1,991,330
Management
services 479,395 -- 479,395 --
----------- ---------- ----------- -------------
Total operating
expenses 3,232,089 1,306,309 4,685,098 1,991,330
----------- ---------- ----------- -------------
Loss from
operations (490,069) (382,137) (1,013,607) (463,685)
Non-operating Income
(expense)
Legal settlement -- -- (75,750) --
Loss on settlement
of debts (14,500) (116,761) (14,500) (116,761)
Gain (loss) on
disposal
of asset -- 32,478 (1,706) 32,478
Miscellenous 19,800 -- -- --
Interest income 136 1,901 191 2,255
Interest expense (130,776) (29,683) (163,224) (47,232)
----------- ---------- ----------- -------------
Total non-operating
income (expense) (125,340) (112,065) (254,989) (129,260)
----------- ---------- ----------- -------------
Loss from operations
before income taxes
and discontinued
operations (615,409) (494,202) (1,268,596) (592,945)
Income taxes -- 5,649 6,400 7,249
----------- ---------- ----------- -------------
Loss from
continuing
operations (615,409) (499,851) (1,274,996) (600,194)
Discontinued operations
Income from operations
of discontinued
subsidiary
(Less applicable
income taxes
of $3,249) -- 4,874 -- 4,874
Gain (loss) on
disposal of
subsidiary, net -- 7,878 -- (240,193)
----------- ---------- ----------- -------------
Income (loss) on
disposal of
subsidiary, net -- 12,752 -- (235,319)
----------- ---------- ----------- -------------
Net loss (615,409) (487,099) (1,274,996) (835,513)
Dividend
requirement for
preferred stock -- (189,627) (63,122) (208,627)
----------- ---------- ----------- -------------
Net loss applicable
to common
shareholders $ (615,409) $ (676,726) $ (1,338,118) $ (1,044,140)
=========== ========== ============ ==============
Basic and diluted
weighted average
number of common
stock
outstanding 72,854,984 8,350,378 47,669,948 8,350,378
=========== ========== ============ ==============
Basic and diluted
net loss per
share $ (0.01) $ (0.08) $ (0.03) $ (0.13)
=========== ========== ============ ==============