- Q4 Net Revenues Increased 123% YoY to $694,947 from $311,910
- Q4 YoY Net Loss/Per Share Decreased from $ 665,096 (-$.036), to $ 239,693 (-$.012)
- Full Year Revenue Increase from $2,046,977 to $2,192,182 YoY
- 2015 Gross Margin Increased to 61% from 52% 2014
- Full year Net Loss YoY Decreased from -$1,692,658 in 2014 to -$1,057,604 in 2015
- Full year YoY net loss decreased from $.09 to $.05 EPS
HOUSTON, March 29, 2016 (GLOBE NEWSWIRE) -- Spine Injury Solutions, Inc. (OTCQB:SPIN), a technology-driven, medical service, device and healthcare solution company servicing the multi-billion dollar spine injury sector, reports 2015 financial results and will hold an Investor conference call on Tuesday, March, 29 2016, at 4:20 p.m. (EST) to discuss the Company's financial results for 2015 and provide an update on its current and future business initiatives.
2015 Highlights and Subsequent Events.
- New Funding Diagnostic Facility Added in Tyler TX
- Quad Video HALO™ V3.0 receives final Patent
- Completed All QVH v.3 Certification Testing Receives CE Mark for EU Sales
- Negotiating the opening of 1st EU QVH office in Germany
- Successfully Develops New Product HALO Rx™ For Full Operating Room use.
- Developed two new leasing programs for QVH, both Affiliate & 3rd Party Sales.
- Added Jeffrey Cronk DC J.D. Nationally Recognized Spine Injury Specialist to Board
- Completed Name Change to more properly reflect current business models.
- Ended 2015 with Strong Cash & Available Credit facilities in spite of QVH R& D costs
- Significantly increased operational efficiency of Core business as seen by Improved top and bottom line, lower SG&A and strong increase in Gross Margins.
- Signed Strategic Marketing Agreement with Renown Certified Colossus Expert Dr. Matthew DeGaetano and his Personal Injury Institute (PII) to both expand marketing reach of QVH and “Value Add” PII training to SPIN & QVH clients to accelerate and Increase PI Settlements.
Results of Operations
For the year ended December 31, 2015 versus 2014:
We recorded $2,192,182 in net revenues with $849,756 in costs of services and gross profit of $1,342,426 for the year ended December 31, 2015. For the year ended December 31, 2014, we recorded $2,046,977 in net revenues with $980,811 in costs of services and gross profit of $1,066,166. Revenue for 2015 was up due to a higher collection percentage experienced for our Texas affiliates.
We recognize revenue by reference to “net revenue,” which is gross amounts billed using CPT codes less account discounts that are expected to result when individual cases are ultimately settled. A discount rate of a 48% and 52%, based on settled patient cases, was used to determine net revenue during 2015 and 2014, respectively. Accordingly, we had gross revenues of $4,384,362 with net revenues of $2,192,182 for the year ended December 31, 2015, versus gross revenues of $4,239,164 with net revenues of $2,046,977 for the year ended December 31, 2014.
Expenses
For the year ended December 31, 2015 versus 2014:
Operating, general and administrative expenses for the year ended December 31, 2015 were $2,085,986 as compared to $2,443,386 for the year ended December 31, 2014. The decrease in operating expenses was primarily the result of fewer legal costs, consulting costs, and marketing costs.
Bad debt expense, included in operating, general and administrative expenses, totaled $467,600 and $300,000, respectively, for the years ended December 31, 2015 and 2014. The increase in bad debt expense is primarily attributable to our decision to discontinue doing business in Florida in 2014, which has resulted in limited personnel and affiliates in the region to assist in collection efforts. We increased the allowance related to Florida to reflect collection trends in Florida.
Other income (expense) for the year ended December 31, 2015 was an expense of $52,267 as compared to expense of $265,269 for the year ended December 31, 2014. For the twelve months ended December 31, 2015, other income of $10,234 offset by interest expenses of $62,501 resulting in the $52,267 expense. For the year ended December 31, 2014, other income was $23,219 offset by expenses of $288,488 totaling the expense of. $265,269. Included in the 2014 expenses was a non-cash charge of $56,078 for the restructuring charge of certain debt. The decrease in expense 2015 versus 2014, other than the noncash charges, is primarily attributable to the restructuring of our debt from high interest notes to our line of credit with Wells Fargo which bears interest at the 30 day London Interbank Offered Rate (“LIBOR”) plus 2%, resulting in an effective rate of 2.42% at December 31, 2015.
Net Income or Loss
For the year ended December 31, 2015 versus 2014:
Net loss for the year ended December 31, 2015 was $1,057,603 compared to net loss of $1,692,658 for the year ended December 31, 2014. Higher revenues, lower operating expenses, coupled with reduced interest costs, and lower personnel costs to develop and market the Quad Video Halo, resulted in net loss decreasing in 2015 from 2014.
(The full SEC Filing form 10K 2015 can be found at: http://www.sec.gov/cgi-bin/browse-edgar?company=Spine+Injury+Sol&owner=exclude&action=getcompany)
Spine Injury Solutions Inc. CEO, Dr. William Donovan stated, "It has been an extremely busy year for SPIN and particularly its wholly owned QVH Subsidiary. In spite of numerous unexpected delays and costs paired with the decision to expand the reach of QVH Internationally, Management is proud to have delivered a vast financial improvement over recent years in both top and bottom line. Combining our 2015 Financial Results along with the addition of two nationally renowned Personal Injury Experts to the SPIN family, Dr. Jeffery Cronk JD to our Board and Dr. Matthew DeGaetano to our Sales and Marketing effort, can only be credited to our time proven core Affiliate business model and impressive and unique Quad Video HALO product line.
2015 is the first year where our Diagnostic Affiliates were using the enhanced QVH. Though we may have handled some 20% fewer cases (due to terminating our several Florida Affiliates in early 2014) we still managed to beat the prior year top and bottom line, the later significantly; and dramatically increase our Gross Margin Year over year by some 26%. This is tangible proof of our prior belief that by using the QVH, cases would settle quicker and for higher amounts.
Secondly, further validation to the perceived efficacy and need for our unique QVH system was achieved by attracting Jeff Cronk and Matt DeGaetano, both successful expert visionaries and true victim advocates in PI field, to the SPIN Family.”
Donovan went on to say; “While everyone, including management, would like to think that such a revolutionary and needed product such as QVH, ‘should be flying off the shelf’ if it is so good, certain important points should be considered. It is a unique product being delivered by a new company in the medical diagnostics field at a time of considerable belt tightening by medical facilities. The company has taken steps to strengthen its sales and marketing efforts dealing with the QVH. With our own internal evidence based on 2015 results and the addition of Cronk and DeGaetano, we now feel we are positioned for a stronger year ahead. I encourage all interested parties to join us on our Interactive video conference call today where in addition to Management, Dr. DeGaetano and Dr. Cronk will be available for Q&A.”
Conference Call Details
Conference Call: An investor's conference call with management will be held on Tuesday, March 29, at 4:20 p.m. (EDT). The call will be video WebCast with a short live Power Point Presentation followed by Q & A. The call may be accessed either by phone alone, which will not allow asking questions, or by phone and/or VOIP with headset after internet log-in with an on screen provided Audio Pin # which will allow verbally asking questions. Questions can also be typed into an online chat screen at any time during the presentation or Q & A period.
Access to the Call: To use the internet link, you must register prior to access. So we suggest you complete the registration and get your log-in information in advance of the start of the presentation. You can register at any time. As mentioned above, the call is Tuesday, March 29, at 4:20 p.m. (EDT).
Click or paste the link below in your browser for registration and web access to the presentation and follow the online instructions:
https://attendee.gotowebinar.com/register/9027192048125140484
Or if the above link doesn't work, please try the following:
http://www.joinwebinar.com Webinar ID: 118-913-691
Telephone Dial-in and/or VOIP which provides Q&A: To ask a question using your telephone, you must be online at the presentation website during the internet presentation where a unique Audio PIN # will be provided to you on screen after you log-in to the presentation console. You must use the pin to hear the call on the phone. During the presentation, all will be muted until the Q&A portion. Questions can be asked by typing in the question in the provided questions link on the provided console at any time during the presentation and will be answered during the Q&A.
The Q & A will be moderated, but without an operator, and will be open to all questions after the formal presentations. Review this short YouTube tutorial video for pointers on how to use the Webinar Features. (This is just a demo. Do not use the numbers or codes on this demo. Use what is provided above.)
YouTube webinar instructions: http://youtu.be/n7b1VHDwwD4
If you use the telephone, but are NOT also online, you will be able to hear the presentation plus Q & A, but will remain in "listen only" mode for the duration of the call.
Conference Dial-in Number: 1 (562) 247-8422
Participant Access Code: 790-720-725
Conference Play Back: A video replay of the conference call presentation will be available several hours after the completion of the call at the company website:
http://www.spineinjurysolutions.com
About Spine Injury Solutions, Inc:
We are a medical services and technology company facilitating diagnostic services for patients who have sustained spine injuries resulting from traumatic accidents. We deliver turnkey solutions to spine surgeons, orthopedic surgeons and other healthcare providers that provide necessary and appropriate treatment of musculo-skeletal spine injuries resulting from automobile and work-related accidents. Our care management services help reduce the financial burden on healthcare providers that provide patients with early-stage diagnostic testing and non-invasive surgical care, preventing many patients from being unnecessarily delayed or inhibited from obtaining needed treatment. We believe that our services and technology brings strong transparency and impartiality to all parties involved in the settlement of patient cases.
Additional information about the company, along with a video replay of most recent Investor Conference Call can be found at its website at www.SpineInjurySolutions.com.
About Quad Video HALO, Inc.:
In addition, we are the owners and developers of the Patented Quad Video HALO™, a Highly Scalable Video Integrated Operating Room Technology that Meets the Demands of Medical Practices and Major Hospital Systems using the latest Tele-Medicine hardware/software advancement in providing video transparency to both Invasive and Minimally Invasive medical procedures.
Additional information about QVH, can be found at its website at www.QuadVideoHalo.com
Forward-Looking Statements: This press release includes forward-looking statements as determined by the U.S. Securities and Exchange Commission (the "SEC"). All statements, other than statements of historical facts, included in this press release that address activities, events, or developments that the company believes or anticipates will or may occur in the future are forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund operations, healthcare services demands, changes in healthcare practices, government regulation, and other factors over which the company has little or no control. The company does not intend (and is not obligated) to update publicly any forward-looking statements. The contents of this press release should be considered in conjunction with the warnings and cautionary statements contained in the company's recent filings with the SEC.