DEERFIELD BEACH, Fla., March 18, 2004 (PRIMEZONE) -- The following is being issued by the iBX Group (OTCBB:IBXG):
To iBX Group Shareholders:
After more than a decade of experience behind us and with a solid infrastructure in place, iBX Group, Inc., and its divisions are ideally positioned for substantial growth within several key sectors of the healthcare marketplace in 2004.
By the end of 2002, iBX had experienced a consistent growth in revenues and profitability, and we immediately began 2003 by structuring our organization to proceed to the next level.
In the first and second quarters, our subsidiaries strengthened their foundations by making several key additions to their management teams, evaluating and enhancing their services, and identifying possible strategic acquisitions. By the middle of the year, it was clear that a change in direction was necessary, and iBX developed a plan to retire its debt obligations in order to allocate more resources toward pursuing the company's long-term goals. This shift, coupled with the challenges of a struggling economy, prompted us to re-evaluate revenue estimates for the year.
Since March 2003, iBX's president has been implementing a carefully developed plan to sell his personal stock in small quantities over a specified time period and has directed these funds toward retiring the company's debt. This programmed sale of stock has allowed the company to continue to operate without the interference of its creditors.
At year's end, iBX posted a slight increase in revenue to $3.4 million. This figure does not include revenues that will be deferred to 2004 as a result of our strict adherence to revenue recognition rules. The company will report a loss in net income of .02 a share for common shareholders. That compares with earnings of .01 a share in 2002. The bulk of the loss is attributed to several non-cash charges, along with large one-time expenses for consulting, legal, accounting and public relations services.
Due to a clear-cut strategy for the coming months, iBX expects positive results for 2004. Several pending transactions and new business opportunities on the horizon have put the company on pace to achieve our financial goals for this year.
During our tenure in the healthcare administration and management sector, our employees' ability to provide our clients with superior service has consistently set us apart from our competitors. In particular, the experienced management teams at iBX Group, as well as subsidiaries Florida HealthSource and NursesSTAT, demonstrated an extraordinary level of dedication to meeting the challenges we faced during 2003, and we believe they are more than capable of leading iBX into the future.
Our subsidiaries are firmly positioned within their respective sectors of healthcare staffing, physical therapy and rehabilitation, as well as healthcare receivables management and technology. Our capital expenditure needs are manageable, and our earnings outlook is improving steadily. Due to the current environment of global and economic uncertainty, we will continue to manage the business tightly during 2004 and work to improve our balance sheet, while maintaining a philosophy of consistent growth.
As we continue to raise capital, our subsidiaries will be provided with the resources they need to meet their goals and satisfy their clients' demands. We believe this will ensure iBX's continued success during 2004 and in the years to follow.