HOUSTON, May 14, 2012 (GLOBE NEWSWIRE) -- Spine Pain Management, Inc. (OTCBB:SPIN), a rapidly growing medical services and technology company, is announcing the following First Quarter 2012 vs. First Quarter 2011 financial results, (in $000 except per share amounts). Net revenue was $1284 vs. $839, an increase of 53%. Net income was $481 vs. $298, an increase of 61%. Earnings per share were $0.03 vs. $0.02. The gross margin rate was 64% in both periods. Further detail, including the definition of "net revenue", can be found in the 10-Q filed today.
"We are pleased with the sustained high growth of the company. It was manifest on both the top and bottom line," said Dr. William F. Donovan, Chairman and CEO.
Corporate Developments
In May, the Florida governor signed into law a reform of the state's personal injury protection ("PIP") insurance statutes. Dr. Donovan explained, "The reformed PIP will likely serve to increase our caseload in a number of ways. PIP now explicitly excludes certain types of pain practitioners from certifying injury and includes others; our affiliated Spine Pain centers qualify. It also rescinds 75% of the PIP coverage amount to claimants not getting, within fourteen days, certification of emergency care need by a properly licensed practitioner." Dr. Eric Groteke, SVP Sales and Marketing, CTO and the architect of the company's expansion in Florida, added, "The debate over PIP and its passing into law have thrown the spotlight on more rigorous evidentiary standards in personal injury cases, which we are very well-positioned to provide based on our proprietary new video-IP system."
Regarding the previously disclosed efforts to obtain external growth capital, Dr. Donovan said, "We have made meaningful progress in getting an attractive financing, which would be primarily debt-based, and non-dilutive. We hope to close a transaction within the second quarter."
2012 Outlook
The company affirmed its prior guidance of 8-10 centers in operation in as many cities, by year end 2012. It affirms entry into new states. It affirms average per center monthly volume of $200,000 net revenue to Spine Pain Management, Inc. Earnings per share guidance is suspended until the IP-video evidence technology implementation (announced in our press release of May 11) are fully assessed as to short and long term impacts, and the pending financing discussions are completed. The company affirms its previous indication that every $1 million raised would be significantly accretive to EPS short and long term, owing to the high returns achieved and achievable on capital deployed in the company's model.
Q1 Conference Call Details
To reiterate from the May 11 press release, Spine Pain Management, Inc will conduct its First Quarter 2012 investor conference call on May 14 at 5:00 PM Eastern Time, after announcing earnings after market close that day. Slides to be referenced in the conference call will be available for view under the investor tab of the corporate website, spinepaininc.com. In addition to management's financial commentary, Dr. Groteke will discuss SPIN's breakthrough video-based injury evidence system and its potential impact.
There will be direct telephone access with interactive Q&A time available after management's prepared remarks. Participants may dial (480) 629-9713 and reference Conference ID 4538239. A replay will be available for 90 days at (877) 870-5176, or for international callers (858) 384-5517; the pin # is 4538239. The call can also be accessed via webcast, either live or through a replay to be archived for 90 days. The webcast access information is:
http://viavid.net/dce.aspx?sid=000097A7
About Spine Pain Management:
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 can be found at its website at www.spinepaininc.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.
For Further Information Contact:
Gary M. Giblen
Director of Strategic Development, Finance & Communications
ggiblen@spinepaininc.com
(203) 324-2022
This information was brought to you by Cision http://www.cisionwire.com
http://www.cisionwire.com/spine-pain-management--inc-/r/spine-pain-management--inc--announces-strong-q1-2012-results-and-provides-corporate-updates,c9259977