OptimizeRx Corporation Reports Second Quarter 2016 Results
Net Revenue up 12% to $1.9 Million in Q2 2016, Driven by Increased Promotion of Pharmaceutical Brands and Expanded Distribution Channels
ROCHESTER, Mich., Aug. 08, 2016 (GLOBE NEWSWIRE) -- OptimizeRx Corp. (OTCQB:OPRX), a health technology software company whose premier content-delivery platform enables pharmaceutical companies to provide on-demand patient-care services, reported results for the second quarter ended June 30, 2016.
Q2 2016 Highlights
- Net revenue up 12% to $1.9 million in the quarter, contributing to net revenue in first half of 2016 up 15% to $3.7 million.
- Financial messaging, i.e., eCoupons, distributed for 76 different brands in the quarter, up from 68 brands in the second quarter of 2015.
- Appointed Brian J. Dillon to the new position of SVP of Product and Strategy. He brings to OptimizeRx more than 25 years of experience serving companies in the healthcare and pharmaceutical industries, including a number of OptimizeRx’s clients and channel partners.
- Partnered with RxWiki, a leading independent pharmacy technology company, to bring mobile co-pay coupons to RxWiki’s network of 1,300 community pharmacies. This is the company’s first play in the pharmacy space as an additional distribution partner.
- Initiated a re-branding of the company to demonstrate its ability to provide financial and clinical messaging as well as brand support services, such as drug file integration and sales force training. The company expects to complete the re-branding in the current quarter.
- Appointed an additional VP of Channel to service the company’s channel partners and onboard additional partners.
Q2 2016 Financial Summary
Net revenue in the second quarter of 2016 was $1.9 million versus $1.7 million in the same year-ago quarter. The increase was due to both increased promotion of pharmaceutical brands and expanded distribution channels.
Operating expenses in the second quarter of 2016 were $1.6 million, as compared to $1.0 million in the same year-ago quarter. The increase was primarily due to an increase in expenses related to growth initiatives, including investments in the company’s executive and sales team and related marketing and travel. Since the second quarter of 2015, the company has appointed a vice president of client services, a senior vice president of business development, a senior vice president of product and strategy, an additional vice president of sales, a new vice president of channel and a new CEO.
Net loss was $592,000 or $(0.02) per share, as compared to net loss of $157,000 or $(0.01) per share in the same year-ago quarter.
Cash and cash equivalents totaled $7.6 million at June 30, 2016, as compared to $7.5 million at March 31, 2016. The company continued to operate debt-free.
Management Commentary
“In Q2, our topline growth was driven by acquiring, integrating and expanding into new promotional EHR and electronic prescribing (eRx) platforms,” said William Febbo, OptimizeRx’s CEO. “During the quarter, we completed a full technology review and launched new initiatives to add additional client services. Now five and a half months into managing the business, my near term priorities are to focus on growth driven by further building our sales team, product offerings and partnerships for distribution of health content relevant to the medical community. We expect these initiatives to drive revenue growth both near and long term.
“We are actively engaged in discussions with several EHRs to integrate our technology into their platforms. We are also working extensively with our existing EHR partners, such as Allscripts and Dr. First, to expand the reach of our financial and clinical messaging products to all of their healthcare providers.
“Our partnerships with WPP, the largest marketing services company in the world, is beginning to gain traction with 15 new drug brands for financial messaging and 12 new brands for clinical messaging launching in the third quarter. With the growth of both our pharmaceutical products and our distribution network, we expect that our distribution of messaging will continue to increase year-over-year with a considerable increase in the coming quarters.”
Conference Call
OptimizeRx will host a conference call today to discuss the second quarter 2016, followed by a question and answer period.
Date: Monday, August 8, 2016
Time: 4:30 p.m. Eastern time (1:30 p.m. Pacific time)
Toll-free dial-in number: 1-800-210-9006
International dial-in number: 1-719-325-2364
Conference ID: 2477271
Please call the conference telephone number five minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Liolios Group at 1-949-574-3860.
A replay of the call will be available after 7:30 p.m. Eastern time on the same day through August 29, 2016, as well as available for replay via the Investors section of the OptimizeRx website at www.optimizerxcorp.com.
Toll-free replay number: 1-877-870-5176
International replay number: 1-858-384-5517
Replay ID: 2477271
The company expects to file its quarterly report on Form 10-Q today.
About OptimizeRx Corp
OptimizeRx Corporation (OTCQB:OPRX) provides unique consumer and physician platforms to help patients better afford and comply with their medicines and healthcare products, while offering pharmaceutical and healthcare companies effective ways to expand awareness, access and adherence to their medications.
The company’s core product, SampleMD, replaces drug samples with electronic trial vouchers and copay coupon savings that are electronically added to an e-Prescription and sent electronically to the pharmacy and is integrated within leading electronic health record (EHR) platforms in the country, including Allscripts, Quest Diagnostics, Practice Fusion and over 350 other EHRs to reach over 250,000 healthcare providers. In turn, OptimizeRx promotes patient savings and support from the world’s largest pharmaceutical companies, including Pfizer, Lilly, Novartis, AstraZeneca and many others. For more information, please go to www.optimizerxcorp.com.
Important Cautions Regarding Forward Looking Statements
This press release contains forward-looking statements within the definition of Section 27A of the Securities Act of 1933, as amended and such section 21E of the Securities Act of 1934, amended. These forward-looking statements should not be used to make an investment decision. The words 'estimate,' 'possible' and 'seeking' and similar expressions identify forward-looking statements, which speak only as to the date the statement was made. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether because of new information, future events, or otherwise. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted, or quantified. Future events and actual results could differ materially from those set forth in, contemplated by, or underlying the forward-looking statements. The risks and uncertainties to which forward-looking statements are subject include, but are not limited to, the effect of government regulation, competition and other material risks.
| OPTIMIZERx CORPORATION | ||||||||
| CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) | ||||||||
| AS OF JUNE 30, 2016 AND DECEMBER 31, 2015 | ||||||||
| June 30, 2016 | December 31, 2015 | |||||||
| ASSETS | ||||||||
| Current Assets | ||||||||
| Cash and cash equivalents | $ | 7,566,783 | $ | 8,207,565 | ||||
| Accounts receivable | 2,108,884 | 2,847,450 | ||||||
| Prepaid expenses | 127,272 | 70,623 | ||||||
| Total Current Assets | 9,802,939 | 11,125,638 | ||||||
| Property and equipment, net | 26,365 | 10,239 | ||||||
| Other Assets | ||||||||
| Patent rights, net | 806,272 | 832,884, | ||||||
| Web development costs, net | 355,618 | 340,470 | ||||||
| Security deposit | 5,049 | 5,049 | ||||||
| Total Other Assets | 1,166,939 | 1,178,403 | ||||||
| TOTAL ASSETS | $ | 10,996,243 | $ | 12,314,280 | ||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| Current Liabilities | ||||||||
| Accounts payable - trade | $ | 194,726 | $ | 212,191 | ||||
| Accounts payable - related party | - | 570,000 | ||||||
| Accrued expenses | 167,999 | 6,983 | ||||||
| Revenue share payable | 1,811,033 | 2,355,608 | ||||||
| Deferred revenue | 667,249 | 227,002 | ||||||
| Total Liabilities | 2,841,007 | 3,371,784 | ||||||
| Stockholders' Equity | ||||||||
| Common stock, $.001 par value, 500,000,000 shares authorized, 22,262,944 and 29,030,925 shares issued and outstanding, respectively | 29,263 | 29,031 | ||||||
| Preferred stock, $.001 par value, 10,000,000 shares authorized, no shares issued and outstanding | - | - | ||||||
| Stock warrants | 2,294,416 | 2,329,508 | ||||||
| Additional paid-in-capital | 32,911,750 | 32,185,499 | ||||||
| Stock payable | 583,545 | 1,132,148 | ||||||
| Deferred stock compensation | - | (13,800 | ) | |||||
| Accumulated deficit | (27,663,738 | ) | (26,719,890 | ) | ||||
| Total Stockholders' Equity | 8,155,236 | 8,942,496 | ||||||
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 10,996,243 | $ | 12,314,280 | ||||
| OPTIMIZERx CORPORATION | ||||||||||||||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) | ||||||||||||||||||||
| FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2016 AND 2015 | ||||||||||||||||||||
| For the Three Months Ended | For the Six Months Ended | |||||||||||||||||||
| June 30 | June 30 | |||||||||||||||||||
| 2016 | 2015 |
2016 | 2015 | |||||||||||||||||
| NET REVENUE | $ | 1,913,299 | $ | 1,705,457 | $ | 3,672,828 | $ | 3,193,010 | ||||||||||||
| REVENUE SHARE EXPENSE | 922,832 | 882,327 | 1,815,625 | 1,638,768 | ||||||||||||||||
| GROSS MARGIN | 990,467 | 823,130 | 1,857,203 | 1,554,242 | ||||||||||||||||
| OPERATING EXPENSES | 1,592,982 | 980,659 | 2,821,546 | 1,823,269 | ||||||||||||||||
| INCOME (LOSS) FROM OPERATIONS | (602,515 | ) | (157,529 | ) | (964,343 | ) | (269,027 | ) | ||||||||||||
| OTHER INCOME (EXPENSE) | ||||||||||||||||||||
| Interest income | 10,582 | 304 | 20,658 | 601 | ||||||||||||||||
| Interest expense | - | - | (163 | ) | - | |||||||||||||||
| TOTAL OTHER INCOME (EXPENSE) | 10,582 | 304 | 20,495 | 601 | ||||||||||||||||
| INCOME (LOSS) BEFORE PROVISION FOR INCOME TAXES | (591,933 | ) | (157,225 | ) | (943,848 | ) | (268,426 | ) | ||||||||||||
| PROVISION FOR INCOME TAXES | - | - | - | - | ||||||||||||||||
| NET INCOME (LOSS) | $ | (591,933 | ) | $ | (157,225 | ) | $ | (943,848 | ) | $ | (268,426 | ) | ||||||||
| WEIGHTED AVERGE NUMBER OF SHARES OUTSTANDING | ||||||||||||||||||||
| BASIC | 29,141,340 | 22,924,819 | 29,086,134 | 22,917,678 | ||||||||||||||||
| DILUTED | N/A | N/A | N/A | N/A | ||||||||||||||||
| NET INCOME (LOSS) PER SHARE | ||||||||||||||||||||
| BASIC | $ | (0.02 | ) | $ | (0.01 | ) | $ | (0.03 | ) | $ | (0.01 | ) | ||||||||
| DILUTED | N/A | N/A | N/A | N/A | ||||||||||||||||
Company Contact:
OptimizeRx
Doug Baker
dbaker@optimizerx.com
248-651-6568 x807
Investor Relations Contact:
Liolios Group
Ron Both, Senior Managing Director
oprx@liolios.com
949-574-3860
News powered by iR Direct — Copyright © 2017 Issuer Direct Corporation.
All Rights Reserved.