BANGOR, Maine, Oct. 14 /PRNewswire-FirstCall/ -- Nyer Medical Group, Inc. (Nasdaq: NYER) reported results for the fiscal year ended June 30, 2008. Revenues for the fiscal year ended June 30, 2008 increased $6.6 million or 10.2% to $71.2 million from $64.6 million as reported for the previous fiscal year. Net loss for the fiscal year ended June 30, 2008 was $403,520 or $.10 per share as compared to a net income of $86,446 or $.02 per share for the previous fiscal year.
The net loss reflects restructuring costs related to the acquisition of the remaining 20% minority interest in D.A.W., Inc. (D.A.W.) and the change in control of the Company, totaling approximately $1.4 million or $.34 per share for the fiscal year ended June 30, 2008. The restructuring costs included a $399,997 charge attributable to the purchase of Class A and B (Series 1) Preferred Stock from the family of Samuel Nyer; legal expense of $586,000 and a severance charge attributable to the non-renewal of the former chief executive officer's employment contract of $118,000. This was partially offset by a net gain of $87,102 or $.02 per share from discontinued operations. Per share results break out as follows: income from continuing operations of $.22 per share, income from discontinued operations of $.02 per share and a loss from restructuring activities of $.34 per share.
The increase in annual revenues was primarily the result of a 4.75% increase in the number of prescriptions dispensed at stores open more than one year, the acquisition of a pharmacy in July 2007, and the addition of three new pharmacies in April and December 2007, and February 2008, respectively. Stores open more than one year experienced a 2.4% growth in revenue.
Net income for the quarter ended June 30, 2008 was $345,184 or $.09 per share as compared to $51,521 or $.02 per share for the same period the previous fiscal year. All but $1,831 of the profit resulted from continuing operations. Revenues for the quarter ended June 30, 2008 increased $1.73 million to $18.5 million from $16.8 million for the same period the previous fiscal year.
The Company had discontinued operations which consisted of its medical segment and fire and police segment. The medical segment located in Florida was sold in June 2008. In September 2008, the medical segment located in Maine sold certain assets and transferred certain liabilities. The purchaser was also granted and option to buy the medical segment's building and land, which were retained by Nyer along with responsibility for the line of credit.
"Fiscal 2008 was an eventful year for Nyer Medical Group," stated President and CEO Mark Dumouchel. "The Company successfully concluded the acquisition of the minority interest in its pharmacy subsidiary, saw the transference of the control position of the Company from the Nyer family to the former minority shareholders of the pharmacy subsidiary and successfully divested the medical segment." Dumouchel further stated, "The Company is poised to move forward focusing exclusively on endeavors aligned with its core competence within Community Pharmacy. We believe there are many opportunities available to the Company that will prove to be profitable for the Company and ultimately valuable to its shareholders."
About Nyer Medical Group
Nyer Medical Group, Inc. is a holding company that through its pharmacy subsidiary operates pharmacies in the greater Boston area.
For further information contact Mark Dumouchel (508) 429-8506, ext. 16.
Safe Harbor for Forward-Looking Statements
Certain statements contained in this press release are forward-looking in nature within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. These statements are generally identified by the inclusion of phrases such as "we expect", "we anticipate", "we believe", "we estimate" and other phrases of similar meaning. For example, the statements regarding opportunities in the pharmacy business that will prove to be profitable and valuable to shareholders all involve forward- looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from those contemplated in the forward-looking statements. Such factors include, but are not limited to: 1) The continuing opportunities for acquisitions, establishment of FQHC relationships and success in consolidation of administration and elimination of overhead; and 2) Changes in capital equity markets. Additional factors are described under "Part I. Item 1. A. - Risk Factors" in our most recent Annual Report on Form 10-K as filed with the Securities and Exchange Commission. Except as required by law, Nyer Medical Group undertakes no obligation to release publicly the result of any revision to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
|SOURCE Nyer Medical Group, Inc.|
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