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HealthFitness Announces Third Quarter 2007 Financial Results
Date:11/5/2007

nts we have made will enable us to better help employers achieve these objectives. We will continue to aggressively execute our strategic plan to generate additional momentum, and believe we are in a position to achieve higher levels of revenue and margin growth into 2008 and beyond."

Financial Highlights for the Third Quarter of 2007 -- Health management segment revenue grew 16.3% to $6.5 million, from

$5.6 million for the same period last year. Of this revenue growth,

staffing services revenue grew 10.0% to $4.0 million, from

$3.7 million for the same period last year, and program and

consulting services revenue grew 28.0% to $2.5 million, from

$2.0 million for the same period last year. Overall, health

management revenue growth is attributed to new customers and the

expansion of existing customers. The increase in program and

consulting services, compared to last year, was primarily driven by

an increase in biometric screening and health coaching services, in

addition to eHealth platform sales and customizations. The decrease

in sequential quarterly revenue growth is primarily due to longer

service implementation schedules for our larger, new customer

commitments we obtained during the first two quarters of 2007.

-- Fitness management segment revenue declined 0.9% to $10.6 million,

from $10.7 million for the same period last year. Of this revenue

decline, staffing services revenue decreased 0.9% to $10.0 million,

from $10.1 million for the same period last year, and program and

consulting services revenue fell 2.4% to $0.58 million, from

$0.59 million for the same period last year. Overall, the slight

decline in fitness management staffing revenue is due to revenue

losses from terminated contracts outpacing revenue from 2007 new

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SOURCE Health Fitness Corporation
Copyright©2007 PR Newswire.
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