FRISCO, Texas, Nov. 16, 2011 /PRNewswire/ -- Assured Pharmacy (APHY.PK: pinksheets), a leading specialty pharmacy group providing prescription medications to sufferers of chronic pain, announced net sales of $4,029,590 for the quarter ended September 30, 2011, a decrease of $244,893 or 5.7%, from $4,274,483 for the third quarter of 2010. Basic and diluted net loss per share was $0.20 for the third quarter 2011, a 76.7% improvement compared to $0.87 net loss per share in the same period in 2010.
The decrease in sales for the third quarter of 2011 was primarily a result of a decrease in revenue per prescription due to increased generic utilization by our patients and to a lesser extent a decrease in management service fee revenue of $75,000. As a result of the increase in generic utilization, however, our gross profit margins on prescription revenue increased to 20.1% for the third quarter 2011, up from 17.8% in the same period in 2010. The number of prescriptions filled increased by 241 prescriptions or 0.8%, with 28,847 prescriptions filled in the quarter ended September 30, 2011 compared to 28,606 for the third quarter 2010.
Net sales for the nine months ended September 30, 2011 increased by $774,298, or 6.5% to $12,617,710 from $11,843,412 in 2010. Our loss from operations decreased 45.6% to $912,470 for the nine months ended September 30, 2011 from a $1,675,865 loss for the same period in 2010. The decrease in our loss from continuing operations resulted from increased sales in the first and second quarter, increased gross profit margins and reduced operating expenses as a result of cost control initiatives. Basic and diluted net loss per share were $0.55 for the nine months ended September 30, 2011, a 72.7% improvement compared to a $2.02 net loss per share in the same period in 2010.
"We are pleased with year-over-year performance improvement for the third quarter. The improved results reflect continued progress in the implementation of our strategies and provide further validation of our business model as we move forward with the expansion of our business," said Robert DelVecchio, Chief Executive Officer of Assured Pharmacy.
The unaudited financial statements for the three and nine months ended September 30, 2011 and 2010 have been posted on the OTC Markets website and are available at www.otcmarkets.com under our ticker symbol, APHY.PK.
About Assured Pharmacy, Inc.Assured Pharmacy, Inc. is a growing provider of specialty pharmacy services to patients and physicians in the treatment of chronic pain. Through its network of specialty pharmacies, the Company predominantly dispenses highly regulate pain mediations to sufferers of chronic pain, while stringently adhering to federal and state reporting requirements for both patients and physicians. The Company derives its revenue primarily from the sale of prescription drugs and does not keep in inventory non-prescription drugs or health and beauty related products inventoried at traditional pharmacies. The majority of the Company's business is derived from repeat visits from its customer base of physician-referred chronic pain patients. "Walk-in" prescriptions from physicians are limited. The Company currently has four operating pharmacies which are wholly owned and is in the process of opening its fifth operating pharmacy in the Kansas City metropolitan area.
Safe Harbor StatementThis press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934.
These forward-looking statements are based largely on the expectations or forecasts of future events, can be affected by inaccurate assumptions, and are subject to various business risks and known and unknown uncertainties, a number of which are beyond the control of management.
Therefore, actual results could differ materially from the forward-looking statements contained in this press release.
A wide variety of factors that may cause actual results to differ from the forward-looking statements include, but are not limited to, the following: the Company's ability to increase revenue and profits in the current economic climate; the effect of changing economic conditions; lack of sufficient financing for opening new pharmacies; inability to manage growth; and changes in government regulations, controls and similar matters.
These cautionary statements should not be construed as exhaustive or as any admission as to the adequacy of the Company's disclosures.
The Company cannot predict or determine after the fact what factors would cause actual results to differ materially from those indicated by the forward-looking statements or other statements.
The reader should consider statements that include the words "believes", "expects", "anticipates", "intends", "estimates", "plans", "projects", "should", or other expressions that are predictions of or indicate future events or trends, to be uncertain and forward-looking.
The Company does not undertake to publicly update or revise forward-looking statements, whether as a result of new information, future events or otherwise.Investor Contact:Erika Moran/Adam Holdsworth
The Investor Relations Group
11 Stone St. 3rd Floor
New York, NY
|SOURCE Assured Pharmacy, Inc.|
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