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PATIENT HOME MONITORING ANNOUNCES FOURTH QUARTER AND YEAR-END FINANCIALS

^{Published on 2011-01-28 16:10:40 - Market Wire}
 

SAN FRANCISCO, CA, Jan. 28 /CNW/ - Patient Home Monitoring (PHM) (TSXV:PHM), a company focused on in-home cardiology healthcare services, today announced financial results for the quarter and year ended September 30, 2010.

"While the year end financials mainly reflect PHM's listing and not the operational progress made, 2010 was an important first year for PHM," said Ed Berenblum, CEO of Patient Home Monitoring.  "We began operations in April of 2010 with a plan to penetrate a high growth market in an underserved niche with a unique and compelling offering. By September 30^th, our year end, we had been operating for just six months but managed to accomplish many goals. We launched the business with a controlled pilot study with just one customer and a handful of patients. The purpose of this study was to ensure that we understood the risks, sensitivities, complications and costs of operating a business in this market niche. In June, we finalized our listing and financing, which enabled the full launch of the business. By August, four months into the pilot, we began to develop and implement the systems and the infrastructure required to scale the business to serve multiple customers and several thousand patients. We spent September investing in these activities, including systems design, hiring and training staff and building our sales pipeline."

"Most importantly, as our year ended, PHM moved out of start-up phase and into full commercial mode, enrolling patients from multiple groups," Continued Mr. Berenblum. "Our next milestone is to achieve a revenue level which will make PHM a self sustaining business. We are currently focused on satisfying the demand we see in our market as quickly as possible. We are hiring staff to expand our customer pipeline, negotiating more favorable supply agreements for purchasing a higher volume of equipment and continuing to evolve our systems to realize the benefits of revenue with increased automation and reduced per unit cost."

"In reviewing the year end financials, many of the expenses were related to the listing, financing, and start-up activities. While this was an expensive endeavor, it is a requirement for PHM to achieve rapid growth by penetrating this large, underserved market niche. We have been cautious with our operational expenses since listing and will continue to focus on cash management as we grow our business. I am confident that with our current balance sheet and revenue growth rate we will get to a self sustaining level. In terms of future financings, our Board and I will determine the best method to grow our business while maximizing shareholder value."

2010 Highlights

• PHM launched in-home monitoring services with a small group of patients in April 2010
• Extrapolating from over four months of statistics, PHM's business model appears to yield two to four times the market penetration per clinic generally achieved by the competition.
• PHM closed equity financing of $4.5 million and listed on the TSX Venture Exchange
• Successfully recruited Ed Berenblum as Chief Executive Officer
• PHM invested in call center and patient enrollment infrastructure enabling the company to scale up to many thousands of patients with minimal further capital investment
• By September 30, 2010 PHM started the process of enrolling multiple large cardiology groups in the US to provide their patient base with PHM's Patient Self-Testing ("PST") services
• By September 30, 2010, PHM had transitioned from start-up phase to full commercial mode, with the staffing, infrastructure and a pipeline of potential customers to achieve enrollment of many thousands of patients

For complete financial results, please see our filings at [ www.sedar.com ].

About PHM
PHM is a healthcare services company focused on providing in-home testing for patients on blood thinner medications such as Coumadin or warfarin. PHM's unique value proposition, for cardiology groups that manage patients on Coumadin, focuses on systemization to enroll patients in PST. This approach creates an opportunity for physician groups to operate more efficiently, increasing revenue to their clinic while providing a higher standard of care for patients.

Information in this news release that is not current or historical factual information may constitute forward-looking information within the meaning of securities laws. Implicit in this information, particularly in respect of the future outlook of PHM and anticipated events or results, are assumptions based on beliefs of PHM's senior management as well as information currently available to it. While these assumptions were considered reasonable by PHM at the time of preparation, they may prove to be incorrect. Readers are cautioned that actual results are subject to a number of risks and uncertainties, including the availability of funds and resources to pursue operations, decline of reimbursement rates, dependence on few payors, possible new drug discoveries, a novel business model, dependence on key suppliers, granting of permits and licenses in a highly regulated business, competition, low profit market segments as well as general economic, market and business conditions, and could differ materially from what is currently expected.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.