Dear shareholders and prospective shareholders,
On July 30th, we reported our second quarter financial results. I will summarize the result below, and you can also read the full quarterly report on the Financial Information section of our website.
• Total revenues for the three months ended June 30, 2015 were $10,881,424 compared to $2,046,216 for the three months ended June 30, 2014. Revenues for the six months ended June 30, 2015 were $20,501,074 compared to $4,037,440 for the six months ended June 30, 2014.
• Total operating EBITDA for the quarter was $5,775,478, an increase of $5,161,363 over the second quarter of 2014. Operating EBITDA for the six months ended June 30, 2015 was $10,868,479, an increase of $9,563,701 from the comparable period in the prior year. • Revenues from anesthesia services were $8,513,842 in the quarter. Revenues year to date were $15,970,973. During the quarter, the anesthesia services segment serviced 15,339 patient cases, and serviced 27,734 patient cases in the year to date.
• Revenues from product sales for the quarter were $2,367,582 compared to $2,046,216 for the second quarter of 2014. Revenues from product sales for the six months ended June 30, 2015 were $4,530,101, an increase of 12% over the prior year comparable period.
As of June 30, 2015 the Company had trained 2,066 physicians to use the CRH O’Regan System, representing 767 clinical practices.
As of June 30, 2015, we had $19.9 million in cash compared to $16.4 million as of March 31, 2015 and $4.1 million as of December 31, 2014. We continue to add cash every month.
If you missed it, and wish to listen to our second quarter conference call, an audio replay will be available by calling (800) 585-8367 or (416) 621-4642 and using passcode 92572263. The phone replay will be available until August 14, 2015.
We continue to actively engage our investment audience, with a focus on meeting new investors and increasing education for all investors. Our CEO Edward Wright, spent time this month meeting with current and potential investors in the US. We also introduced the CRH story to several institutional and retail groups on both side of the border.
CRH O’Regan Annual Survey
A few weeks ago, we sent out our annual survey to both physicians and staff who are trained on the CRH O’Regan System. The purpose of the survey is to ensure that we are meeting our customer’s needs, to request feedback on new initiatives, and most importantly, to engage with them and reiterate our value propositions.
The responses and feedback received were extremely positive. A few of the “take-aways” include:
• Most physicians indicated they’ll be performing more banding procedures through the second half of 2015, compared with current levels
• Ease of use and efficiency of the O’Regan System were the top reasons for providing the procedure
• The majority of newly trained physicians first heard about the O’Regan System through a colleague
• Continued satisfaction for the on-going support received from the company was very much appreciated
We are being proactive in identifying potential acquisition targets within the GI anesthesia space. The execution of our strategy continues to proceed and we believe there are significant opportunities within the sector. We are taking the necessary steps to identify, diligence and execute on opportunities that will be immediately accretive to CRH. Through our physician-to-physician based approach we have developed strong and trusted relationships that provide us with the credibility necessary to further expand our GI Anesthesia business.
If you have any questions regarding our second quarter results, or just want a general update, don’t hesitate to contact me directly. Thank you for your continued support and we look forward to updating you again in a month’s time.