VANCOUVER, January 9, 2012 – CRH Medical Corporation (TSX-V: CRM, OTCQX: CRMMF), a North American medical company focused on providing physicians with innovative products for the treatment of gastrointestinal diseases, today announced that it expects to report revenue for the three months ended December 31, 2011 of approximately US$1,525,000.
The anticipated fourth quarter revenue would represent a 34% increase compared to the same period in 2010, and a 9% increase compared to the previous quarter ending September 30, 2011. This announced revenue is a preliminary unaudited management assessment of revenue for the period.
As of December 31, 2011, the Company has trained 1,054 physicians to use the O’Regan System, representing 341 clinical practices. This compares to 750 physicians trained, representing 231 clinical practices, as of December 31, 2010.
“The fourth quarter of 2011 continues to demonstrate the successful implementation of our business strategy to sell directly to physicians. This strategy has provided sequential quarterly increases in revenue as well as consecutive quarterly profitability during 2011,” said Edward Wright, Chief Executive Officer of CRH Medical. “Looking ahead, we are well positioned for continued growth as our marketing efforts to expand our physician network and increase physician use of our technology gather momentum.”
The O’Regan System is a single use, disposable, hemorrhoid treatment that is safe and highly effective in treating hemorrhoid grades I – IV. The Company’s goal is to establish the O’Regan System as the standard of care for hemorrhoid treatment. In addition to the product, CRH Medical delivers clinical, marketing and operational support directly to its partner physicians.
CRH Medical intends to announce comprehensive 2011 year-end audited results by the second quarter of 2012.
About CRH Medical Corporation:
CRH Medical Corporation specializes in the distribution of innovative medical products directly to physicians, particularly those in the gastroenterologist community. The Company’s lead product, the CRH O’Regan System, is a single use, disposable, hemorrhoid treatment that is safe and highly effective in treating hemorrhoid grades I – IV. The O’Regan System is rapidly emerging as the standard of care with gastroenterologists who treat hemorrhoids. In addition to the product, CRH Medical delivers clinical, marketing and operational support directly to its partner physicians. CRH utilizes its web-based platform to connect doctors with patients as well as educating its ever increasing install base of physicians.
For more information, please contact:
Edward Wright, Chief Executive Officer
CRH Medical Corporation
Adam Peeler, Media and Investor Relations
416.815.0700 x 225
Forward looking statements:
The information in this news release contains so-called “forward-looking” statements. These include statements regarding CRH Medical’s expectations and plans relating to its business, statements about CRH Medical’s expectations, beliefs, intentions or strategies for the future, which may be indicated by words or phrases such as “anticipate”, “expect”, “intend”, “plan”, “will”, “we believe”, “CRH Medical believes”, “management believes”, and similar language. Our statements of anticipated revenues and profitability for the three months ended December 31, 2011 is a forward-looking statement. All forward-looking statements are based on CRH Medical’s current expectations and are subject to risks and uncertainties and to assumptions made. Assumptions include: (i) that the growth of CRH’s product sales will continue in a consistent manner; (ii) CRH’s costs will not escalate significantly; and (iii) CRH does not incur any extraordinary costs.
Important risk factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include: (i) we may not continue to attract Gastroenterologists and other licensed providers to purchase and use the CRH O’Regan System; (ii) the policies of health insurance carriers in the United States may affect the amount of revenue the Company receives; (iii) changes in United States federal or state laws, rules, and regulations; (iv) our senior management has been key to our growth, and we may be adversely affected if we lose any member of our senior management; (v) economic dependence on suppliers and our contract manufacturer; (vi) changes in the industry and the economy may affect the Company’s business; (vii) evolving regulation of corporate governance and public disclosure may result in additional corporate expenses; (viii) we may be subject to competition and technological risk which may impact the price and amount of product we can sell; (ix) we may be subject to product liability which may adversely affect our operations; (x) we may need to raise additional capital to fund future operations; (xi) our business may be impacted by health care reform in the United States; (xii) we may not have the expertise required to expand internationally. As a single product company, any adverse event directly or indirectly related to the CRH O’Regan System will have a material impact on the Company’s financial performance. CRH Medical bases its forward-looking statements on information currently available to it, and assumes no obligation to update them, except as required by law.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.