CRH Medical Announces Anticipated Q1 2011 Financial Results
- Revenue Increases 74%
- Company Expects First Profitable Quarter
VANCOUVER, BC, April 27, 2011 – CRH Medical Corporation (CRM:TSX-V, CRMMF: OTCQX) announced today that it expects to report revenue for the three months ended March 31, 2011 of approximately $1,245,000, an increase of 74% as compared to revenues of $715,622 for the three months ended March 31, 2010. The Company also announced that it expects to report net income of $67,000 for the three month ended March 31, 2011 compared to a net loss of $300,882 for the three months ended March 31, 2010. These amounts are preliminary unaudited management assessments of the stated results for the period.
Edward Wright, Chief Executive Officer of CRH Medical stated, “I am extremely excited that the Company continues a solid growth pattern within the Gastroenterology community. As of March 31, 2011 we have a network of 809 physicians, representing 263 practices in 41 States and demand for our services continues to increase. It is noteworthy that we expect to post our first ever profitable quarter. Clearly, the changes we implemented last year are beginning to pay off, as a result we have something to build on, and with continued success we anticipate 2011 to be a profitable year.
The Company, like many Canadian publically traded companies, is required to adopt International Financial Reporting Standards (“IFRS”) for its interim financial reports beginning January 1, 2011. As a result of the transition to IFRS, the Company expects to file its financial reports at the end of May 2011. The Company does not expect any material differences between its December 31, 2010 balance sheet prepared in accordance with Canadian Generally Accepted Accounting Principles and the January 1, 2011 opening balance sheet prepared in account with IFRS.
About CRH Medical Corporation:
CRH Medical Corporation is a value added resource to the Gastroenterologist community, providing the CRH O’Regan System, as well as delivering related, 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. CRH’s single use, disposable, hemorrhoid technology is safe and highly effective in treating hemorrhoid grades I –
IV. The Company’s goal is to establish the CRH O’Regan System as the standard for hemorrhoid treatment.
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 of expected financial results, statements about the CRH reaching its goal of profitability in 2011 and 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. 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 need to raise additional capital to fund future operations; (ii) the policies of health insurance carriers in the United States may affect the amount of revenue the Company receives; (iii) the Company may not successfully market its products; (iv) changes in United States federal or state laws, rules, and regulations; (v) our senior management has been key to our growth, and we may be adversely affected if we lose any member of our senior management; (vi) economic dependence on suppliers and our contract manufacturer; (vii) changes in the industry and the economy may affect the Company’s business; (viii) evolving regulation of corporate governance and public disclosure may result in additional corporate expenses; (ix) we may not be able to attract Gastroenterologists and other licensed providers to purchase and use the CRH O’Regan System; (x) we may be subject to competition and technological risk which may impact the price and amount of product we can sell; (xi) we may be subject to product liability and medical malpractice claims, which may adversely affect our operations; (xii) our business may be impacted by health care reform in the United States; and (xiii) we may not have the expertise required to expand internationally. 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.
For further information call Dean Linden, Corporate Communications, CRH Medical Corporation at 604.633.1440 or firstname.lastname@example.org. Additional information may also be found by visiting the Company’s website at www.crhmedcorp.com or the SEDAR website at www.sedar.com.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.