VANCOUVER, BC, April 30, 2009′ CRH Medical Corporation (CRM:TSX-V) announced today that it recorded revenues of $6,655,342 for the year ended 2008 compared to $3,245,690 for the year ended December 31, 2007. Clinic operations revenue increased 100% to $6,047,590 for the year ended December 31, 2008 compared to $3,023,558 for the year ended December 31, 2007. Product sales increased 173% to $607,752 for the year ended December 31, 2008 compared to $222,132 for the year ended December 31, 2007.
For the year ended December 31, 2008 the Company reported an operating loss of $3,993,221 compared to $4,218,981 for the same period in 2007. The Company reported a net loss of $3,936,605 ($0.09 per share) for the year ended December 31, 2008 compared to $3,505,605 ($0.08 per share) for the same period in 2007.
Additionally, the Company announced that as of December 31, 2008 it had approximately $1.6 million in working capital. On April 7, 2009, the Company closed a private placement financing for net proceeds of approximately $1.8 million.
Edward Wright, Chief Executive Officer stated, ‘In response to the current economic situation, the success of our Partnership Program, and our goal to be profitable in 2010, CRH has taken a number of actions. First, we suspended the opening of new Centers for Colorectal Health. We have closed five Centers that did not show sufficient growth in patient appointments. ‘ The Company has also reduced fixed operating costs in all of our remaining Centers and reduced corporate overhead. ‘ We believe our Partnership Program will contribute significantly to the future profitability of the Company. Additionally we expect that our recent financing will provide us with sufficient financial resources to achieve profitability.’
The Company’s December 31, 2008 financial report will be available on www.sedar.com
About CRH Medical Corporation:
CRH Medical Corporation specializes in the treatment of hemorrhoids utilizing its proven treatment protocol and patented proprietary technology. CRH’s single use, disposable, hemorrhoid technology is safe and highly effective in treating hemorrhoid grades I ‘ IV. CRH Medical employs two commercialization strategies: First, it operates Centers for Colorectal Health facilities in the United States specializing in the treatment of hemorrhoids and fissures, and colon cancer screening. In addition CRH distributes its hemorrhoid banding technology, treatment protocols, operational and marketing expertise as a complete, “turn key” package directly to its partner physicians. The Company’s goal is to establish the CRH hemorrhoid technology 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 expansion plans for its Centers for Colorectal Health, 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. Important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include: (i) changes in the economy may affect the Company’s business; (ii) the Company’s ability to successfully recruit and retain sufficient qualified physicians and other licensed providers; (iii) our limited available working capital and cash flows and our ability to raise additional capital as and when needed (iv) the Company’s ability to manufacture its products; (v) the policies of health insurance carriers in the United States may affect the amount of revenue the Company receives; (vi) the Company’s ability to successfully market its products; (vii) market acceptance of its technologies and products; (viii) the competitive environment and impact of technological change; (ix) changes in United States federal or state laws, rules, and regulations, including but not limited to those governing the corporate practice of medicine, fee splitting, Anti-Kickback Statute and Stark Law; (x) ability to effectively manage growth and retain senior management personnel; and (xi) product liability and medical malpractice claims, which may adversely affect our operations. CRH Medical bases its forward-looking statements on information currently available to it, and assumes no obligation to update them.
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.