Progressive Care Inc (OTCMKTS:RXMD) shares were up 24.41% on Monday to $0.0370 and flat in after-hours trading. Share prices have been trading in a 52-week range of $0.01 to $0.05. The company has a market cap of $11.92 million at 341.11 million shares outstanding.
Progressive Care Inc is a health services company that is engaged in providing prescription pharmaceuticals specializing in health practice risk management, compounded medications, the sale of anti-retroviral medications and related medication therapy management, and the supply of prescription medications to long term care facilities. It is also focused on developing the PharmCo brand, which specializes in formularies, such as non-narcotic topical pain creams, wound care creams, scar gels and hormone replacement therapies, and provides 340B services to community organizations, patient health risk reviews, free same-day delivery and serves as a case management access point. PharmCo offers EnovaRx, which are Food and Drug Administration (FDA) approved manufactured pain creams that are readily available with a prescription.
Progressive Care Inc reported that it has generated over $13 million in revenues during the first nine months of the year, almost past the level of revenues for the entire 2015. This was spurred by over $4.8 million in net pharmacy revenues for the third quarter of 2016 from PharmCo, reflecting a 45% increase over the same quarter in 2015 as well as a 6% increase over last quarter. The company was able to file 60,000 prescriptions during the nine months ended September 30, 2016, with over 56,000 prescriptions filled in the third quarter alone, increasing at an average rate of 22%.
Increased sales have been credited to on-going targeted marketing in South Florida as well as healthcare organizations independently seeking the superior quality pharmacy services provided by PharmCo. Aside from that, the compounded medication division continues to be the primary driver of revenue and gross margin growth.
During the third quarter we achieved record breaking results,” stated S. Parikh Mars, CEO of Progressive Care Inc. “In August, we reached over 20,000 prescriptions filled in a single month, which has been a long held goal of ours. We continue to exceed even our own expectations, with strong sales growth, increasing profit margins, and net cash gains. We are in a strong position to close out the year with the momentum needed to deliver short and long term profitability.”
However, Progressive Care Inc ended up with a small loss of less than $3,000 for the third quarter due significantly to the interest, amortization, and derivative liability associated with securing the convertible note from Chicago Venture Partners. Still, this is a 98% decrease over the same period in 2015 when the company reported a loss of $160,000. As for operating income, the company was able to maintain it at approximately $45,000 for the third quarter of 2016. It also has positive EBITDA of approximately $72,000 and $302,000 for the three and nine months ended September 30, 2016 respectively.
Aside from that, Progressive Care Inc continues to be cash flow positive through the third quarter of 2016 with nearly $670,000 in cash on hand. This translates to an increase of approximately $290,000 from December 31, 2015. Also, the company received three additional non-resident licenses in Connecticut, Georgia, and Illinois.
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