TORONTO, Aug. 15 /PRNewswire-FirstCall/ - Med-Emerg International Inc today announced that revenues from continuing operations for the six months ended June 30, 2005 increased 32% to $6,090,045 from $4,627,182 for the same period in 2004 (all amounts are U.S. dollars unless otherwise stated). For the three months ended June 30, 2005 revenues increased by 38% to $3,010,613 from $2,178,969.
At the same time the loss from continuing operations for the six months ended June 30, 2005 improved to ($506,560) as compared to ($1,123,217) in 2004. Similarly, for the three months ended June 30, 2005 the loss improved to ($227,177) from ($900,261) in 2004. The improvements in the quarter and for the six month period were largely the result of the non-recurrence of costs associated with an equity financing in 2004. Reduced interest and financing costs associated with corporate borrowings were off-set by increased amortization charges and stock compensation expenses.
Overall, this resulted in the Company reporting a net loss from continuing operations for the six months ended June 30, 2005 of $868,765, a reduction of 32% from $1,275,560 in 2004. For the three months ended June 30, 2005, the net loss from continuing operations similarly decreased 69% from $958,492 in 2004 to $300,998 in 2005.
Dr. Ramesh Zacharias, CEO of the Company, said, “The second quarter was a busy time for Med-Emerg (MDER). We signed several new contracts including opportunities with the Ontario Pharmacists’ Association, Hamilton Health Sciences Centre and with two community-based Family Health Teams. Further, we saw continued growth in our Pain Management and Infusion Services business.” Dr. Zacharias went on to say “We continue to deal with issues related to the termination of the DND contract. We have appealed the ruling of the Canadian International Trade Tribunal. Until such time as the appeal is addressed, we expect that the Cdn$100,000,000 lawsuit against the winning bidder and a former MDER employee will be stayed. We anticipate that the appeal process will continue into 2006.”
MDER specializes in the coordination and delivery of health care services in Canada and overseas. These services include community-based infusion centers, an integrated chronic pain management program, healthcare consulting, and health human resource management, including physician and nurse staffing.
Certain oral and written statements of the management of the Company included in this press release may contain forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933, and Section 21E of the U.S. Securities Exchange Act of 1934. These forward-looking statements include statements about the Company’s marketing strategy, future sales growth, profitability, competitive position, and release of new products. The words “plan”, “expect”, “believe”, “intend”, “anticipate”, “forecast”, “target”, “estimate” and similar expressions identify forward-looking statements. Forward-looking statements are based on assumptions made by and information currently available to the Company. Investors are cautioned that these forward-looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected. The Company does not undertake to review or update these forward-looking statements.
Med-Emerg International Inc.
CONTACT: Ramesh Zacharias, Chief Executive Officer, Med-EmergInternational Inc., Tel: (905) 858-1368, Email: rzacharias@med-emerg.com