JERICHO, NY, April 11 /PRNewswire/ -- Rapid Recovery Health Services Inc. (RPRV: OTCPK) The company announced today that it has revised its revenue guidance for 2005. The previous guidance for 2005 was $4 million to $5 million in net product sales. The updated guidance for 2005 has increased to approximately $8 million in net product sales, due in part to increased sales of and demand for the company’s services in the fourth quarter of 2004. Preliminary sales data indicates that it has been sustained through early first quarter of 2005. Rapid expects to announce annual results for 2004 sometime in May. Scott Warantz added “The company continues to experience strong growth in our new markets and anticipate opening 2 to 3 new regions in the coming months. We are extremely pleased with our on going results as we continue to exceed our expectations.”
About Rapid Recovery
The Company has established a mobile ESWT Program that contracts with over 1200 physicians in the NY-NJ-CT Tri-State area and Florida is the exclusive source for low energy ESWT treatment. The mobile program is currently generating in excess of $500,000 in monthly revenue with systems providing treatment. The Company is interested in establishing mobile routes in the top 100 market areas throughout the United States. Some of the areas include Illinois, Ohio, Wisconsin, Massachusetts, Delaware, and Texas. All of which have already established reimbursement schedules for the procedure. The Company already has a fair volume of physician interest in these markets.
Market Size
ESWT is a treatment designed to treat tendonapothies throughout the body that would otherwise require surgical treatment. Based on the demographics of our national population, wide-spread historical statistics on tendon-related ailments and coverage from insurance carriers, the Company conservatively estimates there is a market demand for over 15 million treatments per year. This figure represents approximately 10% of the existing surgical markets of patients with insurance coverage that pays for ESWT. In other words, based on the current mix of insurance payers, with as little as a 10% market penetration into the existing surgical market for patients suffering from tendonapothies, there is a market for 1.25 million procedures per month. The Company sees this figure increasing by 300% - 500% over the next 18 - 36 months as more insurance carriers begin to initiate coverage for ESWT.
Forward-Looking Statements:
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and section 21B of the Securities and Exchange Act of 1934, as amended. Readers are cautioned not place undue reliance on these forward-looking statements, which are only predictions and only speak as of the date hereof. Forward-looking statements usually contain the words “estimate”, “anticipate”, “believe”, “plan”, “expect”, or similar expressions and are subject to numerous known and unknown risks and uncertainties. These risks and uncertainties could cause the Company’s actual results to differ materially those indicated in the forward- looking statements.
Rapid Recovery Health Services Inc.
CONTACT: For further information about Ortho Shockwave go tohttp://www.rapidrecoveryinc.com/ or contact the company at 1 (888) 889-0010