TORONTO, Aug. 7 /CNW/ - Alegro Health Corp. (TSX-V: AGO), a provider of
medical, surgical and disability management services, today announced its
financial results for the second quarter ended June 30, 2008.
"While Alegro continued to grow revenues and maintained a healthy cash
balance, what was most exciting was the strategic growth of our management
team and board of directors," said Brenda Rasmussen, President and Chief
Executive Officer of Alegro Health Corp. "Paul Godard, former Managing
Director of Shouldice Hospital, was appointed Chief Financial Officer, as we
also added several key board members in conjunction with our annual meeting.
With this new team in place, Alegro is effectively positioned to advance our
strategic vision of becoming Canada's leading health services network."
Second Quarter 2008 Highlights
- Revenue increased 16% to $3,836,405 in Q2 2008 compared to $3,308,053
in Q2 2007
- Net Income Before Taxes increased 2% to $430,041 in Q2 2008 compared
to $421,704 in Q2 2007
- Earnings per share remained stable at $0.01 per share
- Alegro appointed Paul Godard, former Managing Director of Shouldice
Hospital as Chief Financial Officer
Highlights Subsequent to Quarter End
- Announced additions to the Board of Directors include Steven Goldman,
founding member of Goldman Rosen LLP; Dr. Roger Korman, Chairman and
CEO of Aptilon Corporation; Dr. Robert MacMillan, former Executive
Director of Ontario's Health Insurance Division (OHIP); Mr. Michael
O'Keefe, former President and CEO of the Ontario Workers Compensation
Board; and Dr. Kenneth Pritzker, former Chief, Pathology and
Laboratory Medicine, at Mount Sinai Hospital.
Financial Results Total revenue for the quarter ended June 30, 2008
increased by 16% to $3,836,405 as compared to $3,308,053 in Q2 2007. The
increase in revenue is primarily related to growth in disability management
Direct expenses increased 4.0% for the quarter ended June 30, 2008 to
$2,628,446 as compared to $2,527,644 in Q2 2007. The increase is attributable
to volume growth in the business, mainly in disability management services.
Direct expenses as a percentage of revenue remained stable at 68%.
General and Administrative costs, as a result of additional investment
made in the Company's corporate infrastructure, increased for the quarter
ended June 30, 2008 to $737,765 as compared to $537,537 in Q2 2007. These
investments were to support the growth strategy, expenses related to new
business opportunities and developments as well as expenses related to new
staff. In addition, the Company reallocated certain operating costs from
Direct Costs to General and Administrative. General Administrative costs
represent 19.2% of revenue in Q2 2008 vs. 16.2% in Q2 2007.
As a result of the above factors Net Income Before Taxes increased for
the quarter ended June 30, 2008 to $430,041 as compared to $421,704 in Q2
2007. Included in net income is an amortization expense amounting to $40,153
for the period.
As at June 30, 2008 the Company had cash of $3,246,812 as compared to
$3,432,456 at March 31, 2008.
As at June 30, 2008 there were a total of 36,524,762 common shares and no
preferred shares outstanding. As at June 30, 2008 a total of 2,050,000 stock
options were outstanding under the Company's employee stock option plan in
addition to 1,250,000 warrants from previous financings.
For a complete review of financial statements, please go to
About Alegro Health Corp.
Alegro is a leading Canadian healthcare service provider. Through the
Company's subsidiaries - Don Mills Surgical Unit, Work Able Centres, Direct
Health Solutions and CanAm Research - Alegro provides a variety of surgical
procedures, disability management, third-party medical assessments and support
of drug trial administration. With a broad service offering, the growth of the
healthcare service sector and the establishment of Alegro Health Partners for
expansion into new healthcare sectors, Alegro is pursuing an integrated
approach and an aggressive acquisition strategy to become Canada's leading
third-party health care service provider. Alegro is listed on the TSX Venture
Exchange under the symbol AGO. For further information, please visit
This release was prepared by management of the Company who takes full
responsibility for its contents. The TSX Venture Exchange has not reviewed and
does not accept responsibility for the adequacy or accuracy of this news
This news release contains "forward-looking statements" within the
meaning of applicable securities laws, such as statements concerning
anticipated future events, results, circumstances, performance or expectations
that are not historical facts. These statements are not guarantees of future
performance and are subject to numerous risks and uncertainties, including
those described in our regulatory filings and in this news release. Many of
these risks and uncertainties can affect our actual results and could cause
our actual results to differ materially from those expressed or implied in any
forward-looking statement made by us or on our behalf. All forward-looking
statements in this news release are qualified by these cautionary statements.
These statements are made as of the date of this news release and, except as
required by applicable law, we undertake no obligation to publicly update or
revise any forward-looking statement, whether as a result of new information,
future events or otherwise. Additionally, we undertake no obligation to
comment on analyses, expectations or statements made by third parties in
respect of Alegro, its financial or operating results or its securities.
For further information:
For further information: Brenda Rasmussen, President and CEO, (416)
496-6166 x-328, email@example.com; Michael Moore, Investor
Relations, (416) 815-0700 x241, firstname.lastname@example.org