KELOWNA, BC, May 10, 2012 /CNW/ - (TSX-V: QHR) QHR Technologies Inc. ("QHR" or the "Company") a leader in the Canadian Healthcare Information Technology sector, is pleased to announce the release of its unaudited condensed interim consolidated financial statements for the three months ended March 31, 2012, setting a new second consecutive record for consolidated quarterly revenues.
The Company on a consolidated basis recorded its largest revenue quarter to date, $7,393,244 an increase of $745,000 over the $6,647,944 recorded in the fourth quarter of 2011. The Electronic Medical Records ("EMR") division recorded a new quarterly revenue record of $3,848,014 and the Enterprise Management Solutions ("EMS") recorded its second best revenue quarter of $3,545,230. First quarter earnings per share (basic & diluted) were $0.01 which was consistent with management's expectations for the quarter compared to $0.02 for the same period in 2011.
- The Company on a consolidated basis recorded its largest revenue quarter to date, $7,393,244 an increase of $745,300 over the $6,647,944 recorded in the fourth quarter of 2011.
- The EMR division recorded a new quarterly revenue record of $3,848,014.
- The EMS division had its second best revenue quarter of $3,545,230.
- As at March 31, 2012, the Company is one of 11 EMR vendors to pass the OntarioMD Specification 4.0 certification to be funding eligible in Ontario.
- The EMR division has over 9,000 physicians as clients across Canada, making QHR the largest EMR vendor in Canada.
- The company maintained a strong working capital position.
The Company recorded $7,393,244 in revenue for the three months ending March 31, 2012 compared to $6,481,901 for the three months ending March 31, 2011 an increase of 14%.
The EMS division revenue for the first quarter was $3,545,230 compared to $4,005,214 for the same period last year a decrease of 11%. This change in the quarter is due to the large software license transaction that was recorded in Q1 2011; however revenues in the quarter are in line with 2012 budget expectations and supported by a large percent of recurring revenue based on support contracts with government funded agencies.
The EMR division revenue for the first quarter was $3,848,014 compared to $2,476,687 for the same period last year an increase of 55%. This increase is attributable to continued growth in the division's recurring revenue in addition to added revenue through the recent acquisition of Healthscreen which was not present during the same period last year.
|Three months ended||EMS||EMR||Total|
|March 31, 2012||$||3,545,230||$||3,848,014||$||7,393,244|
|March 31, 2011||$||4,005,214||$||2,476,687||$|| 6,481,901
|Net Earnings and Comprehensive income for the three months ended March 31, 2012 is as follows:|
|March 31, 2012||March 31, 2011||Change||Percent|
|Cost of goods sold||907,316||469,016||438,300||88%|
|Selling and administrative expenses||1,595,129||2,157,750||(562,621)||(26%)|
|Amortization of property and equipment||137,433||133,869||3,564||3%|
|Amortization of intangible assets||475,193||290,993||184,200||63%|
|Gain on assets||(88,426)||-||88,426||100%|
|Loss on foreign exchange||262||4,849||(4,587)||95%|
|Earnings before income taxes||430,633||928,117||(497,484)||(54%)|
|Net earnings and comprehensive income||$||264,454||$||976,808||$||(712,354)||(73%)|
Operating expenses including cost of goods for the three months ended March 31, 2012 were $6,352,800 compared to $5,055,736 for the same period in 2011, an increase of 26%. The increase in operating expenses is largely attributed to staffing increases in both the EMS and EMR divisions which reflect our ramp up in the Ontario market in the EMR division and additional support growth in the EMS division. The remaining increase in expenses over 2011 is as a result of the corresponding variable costs associated with the 14% increase in revenue for the quarter. EBITDA of $1,040,444 for the quarter was consistent with management's expectations.
For a more complete business and financial profile of the Company, management encourages interested parties to visit the Company's website: www.QHRtechnologies.com.
On behalf of the Board of Directors,
Al Hildebrandt, President and CEO
Conference Call Details: The Company executives will host a conference call at 10:30 AM EST (7:30 AM PST) Thursday, May 10, 2012 to discuss the Company's 2012 first quarter financial results. To join the conference call, please dial Toll Free 888-231-8191, 647-427-7450 (Toronto), 778-371-9827 (Vancouver). Conference ID: 79786446
ABOUT QHR TECHNOLOGIES INC.
QHR operates two business units in distinct markets:
The Enterprise Management Software ("EMS") division specializes in workforce management software, which consists of integrated payroll, staff scheduling and human resource software, and in customized financial management software built on the Microsoft Dynamics GP platform. These products are targeted at complex healthcare, social services and public safety markets.
The Electronic Medical Records ("EMR") division offers a suite of medical software modules that provides computer-based medical records for over 9,000 family physicians, medical specialists, and surgeons, as well as administrative modules for billing and patient scheduling, that is a key component of the move throughout Canada to provide electronic healthcare records for all Canadians. The company also hosts many of these clients in its hosting facilities across Canada.
Legal Notice Regarding Forward Looking Statements
This news release may contain "forward looking statements" within the meaning of applicable Canadian securities legislation. These statements are subject to risks that may cause the actual results to be materially different in future periods from those expressed or implied by such forward looking statement. Risks that may prevent or delay the forward looking statements from coming to fruition include that we may not offer products that are acceptable to industry regulators or customers; competitors may offer better or cheaper products; we may not be able to raise sufficient capital to improve products to remain competitive; changing regulatory requirements may prevent our products from being sold as expected; we may not be able to attract or retain key personnel; our technology may become obsolete; orders could be cancelled or delayed and market factors may increase our costs more than expected. QHR is a technology business development enterprise where investment and product enhancements must be carefully managed to achieve long-term revenue growth and profitability. It is our policy not to update forward looking statements except to the extent required under applicable securities laws. Further information on the Company is available at www.sedar.com or at the Company's website, www.QHRtechnologies.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information:
Al Hildebrandt, President & CEO
John Gillberry, EVP & Chief Financial Officer