HAMILTON, Ontario , May 30, 2018 (GLOBE NEWSWIRE) -- Agility Health, Inc. (TSXV:AHI) (“ Agility Health ” or “ Corporation ”), a leading provider of orthotics, prosthetics and foot care services in Canada, today reported its financial results for the fourth quarter and year ended December 31, 2017. All amounts are expressed in U.S. dollars unless indicated otherwise.
The complete financial results for Agility Health are available at www.sedar.com . Highlights include:
Financial and Operating Highlights for 2017 (All comparative figures are for the corresponding period of the prior year)
During 2017, the Company saw an increase in revenues from $62.6 million to $74.8 million as a result of the acquisition of Medic Holdings Corp. in March 2017. Gross margin from operations increased to 23.7% from 20.6% in 2016; and net loss increased to $9.9 million or $(0.08) per share in 2017 compared to $2.9 million or $(0.04) per share in 2016. The primary reasons for the increased loss was an impairment loss of $3.0 million, a fair value adjustment of $1.7 million for warrants and obligations, increased professional fees of $1.2 million and increased administrative expenses of $1.1 million.
Financial and Operating Highlights for the Fourth Quarter, 2017 (All comparative figures are for the corresponding period of the prior year)
Adjusted EBITDA from continuing operations decreased to $4,447,655 compared to $4,709,069 in 2016; and revenue from continuing operations for the same period increased to $20.2 million from $15.6 million in 2016. The decrease in EBTDA was the result of the above impairment loss and fair value adjustment taken in the fourth quarter 2017. The revenue increase was attributed to the acquisition of Medic Holdings Corp in March 2017.
“In February 2018, we completed the sale of our U.S. assets in a move intended to reduce the debt of the Company”, stated Wayne Cockburn, Agility Health’s Interim CEO. “Our focus has now turned to three key initiatives. The first is to reduce our cost of goods and improve overall margins in our manufacturing division. The second is to drive new orthotic sales to take advantage of recent improvements in our manufacturing capacity. And the third initiative is to continue to develop our greenfield clinic opportunities, and to pursue strategic acquisition opportunities to move the Company toward greater growth and profitability.”
About Agility Health
Through its Canadian subsidiary and principal operating entity, Medic Holdings Corp., Agility Health operates eleven (11) foot care clinics in Ontario and Quebec and manufactures orthotics and prosthetics.
Non-IFRS Financial Measures
Agility Health’s consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS). The Company also uses certain non-IFRS measures, such as EBITDA, to measure its financial performance. EBITDA is defined by the Company as the addition of net loss, depreciation and amortization, financial expenses and income taxes. The Company uses EBITDA for the purpose of evaluating its historical and prospective financial and operational performance. Management believes that EBITDA is a useful measure for evaluating the performance of the Company. EBITDA is not a performance measure recognized under IFRS, therefore it does not have any standardized meaning prescribed by IFRS and may not be comparable to similarly titled financial metrics reported by other companies.
Forward-Looking Information
Neither the 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.
This release includes forward-looking statements regarding Agility Health and its business. Such statements are based on the current expectations and views of future events of Agility Health’s management. In some cases the forward-looking statements can be identified by words or phrases such as "may", "will", "expect", "plan", "anticipate", "intend", "potential", "estimate", "believe" or the negative of these terms, or other similar expressions intended to identify forward-looking statements. The forward-looking events and circumstances discussed in this release, including the anticipated future growth of Agility Health, may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting the company. No forward-looking statement can be guaranteed. Forward-looking statements and information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statement or information. Accordingly, readers should not place undue reliance on any forward-looking statements or information. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Agility Health undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.
For further information please contact:
Wayne Cockburn Interim Chief Executive Officer (905) 505-0770 Wayne@medicholdings.com
