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American Medical Alert Corporation Reports Strong Third Quarter 2007 Results.


OCEANSIDE, N.Y. -- American Medical Alert Corp. (NASDAQ NASDAQ
 in full National Association of Securities Dealers Automated Quotations

U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on
: AMAC AMAC Adults Molested As Children
AMAC Assistance to Mine-Affected Communities
AMAC Aircraft Monitor And Control
AMAC Approximate Message Authentication Code
AMAC American Military Arms Corporation
AMAC Asset Management Assistance Center
) a provider of healthcare communication services and advanced telehealth monitoring technologies, today announced operating results for the quarter and nine months ended September 30, 2007, the highlights of which are as follows:

* Net income for the three and nine months ended September 30, 2007 up 51% and 49%, respectively, as compared to same period last year.

* Trailing twelve month EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become  surpasses $7.0 million.

* Company balance sheet as of September 30, 2007 remains strong with working capital increasing to approximately $4.0 million and debt to equity ratio The debt to equity ratio (D/E) is a financial ratio indicating the relative proportion of equity and debt used to finance a company's assets. It is equal to total debt divided by shareholders' equity.  of .28 to 1.

Revenues for the quarter ended September 30, 2007, consisting primarily of monthly recurring revenues (MRR MRR Model Railroader Magazine
MRR Master Resale Rights
MRR Maximum Rock'n'Roll (print zine)
MRR Material Removal Rate
MRR Monthly Recurring Revenue
MRR Mean Reciprocal Rank
MRR Mark Release Recapture
), increased 13% to $8,771,670 as compared to $7,784,660 for the same period in 2006. Net income for the quarter ended September 30, 2007 increased 51% to $422,929 or $.04 per diluted share as compared to $279,421 or $.03 per diluted share for the same period in 2006.

Revenues for the nine months ended September 30, 2007 increased 16% to $26,373,312, as compared to $22,731,188 for the same period in 2006. Net income for the nine months ended September 30, 2007 increased 49% to $1,196,897 or $0.12 per diluted share as compared to a net income of $803,964 or $0.09 per diluted share for the previous year. Net Income for the trailing twelve months In commerce, the trailing twelve months (TTM) is a moving measurement (for example, an average or a sum) over the 12 previous months, using the most recent data available.

Also sometimes known as last twelve months (LTM).
 ended September 30, 2007 and 2006 was $1,655,462 and $1,031,219 respectively, representing an increase of 61%.

Earnings before interest, taxes and depreciation EBITD is an initialism or acronym for Earnings Before Interest, Taxes and Depreciation. See EBITDA.

Some people find it useful to know this value for a business.
 and amortization ("EBITDA") for the nine months ended September 30, 2007 increased 31% to $5,612,802 as compared to $4,271,225 for the same period in 2006. EBITDA for the trailing twelve months ended September 30, 2007 and 2006 was $7,382,981 and $5,601,714 respectively, a 32% increase.

The Company affirms its guidance issued on July 26, 2007 that gross revenues, consisting primarily of monthly recurring revenue (MRR), will increase by 14% to $35,250,000 for 2007 while also projecting a 19% increase in earnings to $1,500,000 for the year ending December 31, 2007.

Jack Rhian, AMAC's Chief Executive Officer and President, commented, "Of note this quarter, our TBCS TBCS The Bear Creek School
TBCS The Best Case Scenario
TBCS Tampa Bay Club Sport
TBCS Traverse Bay Community School (Michigan)
TBCS Thread-Based Composite System
TBCS Tabora Beekeepers' Co-operative Society (Tanzania) 
 division is in the final stage of securing relationships with several additional hospitals to utilize our specialized daytime business process augmentation services. This new business is expected to contribute significant growth to the division in 2008 and, more importantly, serves to affirm the potential scalability of this service offering.

Rhian continued, "Third quarter 2007 also marked the completion of the initial media campaign for the Walgreens Ready Response[TM] national rollout. The program has begun to contribute meaningfully to our subscriber base. We also determined a need for greater emphasis on in-store awareness and signage placement, which is being addressed by Walgreen. AMAC and Walgreen Co. management are currently evaluating the scope and terms of the 2008 marketing campaign. Throughout the remainder of the 4th quarter, AMAC will continue to support select media placement based on the experience learned to date. We affirm our confidence in this business to consumer channel opportunity and believe this program has the potential to capture significant PERS a. 1. Light blue; grayish blue; - a term applied to different shades at different periods.  subscriber market share in 2008."

About American Medical Alert Corp.

AMAC is a healthcare communications company Communications Company is a communications unit of the United States Marine Corps. They are part of Combat Logistics Regiment 37 , 3rd Marine Logistics Group (3MLG) and III Marine Expeditionary Force (III MEF). The unit is based out of the Marine Corps Base Camp Smedley D.  dedicated to the provision of support services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services  to the healthcare community. AMAC's product and service portfolio includes Personal Emergency Response Systems (PERS) and emergency response monitoring, electronic medication reminder devices, disease management monitoring appliances and healthcare communication solutions services. AMAC operates nine communication centers under local trade names: H-LINK OnCall, Long Island City, NY and Clovis, NM North Shore TAS TAS
abbr.
1. telephone answering system

2. true airspeed
, Port Jefferson Port Jefferson is the name of some places in the United States of America:
  • Port Jefferson, New York
  • Port Jefferson, Ohio
, NY, Live Message America, Audubon, NJ, ACT Teleservice, Newington, CT and Springfield, MA, MD OnCall, Cranston RI, Capitol Medical Bureau Rockville, MD, American MediConnect and Phone Screen Chicago, IL to support the delivery of high quality, healthcare communications.

Use of Non-GAAP Financial Information

In addition to the results reported in accordance with accounting principles generally accepted in the United States ("GAAP GAAP

See: Generally Accepted Accounting Principles


GAAP

See generally accepted accounting principles (GAAP).
") included in this press release, the Company has provided information regarding certain non-GAAP financial measure. This measure is "earnings before interest, taxes and depreciation and amortization ("EBITDA")". Such information is reconciled to its closest GAAP measure in accordance with the Securities and Exchange Commission rules Securities and Exchange Commission Rules

Rules enacted by the SEC to assist in the regulation of US financial markets.
 and is included in the attached supplemental data.

Management believes that the non-GAAP financial measure used in this press release is useful to both management and investors in their analysis of the Company's financial position and results of operations. Management believes that EBITDA is a useful measure of the Company's financial performance as it is an indicator of the Company's ability to generate cash flow to make acquisitions, reinvest in new telehealth products and liquidate liabilities. Management also uses EBITDA for planning purposes to determine appropriate levels of operating and capital investments.

EBITDA is a non-GAAP financial measure and although management and some members of the investment community utilize it to measure financial performance, EBITDA should not be viewed as a substitute for financial data prepared in accordance with GAAP or as a measure of profitability. Additionally, the non-GAAP financial measure as presented by AMAC may not be comparable to similarly titled measures reported by other companies.

Forward Looking Statements

This press release contains forward-looking statements that involve a number of risks and uncertainties. Forward-looking statements may be identified by the use of forward-looking terminology such as "may," "will," "expect," "believe," "estimate," "anticipate," "continue," or similar terms, variations of those terms or the negative of those terms. Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are set forth in the Company's filings with the Securities and Exchange Commission (SEC), including the Company's Annual Report on Form 10-K Form 10-K

A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information.


Form 10-K

See 10-K.
, the Company's Quarterly Reports on Forms 10-Q, and other filings and releases. These include uncertainties relating to government regulation, technological changes, our expansion plans, our contract with the City of New York New York, state, United States
New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of
 and product liability risks.

Statements of income for the three and nine months ended September 30, 2007 and 2006 and balance sheets as of September 30, 2007 and December 31, 2006 are attached.
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Publication:Business Wire
Article Type:Financial report
Date:Nov 7, 2007
Words:1049
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