CompScript announces record second quarter results.BOCA RATON Boca Raton (bō`kə rətōn`), city (1990 pop. 61,492), Palm Beach co., SE Fla., on the Atlantic; inc. 1925. Boca Raton is a popular resort and retirement community that experienced significant industrial development in the 1970s and 80s. , Fla.--(BUSINESS WIRE)--Aug. 19, 1996-- Second quarter operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. up 351% on 38.5% increase in revenues CompScript, Inc. (Nasdaq Small Cap Issues: CPRX), a comprehensive provider of integrated pharmacy pharmacy, art of compounding and dispensing drugs and medication. The term is also applied to an establishment used for such purposes. Until modern times medication was prepared and dispensed by the physician himself. In the 18th cent. management services, today announced financial results for the three and six month periods ended June June: see month. 30, 1996. Results for the three and six month periods of 1996 have been restated to reflect the May 1996 acquisition of Delta Pharmacy Services, Inc., which was accounted for as a pooling of interest Noun 1. pooling of interest - an accounting method used in the merging of companies; the balance sheets are added together item by item; this method is tax-free . (See attached table). For the three months ended June 30, 1996, revenues increased 38.5% to $3,954,802 from $2,856,169 for the same period in 1995. Operating income for the quarter rose at a much faster rate, up 351% to $401,272 from $88,914 for the same period last year. Net income for the quarter was $326,172, or $.04 per share, versus a net loss of $27,030, or $.01 per share, for the comparable prior year period. For the six months ended June 30, 1996, revenues increased 24.5% to $7,636,645 from $6,132,272 for the same period in 1995. Operating income for the 1996 six month period rose 483% to $426,832 from $73,155 for the comparable 1995 period. Net income for the first half of 1996 was $321,465, or $.06 per share, versus a net loss of $17,051, or $.01 per share, for the same period last year. Operating results for the 1996 three and six month periods include approximately $500,000 which was expensed relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the development of the Company's mail order and pharmacy benefit management A Pharmacy Benefit Manager (PBM) is a third party administrator of prescription drug programs. They are primarily responsible for processing and paying prescription drug claims. divisions. Internal Growth and Improved Efficiencies Revenue increases for the three and six month periods were primarily attributable to internal growth as a result of increased marketing efforts to the Company's current customer base as well as new clients, and the growth and integration of new and existing products and services. In this regard, notwithstanding the pooling of interest from the acquisition of Delta Pharmacy, revenues generated by ongoing operations for the 1996 three and six month periods increased 31.7% and 20%, respectively, to $3,240,801 and $6,209,995 from the prior year periods. Selling, general and administrative expenses as a percentage of revenues decreased to 40.5% in the 1996 second quarter from 44.4% in the comparable prior year period, reflecting management's ongoing commitment to achieving improved operating efficiencies. Investment in Future Growth "It is important to note," Mr. Kahan Kahan is located in Kohlu District of Balochistan, Pakistan. Kahan is also capital of Kahan tehsil. continued, "that operating results for the 1996 three and six month periods include approximately $500,000 which was expensed relating to the development of the Company's mail order and pharmacy benefit management divisions. We believe that both of these programs will continue to attract insurers, employers and managed care organizations seeking cost-efficient Adj. 1. cost-efficient - productive relative to the cost cost-effective efficient - being effective without wasting time or effort or expense; "an efficient production manager"; "efficient engines save gas" solutions which improve the quality and delivery of care. As such, revenue contributions from these divisions are expected to increase in future quarters. Strategic Acquisitions "In May of this year, we acquired Delta Pharmacy, Inc., a profitable, privately-held provider of institutional pharmacy services to eight long-term care facilities long-term care facility n. See skilled nursing facility. representing more than 1,000 patient beds in Alabama Alabama, indigenous people of North America Alabama (ăləbăm`ə), indigenous people of North America whose language belongs to the Muskogean branch of the Hokan-Siouan linguistic stock (see Native American languages). , Florida and Mississippi Mississippi, state, United States Mississippi (mĭs'əsĭp`ē), one of the Deep South states of the United States. It is bordered by Alabama (E), the Gulf of Mexico (S), Arkansas and Louisiana, with most of the border formed by . Delta has an annual revenue run rate of approximately $3.0 million. Importantly, pursuant to agreements entered into by Delta prior to its acquisition by CompScript, we expect to begin servicing an additional 11 long-term care facilities over the next 12 months which will more than double existing patient beds served in these states. It is anticipated that these contracts will contribute approximately $3.0 million in additional annual revenue. This month, we announced that CompScript has entered into negotiations to provide for the acquisition of SecuRx, Inc., a privately-held provider of mail order pharmacy services with an annual revenue run rate of approximately $4.0 million for 1996." Strengthening Senior Management The Company also today announced that Robert J. Gardner was named to the position of Vice President and a member of CompScript's Executive Committee. Most recently, Mr. Gardner was Group Leader Infusion Therapy Services for Olsten Kimberly QualityCare's western United States Noun 1. western United States - the region of the United States lying to the west of the Mississippi River West Santa Fe Trail - a trail that extends from Missouri to New Mexico; an important route for settlers moving west in the 19th century infusion therapy business. While in this position, Mr. Gardner increased infusion revenues more than 20% and increased branch contribution nearly 400% in one fiscal quarter. From 1993-1994, Mr. Gardner served as President of Abbey abbey, monastic house, especially among Benedictines and Cistercians, consisting of not less than 12 monks or nuns ruled by an abbot or abbess. Many abbeys were originally self-supporting. In the Benedictine expansion after the 8th cent. Pharmaceutical Services, an institutional pharmacy concern, where he was responsible for overseeing more than 50,000 contracted beds in 26 states. From 1992-1993, Mr. Gardner served as Western Area Vice President for Abbey Home Healthcare, where he managed up to 40 home medical equipment branches in 9 states. From 1989 to 1992, Mr. Gardner served as Vice President of Operations for Pharmacy Corporation of America where he was responsible for up to 9 institutional pharmacies This article is a list of major pharmacies (also known as chemists and drugstores) by country. Australia Pharmacies in Australia are mostly independently-owned by pharmacists, often operated as franchises of retail brands offered by the three major , 4 home care agencies and one medical records service bureau with combined revenues exceeding $75 million. Mr. Kahan commented, "We are certain that CompScript will benefit greatly from Rob Gardner's broad executive management experience in the institutional pharmacy, home infusion, home care and home medical equipment industries." Mr. Kahan concluded, "We are the only Company in our industry providing products and services which address all of the following markets: long-term care long-term care (LTC), n the provision of medical, social, and personal care services on a recurring or continuing basis to persons with chronic physical or mental disorders. ; home health/home infusion; prescription claims; and workers' compensation workers' compensation, payment by employers for some part of the cost of injuries, or in some cases of occupational diseases, received by employees in the course of their work. , as well as offering a clinical package which provides outcomes management, drug utilization review drug utilization review Health insurance A study of drug prescriptions to evaluate appropriateness and cost-effectiveness of drug therapy and prospective/retrospective reviews. We believe that we have established a solid operational and philosophical foundation upon which to continue to grow the Company and enhance shareholder value, and we are committed to growing CompScript both internally and through strategic acquisitions. In preparation for our anticipated internal growth and acquisition activities, we recently signed a lease which will double the space at our Boca Raton headquarters." This press release contains forward looking statements which involve numerous risks and uncertainties. Actual results could differ materially from those anticipated in such forward looking statements as a result of certain factors, including those set forth in the Company's filings with the Securities and Exchange Commission. -0-
COMPSCRIPT, INC. AND SUBSIDIARIES
Consolidated Condensed Statements of Operations
(unaudited)
Three months ended Six months ended
June 30, June 30,
1996 1995 1996 1995
Sales $3,954,802 $2,856,169 $7,636,645 $6,132,272
Cost of sales 1,953,622 1,434,765 3,819,348 3,158,054
Gross profit 2,001,180 1,421,404 3,817,297 2,974,218
Selling, general and
administrative
expenses 1,599,908 1,332,490 3,390,465 2,901,063
Operating income 401,272 88,914 426,832 73,155
Other:
Interest and other income 2,648 3,429 18,848 10,246
Interest expense (27,226) (13,766) (37,931) (33,833)
Income before income
taxes and minority
interest 376,694 78,577 407,749 49,568
Provision for income
taxes 55,086 105,607 90,848 66,619
Minority interest in net
loss of subsidiary 4,564 - 4,564 -
Net income (loss) $326,172 $(27,030) $321,465 $(17,051)
Net income (loss)
per share $.04 $(.01) $.06 $(.01)
Weighted average common
and common equivalent
shares used in
computation of per
share data (1) 8,052,165 2,210,770 5,758,759 2,210,770
(1) The increase in the weighted average shares outstanding for the three and six months ended June 30, 1996, is primarily attributable to the weighted average effect of the issuance of 7,394,982 shares of common stock on April 26, 1996 in connection with the reverse merger transaction with Capital Brands, Inc. CONTACT: CompScript, Inc., Boca Raton Brian A. Kahan, Chief Executive Officer, 407/994-8585 or Investor Relations Investor relations The process by which the corporation communicates with its investors. Counsel: The Equity Group Inc., 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 Devin Sullivan, 212/836-9608 Robert Goldstein Gold·stein , Joseph Leonard Born 1940. American biochemist. He shared a 1985 Nobel Prize for discoveries related to cholesterol metabolism. , 212/371-8660 |
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