TORONTO, ON / ACCESSWIRE / November 21, 2019 / NEXGENRX INC. ("NexgenRx" or the "Company") is pleased to announce its Q3 2019 financial results.
The third quarter continued to provide positive revenue growth. Revenue from new clients grew 51% year over year, driven from new clients and a full quarter of revenues deriving from acquisitions completed in 2019. On a consolidated basis revenue is expected to moderately rise for the balance of the fiscal year as a result of new client implementations.
Bottom line results improved by $735,232 for the nine months ended September 30, 2019 to a net loss of $145,679. For the third quarter, we experienced a net loss of $218,718 (an improvement of $184,944 from Q3 2018), reflecting our ongoing investments in prospective clients and technology upgrades. As noted above, revenue improved on a year over year basis, of which 35% was driven by new clients and the balance from the integration of My Benetech and Canadian Benefit Administrators. Third quarter EBITDA was $221,043, representing a $390,420 improvement over the third quarter of 2018. On a year to date basis, EBITDA was $749,336, representing an increase of $1,348,476 over the prior year.
"The third quarter exhibited a further continuation of positive revenue growth and performance for the Company" stated Ron Loucks, President and Chief Executive Officer. "Our overall bottom line continues to improve on a quarter by quarter and on a year over year basis, buoyed by both new client revenues as well as further accretive integrations from our 2018 acquisitions."
NexgenRx is Canada's only independent full service technology solutions provider, offering proprietary full front end enrolment, hour bank and mobile access capabilities, combined with state of the art claims adjudication and full provider network coverage. These combined capabilities allow NexgenRx to provide complete proprietary solutions to plan sponsors that need sophisticated front end administration and health benefit technology applications, all in a cost- effective manner. NexgenRx is committed to building partnerships with organizations looking to exceed the expectations of their clients and plan members and deliver superior administration and claims processing solutions at a competitive cost. More information on NexgenRx can be found at www.nexgenrx.com.
Caution Regarding Forward-Looking Statements
Except for statements of historical fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. In particular, forward-looking information in this press release includes, but is not limited to continued positive earnings and profitability. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information.
Forward-looking information is based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking information. Some of the risks and other factors that could cause the results to differ materially from those expressed in the forward-looking information include, but are not limited to: uncertainty as to whether our strategies and business plans will yield the expected benefits; availability and cost of capital; the ability to identify and develop and achieve commercial success for existing and new products and technologies; the level of expenditures necessary to maintain and improve the quality of products and services; changes in technology and changes in laws and regulations; continued development and enhancement of the Company's proprietary software technology; cyber security risks and the other risks and uncertainties disclosed in our annual Management's Discussion and Analysis, as filed under our profile on SEDAR at www.sedar.com. Readers are cautioned that this list of risk factors should not be construed as exhaustive.
The forward-looking information contained in this news release is expressly qualified by this cautionary statement. We undertake no duty to update any of the forward-looking information to conform such information to actual results or to changes in our expectations except as otherwise required by applicable securities legislation. Readers are cautioned not to place undue reliance on forward-looking information.
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 the release.
FOR FURTHER INFORMATION PLEASE CONTACT:
Ronald C. Loucks
Kelly Ehler CPA, CA
SOURCE: NexgenRx Inc.