Spine Pain Management Reports Q3 2013 Financial Results With 26% Net Income Increase Over Q3 2012 and Reminds for Conference Call 4:20 PM EST Today


Company Announces Q3 Financial Results, Thursday, Nov. 7, 2013, Followed by an Interactive Webinar Conference Call to Follow at 4:20 pm EST. Access Info Provided Below.

HOUSTON, Nov. 7, 2013 (GLOBE NEWSWIRE) -- Spine Pain Management, Inc. (OTCQB:SPIN), a technology-driven, financial service, device and healthcare solution company servicing the multi-billion dollar spine injury sector, today announced financial results for the third quarter 2013.

Major Q3 Developments

  • Highest Net Income in six quarters.
     
  • Cash Collections of $948,808—a record quarterly high which was 82% higher than Q2 13 and a 70% increase over Q3 12.
     
  • Net Working Capital increased to a record $3,439,193 (Current Ratio, 4.7 to 1).
     
  • 1103 Cases Settled from inception with cash received of $7.2 million; leaving 2,305 cases funded awaiting Settlement.
     
  • Quarter Average Collection per Case a record $7,299 Up from average $6,519 to date.
     
  • Retains Independent Marketing Contractor for Company owned Quad Video HALO system V 3 (QVH) "outside" sales launch.

Subsequent Events

  • San Antonio Affiliate expands with opening of Austin, Texas satellite Center.
     
  • National Launch for QVH Scheduled for Radiological Society of North America (RSNA) Expo in Chicago Dec. 1-6

Results of Operations

We recorded $2,002,259 in gross revenue for the three months ended September 30, 2013, offset by $995,690 of standard allowance for discount resulting in net revenue of $1,006,569. For the same period in 2012, gross revenue was $1,925,138, offset by $978,524 of standard allowance for discount, resulting in net revenue of $946,614 (up 6%). We manage spine injury diagnostic centers located in Texas and Florida. Service cost was $407,838 for the three months ended September 30, 2013 compared to $369,296 for the same period in 2012. During the three months ended September 30, 2013, we incurred $456,619 of operating, general and administrative expenses compared with the $484,082 for the same period in 2012. The decrease is attributable to decreases in investor relations expense by $26,000, consultant fees of $12,000, and travel expenses of approximately $6,000, coupled with an increase of payroll expense of $10,000, legal fees of $14,000 and non-cash director and officer compensation of $12,000 and other net general and administrative expenses of approximately $8,000. 

As a result of the aforementioned, we realized net income of $131,237 (up 26%) for the three months ended September 30, 2013 as compared to $104,376 for the three months ended September 30, 2012. It should be noted that there were $221,006 of non cash charges included in net income for Q3 '13.

Spine Pain Management's CEO, Dr. William Donovan, stated; "With no other public companies in our specific niche financing sector to look towards, it has been quite a learning experience in developing our unique business model from scratch. However, in spite of some 'rocks along the road', our rapidly increasing cash collections and strong balance sheet of funded cases, paired with a very low case failure cost to date, demonstrates a very profitable model has evolved. As you can see, to date we have collected some $7.2 million cash on less than 1/3 of our rapidly growing already funded portfolio of cases; yet against these settled cases, the cash cost to the company due to failed cases totals less than $126,000."  

Dr. Donovan went on to say, "We have applied for a patent on our quad Video Halo system, a transparency device/system originally conceived for internal use only within our Affiliated Centers. During 2013 the AMA has recommended to their members more transparency in their medical procedures—the area that our QVH hardware/software system addresses. We have negotiated with an independent contractor to manage our QVH entry into the radiological market, with the official launch being Dec. 1 at the RSNA Expo in Chicago. While expenses to launch this new enterprise may be a drag on net income over the next several quarters, the strong margins in this system have the possibility to add to the future potential of SPIN. To learn more about the company and meet management and also the QVH contractor and his plan for QVH, I invite all to attend our Conference Call today or to later review the video replay of the Conference Call on the company website."

Conference Call Access Details

Conference Call: An investor's conference call with management will be held on Thursday, November 7, 2013 at 4:20 pm EST. The call will be video WebCast with a short live Power Point Presentation followed by Q & A. The call may be accessed either by phone alone, which will not allow asking questions, or by phone and/or VOIP with headset after internet log-in with an on screen provided Audio Pin # which will allow verbally asking questions. Questions can also be typed into an online chat screen at any time during the presentation or Q & A period.

Access to the Call:  To use the internet link, you must register prior to access. So we suggest you complete the registration and get your log-in information in advance of the start of the presentation. You can register at any time. As mentioned above, the call is Thursday, November 7, 2013.

Click or paste the link below in your browser for registration and web access to the presentation and follow the online instructions:

https://www3.gotowebinar.com/register/550788214

Or if the above link doesn't work, please try the following:

http://www.joinwebinar.com Webinar ID: 550-788-214

Telephone Dial-in and/or VOIP which provides Q & A: To verbally ask a question using your telephone, you must be online at the presentation website during the internet presentation where a unique Audio PIN # will be provided to you on screen after you log-in to the presentation console. You must use the pin to hear the call on the phone. During the presentation, all will be muted until the Q & A portion.

The Q & A will be moderated, but without an operator, and will be open to all questions after the formal presentations. Review this short YouTube tutorial video for pointers on how to use the Webinar Features. (This is just a demo. Do not use the numbers or codes on this demo. Use what is provided above.)

YouTube webinar instructions: http://youtu.be/n7b1VHDwwD4

If you use the telephone, but are NOT also online, you will be able to hear the presentation plus Q & A, but will remain in "listen only" mode for the duration of the call.

Conference Dial-in Number:  +1 (646) 307-1720
Participant Access Code: 741-067-831
Audio PIN: Shown after joining the Webinar

Conference Play Back:  A video replay of the conference call presentation will be available on the Company's website, prior to the market opening on Nov. 8.

http://www.spinepaininc.com

About Spine Pain Management, Inc:

We are a financial services and technology company facilitating diagnostic services for patients who have sustained spine injuries resulting from traumatic accidents. We deliver turnkey solutions to spine surgeons, orthopedic surgeons and other healthcare providers that provide necessary and appropriate treatment of musculo-skeletal spine injuries resulting from automobile and work-related accidents. Our management services help reduce the financial burden on healthcare providers that provide patients with early-stage diagnostic testing and minimally-invasive surgical care, preventing many patients from being unnecessarily delayed or inhibited from obtaining needed treatment. We believe that our services and technology brings strong transparency and impartiality to all parties involved in the settlement of patient cases.

Additional information about the company, along with a video can be found at its website at www.spinepaininc.com.

Forward-Looking Statements: This press release includes forward-looking statements as determined by the U.S. Securities and Exchange Commission (the "SEC"). All statements, other than statements of historical facts, included in this press release that address activities, events, or developments that the company believes or anticipates will or may occur in the future are forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund operations, healthcare services demands, changes in healthcare practices, government regulation, and other factors over which the company has little or no control. The company does not intend (and is not obligated) to update publicly any forward-looking statements. The contents of this press release should be considered in conjunction with the warnings and cautionary statements contained in the company's recent filings with the SEC.



            

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