NeoGenomics, Inc. Announces Financial and OpeNeoGenomics, Inc. Announces Financial and Operating Results for FY 2003; Strong Revenue Gains and Many Accomplishments for the Year
FORT MYERS, Fla., Feb. 25 /PRNewswire-FirstCall/ -- NeoGenomics, Inc. (BULLETIN BOARD: NGNM) today announced its results for the year ending December 31, 2003. 2003 was highlighted by many significant accomplishments:
-- New venture capital sponsorship from Medical Venture Partners, LLC.
-- Hiring of new Chief Executive Officer
-- Opening of new state-of-the-art laboratory facility
-- Significantly increased customer penetration
-- Research grant awarded to study ovarian cancer
-- 298% increase in Net Revenue vs. 2002
-- 9% decrease in Net Loss vs. 2002
"I am very pleased with our 2003 results," stated Tom White, Chief Executive Officer of NeoGenomics, Inc. "We have made significant strides in establishing NeoGenomics as a leading-edge genetics and molecular biology testing laboratory, and we have laid all of the ground work to really begin to scale our operations in 2004. I am particularly pleased with the broad-based gains we made in our customer account base. Our growth is coming from all over Southern and Central Florida and appears to be accelerating on a monthly basis. Customers are really responding to our industry-leading average turn- around times of 2.7 days for oncology-related cytogenetics testing and seem to genuinely appreciate our clear and simple lab results, which are often bundled with other important types of testing. I am most proud, however, of what our customers are saying."
Dr. David Greider from Naples Pathology Associates had the following to say, "I would classify NeoGenomics' work as outstanding, both in terms of clinical findings, and exceptional turn-around times."
Dr. Thomas Reed from Sarasota Pathology Group and Sarasota Memorial Hospital said, "NeoGenomics was chosen as our exclusive cytogenetics laboratory after an extensive head-to-head test involving a large number of specimens ... Our relationship with NeoGenomics is further enhanced by the open communications we enjoy with Dr. Peter Kohn, the lab's director and someone whose many years of experience has proven to be a very valuable asset ... On the basis of our experience with their quality of work and rapid service, we can highly recommend NeoGenomics to other medical practices."
Looking ahead to the rest of 2004, Mr. White had the following to say, "We plan to continue our expansion throughout Florida and begin moving into other southeastern states. We also plan to bring several new kinds of testing in- house so that we can offer our customers a more comprehensive product line."
The following financial results should be read in conjunction with our complete financial statements included in our Annual Report on Form 10-KSB that was filed with the Securities Exchange Commission yesterday.
CONSOLIDATED BALANCE SHEET AS OF DECEMBER 31, 2003
ASSETS
CURRENT ASSETS:
Cash $25,051
Accounts receivable (net of allowance
for doubtful accounts of $3,770) 63,861
Inventory 10,593
Other 2,627
Total current assets 102,132
FURNITURE AND EQUIPMENT (net of
accumulated depreciation of $85,740) 397,686
OTHER ASSETS - Deposits 7,221
TOTAL $507,039
LIABILITIES AND STOCKHOLDERS' DEFICIT
CURRENT LIABILITIES:
Accounts payable $70,343
Deferred revenue 110,000
Due to affiliates 58,666
Accrued and other liabilities 45,832
Total current liabilities 284,841
LONG TERM LIABILITIES - Due to affiliates 590,000
Total Liabilities 874,841
STOCKHOLDERS' EQUITY:
Common stock, $.001 par value,
(100,000,000 shares authorized;
18,449,416 shares issued and outstanding) 18,449
Additional paid-in capital 8,818,002
Deficit accumulated during the
Development Stage (8,668,490)
Accumulated deficit (535,763)
Total stockholders' deficit (367,802)
TOTAL $507,039
CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE YEARS ENDED DECEMBER 31, 2003 AND 2002
2003 2002
NET REVENUE $369,972 $93,491
COST OF REVENUE 481,593 189,958
GROSS MARGIN (DEFICIT) (111,621) (96,467)
OTHER OPERATING EXPENSES:
Stock based compensation, net of
option cancellations -- (41,177)
General and administrative 382,711 481,969
Research and development -- 46,414
Interest expense 41,431 6,851
Total other operating expenses 424,142 494,057
NET LOSS $(535,763) $(590,524)
NET LOSS PER SHARE - Basic and Diluted $(0.04) $(0.14)
WEIGHTED AVERAGE NUMBER
OF SHARES OUTSTANDING -
Basic and Diluted 14,385,009 4,212,894
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 2003 AND 2002
2003 2002
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss $(535,763) $(590,524)
Adjustments to reconcile net loss to
net cash used in operating activities:
Depreciation 48,037 38,291
Amortization of deferred stock
compensation -- (245,598)
Stock based compensation and consulting -- 204,421
Provision for bad debts 16,378 22,120
Other non-cash expenses 30,346 9,759
Changes in assets and liabilities, net:
(Increase) Decrease in accounts
receivable, net (40,158) (62,202)
(Increase) Decrease in Inventory 8,713 (19,306)
(Increase) Decrease in other current
assets (627) (2,000)
(Increase) Decrease in deposits (3,305) (2,616)
Increase (Decrease) in due to bank (13,518) 13,518
Increase (Decrease) in deferred revenues 10,000 100,000
Increase (Decrease) in accounts payable
and accrued and other liabilities (52,469) 149,341
NET CASH USED IN OPERATING ACTIVITIES (532,366) (384,796)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment, net (63,188) (417,999)
NET CASH USED IN INVESTING ACTIVITIES (63,188) (417,999)
CASH FLOWS FROM FINANCING ACTIVITIES:
Advances from affiliates, net 506,334 725,579
Issuances of common stock for cash, net
of transaction expenses 114,271 --
NET CASH PROVIDED BY FINANCING ACTIVITIES 620,605 725,579
NET (DECREASE) INCREASE IN CASH AND
CASH EQUIVALENTS 25,051 (77,216)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD -- 77,216
CASH AND CASH EQUIVALENTS, END OF PERIOD $25,051 $ --
About NeoGenomics, Inc.
NeoGenomics, Inc. has established a state-of-the-art genetic/diagnostic or "Genostics" laboratory in Ft. Myers, FL. The Company's principle operations include providing cytogenetic and molecular biology diagnostic testing services to the oncology and perinatology sectors of the healthcare industry. The Company also conducts research activities for the early diagnosis of women's diseases, such as ovarian cancer, as well as diseases in prenates and infants. For additional information on NeoGenomics, please visit our web site at https://www.neogenomics.org/.
Certain statements included in this press release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from such statements expressed or implied herein. Factors that might cause such a difference include, among others, the company's ability to continue gaining new customers, offer new types of tests, and otherwise implement its business plan. As a result, this press release should be read in conjunction with the company's periodic filings with the SEC.
NeoGenomics, Inc.
CONTACT: Investors, Steven C. Jones of NeoGenomics, +1-239-768-0600, or
cell, +1-305-798-5509, or sjones@neogenomics.org
Web site: https://www.neogenomics.org/