HealthWarehouse.com Reports Results for First Quarter 2023
Reports
HealthWarehouse.com, a technology company with a focus on healthcare e-commerce, sells and delivers prescription and over-the-counter medications to all 50 states as an Approved Digital Pharmacy through the National Association of Boards of Pharmacy (NABP). HealthWarehouse.com provides a platform focused on increasing access and reducing costs of healthcare products for consumers and business partners nationwide.
Joseph Peters, President and CEO, commented, “We are happy to report revenue growth in the first quarter, primarily driven by growth in our partner services business. An equal if not more important accomplishment was maintaining our direct-to-consumer revenues in a highly competitive environment. HealthWarehouse.com remains a leader in the industry because we provide essential products and world-class service to our own customers and those of our healthcare partners.”
HealthWarehouse.com continues to invest in proprietary technology to remain at the forefront of new developments and offerings in the world of healthcare, focusing on patient experience, operational efficiency, and scalability.
“We are currently making our final preparations to launch our proprietary e-commerce platform and new pharmacy technology during the second quarter. The investment in our new technology platform will expand our healthcare partner offerings, allow for new application programming interfaces to customize our platform, and provide the necessary resources to grow and support our partner services and direct-to-consumer businesses. In addition, we continue to pursue opportunities to expand our product and service offerings to our customers through third parties, such as our recently announced partnership with a telemedicine provider. Our goal is to extend our position as a technological leader in the industry, providing transparent and affordable healthcare solutions while maintaining world-class service levels,” added Peters.
2023 First Quarter Overview:
Net Sales:
Net sales for the three months ended March 31, 2023, increased to
Gross Profit:
The increase in sales volume led to a
Operating Expenses:
Selling, general and administrative expenses totaled
Net Loss and Adjusted EBITDA: The Company reported a net loss of
Annual Meeting of Stockholders
The 2023 Annual Meeting of Stockholders will be held telephonically at 10 a.m. EDT on Wednesday, June 14, 2023. You may participate by following the instructions in the Proxy Statement sent to all stockholders.
At the meeting, stockholders will vote on the election of directors and ratification of our auditors for 2023, and on a proposal to increase in the number of shares of common stock available for issuance under our 2014 Equity Incentive Plan, in order to continue to reward and incentivize employees and directors with awards under the plan.
HEALTHWAREHOUSE.COM, INC. AND SUBSIDIARIES |
|||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) |
|||||||
| For the Three Months Ended | |||||||
| March 31, | |||||||
2023 |
2022 |
||||||
| In thousands | |||||||
| Net sales | $ |
5,276 |
|
$ |
4,315 |
|
|
| Cost of sales |
|
2,140 |
|
|
1,465 |
|
|
| Gross profit |
|
3,136 |
|
|
2,850 |
|
|
| Selling, general and administrative expenses |
|
3,440 |
|
|
3,022 |
|
|
| Net income (loss) from operations |
|
(304 |
) |
|
(172 |
) |
|
| Interest expense |
|
(44 |
) |
|
(42 |
) |
|
| Net loss |
|
(348 |
) |
|
(214 |
) |
|
| Preferred stock: | |||||||
| Series B convertible contractual dividends |
|
(86 |
) |
|
(86 |
) |
|
| Net loss attributable to common stockholders | $ |
(434 |
) |
$ |
(300 |
) |
|
| Per share data: | |||||||
| Net loss - basic and diluted | $ |
(0.01 |
) |
$ |
(0.00 |
) |
|
| Series B convertible contractual dividends | $ |
(0.00 |
) |
$ |
(0.00 |
) |
|
| Net loss attributable to common stockholders - basic | |||||||
| and diluted | $ |
(0.01 |
) |
$ |
(0.00 |
) |
|
| Weighted average common shares outstanding - Basic and diluted |
|
54,140 |
|
|
52,150 |
|
|
Use of Non-GAAP Financial Measures
HealthWarehouse.com, Inc. (the "Company") prepares its consolidated financial statements in accordance with the United States’ Generally Accepted Accounting Principles (GAAP). In addition to disclosing financial results prepared in accordance with GAAP, the Company discloses information regarding EBITDA and Adjusted EBITDA, which are commonly used. In addition to adjusting net income or net loss to exclude interest, taxes, depreciation and amortization (“EBITDA”), Adjusted EBITDA also excludes stock-based compensation, and certain nonrecurring charges. EBITDA and Adjusted EBITDA are not measures of performance defined in accordance with GAAP. However, Adjusted EBITDA is used internally in planning and evaluating the Company`s performance. Accordingly, management believes that disclosure of this metric offers lenders and other shareholders an additional view of the Company`s operations that, when coupled with GAAP results, provides a more complete understanding of the Company’s financial results.
Adjusted EBITDA should not be considered as an alternative to net income, net loss or to net cash provided by or used in operating activities as a measure of operating results or of liquidity. It may not be comparable to similarly titled measures used by other companies, and it excludes financial information that some may consider important in evaluating the Company`s performance.
Reconciliation of Net Loss (GAAP) to Adjusted EBITDA (Non-GAAP) |
||||||||
| Three Months Ended | ||||||||
| March 31, | ||||||||
2023 |
2022 |
|||||||
In thousands |
||||||||
| Net loss | $ |
(348 |
) |
$ |
(214 |
) |
||
| Interest expense |
|
44 |
|
|
42 |
|
||
| Depreciation and amortization |
|
43 |
|
|
33 |
|
||
| EBITDA (non-GAAP) |
|
(261 |
) |
|
(139 |
) |
||
| Adjustments to EBITDA: | ||||||||
| Stock-based compensation |
|
223 |
|
|
203 |
|
||
| Adjusted EBITDA | $ |
(38 |
) |
$ |
64 |
|
||
About HealthWarehouse.com
HealthWarehouse.com, Inc. (OTCQB: HEWA), a technology company with a focus on healthcare e-commerce, sells and delivers prescription and over-the-counter medications to all 50 states as an Approved Digital Pharmacy through the National Association of Boards of Pharmacy (“NABP”). HealthWarehouse.com provides a platform focused on increasing access and reducing costs of healthcare products for consumers and business partners nationwide. Based in
Forward-Looking Statements
This announcement and the information incorporated by reference herein contain “forward ¬looking statements” as defined in federal securities laws, including but not limited to Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and the Private Securities Litigation Reform Act of 1995, which statements are based on our current expectations, estimates, forecasts and projections. Statements that are not historical facts, including statements about the beliefs, expectations and future plans and strategies of the Company, are forward-looking statements. Actual results may differ materially from those expressed in forward looking statements or in management's expectations. Important factors which could cause or contribute to actual results being materially and adversely different from those described or implied by forward looking statements include, among others, risks related to competition, management of growth, access to sufficient capital to fund our business and our growth, new products, services and technologies, potential fluctuations in operating results, international expansion, outcomes of legal proceedings and claims, fulfillment center optimization, seasonality, commercial agreements, acquisitions and strategic transactions, foreign exchange rates, system interruption, cyber-attacks, access to sufficient inventory, government regulation and taxation and fraud. More information about factors that potentially could affect HealthWarehouse.com's financial results is included in HealthWarehouse.com's audited Annual Reports and Quarterly Reports available at otcmarkets.com and in prior filings with the
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Contact: Dan Seliga, Chief Financial Officer, (800) 748-7001
Source: HealthWarehouse.com, Inc.
