~CDED News...
CareDecision Corp. Receives Firm Orders for $3.5+ Million in Bulk Prescription Drugs and Medical Diagnostic Products in January 2005
NEW YORK, Feb 22, 2005 (BUSINESS WIRE) --
CareDecision Corporation (OTCBB:CDED):
-- $1.05 Million in Product Shipped over First 30 Days
-- Company Reaps Unanticipated Profit before Merger Expense
-- $1.5 Billion Customer Re-Affirms Relationship, Increases
Product Offerings, Shipments Begin
CareDecision Corporation (OTCBB:CDED) provided today a first progress report on its new wholesale drug distribution operations recently acquired as part of the CareGeneration, Inc. acquisition through its Pharma Tech Solutions, Inc. subsidiary.
In one month since assuming operational control of the wholesale drug distribution unit formerly owned by Kelly Company World Group, Inc., the Company reported that it has received $3.5 million in new orders for prescription drugs, shipped over $1.05 million in the first 30 days of operations, realized positive cash flow and profit at the EBITDA level excluding merger expenses, and re-affirmed its relationship with its largest customer, a $1.5 billion Florida based distribution company who has increased its line of products it will purchase from the Company.
Robert Cox, Chairman of CareDecision commented, "January proved to be a watershed month for CareDecision. Our business performance confirmed our decision to acquire the prescription drug business from the Kelly companies as part of our acquisition of CareGeneration, Inc. In addition to realizing strong revenue growth, we have improved our gross profit margins substantially by trimming all unnecessary cost of sales and aligning our core business synergies. We also showed an unexpected positive cash flow and EBITDA profit prior to taking one time merger expenses."
Mr. Cox continued, "By expanding our wholesale drug distribution we will shortly embark on our macro mission, providing state-of-the-art technology so that physicians may efficiently fill prescriptions for America's 40+ million underinsured and uninsured. We would expect our current plans and actions to further improve our core business efficiencies and we expect that revenues will sequentially grow with gross profit margins, on a percentage achieving an industry average for retail closed-door and Internet-type pharmacies. At our current rate of growth, even as we paused to eliminate unprofitable lines of business, I feel rather confident about the ability to meet revenue guidance whereby CareDecision will be operating at a revenue run rate of $175+ million by year end."
About CareDecision Corporation
Through its subsidiary, CareDecision, already a leading Wi-Fi PDA technology product company for the medical, lodging and satellite rebroadcast industries, has concluded a merger with CareGeneration, Inc., a retail pharmaceutical programs enterprise with the mission to provide lower cost prescription drugs for the nation's 40 million underinsured and uninsured. With this acquisition the company has also acquired the wholesale pharmaceutical distribution unit formerly belonging to Kelly Co. World Group, Inc. The combined enterprises are expected to allow CareDecision to assume a leadership role in the areas of technology driven Internet pharmacy prescription fulfillment and technology enabled prescription drug distribution.
This release contains forward-looking statements about our business or financial condition that reflect our assumptions and beliefs based on information currently available. We can give no assurance that the expectations indicated by such forward-looking statements will be realized. There may be other risks and circumstances that we are unable to predict. When used in this release, words such as "believes," "expects," "forecasts," "intends," "projects," "plans," "anticipates," "estimates" and sim ilar expressions are intended to identify forward-looking statements, although there may be certain statements not accompanied by such expressions. All forward-looking statements are intended to be covered by the safe harbor created by Section 21E of the Securities Exchange Act of 1934.
SOURCE: CareDecision Corporation
For CareDecision, Los Angeles
Keith Berman, 805-446-1973
or
For Investor Relations Services
David Kugelman, 386-409-0200
--------------------------------------------------------------------------------
Copyright (C) 2005 Business Wire. All rights reserved.
News provided by
News 
Market Data 
Discover 
