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Capital Group Holdings Reports $1,736,029 in Revenues for Quarter Ended December 31, 2012; OneHealth Urgent Care Reports 36% Increase in Revenues for the Same Period

Feb 19 2013 12:00AM

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SCOTTSDALE, AZ -- (Marketwire) -- 02/19/13 -- Capital Group Holdings, Inc. (OTCBB: CGHC) announced its consolidated results of operations for the quarter ending December 31, 2012. The results include a 36% increase in revenue for the urgent care group (Alliance Urgent Care) over the same period when it was a private company in the previous year.

THREE MONTH PERIOD ENDED DECEMBER 31, 2012 COMPARED TO THE SAME THREE MONTH PERIOD INI 2011.

The Company had sales of $1,736,029 dollars vs. no sales in the same period a year earlier.

On a reporting basis the Company reported a net loss for the quarter of $695,858 which represents an increase of approximately $550,800 from the same quarter in 2011. The increase is primarily attributable to the increased ongoing professional fees needed for the Company's public filings, the acceleration of certain expenses associated with cancelled or amended contracts, increased operating expenses for our two new clinics whose revenues have not yet stabilized as well as expenses associated with the new initiatives regarding marketing for OneHealthPass™.

On a pro forma basis for the three months ended December 31, 2012, OneHealth Urgent Care is reporting its first full three month quarterly revenues which were $1,736,029, versus $1,278,604 for AUC for the same period last year before it was acquired. This represents an increase of $457,425 or 36%.

Operating income from OneHealth Urgent Care improved by approximately 10% of revenue. This is an increase of $125,302 for the second quarter ending December 31, 2012 over the same period last year for AUC. For the period ended December 31, 2012 income before taxes was $16,586 vs. a loss of $108,716 in the period ending December 31, 2011. This improvement was primarily due to the increased revenue mentioned above and an overall reduction in costs related to economies of scale. Management expects these numbers to improve as the two newest clinics stabilize and begin to generate increased revenue and profits over time.

SIX MONTH PERIOD ENDED DECEMBER 31, 2012 COMPARED TO THE SIX MONTH PERIOD ENDED DECEMBER 31, 2011

The revenues reported for the six month period ended December 31, 2012 of $2,244,454 represents the revenues of the urgent care centers from the date of their acquisition on September 3, 2012. There were no revenues for the six month period ended December 31, 2011 as the Company was still in the development stage at that point.

On a reporting basis the Company reported a net loss for six month period ended December 31, 2012 of $1,292,202 which represents an increase of approximately $976,000 from the same quarter in 2011. The increase is primarily attributable to the increased ongoing professional fees needed for the Company's public filings, the acceleration of certain expenses associated with cancelled or amended contracts, costs associated with the acquisition, increased operating expenses for our two new clinics whose revenues have not yet stabilized as well as expenses associated with the new initiatives regarding marketing for OneHealthPass™.

The Company's subsidiary, OneHealth Urgent Care generates all of the Company's revenue since its acquisition of Alliance Urgent Care on September 3, 2012 and this is the first full quarter of revenue from that acquisition that the Company is reporting. On a pro forma basis, including the July and August 2012 results of operations for Alliance, the six month period revenues increased by $738,199, or 31% over 2011; $3,124,802 vs. $2,386,603.

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