LOS ANGELES--(BUSINESS WIRE)--Targeted Medical Pharma, Inc. (OTCQB:TRGM), a biotechnology company that develops and distributes prescription medical foods, convenience kits and generic pharmaceuticals to physicians and pharmacies, today announced financial results for its second quarter ended June 30, 2013. The Company continued to post increasing revenue for the second quarter and first half of 2013 compared to the second quarter and first half of 2012.
“I am thrilled to report the company’s strongest first half period as we continue to execute on our growth strategy and remain focused on increasing formulary coverage for our high value medications,” commented William Shell, M.D., Chief Executive Officer and Chief Science Officer of Targeted Medical Pharma. “The expansion and application of current initiatives, and our ability to enter new markets, coupled with an improvement in collections has resulted in increased revenue for all of our business lines. These factors contributed to our sixth consecutive quarter of revenue growth when analyzed on a year-to-year basis. I am optimistic about our growth opportunity and the team we have in place as we continue to strengthen our product pipeline and expand our sales and marketing efforts. Additionally, we continue to contain our operating expenses relative to revenue as we move toward overall profitability while we further increase our market share and enter new markets.”
Total revenue for the second quarter ended June 30, 2013 increased 32% to $1,917,388 compared to $1,448,226 in 2012. In addition, total gross profit for the quarter increased 43% to $1,181,918 in 2013 compared to $826,966 in 2012. This increase reflected a change in customer mix.
For the six months ending June 30, 2013 total revenue increased 67% to $4,728,519 compared to $2,823,411 in first half of 2012. Furthermore, total gross profit for the quarter increased 97% to $3,094,375 in 2013 compared to $1,567,416 in 2012. The loss from operations for the six months ended June 30, 2013 decreased 29% to $2,326,320 compared to the loss from operations of $3,268,229 in 2012.
“The clear implementation and precise execution of our strategy continues to exemplify itself with solid revenue and profit margin growth from operations,” said David Silver, M.D., President and Chief Operating Officer of Targeted Medical Pharma. “Along with our cost containment initiatives and tight expense control we have established a good cash flow trajectory for the Company. With clear momentum continuing to build we are expanding our sales forces to leverage unique opportunities in the marketplace and improve profitability. With further brand recognition in the medical community we are seeing increased demand from patients seeking our prescription medical foods as doctors and patients recognize the substantial benefits our products offer. As we move forward with continued development of new products, we remain focused on increasing the growth reported for the second quarter.”
First Half Highlights:
- David Silver, M.D. promoted to President and Chief Operating Officer
- S-1 Registration Statement declared effective by SEC
- Expansion of private insurance market business
- Expansion of California Worker’s Compensation market business
- Initiation of agreements with Cambridge Medical Funding Group
Continued 2013 Strategic Initiatives:
- Expansion of sales and marketing efforts to increase awareness and acceptance by both physicians and patients
- Conduct additional clinical trials for current and pipeline products including Theramine®, new formulas for red blood cell production and nasal decongestion
- Continue development of new stem cell products for neuropathy, chronic anemia, and diabetes
Detailed financial data information is available on Targeted Medical Pharma’s annual report (Form 10-Q), which is accessible on the Company’s website at www.tmedpharma.com and on the SEC’s website at sec.gov/edgar.shtml.
About Targeted Medical Pharma, Inc.
Targeted Medical Pharma is a Los Angeles-based biotechnology company that develops prescription medical foods for the treatment of chronic disease, including pain syndromes, peripheral neuropathy, hypertension, obesity, sleep and cognitive disorders. The company manufactures 10 proprietary prescription-only medical foods, as well as 48 convenience packed kits, which pair a medical food and branded or generic pharmaceutical. These prescription medical foods and therapeutic systems are sold to physicians and pharmacies in the United States through the company’s subsidiary, Physician Therapeutics. These proprietary medications represent a novel approach to the management of certain disease states, focusing on safety and efficacy without the deleterious side effects of traditional, high dose prescription drugs. The company is developing nutrient-based systems for oral stimulation of progenitor stem cells that differentiate into neurons, red blood cells, pituitary hormones including IGF-I. Targeted Medical Pharma also provides a billing and collection services on behalf of dispensing physicians.
This press release may contain forward-looking statements related to the company’s business strategy, outlook, objectives, plans, intentions or goals. The words "may," "will," "should," "plans," "explores," "expects," "anticipates," "continue," "estimate," "project," "intend," and similar expressions, identify forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, but their absence does not mean that the statement is not forward-looking. These statements are not guarantees of future performance and are subject to certain risks, uncertainties, and assumptions that are difficult to predict. Actual results could differ materially. Targeted Medical Pharma expressly disclaim any obligation or undertaking to update or revise any forward-looking statement contained herein to reflect any change in the company's expectations with regard thereto or any change in events, conditions or circumstances upon which any statement is based.
Theramine® is a trademark of Targeted Medical Pharma Inc.