SOURCE: Capital Group Holdings, Inc.
SCOTTSDALE, AZ--(Marketwire - Dec 12, 2012) - Capital Group Holdings, Inc. (OTCQB: CGHC) announced its consolidated results of operations for the quarter ending September 30th, 2012. While Capital Group's subsidiary acquired Alliance Urgent Care on September 3rd, 2012, the pro forma results include the activities of Alliance Urgent Care (Alliance) for the entire quarter.
For the Quarter ended September 30th, 2012 the Company had pro forma revenues of $ 1,389,000 vs. $ 1,108,000 for the same period in 2011. This represents a 25.36% increase in gross revenue. The Company reported pro forma losses on this revenue of $271,000 in 2012 vs. $205,000 in the same quarter in 2011. These sales and net income results take into account the costs of opening and operating 2 new urgent care clinics within the last 18 months and their cost directly impacts earnings in the short term, but management believes that they will improve the Company's longer term results.
The Company had actual gross revenue from operations only for the 27 days from the acquisition of Alliance Urgent Care on September 3, 2012 until the end of the quarter on September 30th, 2012 of $508,425 vs. no revenue for the entire quarter ended September 30th, 2011.
The Quarter ending in September is historically the slowest quarter for Alliance's revenues in the Phoenix, AZ metropolitan area where all of the Company's clinics are located. The Company's urgent care clinics see a larger percentage of their patients throughout the next 6 months when there is a larger population of winter residents.
Prior to the acquisition, Alliance's top line revenues for the year ending June 30th 2012 and 2011 were $5,973,689 and $5,426,149 respectively. This represents approximately a 10% Increase in top line revenues with net income at $ 143,892 and $ 464,878 respectively for the same periods. The decrease in net income is partly due to the added expenses involved in opening 2 new clinics. The effect of new clinic opening costs will be minimized over the next 12 months as we expect the new clinics to reach break-even and become profitable.
"We are very pleased with the results of operations for our Company which moves us from a development stage company to an operating company," stated Eric Click, the Company's Chief Operating and Financial Officer.
Dr. Michael Blumhoff, CEO of OneHealth Urgent Care, Inc. which operates the urgent care group under the Alliance name added, "We are very excited about the synergies to market our urgent care clinics with the Company's telemedicine service, OneHealthPass™. We believe that combining telemedicine and urgent care at the patient level will bring outsized growth & operating results to our Company and provide better medical care to our patients."
About Capital Group Holdings Inc.:
Capital Group Holdings, Inc. (OTCQB: CGHC) ("Capital Group") is an acquirer and operator of innovative health and wellness organizations that have strong market presence, brand awareness, and talented management teams working towards achieving exceptional performance over time. The Company, through its subsidiaries, currently operates 7 urgent care clinics ("OneHealth Urgent Care," "OneHealth UC") in metropolitan Phoenix, Arizona and will soon launch its telemedicine services through its subsidiary OneHealthPass™ ("OHP"). OneHealthPass™ is a direct-to-consumer medical membership program that provides members with 24/7/365 access to board-certified physicians via telephone or internet. Capital Group is positioning these companies to provide immediate access to medical services to the public in an effort to avoid any delay in access to physicians and to provide a significantly lower cost for high quality, patient-centric healthcare.
Our customers can reach a physician any time, day or night, can access basic medical services, and have the ability to receive sound medical advice and treatment for the most common minor medical issues. Our network of independent board-certified doctors may, at their discretion, provide prescriptions for treatment that can be retrieved immediately at the member's local pharmacy. Should a member need to be examined in person, they can be examined at one of our local urgent care clinics, or be referred elsewhere such as the ER, a primary care doctor, or even a specialist. Capital Group's strategy of partnering OHP with OneHealth Urgent Care is unique. The linkage will allow us to direct our new OHP members to our urgent care clinics instead of competitor clinics when they get sick, thus significantly extending our membership services, promoting customer loyalty, and significantly reducing the inherent medical liability associated with traditional telemedicine services.
About OneHealth Urgent Care Inc.:
OneHealth Urgent Care Inc. (OHUC) is a wholly owned subsidiary of Capital Group Holdings, Inc. OHUC provides medical care through its wholly-owned subsidiary Alliance Urgent Care LLC, which is a progressive urgent care organization in Arizona. Using state of the art technology, a virtually paperless environment and electronic health records (CCHIT certified) coupled with caring Doctors, board certified providers and staff, Alliance is able to consistently beat the national average for patient wait times. Alliance maintained a nearly 100% patient satisfaction rating throughout 2011. For patient convenience we provide on-site lab testing and x-ray imaging. Alliance accepts credit cards (Visa, MasterCard and Discover) as well as all major insurance providers including; Aetna, Blue Cross/Blue Shield, Cigna, Medicare and Medicaid, United Healthcare, TriCare, Banner Health Plan, Arizona Foundation, HealthNet, and many others. Alliance, though internally funded, has grown from 1 clinic in 2007 to 6 presently and plans to open additional clinics in the next 12 months, all conveniently located in the Phoenix, Arizona Metropolitan Area. Alliance plans to bring its unique brand of speedy, caring, patient friendly clinics to other states in the near future. www.AllianceUrgentCare.com
OneHealthPass™ (OHP) is a wholly owned subsidiary of Capital Group Holdings, Inc. OneHealthPass™ is bringing to market a suite of patient-centric telehealth services. OHP contracts with physician networks to provide 24/7 telephone consultations to board-certified physicians. OHP is designed to become an industry standard telehealth platform for the management and administration of patient-centric telemedicine programs. The OHP platform is developed as a central hub so members can access OHP and 3rd party medical services and products that can be managed from virtually anywhere utilizing the telephone, wireless networks and the internet. OHP is currently researching additional strategic marketing agreements and acquisition candidates. www.OneHealthPass.com
Forward-Looking Statements Disclaimer:
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including those regarding Capital Group Holdings, Inc.'s expectations, intentions, strategies and beliefs pertaining to future events or future financial performance. All statements contained herein are based upon current information available to Capital Group Holdings, Inc.'s management as of this date. The business and operations of the Company are subject to substantial risks which increase the uncertainty that forward-looking results will be achieved and actual events or results may vary materially as a result of various important factors including those which management has little or no control. We undertake no duty to update any of the forward-looking statements, whether as a result of new information, future events or otherwise. In light of the foregoing, readers are cautioned not to place undue reliance on such forward-looking statements.