MISSISSAUGA, ONTARIO--(Marketwire - Sept. 18, 2012) - CML HealthCare Inc. (TSX:CLC) (the "Company" or "CML") announced today a new strategic plan designed to strengthen core operations and increase long-term growth and profitability. To support the implementation of this new strategy, the Company has enhanced and made certain changes to its senior management team to build added depth and focus in key areas.
"Over the past six months, I have conducted an extensive review of our operations having visited a large number of our lab and imaging patient service centres and spent time in all of our clinical departments at our central laboratory. I have come away with a great respect for the work done by our professional staff and a thorough understanding of what is needed to strengthen and grow our business," said Thomas Wellner, President and Chief Executive Officer of CML. "The Company began as a laboratory services provider in Simcoe, Ontario and has had great success in the laboratory business over the ensuing 40 years. We need go back to our roots and explore opportunities to build upon our core capabilities in the lab sector in Canada," continued Mr. Wellner.
"Our strategy responds to clear business objectives of long-term sustainable growth in revenue and earnings as well as addressing our reliance on a concentrated government payor base. It will involve investing in our existing infrastructure to enhance quality, increase efficiency and build capacity in preparation for targeted volume growth. We will leverage our existing network of locations and referring physician relationships and introduce new tests and services to our menu of offerings. We will also diversify our payor base through service offerings to new customers in existing and new jurisdictions." commented Mr. Wellner.
Three distinct, but complementary, pillars to the strategy are designed to create a scalable community-based medical diagnostic platform to enable growth and expansion.
- Scale - In preparation for future growth initiatives, the Company will increase its focus on initiatives to build scale and increase efficiencies by strengthening its existing infrastructure, streamlining its processes, and adding automation through the use of innovative technologies.
- Differentiate - With an infrastructure that is primed to process greater volumes in a more efficient environment, the Company will leverage its existing infrastructure to introduce new innovative tests and services, including esoteric testing, to the 30,000 patients visiting its network of clinics daily.
- Expand - CML will look to expand its customer base by establishing new relationships with business-to-business and public sector organizations, as well as provide creative partnering solutions with such entities. The Company will also look to expand into new jurisdictions that offer similar socio-economic and healthcare policies to markets in which it currently operates.
Senior Management Enhancements
Alizabeth Calder joins CML as the Chief Information Officer. Ms. Calder has over 20 years of senior leadership at world class organizations including IBM and KPMGin information technology. She is a published author and a keynote speaker at IT functions. Ms. Calder will be a key player in CML's growth strategy as the Company leverage technology to increase capacity, efficiency, and quality.
Cam Crawford will be moving into the newly developed role of Senior Vice President, Strategic Growth Initiatives. In this role, Mr. Crawford will be responsible for leading business development initiatives that are consistent with the Company's overall strategy. Mr. Crawford's mandate will be to grow revenue and margins through key strategic partnerships, and identification of innovative science and technologies to advance the Company's offering, efficiency and quality. Mr. Crawford will also lead CML's public policy initiatives to strengthen CML's relationships with key stakeholders such as Governments and new payors, as well as its marketing activities.
Kent Wentzell will now provide leadership for all client-facing operations for both Imaging and Lab as the Senior Vice President, Regional Operations - Medical Diagnostics including national imaging sites and lab patient service centers. In this role, Mr. Wentzell will be focused primarily on revenue generation of existing business lines, improvements in profitability, and ensuring that a culture of service excellence is enhanced and continually reinforced through CML's [patient] facing organization. Consolidating leadership for the Company's patient facing operations strengthens its client orientation, ensures increased consistency, and allows the Company to leverage its size and scope of service.
John McGraw is Vice President of Strategy and Innovation. John leads long-term strategic planning across the organization while identifying new opportunities for growth that are aligned with CML's long term vision, through licensing, acquisition and partnerships. John holds an MSc and PhD in biological sciences and prior to joining CML, worked in management consulting providing strategic advice to leading health, life science and academic medical centres around the world.
Sonya Lockyer has been appointed General Manager, Laboratory Operations providing leadership at CML's central laboratory. Ms. Lockyer has over 10 years of experience in the healthcare industry in various capacities with a focus on medical laboratories and healthcare transformation and operational excellence. Separating the leadership of the Company's central laboratory and its patient service centres allows for specialization and focus, creating the right conditions for growth in the future.
Don Kunkel has joined CML as the new Director, Business-to-Business and National Corporate Accounts. Mr. Kunkel has an entrepreneurial background as well as an extensive relevant business network. He will be responsible for establishing CML as the preferred medical diagnostic services provider to corporations as well as developing new and innovative ways to deliver healthcare services to forward thinking businesses. Don has 22 years of experience in various capacities within the casualty insurance sector and associated healthcare industry.
A conference call will be held on September 18, 2012 at 7:30 a.m. (ET) to discuss the details of CML's new growth strategy. Investors and analysts are invited to join the call by dialing 416-340-2216 or 866-226-1792. Please dial in 15 minutes prior to the call to secure a line. You will be put on hold until the conference call begins.
A live audio webcast of the conference call will be available through www.cmlhealthcare.com. Please connect at least 15 minutes prior to the conference call to ensure adequate time for any software download that may be needed to hear the webcast. An archived replay of the webcast will be available for 90 days and a copy of the Company's presentation will be available through www.cmlhealthcare.com.
A taped replay of the conference call will also be available until October 3, 2012 by calling 905-694-9451 or 800-408-3053, reference number 5468782.
About CML HealthCare Inc.
Based in Mississauga, Ontario, CML HealthCare Inc. is Canada's leading community-based, medical diagnostic services provider operating 113 laboratory patient service centres in Ontario and 103 imaging patient service centres in Ontario, British Columbia, and Alberta. CML is publicly-traded on the Toronto Stock Exchange under the symbol "CLC" and has approximately 89.8 million common shares outstanding. For more information, please visit www.cmlhealthcare.com.