SOURCE: First Choice Healthcare Solutions, Inc.

First Choice Healthcare Solutions, Inc.

May 15, 2014 08:58 ET

First Choice Healthcare Reports Record First Quarter 2014 Results

MELBOURNE, FL--(Marketwired - May 15, 2014) - First Choice Healthcare Solutions, Inc. (OTCQB: FCHS) ("FCHS" or "First Choice"), a diversified holding company focused on delivering clinically superior, patient-centric, multi-specialty care through state-of-the-art medical centers of excellence, today announced its first quarter financial results for the three months ended March 31, 2014.

Financial Highlights for the Three Months Ended March 31, 2014 Compared to the Three Months Ended March 31, 2013:

  • Total revenues climbed 59% to $2,234,753, up from $1,401,681.

    • Net patient service revenue from the Company's Medical Center of Excellence, First Choice Medical Group of Brevard, rose 74% to $1,972,830 from $1,135,012.

  • Net income from operations doubled, increasing 102% to $199,310 from $98,908.

    • Notwithstanding non-cash expenses for depreciation and amortization of $134,719, net income from operations for the first quarter of 2014 totaled $334,028, as compared to net income from operations in the first quarter of 2013 of $221,428 after deducting non-cash expenses for depreciation and amortization expenses of $122,620.

  • Net loss decreased 86% to $35,099, or $0.00 per basic and diluted share, as compared to a net loss of $255,069, or $0.02 loss per basic and diluted share, for the same period in the prior year.

  • As of March 31, 2014, the Company had cash and restricted cash totaling approximately $614,389; and accounts receivable of $1.75 million.

Chris Romandetti, Chairman, President and Chief Executive Officer of First Choice, noted, "Growth momentum that began in early 2013 in our Medical Center of Excellence, First Choice Medical Group of Brevard, LLC, located in Melbourne continues to be encouraging. With net income from operations showing strong, positive growth, we are very pleased with our overall financial performance and believe that it demonstrates that our strategy is on course and the focused execution of our business plan is indeed getting results. We are optimistic that, assuming these favorable trends continue, we will be able to execute our expansion strategy as our resources allow."

   
   
FIRST CHOICE HEALTHCARE SOLUTIONS, INC.  
CONDENSED CONSOLIDATED BALANCE SHEETS  
   
    March 31,     December 31,  
    2014     2013  
    (unaudited)        
ASSETS                
Current assets                
Cash   $ 310,617     $ 739,158  
Cash-restricted     303,772       256,246  
Accounts receivable     1,747,000       1,272,155  
Prepaid and other current assets     153,159       140,580  
Capitalized financing costs, current portion     57,348       57,348  
  Total current assets     2,571,896       2,465,487  
                 
Property, plant and equipment, net of accumulated depreciation of $2,084,066 and $1,959,127, respectively     8,548,115       8,662,057  
                 
Other assets                
Capitalized financing costs, long term portion     110,855       131,540  
Patient list, net of accumulated amortization of $40,000 and $35,000, respectively     260,000       265,000  
Patents     286,500       286,500  
Deposits     2,713       2,713  
  Total other assets     660,068       685,753  
                 
Total assets   $ 11,780,079     $ 11,813,297  
                 
                 
LIABILITIES AND STOCKHOLDERS' DEFICIT                
Current liabilities                
Accounts payable and accrued expenses   $ 536,038     $ 459,000  
Stock based payable     144,100       166,340  
Line of credit, short term     900,000       800,000  
Convertible note payable, short term portion     598,666       -  
Notes payable, current portion     782,978       743,787  
Unearned revenue     49,754       74,934  
  Total current liabilities     3,011,536       2,244,061  
                 
Long term debt:                
Deposits held     72,901       72,901  
Convertible note payable, long term portion     1,795,998       2,347,403  
Notes payable, long term portion     8,699,044       8,935,473  
  Total long term debt     10,567,943       11,355,777  
                 
Total liabilities     13,579,479       13,599,838  
                 
Stockholders' deficit                
Preferred stock, $0.01 par value; 1,000,000 shares authorized, Nil issued and outstanding     -       -  
Common stock, $0.001 par value; 100,000,000 shares authorized, 16,793,248 and 16,747,248 shares issued and outstanding as of March 31, 2014 and December 31, 2013, respectively     16,793       16,747  
Additional paid in capital     11,582,443       11,560,249  
Accumulated deficit     (13,398,636 )     (13,363,537 )
  Total stockholders' deficit     (1,799,400 )     (1,786,541 )
                 
Total liabilities and stockholders' deficit   $ 11,780,079     $ 11,813,297  
                 
   
   
   
FIRST CHOICE HEALTHCARE SOLUTIONS, INC.  
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS  
(unaudited)  
             
    Three Months Ended March 31,  
    2014     2013  
Revenues:                
Patient service revenue   $ 2,010,974     $ 1,135,012  
Provision for bad debts     (38,144 )     -  
Net patient service revenue     1,972,830       1,135,012  
Rental revenue     261,923       266,669  
  Total revenue     2,234,753       1,401,681  
                 
Operating expenses:                
Salaries & benefits     1,065,521       622,759  
Other operating expenses     429,291       304,475  
General & administrative     405,912       253,019  
Depreciation and amortization     134,719       122,620  
  Total operating expenses     2,035,443       1,302,873  
                 
Net income from operations     199,310       98,808  
                 
Other income (expense):                
Miscellaneous income     750       750  
Loss on change in fair value of derivative liability     -       (40,649 )
Amortization financing costs     (15,906 )     (14,337 )
Interest expense, net     (219,253 )     (299,641 )
  Total other income (expense)     (234,409 )     (353,877 )
                 
                 
Net loss before provision for income taxes     (35,099 )     (255,069 )
                 
Income taxes (benefit)     -       -  
                 
NET LOSS   $ (35,099 )   $ (255,069 )
                 
Net loss per common share, basic and diluted   $ (0.00 )   $ (0.02 )
                 
Weighted average number of common shares outstanding, basic and diluted     16,756,648       12,751,906  
                 
                 

About First Choice Healthcare Solutions, Inc.
Headquartered in Melbourne, Florida, First Choice Healthcare Solutions (FCHS) is actively engaged in developing a network of multi-specialty medical centers of excellence throughout the southeastern U.S., which are distinguished as premier destinations for clinically superior, patient-centric care. Through its wholly owned subsidiary FCID Medical, Inc., the Company currently operates one Medical Center of Excellence, First Choice Medical Group of Brevard, which specializes in the delivery of musculoskeletal medicine and rehabilitative care. FCHS' commercial real estate interests, which house its medical centers of excellence, are managed by its wholly owned subsidiary, FCID Holdings, Inc. For more information, please visit www.myfchs.com or www.myfcmg.com.

Safe Harbor Statement
Certain information set forth in this news announcement may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of First Choice Healthcare Solutions, Inc. Such forward-looking statements are based on current expectations, estimates and projections about the Company's industry, management beliefs and certain assumptions made by its management. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. Information concerning factors that could cause the Company's actual results to differ materially from those contained in these forward-looking statements can be found in the Company's periodic reports on Form 10-K and Form 10-Q, and in its Current Reports on Form 8-K, filed with the Securities and Exchange Commission. Unless required by law, the Company undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events, or otherwise to reflect future events or circumstances or reflect the occurrence of unanticipated events.

Contact Information

  • For additional information, please contact:
    HANOVER|ELITE
    Kathy Addison
    Chief Operating Officer
    Phone: 407-585-1080
    Email: FCHS@hanoverelite.com