MOBILE, AL--(Marketwire - May 29, 2012) - HASCO Medical, Inc. (OTCBB: HASC), www.HascoMed.com, a Company that conducts sales of handicap accessible vans, parts, service and rental operation in sixteen locations from Maine to Florida and sales of medical equipment and supplies in Alabama, Florida and Mississippi, announced its first quarter 2012 financial results.
Within the past year, HASCO Medical has changed itself from being primarily a home healthcare provider to being primarily a seller of handicap accessible vans, parts, services and rentals of handicap accessible vans. This change has had dramatic positive impact on the financial results as reported for the first quarter of 2012. This change was affected by the acquisition of Mobility Freedom in May 2011 and the acquisition of Ride-Away in March 2012.
Financial Highlights:
- Net Revenues increased to $8,825,230 for the period ending March 31, 2012 compared to $484,329 for the same period in 2011 representing an increase of $8,340,901.
- Gross profit increased to $2,542,421 for the period ending March 31, 2012 compared to $328,490 for the same period in 2011 representing an increase of $2,213,931.
- The Company reported a net income of $51,650 for the period ending March 31, 2012 compared to a net loss of $155,656 for the same period in 2011 representing an increase of $207,306.
Operational Highlights:
- Company continued roll-up strategy by completing Ride-Away acquisition.
- Company is now the largest Braun dealer in the United States.
- Ride-Away and Mobility Freedom now carry the new Bruno chariot vehicle lifts and the valet signature seats.
- HASCO will be implementing new software that will combine our mobility companies on one platform.
"We are very pleased with our revenue growth this quarter over the same period a year ago. The closing of the acquisition of Ride-Away has provided significant revenue growth for HASCO Medical as well as geographic expansion," stated Hal Compton, CEO of HASCO Medical. "With the addition of Mobility Freedom and Ride-Away under our umbrella of subsidiaries, HASCO is now one of the largest providers of wheelchair accessible vans and adaptive equipment in the country. Ride-Away alone increased our geographic footprint into Massachusetts, Maine, Maryland, Pennsylvania, New Hampshire, Vermont and Virginia. We will continue to look for synergistic companies to acquire as we execute on our roll-up strategy, as well as continue to grow organically through our current operations."
About HASCO Medical, Inc.
HASCO Medical ("HASC" or the Company) provides products and services that dramatically improve the quality of living for its customers. The Company now consists of Southern Medical and Mobility, Inc. and Certified Medical on the DME side and Ride-Away, Mobility Freedom, Wheelchair Vans of America and Certified Auto on the Van Conversion/Rental side of the company.
-Financial Charts Follow-
| |
| HASCO Medical, Inc. & Subsidiaries |
| Consolidated Balance Sheets |
| |
| |
|
March 31, |
|
|
December 31, |
| |
|
2012 |
|
|
2011 |
| |
|
(unaudited) |
|
|
(audited) |
| Assets |
|
|
|
|
|
| Current assets |
|
|
|
|
|
| Cash |
$ |
686,907 |
|
$ |
212,460 |
| Accounts receivable, net of allowance for doubtful accounts of $417,850 and $328,177 respectively |
|
4,896,833 |
|
|
1,042,953 |
| Inventory |
|
15,016,879 |
|
|
2,444,563 |
| Prepaid expenses |
|
417,268 |
|
|
89,207 |
| Total current assets |
|
21,017,887 |
|
|
3,789,183 |
| |
|
|
|
|
|
| Property & equipment, net of accumulated depreciation of $708,221 and $634,857, respectively |
|
1,697,412 |
|
|
526,571 |
| |
|
|
|
|
|
| Intangible property, net of accumulated amortization of $181,897 and $123,804, respectively |
|
7,521,915 |
|
|
3,695,755 |
| Other non-current assets |
|
261,210 |
|
|
420 |
| Total Assets |
$ |
30,498,424 |
|
$ |
8,011,929 |
| |
|
|
|
|
|
| Liabilities and Stockholders' Equity |
|
|
|
|
|
| Current liabilities |
|
|
|
|
|
| Accounts payable and accrued expenses |
$ |
4,042,939 |
|
$ |
599,008 |
| Other current liabilities |
|
378,078 |
|
|
180,780 |
| Customer deposits and deferred revenue |
|
907,083 |
|
|
175,464 |
| Note Payable - Floor Plan |
|
8,561,501 |
|
|
2,028,318 |
| Line of Credit |
|
6,481,928 |
|
|
898,713 |
| Current portion of Notes Payable |
|
436,132 |
|
|
108,901 |
| Current portion of loans and notes payable, related parties |
|
163,498 |
|
|
154,346 |
| |
|
|
|
|
|
| Total current liabilities |
|
20,971,159 |
|
|
4,145,530 |
| |
| |
|
|
|
| Notes payable, net of current portion |
|
5,090,850 |
|
|
1,947,994 |
| Notes payable to related party, net of current portion |
|
1,731,948 |
|
|
1,784,020 |
| Total liabilities |
|
27,793,957 |
|
|
7,877,544 |
| |
|
|
|
|
|
| Stockholders' Equity |
|
|
|
|
|
| Preferred stock, $.001 par value, 3,000,000 shares authorized, none issued and outstanding |
|
|
|
|
|
| Common stock, $.001 par value, 2,000,000,000 shares authorized; and 972,675,204 and 794,578,818 shares issued and outstanding, respectively |
972,675 |
|
|
794,579 |
| Additional paid-in capital |
|
6,347,340 |
|
|
4,007,004 |
| Accumulated deficit |
|
(4,615,548 |
) |
|
(4,667,198) |
| Total stockholders' equity |
|
2,704,467 |
|
|
134,385 |
| |
|
|
|
|
|
| Total Liabilities and Stockholders' Equity |
$ |
30,498,424 |
|
$ |
8,011,929 |
| |
|
|
|
|
|
| |
|
|
|
|
|
| |
|
|
|
|
|
| HASCO Medical, Inc. & Subsidiaries |
|
| Consolidated Statements of Operation |
|
| (Unaudited)* |
|
| |
|
| |
For the Three Months Ended | |
| |
March 31, |
|
| |
2012 |
|
2011 |
|
| |
|
|
|
|
|
|
| Revenues, net |
$ |
8,825,230 |
|
$ |
484,329 |
|
| Cost of sales |
|
6,282,809 |
|
|
155,839 |
|
| Gross Profit |
|
2,542,421 |
|
|
328,490 |
|
| |
|
|
|
|
|
|
| Operating expenses: |
|
|
|
|
|
|
| Selling and Marketing |
|
557,541 |
|
|
-- |
|
| General and administrative |
|
1,714,223 |
|
|
468,455 |
|
| Amortization and depreciation |
|
97,623 |
|
|
7,108 |
|
| Total operating expenses |
|
2,369,387 |
|
|
475,563 |
|
| |
|
|
|
|
|
|
| Income (loss) from operations |
|
173,034 |
|
|
(147,073 |
) |
| |
|
|
|
|
|
|
| Other income (expense): |
|
|
|
|
|
|
| Other income |
|
72,709 |
|
|
-- |
|
| Acquisition Fees |
|
(27,740 |
) |
|
-- |
|
| Interest expenses |
|
(156,748 |
) |
|
(8,583 |
) |
| Total other income (expense) |
|
(111,779 |
) |
|
(8,583 |
) |
| |
|
|
|
|
|
|
| Income (loss) from operations before income taxes |
|
61,255 |
|
|
(155,656 |
) |
| |
|
|
|
|
|
|
| Provision for income taxes |
|
9,605 |
|
|
-- |
|
| |
|
|
|
|
|
|
| Net income (loss) |
$ |
51,650 |
|
$ |
(155,656 |
) |
| |
|
|
|
|
|
|
| Earnings per share: |
|
|
|
|
|
|
| Basic and dilutive |
$ |
0 |
|
$ |
(0.00 |
) |
| |
|
|
|
|
|
|
| Weighted average shares outstanding |
|
|
|
|
|
|
| Basic and dilutive |
| 841,486,000 |
|
|
750,238,020 |
|
| |
|
|
|
|
|
|
| |
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Hasco Medical, Inc. & Subsidiaries |
| Consolidated Statements of Cash Flows |
| (unaudited) |
| |
| |
For the three Months Ended |
|
| March 31, |
| |
2012 |
|
2011 |
|
| |
|
|
|
|
|
|
| Cash Flows from Operating Activities: |
|
|
|
|
|
|
| Net income (loss) |
$ |
51,650 |
|
$ |
(155,656 |
) |
| Adjustment to reconcile Net Income to net cash provided by operations: |
|
|
|
|
|
|
| Depreciation and amortization |
|
97,623 |
|
|
26,901 |
|
| Issuance of stock in settlement of services |
|
18,432 |
|
|
3,000 |
|
| |
Bad debt expense |
|
-- |
|
|
6,256 |
|
| Fair value of options issued to employees |
|
-- |
|
|
3,260 |
|
| Changes in assets and liabilities: |
|
|
|
|
|
|
| Accounts receivable |
|
213,698 |
|
|
(25,379 |
) |
| Inventory |
|
(1,510,632 | ) |
|
(3,989 |
) |
| Prepaid expenses |
|
(113,113 |
) |
|
16,901 |
|
| Accounts payable |
|
1,959,673 |
|
|
7,808 |
|
| Accrued expenses and other liabilities |
|
197,298 |
|
|
-- |
|
| Customer deposits and deferred revenue |
|
(119,755 |
) |
|
-- |
|
| Net Cash (Used) Provided by Operating Activities |
|
794,874 |
|
|
(120,898 |
) |
| |
|
|
|
|
|
|
| Cash Flows from Investing Activities: |
|
|
|
|
|
|
| Purchase of property and equipment |
|
(91,958 |
) |
|
(29,232 |
) |
| Decrease (increase) in other assets |
|
(2,135 |
) |
|
-- |
|
| Net Cash (Used) by Investing Activities |
|
(94,093 |
) |
|
(29,232 |
) |
| |
|
|
|
|
|
|
| Cash Flows from Financing Activities: |
|
|
|
|
|
|
| Overdraft liability |
|
-- |
|
|
(46,023 |
) |
| Lines of credit and floor plan, net |
|
(149,169 |
) |
|
-- |
|
| Proceeds from sale of common stock |
|
-- |
|
|
20,000 | |
| Proceeds from loan payable - related party |
|
-- |
|
|
200,000 |
|
| Repayments of loan payable - related party |
|
(42,920 |
) |
|
(15,000 |
) |
| Repayment of notes payable |
|
(34,245 |
) |
|
(5,338 |
) |
| Net cash provided (used) by financing activities |
|
(226,334 |
) |
|
153,639 |
|
| |
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Net increase/decrease in Cash |
|
474,447 |
|
|
3,509 |
|
| |
|
|
|
|
|
|
| Cash at beginning of period |
|
212,460 |
|
|
423 |
|
| |
|
|
|
|
|
|
| Cash at end of period |
$ |
686,907 |
|
$ |
3,932 |
|
| |
|
|
|
|
|
|
This press release may contain forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. In some cases you can identify those so-called "forward looking statements" by words such as "may," "will," "should," "expects," "plans," "targets," "believes," "anticipates," "estimates," "predicts," "potential," or "continue" or the negative of those words and other comparable words. These forward looking statements are subject to risks and uncertainties, product tests, commercialization risks, availability of financing and results of financing efforts that could cause actual results to differ materially from historical results or those anticipated. Further information regarding these and other risks is described from time to time in the Company's filings with the SEC, which are available on its website at: http://www.sec.gov. We assume no obligation to update or alter our forward-looking statements made in this release or in any periodic report filed by us under the Securities Exchange Act of 1934 or any other document, whether as a result of new information, future events or otherwise, except as otherwise required by applicable federal securities laws.