SOURCE: OmniComm Systems, Inc.

July 10, 2008 16:39 ET

OmniComm Systems, Inc. Announces Record Quarterly Revenues

$1.6 Million in Recognized Revenues During Q2 2008, Representing a 51% Increase From Q2 of Fiscal 2007

FT. LAUDERDALE, FL--(Marketwire - July 10, 2008) - OmniComm Systems, Inc. (OTCBB: OMCM), a leader in integrated electronic data capture (EDC) solutions for clinical trials, today announced a record increase in recognized revenues. During the quarter the company recognized approximately $1.625 in revenues compared with $1.08 in revenues during fiscal 2007. Year-to-date revenues are approximately $2.64 million compared with $1.9 million recognized during 2007, an increase of approximately 39%.

Second quarter 2008 revenues increased due to several factors. The Company recognized an increase in revenues from a large enterprise agreement signed during the second quarter of approximately $250,000. Revenues totaling approximately $180,000 associated with a license sale consummated during the fourth quarter of 2007 was completed and recognized during the quarter. In addition, the Company recognized an approximate increase in recognized revenues from transactions closed during the first half of fiscal 2008 of $175,000. These increases are offset by the natural run-off of existing projects that had reached the end of their contractual period.

"At this point we are beginning to reap the benefit of the increased transaction flow we experienced beginning with the fourth quarter of 2007," said Ronald Linares, CFO of OmniComm. "During the second quarter of 2008 we increased the number of live projects we manage by about 15%. In addition, we were able to successfully deploy our first technology transfer and began recording revenues from a large enterprise relationship entered into during the second quarter. We are beginning to diversify our revenue base to include technology transfers and enterprise agreements along with our traditional ASP business model. We are encouraged by this and are working to expand the new relationships so that they become a significant part of our business."

Provided in the table below is a comparison of the Company's recognized revenues and cost of services for the second quarter of 2008 and second quarter of 2007.

                            3 Months Ended  3 Months Ended
                            June 30, 2008   June 30, 2007     Increase %
                            --------------  --------------  --------------
Total Revenues                   1,624,873       1,076,571            50.9%
                            --------------  --------------  --------------

Total Cost of Sales                339,870         255,814            32.9%
                            --------------  --------------  --------------

Gross Margin                $    1,286,257  $      830,967            54.8%
                            --------------  --------------  --------------
Gross Margin %                        79.2%           77.2%
                            --------------  --------------  --------------

"With signed contracts through the first 2 quarters of 2008 totaling almost $12M, the expected trend in recognized revenue is continued growth," said Stephen Johnson, COO of OmniComm. "We continue to increase our market share by providing the best eClinical products and services at the best price and by delivering superior customer service."

About OmniComm

OmniComm Systems, Inc. (www.OmniComm.com) provides customer-driven Internet solutions to pharmaceutical, biotechnology, research and medical device organizations that conduct life changing clinical trial research. OmniComm's growing base of satisfied customers is a direct result of the company's commitment to deliver products and services that ensure ease of use, faster study build, ease of integration and better performance. OmniComm's client intuitive pricing model allows companies that range from small to mid-size to large scale institutions to safely and efficiently capitalize on their clinical research investments. OmniComm Systems, Inc. has corporate headquarters in Ft. Lauderdale, Florida with offices in Bonn, Germany, Tula, Russia, California, Maryland, New York, North Carolina and Texas.

Safe Harbor Disclaimer

Statements about OmniComm's future expectations, including without limitation, future revenues and earnings, plans and objectives for the future operations, future agreements, future economic performance, operations and all other statements in this press release other than historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. OmniComm intends that such forward-looking statements be subject to the Safe Harbors created thereby. Since these statements involve risks and uncertainties, including but not limited to economic competitive, governmental, contractual and technological factors affecting OmniComm's operations, markets and profitability, actual results could differ materially and adversely from the expected results.

Contact Information

  • CONTACT:
    Lizanne Kelley
    OmniComm Systems, Inc.
    954-473-1254 Extension 283
    Email Contact