OPMEDIC GROUP Inc.
TSX : OMG

OPMEDIC GROUP Inc.

April 11, 2006 23:59 ET

OPMEDIC GROUP Inc. Announces its financial results for the second quarter of 2006

MONTREAL, April 11 /CNW Telbec/ - Not for dissemination in the United States.

OPMEDIC GROUP Inc.("OPMEDIC GROUP") (TSX: "OMG"),
a healthcare-related services company
providing facilities and services to patients and surgeons, is pleased to
announce financial results for the second quarter ended February 28, 2006.


HIGHLIGHTS :

- The Company completed the initial public offering of its shares in
December 2005;

- Quarterly and year-to-date revenues of $1.753 million and
$3.568 million, respectively, compared to $1.750 million and
$3.439 million in previous year;

- Quarterly and year-to-date net earnings of $136,564 and $455,214,
respectively, compared to $247,804 and $442,239 in previous year;

- Quarterly and year-to-date E.P.S. of $0.01 and $0.03,
respectively, compared to $0.02 and $0.03 in previous year;

- Expansion of the Company is underway with the opening in April
2006 of its new OPMEDIC Laval Division that will host four new
state-of-the-art operating rooms.



Consolidated revenues for the quarter ended February 28, 2006 totaled
$1.753 million, a stable performance compared to the $1.750 million for the
second quarter of fiscal year 2005. This relative stability hides an increase
in volume activity in prenatal screening tests and ultrasounds including the
new 3D technology. Also, operating rooms in Montreal started to contribute
more substantially to the revenues in general surgeries, urology and
gynaecology. A decrease in revenues from fertility activities offset the
growth in other revenue areas. Fertility revenue declined as market demand was
stable but increased competition entered the market.

For the six-month period ended February 28, 2006, revenues amounted to
$3.568 million compared to $3.439 million for the same period of the previous
year. This 4 % increase is explained mainly by the prenatal screening tests
and ultrasound activities.

The costs of services for the second quarter improved from $0.811 million
in 2005 to $0.602 million in 2006. This decrease is mainly a result of a
better control of our doctor's consultation fees. A new remuneration schedule
was put in place in the month of April 2005, and it has allowed the Company to
decrease costs of services substantially.

For the six-month period ended February 28, 2006, costs of services
amounted to $1.340 million compared to $1.713 million in 2005 an improvement
of $0.373 million. The major reason is the control of consultation fees.

Gross profit for the second quarter ended February 28, 2006 was up 23 %
from $0.939 million in 2005 to $1.151 million in 2006 an increase of
$0.212 million.

For the six-month period ended February 28, 2006, the gross profit was
$2.229 million compared to $1.726 million for the previous year, an
improvement of 29 %.

The gross margin for the second quarter improved to 66 % in 2006 compared
to 54 % in 2005. For the six-month period ended February 28, 2006, the gross
margin reached 62 % compared to 50 % for the previous year.

The net earnings and basic earnings per share for the second quarter
ended February 28, 2006 were $136,564 and $0.01. Last year, those numbers
amounted to $247,804 and $0.02. The decrease in net earnings for the second
quarter is mainly explained by the stock-based compensation for an amount of
$152,000 under the stock option plan granted to employees and directors.

For the six-month period ended February 28, 2006 net earnings and basic
earnings per share were $455,214 and $0.03 per share compared to $442,239 and
$0.03 per share for 2005.

Earnings before interest, incomes taxes, depreciation and amortization
("EBITDA") for the second quarter of 2006 totaled $0.439 million, compared to
$0.502 million for 2005.

For the six-month period ended February 28, 2006, EBITDA amounted to
$1.041 million, an increase of 18%, compared to $0.879 million in 2005.

Detailed financial results can be accessed on the the OPMEDIC GROUP web
site at www.opmedicgroup.com.


About OPMEDIC GROUP


OPMEDIC GROUP is a company incorporated under the laws of the Province of
Quebec which provides healthcare-related services including surgical
facilities and services to patients and surgeons (with its OPMEDIC division),
fertility treatments, medical imaging, laboratory services and diagnostic
procedures (with its PROCREA Cliniques division) and sperm banking services
(with its PROCREA Cryopreservation Centre subsidiary). OPMEDIC GROUP's Common
Shares trade on the Toronto Stock Exchange under the symbol "OMG".


This news release does not constitute an offer to sell or to solicitation
of an offer to buy any security and shall not constitute an offer,
solicitation or sale in any jurisdiction in which such offerting would be
unlawful. This news release contains certain forward-looking statements that
reflect the current views and/or expectations of OPMEDIC GROUP with respect to
its performance, business and future events. Such statements are subject to a
number of risks, uncertainties and assumptions. Actual results and events may
vary significantly.

The Content of this press release has not been approved by nor submitted
to the TSX which assumes no liability therefore.

Contact Information

  • For further information: and source: Sylvie Milliner, Communications and
    Investor Relations Director, (514) 345-8535, x258,
    smilliner@opmedicgroup.com; Jean-Marc Lachance, Vice President Finances and
    Chief Financial Officer, (514) 345-8535, x 260,
    jmlachance@opmedicgroup.com