FOR: CARDIOCOMM SOLUTIONS, INC.
TSX VENTURE SYMBOL: EKG
May 31, 2017
TORONTO, ONTARIO - CardioComm Solutions, Inc. (TSX VENTURE:EKG) (“CardioComm Solutions” or the “Company”) a consistent, global medical provider of consumer heart monitoring and medical electrocardiogram ("ECG") software solutions, released its first quarter 2017 financials and confirms its strongest fiscal performance continues with a profitable start to 2017.
The Company's management continues to maintain control over expenses while protecting revenue generation. A summary of the SEDAR posted financials shows Q1 2017 revenue versus 2016 Q1 revenue grew 26% against a 20% Q1 2017 increase in operating expenses. Operationally, the Company has been cash flow positive over the last four fiscal quarters. These improvements are the result of a series of changes made progressively over the past three years that have seen the company dramatically cut operational costs, develop a new product pipeline of Smartphone connected devices that will address the unmet need for credible consumer health monitoring, all while maintaining its status as a preferred "software as a medical device" provider to the medical industry.
Reported revenue growth was associated with a shift in revenue generated from hardware sales versus that from software licensing and customized engineering contracts. Revenue associated with hardware sales dropped from 24% of overall revenue in Q1 2016 to 15% in Q1 2017 while software revenue increased 5% and software services by 9% in Q1 2017. The stronger software revenue stream speaks to the Company's recognized core competency and growing strategic market position as an innovator in ECG device communications, ECG data management solutions and ECG review and interpretation solutions.
While the Company confirms its future direction will focus on maintaining its leadership as a software innovator, CardioComm confirms it plans to introduce multiple biometric and vital signs monitoring capabilities to its software offerings. With this in mind, the Company will work to interface with multiple device manufacturers' products to provide both the consumer and medical markets with access to Windows and Apple compatible and Smartphone connected wireless devices that provide medically credible results. These interfaces will see ECG monitoring capabilities introduced into products that will be familiar in their use and appearance to the well-developed health, wellness, sports and medical self-monitoring, tele-med and remote medical monitoring markets that CardioComm Solutions will target.
CardioComm has earned the ISO 13485 certification, is HPB approved, HIPAA compliant and holds clearances for the sale of its HeartCheck™ technologies from the European Union (CE Mark), Australia (TGA), the USA (FDA), China (CFDA) and Canada (Health Canada). To learn more about the CardioComm Solutions' products, please see the Company's websites www.theheartcheck.com and www.cardiocommsolutions.com.
CardioComm's patented and proprietary technology is used in products for recording, viewing, analyzing and storing electrocardiograms for the diagnosis and management of cardiac patients. Products are sold worldwide through a combination of an external distribution network and a North American-based sales team. CardioComm Solutions is headquartered in Toronto, Ontario, Canada.
INFORMATION PLEASE CONTACT:
Etienne Grima, Chief Executive Officer
This release may contain certain forward-looking statements and forward looking information with respect to the financial condition, results of operations and business of CardioComm Solutions and certain of the plans and objectives of CardioComm Solutions with respect to these items. Such statements and information reflect managementís current beliefs and are based on information currently available to management. By their nature, forward-looking statements and forward-looking information involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future and there are many factors that could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements and forward-looking information.
In evaluating these statements, readers should not place undue reliance on forward-looking statements and forward-looking information. The Company does not assume any obligation to update the forward-looking statements and forward-looking information contained in this release other than as required by applicable laws, including without limitation, Section 5.8(2) of National Instrument 51-102 (Continuous Disclosure Obligations).
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.