DailyMed quarterly revenues up 30%
INDIANAPOLIS Arcadia Resources, a provider of consumer health care services under the Arcadia HealthCare brand, has announced that DailyMed revenues increased 30% during the third quarter and it expects to likely see a similar increase for the fourth quarter.
Arcadia Resources acquired in February 2007 the membership interests of PrairieStone Pharmacy‹a move that completed PrairieStone's transition from an owner to an operator, manager and service provider to pharmacies. The deal required PrairieStone, a retail pharmacy company that was based in Minneapolis, to sell its remaining in-store pharmacy assets to Lund Food Holdings and to enter a five-year management agreement with the grocer.
The acquisition complemented Arcadia's service and product offerings and allowed PrairieStone to continue to grow its core assets, including DailyMed.
DailyMed transfers a patient's prescriptions, OTC medications and vitamins, and organizes them into pre-sorted packets market with the date and time they should be taken. The entire 30-day supply is delivered directly to a patient?s home in a dispensing box that a pharmacist has reviewed. The product is aimed at reducing medication errors, improving medication compliance and ultimately lowering the cost of care.
For the quarter, the company posted net revenues of $35.2 million, down $2 million from net revenues of $37.2 million in the year-ago period. Total revenue was significantly impacted by a $3.5 million, or 48.2%, decline in third quarter revenues in the company's non-medical staffing business unit.
In the pharmacy segment, which includes DailyMed and the company's proprietary pharmacy management software, revenues rose 15.9%to $2 million. Most notably, DailyMed revenues in the third quarter rose by 30% compared with the second quarter.
Net loss from the company's continuing operations rose from a net loss of $2.4 million in the third quarter of last year to a loss of $2.6 million in the current quarter.
"We are very encouraged by the positive third quarter revenue trends in our key pharmacy and home health care business units, as revenues collectively increased by 20.5 percent over the same period last year," stated Marvin Richardson, who had served as president of PrairieStone and has since been named president and CEO of Arcadia Resources. "These results are positive indicators that the company's focus on our vision of 'Keeping People At Home and Healthier Longer' will lead to creation of the greatest value for the company's stakeholders. Unfortunately, our non-medical staffing has taken the brunt of the weakened economy and we continue to see soft demand in the medical staffing markets, resulting in reduced overall revenue and EBITDA for the company as a whole."