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TICKERS: DOC; DOCRF; 6PH

Telemedicine Firm Achieves Record Revenue in Q1/20
News Update

Source:

Also during the quarter, CloudMD Software & Services completes an acquisition, releases an app and upgrades its stock listing.

CloudMD Software & Services Inc. (DOC:CSE; DOCRF:OTCQB; 6PH:FSE) generated record revenue of $3.1 million in Q1/20, up 178% year over year (YOY), it announced in a news release.

The Vancouver, British Columbia-based software firm noted that revenue from its digital services via software as a service was $427,179 during the quarter ended March 31, 2020, which was up 77% over $240,787 in the same quarter last year. Organic growth drove this recent figure.

Revenue from medical clinics and pharmacies was $2,629,550 versus $859,543 YOY. This reflects a 206% rise and is mainly due to the company's acquisitions during the past 12 months.

Gross margins for the Q1/20 were 41%, which were the same as in Q1/19. Revenue derived from higher margin digital services and telehealth increased during the quarter but was offset by higher than usual variable costs due mostly to CloudMD's expansion into Ontario. The company expects gross margins to increase and remain strong throughout the rest of this year.

"We had a transformational first quarter, which has positioned CloudMD for significant future growth," CEO Dr. Essam Hamza said in the release.

The company's net loss in Q1/20 was $1,622,994, or $0.02 per share. The adjusted EBITDA loss was $914,646, which was consistent with Q1/19's $917,112. At the end of Q1/20, CloudMD had $2,760,136 in cash.

During the quarter, CloudMD launched its app in British Columbia and Ontario, acquired telehealth platform Livecare, reached 100,000-plus registered patients on its telemedicine platform and received conditional approval to upgrade to the TSX Venture Exchange under the ticker symbol, DOC.

"For the remainder of the year, we are focused on executing our strategic growth plan which includes additional M&A opportunities, key partnerships and expanding our growing platform across Canada and North America," Dr. Hamza stated.

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Disclosure:
1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees. As of the date of this article, an affiliate of Streetwise Reports has a consulting relationship with CloudMD Software & Services Inc. Please click here for more information.
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5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of CloudMD Software & Services Inc., a company mentioned in this article.
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