CloudMD Posts Record Revenues of $3.1 Million

CloudMD Software & Services (CSE: DOC) this morning released its first quarter 2020 financials, reporting record revenues of $3.1 million at a gross margin of 41%, an increase of 178% on a year over year basis.

The firms revenues consisted of $2.6 million within its clinic services and pharmacies division, while $0.4 million came from its SAAS model digital services. After deducting physician fees and costs of goods sold, the company saw a gross profit of $1.3 million.

Associated operating expenses during the quarter totaled out at $3.0 million, with wages and salaries being the highest expense at $1.2 million, followed by stock based comp at $0.4 million and professional fees at $0.4 million. The company posted a net loss of $1.6 million for the three month period ended March 31, 2020.

Looking towards the balance sheet, the company saw its cash position improve to $2.8 million from that of $1.7 million, bolstered by a $3.0 million financing conducted during the period. Prepaid expenses also increased, from $0.3 million to $0.8 million. Total current assets improved over the course of the quarter from $3.4 million to $4.8 million.

Liabilities also increased however, with accounts payable growing from $0.9 million to $1.8 million. Other current liabilities grew slightly, from $0.9 million to $$1.1 million. Total current liabilities grew from $2.6 million to $3.9 million.

It should also be noted that subsequent to the quarter the company saw several positive developments, including a $13 million financing to be clsoed tomorrow, along with a significant partnership with Save-On-Foods and Pure Integrative Pharmacies.

CloudMD last traded at $0.83 on the CSE.

FULL DISCLOSURE: CloudMD Software & Services is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover CloudMD Software & Services on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.

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