Hooper Holmes, Inc. (NYSE MKT:HH) today announced financial
results for the year ended December 31, 2014.
For the year ended December 31, 2014, consolidated revenues from
continuing operations were $28.5 million, an increase of
approximately 18% compared to $24.2 million for the full year 2013.
The Company’s net loss for the year ended December 31, 2014 totaled
$8.5 million, or $(0.12) per share, compared to a net loss of $11.3
million, or $(0.16) per share, for the year ended December 31,
2013.
Results for the year ended December 31, 2014 included $1.9
million of transition costs related to continuing operations, a
gain of $1.8 million related to the sale of real estate and a net
loss from discontinued operations of $2.6 million.
As of December 31, 2014, cash and cash equivalents totaled $5.2
million, compared to $4.0 million at December 31, 2013, and working
capital of $2.9 million, with no borrowings outstanding under the
Company’s credit facility.
Consolidated revenues from continuing operations totaled $6.7
million for the fourth quarter of 2014, compared to $9.2 million in
the fourth quarter of 2013. The Company recorded a net loss of $1.7
million, or $(0.02) per share, for the fourth quarter of 2014
compared to a net loss of $2.0 million, or $(0.03) per share, for
the fourth quarter of 2013.
Commenting on 2014 financial results, Henry E. Dubois, President
and CEO of Hooper Holmes, stated: “2014 was a record year for our
Health & Wellness business, with the first increase in year-end
cash balance since 2010. We grew year over year revenues, delivered
positive cash flow and reduced SG&A to our going forward run
rate. Our job now is to leverage our assets for growth.”
Conference Call
The Company will host a conference call today, March 31, 2015 at
8:30 a.m. ET to discuss 2014 results. A slide presentation will
accompany the conference call and will be available on the
Company’s website located at www.hooperholmes.com.
To participate in the conference call, please dial 888-505-4375,
or internationally 719-325-2315, conference ID: 6751907 five to ten
minutes before the call is scheduled to begin. A live webcast will
be hosted on the Company's website located at www.hooperholmes.com.
A replay of the conference call will be available from 10:30 a.m.
CT (11:30 a.m. ET) on March 31, 2015 until 11:00 p.m. CT (midnight
ET) on April 7, 2015, by dialing 877-870-5176, or internationally
858-384-5517. The access code for the replay is 6751907.
About Hooper Holmes
Hooper Holmes, Inc. mobilizes a national network of health
professionals to provide on-site health screenings, laboratory
testing, risk assessment and sample collection services to wellness
and disease management companies, insurance companies, employers,
government organizations and academic institutions.
This press release contains “forward-looking” statements; as
such term is defined in the Private Securities Litigation Reform
Act of 1995. These forward-looking statements are based on the
Company’s current expectations and beliefs and are subject to a
number of risks, uncertainties and assumptions. Among the important
factors that could cause actual results to differ materially from
those expressed in, or implied by, these forward-looking statements
are our ability to realize the expected benefits from our strategic
alliance with Clinical Reference Laboratory; our ability to
successfully implement our business strategy; our ability to retain
and grow our customer base; our ability to recognize operational
efficiencies and reduce costs; uncertainty as to our working
capital requirements over the next 12 to 24 months; our ability to
maintain compliance with the financial covenant in our credit
facility; and the rate of growth in the Health and Wellness market.
Additional information about these and other factors that could
affect the Company’s business is set forth in the Company’s annual
report on Form 10-K for the year ended December 31, 2013, filed
with the Securities and Exchange Commission on March 31, 2014. The
Company undertakes no obligation to update or release any revisions
to these forward-looking statements to reflect events or
circumstances after the date of this press release to reflect the
occurrence of unanticipated events, except as required by law.
HOOPER HOLMES INC.
CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited; in
thousands, except share and per share data)
Three months ended December 31, Twelve months ended December 31,
2014 2013 2014 2013
Revenues $ 6,671 $ 9,217 $ 28,524 $ 24,171 Cost of
operations 5,544 6,614 21,737
17,767 Gross profit 1,127
2,603 6,787 6,404 Selling,
general and administrative expenses 2,226 4,387 14,138 17,571 Gain
on sale of real estate (16 ) - (1,846 ) - Restructuring and
impairment charges 55 142 146
1,014 Operating income (loss) from continuing
operations (1,138 ) (1,926 ) (5,651 )
(12,181 ) Other expense: Interest expense - (6 ) (1 ) (86 )
Interest income 1 1 1 5 Other (expense) income, net (84 )
(223 ) (239 ) (399 ) (83 ) (228
) (239 ) (480 ) Income (loss) from continuing
operations before taxes (1,221 ) (2,154 ) (5,890 ) (12,661 ) Income
tax expense 8 5 23
19 Income (loss) from continuing operations (1,229 )
(2,159 ) (5,913 ) (12,680 )
Discontinued operations: Gain on sale of subsidiaries, net of
adjustments (464 ) (327 ) 739 3,430 Loss from discontinued
operations, net of tax 24 487
(3,301 ) (2,025 ) (Loss) income from discontinued
operations (440 ) 160 (2,562 )
1,405 Net loss $ (1,669 ) $ (1,999 ) $ (8,475 ) $ (11,275 )
Income (loss) per share Continuing operations: Basic
$ (0.02 ) $ (0.03 ) $ (0.08 ) $ (0.18 ) Diluted (0.02 ) (0.03 )
(0.08 ) (0.18 ) Discontinued operations: Basic (0.01 ) 0.00 (0.04 )
0.02 Diluted (0.01 ) 0.00 (0.04 ) 0.02 Net loss: Basic (0.02 )
(0.03 ) (0.12 ) (0.16 ) Diluted (0.02 ) (0.03
) (0.12 ) (0.16 ) Weighted average number of
shares: Basic and diluted 70,866,603 70,226,295 70,684,452
69,965,814
Hooper Holmes, Inc.
Consolidated Balance Sheets
(unaudited; in thousands)
December 31,
2014
December 31,
2013
ASSETS Current assets: Cash and cash equivalents $ 5,201 $
3,970 Accounts receivable, net of allowance for doubtful accounts
3,178 8,398 Inventories 897 596 Other current assets 202 1,597
Assets held for sale - 2,302 Total
current assets 9,478 16,863 Property, plant and equipment,
net 3,054 2,953 Other assets 607 1,830
Total assets 13,139 21,646
LIABILITIES AND STOCKHOLDERS'
EQUITY
Current liabilities: Accounts payable 2,508 3,440 Accrued expenses
4,083 4,036 Total current liabilities
6,591 7,476 Other long term liabilities 1,191 870
Commitments and contingencies Stockholders' equity: Common
stock 2,835 2,815 Additional paid-in capital 150,747 150,235
Accumulated deficit (148,154 ) (139,679 ) 5,428
13,371 Less: Treasury stock at cost (71 ) (71 ) Total
stockholders' equity 5,357 13,300 Total
liabilities and stockholders' equity $ 13,139 $ 21,646
Hooper HolmesHenry E. Dubois, President and CEO,
913-764-1045orInvestors:S.M. Berger & CompanyAndrew Berger,
216-464-6400