Hooper Holmes Issues Corporate Update
April 06 2016 - 4:45PM
Business Wire
Reaffirms 2016 First Quarter Business
Update
Hooper Holmes, Inc. (NYSE MKT:HH) today issued a corporate
update highlighting the Company’s progress during the quarter ended
March 31, 2016 and reaffirming total year guidance.
As discussed during the Hooper Holmes 2015 Financial Results
Conference Call on March 29, 2016, the Company completed major
steps to strengthen its balance sheet during the first quarter of
2016. These steps include completing a rights offering which raised
new capital of over $3.5 million, providing additional liquidity
and improving the Company’s capital structure. Further the Company
received a $1.2 million investment by 200 NNH, LLC, an affiliate of
Kanon Ventures through the sale of 10 million shares, subject to an
18-month lock-up period.
Henry Dubois, President and CEO of Hooper Holmes commented, “We
have improved our capital structure by $4.7 million since January
1, 2016. Year to date we have also won new sales which we expect to
contribute at least $3.3 million in new 2016 revenue.”
Mr. Dubois continued, “In financial terms, 2015 was a record
year for screening units and a record year for Health &
Wellness revenues, marking our seventh straight year of Health
& Wellness revenue growth. We continue to be on track to
generate at least $42 million of revenue in 2016, and to be EBITDA
and operating cash flow positive for the full year.”
For the year ended December 31, 2015, the Company’s audit
opinion in the Form 10-K included a going concern clarifying
statement. The Company will continue to monitor its liquidity
carefully and work to reduce this uncertainty.
About Hooper Holmes
Hooper Holmes 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, employers and brokers, government
organizations and academic institutions nationwide. Under the
Accountable Health Solutions brand, the Company combines smart
technology, healthcare and behavior change expertise to offer
comprehensive health and wellness programs that improve health,
increase efficiencies and reduce healthcare delivery costs.
More information is available at hooperholmes.com and at
accountablehealthsolutions.com.
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 this
acquisition and our strategic alliance with Clinical Reference
Laboratory; our ability to successfully implement our business
strategy and integrate Accountable Health Solutions’ business with
ours; 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 financing for this
acquisition; 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, 2014,
filed with the Securities and Exchange Commission on March 31,
2015. 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.
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version on businesswire.com: http://www.businesswire.com/news/home/20160406006065/en/
Hooper HolmesHenry E. Dubois, President and CEO,
913-764-1045orInvestors:S.M. Berger & CompanyAndrew Berger,
216-464-6400