IBX GROUP REPORTS 77% INCREASE IN 2002 REVENUES FROM $1.8 MILLION TO $3.2 MILLION; $14 MILLION PROJECTED FOR 2003
DEERFIELD BEACH, FL (March 19, 2003) -IBX Group, Inc. (OTC Bulletin Board:IBXG), a publicly held Florida corporation specializing in financial, administrative and technology services for the healthcare industry, today reported total revenues of more than $3.2 million for 2002, a 77% increase over the $1.8 million in revenue recorded in 2001. The company reported net income totaling $360,000.
iBX Group also announced it expects to increase its earnings and revenues guidance for 2003 by more than 27 percent from $11 million to $14 million, based on developments since January 1, 2003, and several pending transactions.
�In our first year as a public company, we set the stage for national growth in the area of physical therapy and occupational medicine, strengthened our niche in healthcare transaction management with several major hospital receivables contracts and expanded our core technology division with the acquisition of a major transcription and document management service,� said iBX Group President and CEO Evan R. Brovenick.
During 2002, IBX acquired Florida HealthSource, a workers compensation referral network for rehabilitation services. The company has begun the rollout of at least 10 multi-disciplinary clinics throughout Florida offering patients a variety of physical therapy, occupational medicine and wellness services. The first Florida HealthSource center has opened in Jacksonville; a second is scheduled to open in Boca Raton in April. The clinics, which supply participating physicians with access to a national referral network, are expected to generate an estimated $3 million in new revenue during 2003. The additional revenue from this division alone is expected to result in an increase in earnings up to 1.5 cents per share.
Also in 2002, the company�s core division, iBX Technologies, began managing its largest receivables management project ever, totaling $39 million, from two prominent hospitals in West Palm Beach, Fla. The company expanded nationally in the area of dictation, transcription and document management with the acquisition of South Florida-based Independent Transcription Service, now known as iBX Transcription Services, which provides a solid platform for the company�s digital online dictation/transcription product and document management service, along with the workflow services associated with it.
iBX Group also acquired TheNetDigest.com, an Internet publishing network providing access to more than 170 domains and informational Web sites on a variety of healthcare topics ranging from arthritis to diabetes, and SportsHealthNet.com, a one-stop online resource for sports medicine-related information and advice. In addition to providing to consumers with comprehensive and convenient sources for healthcare information, the Web portals supply physicians with additional referral sources.
�A clear-cut strategy of targeting the most critical issues affecting the healthcare industry has allowed iBX Group to experience an incredibly strong first year, and our company is poised for phenomenal growth in 2003,� Brovenick said. �Each of the company�s seven divisions has zeroed in on a vital need expressed by our core customers, which include well-known hospital systems, prominent physician group practices and other ancillary healthcare organizations.�
Recently, iBX Group became one of the first U.S. companies to offer a comprehensive, cost-effective, Web-based legal solution for the healthcare industry with the acquisition of MediCompliant Solutions, a Florida-based healthcare legal services organization specializing in HIPAA and Medicare compliance. First-year sales are expected to top $2 million as medical practices struggle to comply with the complex requirements of the federal Health Insurance Portability and Accountability Act. A strategic partnership and licensing agreement with Paris Health Services, a Lake Worth, Fla., developer of comprehensive EDI transaction and compliance software for the health-care industry, has positioned MediCompliant Solutions and iBX Technologies as the only full-service providers of healthcare compliance solutions in South Florida.
In recent developments, iBX Group�s Florida HealthSource division reinforced its referral status through a contract with CorVel Corp., an Irvine, Calif.-based independent provider of leading-edge managed-care services and solutions for workers' compensation, group health and auto insurance markets. The agreement increased Florida HealthSource�s statewide provider network by 250 percent, giving the company access to about 450,000 residents statewide. In addition, iBX Group�s iBX Technologies division recently entered into an agreement with one of the nation's largest retail optical chains to provide accounts receivables services.
IBX Group expects to add medical staffing to its list of healthcare industry services in 2003 with the pending acquisition of NursesSTAT, a revolutionary temporary staffing company that connects a large network of qualified nurses and other healthcare professionals to healthcare facilities nationwide.
�In fiscal 2003, we plan to continue acquiring companies and forming alliances that directly influence the business of medicine,� Brovenick said. �Our goal is to develop and implement innovative solutions to enable healthcare organizations to maximize accounts receivables, improve document storage and dictation/transcription systems, comply with federal and state regulations, and compensate for staffing shortages.�
Based in Deerfield Beach, Florida, iBX Group Inc. develops and deploys creative, cost-effective methods for integrating financial, administrative and information services for the healthcare industry. iBX is a results-oriented company, consisting of seven divisions � iBX Technologies, which enables healthcare organizations to maximize their accounts receivables; Florida HealthSource, a network of physical therapy and wellness centers; MediCompliant Solutions, which ensures medical practices� compliance with today�s complex legal requirements; iBX Transcription Services, which offers physicians quick turn-around and Web-accessible progress reports; NursesSTAT, a revolutionary temporary staffing solution; SportshealthNet.com and TheNetDigest.com, interactive Web portals providing patients with comprehensive healthcare information and advice, and increasing physician referrals.
This release is comprised of interrelated information that must be interpreted in the context of all of the information provided and care should be exercised not to consider portions of this release out of context. This release contains certain "forward-looking statements and information" (as defined in the Private Securities Litigation Reform Act of 1995) concerning iBX Group, Inc. that are based on the beliefs of iBX Group, Inc.'s management, as well as assumptions made by and information currently available to iBX Group, Inc. Investors are cautioned that all forward-looking statements involve risks and uncertainties, including those risks and uncertainties detailed in iBX's filings with the Securities and Exchange Commission.
