/EINPresswire.com/ -- GRAND RAPIDS, MICHIGAN -- (Marketwired) -- 05/30/16 -- Agility Health, Inc. (TSX VENTURE: AHI) ("Agility Health or "the Company"), today reports its financial results for the three-month period ended March 31, 2016. All amounts are expressed in U.S. dollars unless indicated otherwise.

Financial and Operating Highlights for the First Quarter and Year-to-Date

(All comparative figures are for the corresponding period of the prior year)

--  Earnings before interest, taxes, depreciation and amortization
    ("EBITDA") from continuing operations remained consistent at $1.1
    million or 7% of revenues.
--  Gross margin from operations declined to 21% from 23%, due in part to
    the volume of greenfield opportunities that were initiated in 2015 (and
    for which initial operating losses have been incurred, as expected,
    thereby contributing to dilution of gross margin)
--  Net and total loss declined to $(0.4) million or $(0.01) per share
    compared with a loss of $(0.6) million or $(0.01) per share in the prior
    year.

"We continue to be encouraged by positive trends within operations, including the number of greenfield development opportunities that have been executed over the last twelve months, which we believe will begin to contribute positively to EBITDA, gross margin and revenue growth as these opportunities begin to mature," stated Steve Davidson, Agility Health's Chairman and CEO. "We continue to focus on revenue enhancement opportunities, including contract revenue business development and outpatient greenfield clinic development, as we advance toward our goal of achieving profitability in the near term."

Subsequent to the end of the first quarter, the Company announced the following developments:

--  Agility announced that its subsidiary, Work-Fit, is expanding its injury
    prevention services within the Fabrication Division of Boeing. This
    expansion will result in an increase in Work-Fit services of more than
    70% at three current Boeing locations, as well as the addition of new
    Boeing locations in Portland, Oregon and Salt Lake City, Utah.
--  Agility announced that its subsidiary, Border Therapy Services, LLC, has
    opened a new, 2400 square foot clinic in Horizon City, Texas, a suburb
    of El Paso., the first of several "greenfield" expansions targeted for
    2016.

Selected Financial Information

      CONDENSED INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
                    March 31, 2016 and December 31, 2015
                         (Expressed in US Dollars)
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                                                 (Unaudited)     (Audited)
                                                  March 31,    December 31,
                                                    2016           2015
                                              ---------------  -------------
ASSETS
Current assets
 Cash                                          $   2,815,385  $   1,306,593
 Accounts and other receivables                    7,034,469      7,206,485
 Income taxes receivable                              19,241        115,808
 Prepaid expenses and other current assets           987,654      1,004,376
                                              ------------------------------
  Total current assets                            10,856,749      9,663,262

Investments                                           86,025         86,025
Property and equipment                             1,269,393      1,187,773
Intangible assets                                 12,043,946     12,160,263
Goodwill                                           2,531,390      2,531,390
                                              ------------------------------

 Total assets                                  $  26,787,503  $  25,598,713
                                              ------------------------------
                                              ------------------------------

LIABILITIES AND EQUITY (DEFICIT)
Current liabilities
 Accounts payable and accrued liabilities      $   9,651,481  $   8,267,626
 Line of credit                                    5,372,216      4,582,875
 Current portion of long-term debt                   138,889        222,222
 Current portion of other long-term
  liabilities                                        323,908        630,794
                                              ------------------------------
  Total current liabilities                       15,486,494     13,703,517

Convertible debentures payable                     1,037,868      1,004,628
Other long-term liabilities                       21,917,858     21,832,854
                                              ------------------------------
 Total liabilities                                38,442,220     36,540,999

Equity (deficit)
 Share capital                                     9,033,473      9,020,480
 Contributed surplus                                 355,267        355,267
 Retained deficit                                (23,093,237)   (22,430,873)
                                              ------------------------------
                                                 (13,704,497)   (13,055,126)
 Non-controlling interest                          2,049,780      2,112,840
                                              ------------------------------
  Total equity (deficit)                         (11,654,717)   (10,942,286)
                                              ------------------------------

   Total liabilities and equity (deficit)      $  26,787,503  $  25,598,713
                                              ------------------------------
                                              ------------------------------

   CONDENSED INTERIM CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER
                             COMPREHENSIVE LOSS
                 Three months ended March 31, 2016 and 2015
                         (Expressed in US Dollars)
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                                                 (Unaudited)    (Unaudited)
                                                    2016           2015
                                                -------------  -------------

Revenue                                        $  15,521,949  $  15,767,504

Cost of revenues
  Salaries and benefits                            9,984,495     10,102,328
  Contract labor                                     304,232        218,501
  Facility                                         1,019,446        972,693
  Supplies                                           205,778        175,894
  Depreciation and amortization                      166,492        184,643
  Provision for bad debts                            255,201         98,929
  Other                                              318,486        280,949
                                              ------------------------------
    Total cost of revenues                        12,254,130     12,033,937
                                              ------------------------------

Gross margin                                       3,267,819      3,733,567

Selling, general and administrative                2,612,036      2,899,772

Other income (expense)
  Interest expense                                (1,094,690)    (1,238,741)
  Interest income                                     12,612              -
  Foreign currency translation gain (loss)               120              -
  Fair value adjustment on warrants and
   obligations                                        (1,090)      (135,709)
                                              ------------------------------
                                                  (1,083,048)    (1,374,450)
                                              ------------------------------

Loss from continuing operations before income
 taxes                                              (427,265)      (540,655)

Provision for income taxes
  Current                                              7,210          8,422
  Deferred                                                 -              -
                                              ------------------------------
                                                       7,210          8,422
                                              ------------------------------
Net and total comprehensive loss from
 continuing operations                              (434,475)      (549,077)

Discontinued Operations
Net and total comprehensive loss from
 discontinued operations                             (20,949)       (56,416)
                                              ------------------------------

Net and total comprehensive loss               $    (455,424) $    (605,493)
                                              ------------------------------

Net and total comprehensive income (loss)
 attributable to:
  Shareholders                                 $    (662,364) $    (906,037)
  Non-controlling interest                           206,940        300,544
                                              ------------------------------
                                               $    (455,424) $    (605,493)
                                              ------------------------------
                                              ------------------------------
Earnings per share
  Basic, loss per share                                (0.01)         (0.01)
  Diluted, loss per share                              (0.01)         (0.01)

About Agility Health

Through its subsidiary and principal operating entity, Agility Health, LLC, Agility Health operates a multi- state network of outpatient rehabilitation clinics and provides contracted services to hospitals, nursing homes and other institutional clients, providing care and treatment for orthopedic-related disorders, sports-related injuries, preventative care, rehabilitation of injured workers, and a variety of other injuries and conditions. In addition, Agility Health provides a number of ancillary services related to physical rehabilitation, including practice management software systems and custom orthotics. As of March 31, 2016, Agility Health operates 87 outpatient or onsite rehabilitation locations in 14 states. Agility Health's contract therapy services business provides rehabilitative services to 33 hospitals and inpatient rehabilitation units, 27 nursing homes, long-term care facilities and other service locations in 8 states. For more information, please visit investors.agilityhealth.com.

Non-IFRS Financial Measures

Agility Health's consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS). The Company also uses certain non-IFRS measures, such as EBITDA to measure its financial performance. EBITDA is defined by the Company as the addition of net loss, depreciation and amortization and financial expenses. The Company uses EBITDA for the purpose of evaluating its historical and prospective financial and operational performance. Management believes that EBITDA is a useful measure for evaluating the performance of the Company. EBITDA is not a performance measure recognized under IFRS, therefore it does not have any standardized meaning prescribed by IFRS and may not be comparable to similarly titled financial metrics reported by other companies.

Forward-Looking Information

This press release contains forward-looking statements regarding Agility Health and its business. Such statements are based on the current expectations and views of future events of Agility Health's management. In some cases the forward-looking statements can be identified by words or phrases such as "may", "will", "expect", "plan", "anticipate", "intend", "potential", "estimate", "believe" or the negative of these terms, or other similar expressions intended to identify forward-looking statements. The forward-looking events and circumstances discussed in this release, including the anticipated future growth of Agility Health, may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting the company. No forward-looking statement can be guaranteed. Forward-looking statements and information by their nature are based on assumption and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statement or information. Accordingly, readers should not place undue reliance on any forward-looking statements or information. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Agility Health undertakes no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future events, or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contacts:
Steven N. Davidson
Chairman and Chief Executive Officer
(616) 356-5000

Ray Matthews
Ray Matthews and Associates
(604) 818-7778
ray@raymatthews.ca

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