HASCO Medical Announces Third Quarter 2011 Financial Results

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Nov 16, 2011, 08:30 ET

MOBILE, Ala., Nov. 16, 2011 /PRNewswire/ -- HASCO Medical, Inc. (OTCBB: HASC), www.mysouthernmed.com, a managed healthcare provider that serves patients in Alabama, Florida, and Mississippi, announced its third quarter 2011 financial results.

Financial Highlights:

Net income was $91,447 for the three months ended September 30, 2011 compared to a net loss of ($426,373) for the three months ended September 30, 2010.
Vehicle sales for the nine months ended September 30, 2011 totaled $7,871,029 as compared to $7,188,599 in 2010 or an increase of 9.5%.
EBITDA (earnings before interest, taxes, depreciation, and amortization) for the nine months ended September 30, 2011 totaled $693,097 as compared to ($344,924), an increase of $1,038,021 over 2010.
Working capital for the nine months ended September 30, 2011 of $2,151,577 reflects a $2,507,901 improvement as compared to December 31, 2010.
Despite the significant professional costs involved in the May 13, 2011 acquisition of Mobility Freedom & Wheelchair Vans of America, Operating costs for the nine months ended September 30, 2011 decreased by approximately 9.5% to $3,374,316 for the nine months ended September 30, 2011 as compared to $3,638,292 for the nine months ended September 30, 2010.
For the nine months ended September 30, 2011, we reported revenues of $9,553,022 as compared to revenues of $9,443,631 for the nine months ended September 30, 2010, an increase of $109,391 or approximately 1.2 %.
Our net income was $253,072 for the nine months ended September 30, 2011 compared to net loss of ($775,660) for the nine months ended September 30, 2010.

"We are extremely pleased with our third quarter results," stated Hal Compton, Jr., CEO of HASCO. "We have increased revenues and decreased operating expenses despite the costs associated with the acquisition of Mobility Freedom & Wheelchair Vans of America. As we continue to increase revenues and shareholder value, we look forward to keeping shareholders up to date."

-Financial Charts Follow-

About HASCO Medical, Inc.

HASCO Medical ("HASC" or the Company) provides products and services that dramatically improve the quality of living for its customers. The Company's products and services include the sale of durable medical equipment, home respiratory equipment and the sale or rental of wheelchair accessible vans for which it provides custom conversion services. The Company operates in the South Eastern portion of the United States including Alabama, Mississippi and Florida. The Company's objective is to be a leading provider of home health care products and services in the continental United States.

HASCO Medical, Inc. & Subsidiaries Consolidated Balance Sheets
	September 30,	December 31,
	2011	2010
	(unaudited)	(audited)
Assets
Current assets
Cash	$ 187,895	$ 423
Accounts receivable, net of allowance for doubtful
accounts of $303,177 and $327,697, respectively	906,874	254,362
Inventory	3,066,094	76,356
Prepaid expenses	186,055	18,845
Total current assets	4,346,918	349,986

Property & equipment, net of accumulated
depreciation of $660,280 and $462,995,
respectively	778,084	147,769

Intangible property, net of accumulated
amortization of $87,976 and $0, respectively	2,027,032	-
Other non-current assets	38,019	420
Total Assets	$ 7,190,053	$ 498,175

Liabilities and Stockholders' Equity
Current liabilities
Accounts payable and accrued expenses	$ 1,545,542	$ 612,282
Other current liabilities	56,206	76,023
Customer deposits and deferred revenue	264,942	-
Notes payable	79,983	18,005
Loans and notes payable, related parties	248,668	-
Total current liabilities	2,195,341	706,310

Notes payable, net of current portion	-	-
Notes payable	4,697,304	152,509
Total liabilities	6,892,645	858,819

Stockholders' Equity
Preferred stock, $.001 par value, 3,000,000 shares
authorized, none issued and outstanding	-	-
Common stock, $.001 par value, 2,000,000,000 shares
authorized; 757,586,909 and 744,486,909 shares
issued and outstanding, respectively	757,587	746,437
Additional paid-in capital	3,611,432	3,217,602
Accumulated deficit	(4,071,611)	(4,324,683)
Total stockholders' deficit	297,408	(360,644)

Total Liabilities and Stockholders' Equity	$ 7,190,053	$ 498,175

HASCO Medical, Inc. & Subsidiaries Consolidated Statements of Operation (unaudited)*
	For the Three Months Ended		For the Nine Months Ended
	September 30,		September 30,
	2011	2010	2011	2010

Revenues, net	$ 3,113,836	$ 3,356,644	$ 9,553,022	$ 9,443,631
Cost of sales	1,883,919	2,368,880	5,868,842	6,408,729
Gross Profit	1,229,917	987,764	3,684,180	3,034,902

Operating expenses:
General and administrative	962,703	1,238,611	3,165,452	3,461,443
Amortization and depreciation	106,736	58,949	208,864	176,849
Total operating expenses	1,069,439	1,297,560	3,374,316	3,638,292

Income from operations	160,478	(309,796)	309,864	(603,390)

Other income (expense):
Other income	20	(24,503)	80,092	(24,503)
Interest expenses	(69,051)	(76,229)	(136,884)	(131,922)
Total other income (expense)	(69,031)	(100,732)	(56,792)	(156,425)

Loss from operations before
income taxes	91,447	(410,528)	253,072	(759,815)

Provision for income taxes	-	15,845	-	15,845

Net income	$ 91,447	$ (426,373)	$ 253,072	$ (775,660)

Earnings per share:
Basic and dilutive	$ -	$ (0.00)	$ -	$ (0.00)

Weighted average shares
outstanding
Basic and dilutive	757,586,909	739,265,687	753,330,197	547,626,732

*Statements of operation include Freedom Mobility for periods prior to acquisition for comparability.

This press release may contain forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. In some cases you can identify those so-called "forward looking statements" by words such as "may," "will," "should," "expects," "plans," "targets," "believes," "anticipates," "estimates," "predicts," "potential," or "continue" or the negative of those words and other comparable words. These forward looking statements are subject to risks and uncertainties, product tests, commercialization risks, availability of financing and results of financing efforts that could cause actual results to differ materially from historical results or those anticipated. Further information regarding these and other risks is described from time to time in the Company's filings with the SEC, which are available on its website at: http://www.sec.gov. We assume no obligation to update or alter our forward-looking statements made in this release or in any periodic report filed by us under the Securities Exchange Act of 1934 or any other document, whether as a result of new information, future events or otherwise, except as otherwise required by applicable federal securities laws.

SOURCE HASCO Medical, Inc.