American HealthChoice Reports 27% Increase in Revenue for Three Month Period Ending
March 31, 2004; Growth in Billings From Affiliated-Revenue Program Largely Responsible
FLOWER MOUND, Texas, Jun 16, 2004 /PRNewswire-FirstCall via COMTEX/ -- American
HealthChoice, Inc. (OTC Bulletin Board: AMHI) (the "Company") announced today
that the number of clinics in its Affiliated-Revenue program has increased
significantly and is the primary reason for the Company reporting a profit of
$7,000 for the six month period ended March 31, 2004 compared to a loss of
$170,000 in the comparable 2003 period. In the last two quarters, revenue from
patient billings for this program was $305,000. Revenue in the second quarter of
$204,000 was a 100% increase compared to the first quarter of $100,000.
In June 2003, the Company initiated its Affiliated-Revenue program to increase
patient billings through arrangements with established clinics owned and/or
operated by individual doctors. Under this program, the Company directs patients
to these clinics using its established network of patient referral sources
comprised of independent marketers and other professionals. The Company reports
patient billings as revenue and the treating doctor's fee as an expense with
payment at the time of collection. The primary financial benefit is additional
operating income without new fixed costs such as employee salaries or office
rent. The arrangement is equally attractive to the treating doctor because of
the increased number of patients and the resulting increased income. To date the
Company has focused on clinics located in and around large Texas cities where
there exists no American HealthChoice owned clinics within a 30-minute travel
time for prospective patients.
As of June 15, 2004, the Company has arrangements with fifteen clinics,
including two in Austin, two in the Dallas area, and six in the Houston area.
According to Dr. J.W. Stucki, CEO of AMHI, "We anticipate adding three to four
additional clinics to our Affiliated-Revenue program each quarter. This new
source of patient billings will be responsible for a much larger percentage of
American HealthChoice's revenue and operating income in the future."
About American HealthChoice:
American HealthChoice is a medical services company comprised of a parent
company and twenty five owned and affiliated medical clinics in Texas and
Louisiana.
SOURCE American HealthChoice, Inc.
CONTACT: investor relations, Equitilink LLC, +1-877-788-1940, or for
intl. inquiries, +1-858-824-1940, for American HealthChoice, Inc.
URL: americanhealthchoice.com
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