Entering text into the input field will update the search result below

Graymark Healthcare, Inc. (GRMH) Reports 107% Increase in Resupply Shipments for Q1

Apr. 08, 2011 10:53 AM ET
Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Graymark Healthcare, Inc., the nation’s second largest provider of diagnostic sleep services and an innovator in comprehensive care for obstructive sleep apnea (OSA), today posted more than 100 percent increase in patient resupply shipments.

In the first quarter of 2011, Graymark said it shipped 2,244 resupply packages relating to its Continuous Positive Airway Pressure (CPAP) machines, compared to 1,084 in the same year-ago quarter and 2,220 in the previous quarter.

The company said the increase is due to a growing rate in the number of sleep studies performed through the company’s higher margin outreach program. Sleep therapy setups also increased, up 10 percent from the year-ago quarter, from 620 to 680 in the first quarter of 2011.

“Building upon the record January we previously reported, the remainder of the quarter finished strong,” Stanton Nelson, chairman and CEO of Graymark Healthcare stated in the press release. “We improved platform metrics across the board despite this quarter typically being the most challenging due to the resetting of patient deductibles. These results validate the strength of our organic growth strategy in the fast growing sleep management market, especially how we overcame the typical adverse seasonal factors by surpassing the fourth quarter of 2010.”

The company’s resupply portion of the business is a significant source of recurring revenue since patients compliant on their CPAP devices generally receive four shipments of maintenance supplies each year.

“It’s important to note that increasing rates of CPAP resupply orders and higher margin agreements are key barometers for how we are successfully providing timely and high-quality sleep management programs,” added Nelson. “This record quarter demonstrates momentum in our comprehensive care model.”

For more information visit graymarkhealthcare.com

Please see disclaimer on QualityStocks website: disclaimer.qualitystocks.net

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.