Transax International Limited (OTCBB: TNSX) announced record numbers for the first quarter ended March 31, 2008. The company is a provider of health information products and solutions to manage coding, compliance, reimbursement, abstracting, and record management processes for healthcare providers and health insurance companies. Their services assist in reviewing in-patient and out-patient claims data, enable healthcare facilities to collect and report patient demographic and clinical information, and automate the record tracking and location functions. At the closing of Wednesday’s trading, the company’s stock rose 400.00%.
Net revenues totaled $1,480,964 compared to $1,186,226 for the first quarter of last year, a 25% increase. The increase of net revenue is attributed to a rollout of previously announced contracts and increasing percentage of POS transactions, as well as the weakening of the U.S. dollar.
Operational income for the first quarter 2008 was $125,379, a slight increase from last year’s figures of $113,900. Net income for the first quarter of 2008 was reported at $739,863, or $0.02 per share; last year’s first quarter net income was $402,005, or $0.01 per share. The increase is a result of an improving on derivative liability expenses.
In the first quarter of 2008, the company claimed $1,355,585 in operating expenses compared to $1,072,326 during last year’s first quarter. The increase was primarily from increases in compensation and benefits with respect to the company’s operations in Brazil, and increases in professional fees due to the sale of a minority interest. Although the company signed additional contracts in Brazil during the first quarter, no revenues were recorded.
“I am very pleased to announce a profitable quarter for the Company’s operations. The Company’s sale of a 45% minority interest will materially help in reducing the Company’s debt while providing capital to review other potential business for Transax,” said Stephen Walters, President and CEO of Transax. “In addition, the Company has been in negotiations to sell the U.S. rights to its product with due diligence being undertaken by a potential buyer during the quarter. There is no guarantee a transaction for the U.S. rights will be consummated, however we will continue to inform the investment community on any updates available.”
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