MMRGlobal, the Place to Build Your Personal Health Record, Wraps Up the Year With an Open Letter to Shareholders
(Marketwire Via Acquire Media NewsEdge) LOS ANGELES, CA -- (Marketwire) -- 04/02/12 --
MMRGlobal, Inc. (OTCBB: MMRF)
Last Friday, March 30th, MMRGlobal (MMR) filed its Annual Report on Form 10-K for the year ended December 31, 2011 with the U.S. Securities and Exchange Commission followed by an Investor Conference call.
The Company reported that revenues for the year ended December 31, 2011 increased by 45.9% when compared to the year ended December 31, 2010 due to an increase in MMRPro sales, which were up 105%, and biotech licensing revenues, which were up 100%. The Company also reported reduced costs, reduced operating expenses, increased gross profits, and decreased losses. A replay of the audio webcast is available in the Company's Investor Relations section at www.mmrglobal.com.
The Company also realized Other Revenue from customers invoiced for production of private label websites to offer our proprietary patented MyMedicalRecords Personal Health Record (PHR) products and services, including Chartis Insurance and E-mail Frequency. E-mail Frequency has advised the Company that it plans on rolling out PHRs to as many as one million member clients in 2012.
During the conference call, management answered questions from shareholders and discussed how we originally tapped into President Bush's Executive Order to place an electronic and personal health record into the hands of most Americans, a program which was carried forward by the Obama Administration. As it now stands, this is planned to take full effect by the end of 2014.
From time to time, the Company issues warrants to suppliers and strategic partners who support the Company. As such, it was pointed out that there were 65,186,691 out of the money warrants at an average price of .32 cents, 11,431,256 of which expire in 2012 at a weighted average price of .87 cents.
We remain upbeat about MMRGlobal and its prospects. I would like to remind shareholders and other interested parties, good things are worth waiting for. And many good things are on the way.
As you know, in January 2009, MMR went public, merging with publicly-traded Favrille, Inc., a biotech company that had been "written off" because of failed test results for a lymphoma vaccine. With the merger we inherited $140 million worth of research and development including patents and trials which were not germane to our core business of health IT technology. In fact, we were told by former Favrille management the Favrille biotech assets were "worthless."
Perhaps another team would have ignored those "worthless" assets, but because we recognize that you only have to be right 51% of the time to win, we were determined to check it out for ourselves. As a result, we undertook a re-examination of those assets. After two years of research and some litigation, MMR has collected $850,000 from a non-exclusive license fee agreement, we have gone on to perfect patented aspects of that technology that prior management had told their attorneys to write off, and we project at least an additional $12 million in milestone payments. In fact, it is possible that with resources to exploit them, these assets could be worth hundreds of millions of dollars to MMR shareholders over time.
The point of this story is MMR's management team is focused on making your Company a success.
When MMR was founded in 2005, we believed that we would see the day when everyone would have a Personal Health Record just like having a credit report. We believed that all Americans would need access to their personal health information to manage the escalating costs of care and to make more informed decisions about the care they received. We did not believe that standardization was just around the corner.
We did believe, however, that consumers and physicians would need to communicate with the help of technologies and tools they do have at hand and understood such as digital encrypted fax. So we embarked on a mission to create a patented personal health record that could connect patients with healthcare professionals using an integrated telecommunications platform incorporating the Internet, fax and voice mail.
It takes time for the U.S. Patent and Trademark Office to evaluate and rule on new technology claims, and at the end of last year, three patents were issued to MMR, with 186 claims still pending. We believe that this patent portfolio will represent a major source of revenue over the next few years. Our plans are to use the Company's intellectual property and patents to have a seat at the table and negotiate revenue sharing programs with major players in health IT wherein two sides can profit.
In 2011, we began aggressively exploiting both our health IT and biotech patents. The MichaelBass Group, a leading investment banking and strategic advisory services firm focused on health IT, issued a special report on January 20, 2012, valuing our health information technology patents at between $300-800 million based on the expected global growth of personal health records (http://michaelbass.com/PDF/JAN20MMRF.pdf).
It takes a certain amount of courage, and a lot of money, to enter the healthcare business. Enterprises like Google Health have failed and from what we understand, they may have spent more than half a billion dollars in an effort to make their model work. Microsoft® HealthVault®, too, has struggled, though Microsoft Corp. in announcing its joint venture with GE this year made clear it is committed to the HealthVault platform, which we plan on being part of.
MMR is a survivor team. We believe we own the best, most robust healthcare technology that seamlessly interacts with every electronic health record system in use today anywhere in the world. We believe MMR's products and services will eventually be an integral part of the personal health record market everywhere.
Every year that we have been in business, our prospects get brighter. Not only is eHealth a priority of the country, services provided by MMR make it possible for the average person, and their family or caregivers, to manage their own health records and reduce medical costs without a bureaucracy.
In our conference call last Friday, questions were asked about the continuing pressure on our stock. We recognize that being on the OTC exposes us to day traders whose relationship to any company is based upon buying, selling and buying back shares at a lower price, and then selling them again as they rise, seconds before the markets close. This is perfectly legitimate and is a function of how the markets trade efficiently.
However, the phenomenon made possible by the Internet brought us chat rooms, also known as "investor clubs," in which traders gather to discuss how to trade a company's stock and profit, at the expense of a company's longer term shareholders. MMR has launched a campaign to identify and reach out to these professional traders so we can build relationships to get them to support the Company's stock "long term" so that everyone wins. We want them to understand we care about our business and our shareholders and that we hope our efforts to communicate will build long term relationships. This is an unusual approach and another example of how your management is working hard caring about all its shareholders.
That said, a particular question that seems to be raised quarterly is the subject of a reverse split. I have said repeatedly that it has never come up in a Board of Directors meeting and it is not on the table at this time. Should it be considered, I believe it would be in connection with a significant business transaction or to uplist the Company to the Nasdaq or other national exchange.
Unfortunately, people in general resist change, preferring the old way of doing things over causing uncertainty and upset in their lives. Doctors, we know, are especially conservative and for the most part, have clung to their paper files, even though many have literally run out of room to store them.
That is about to change. No matter how the U.S. Supreme Court rules on the Affordable Care Act (ACA) and the insurance mandate, healthcare is undergoing a huge change in how medical records are created and stored around the world. Younger physicians have taken to smartphones and iPads because they grew up with the Internet, but most physicians and hospitals will change only because the regulations in the HITECH Act, which was part of ARRA and not ACA, dictate that digital changeover is mandatory by the end of 2014. That is good news for MMRGlobal.
By 2014, 90% of Americans, in an electronic health record system, will be required to have access to a personal health record similar to what MMR has created, patented, and sells. The reluctance of people to accept change is one of the reasons it has taken as long as it has for sales of MyMedicalRecords to reach critical mass. While the Company has a subscriber base comprised of employees, healthcare professionals, affinity groups, and other organizations, MMR continues to seek new and better ways to educate consumers on the importance of having a personal health record.
To educate the public on the importance of having a PHR, we are introducing our Prepaid Personal Health Record card through retailers including pharmacies, mass merchandisers, hospital gift shops and supermarkets throughout the U.S. later this year.
Recent patents also empower us to market our MyEsafeDepositBox.com online vault for information-sensitive organizations like banks, attorney partnerships, large CPA firms, and others that store large amounts of paper.
MMR is also working on ways to integrate our products and services with medical records from the Department of Defense and VA. This way, America's service men and women will be able to consolidate medical records from active duty into the private sector and extend beyond the VA system so as to better manage the health data for an entire family.
On the wireless front, we recently demonstrated our work-in-progress application for Android phones. Soon, consumers will have access to their MyMedicalRecords PHR with a touch on their smartphones, and we are well on the way to making that happen.
The Company also added a telemedicine portal as part of the MyMedicalRecords service which we demonstrated using on Alcatel-Lucent's ng Connect platform at the Consumer Electronics Show in January. Alcatel-Lucent is, of course, one of the best-known telecommunications companies in the world, and ng Connect is a consortium of more than 80 leading companies in the telecommunications and electronics arena, and MMRGlobal is extremely proud to be one of its members.
MMR has strategic relations with some of the leading developers of online healthcare technology, including 4medica, Interbit Data, and VisiInc PLC in Australia, the market of which is estimated to be as large as $2.6 billion (USD). Our international patents have been approved and issued in numerous locations around the world. Examples include Singapore, New Zealand, and the aforementioned Australia.
In China, our Joint Venture with Unis-Tongue Technology is leading to the current installation of MMRPro systems in three hospitals in Henan Province, which has a population of some 100 million people.
We have also begun marketing to the multi-billion dollar veterinary business, working with Pets Best and "Dancing Paws" to launch our personal health records for the entire family including pets. Dancing Paws is owned in part by The RHL Group www.rhlgroup.com.
Thank you to our employees, vendors, customers, and most of all, to our shareholders. If you still don't have a MyMedicalRecords account please sign up now. Remember, one never knows what Mother Nature has in store for us next.
Very truly yours,
Robert H. Lorsch
Chairman & Chief Executive Officer
About MMRGlobal, Inc.
MMRGlobal, Inc., through its wholly-owned operating subsidiary, MyMedicalRecords, Inc. ("MMR"), provides secure and easy-to-use online Personal Health Records ("PHRs") and electronic safe deposit box storage solutions, serving consumers, healthcare professionals, employers, insurance companies, financial institutions, and professional organizations and affinity groups. The MyMedicalRecords PHR enables individuals and families to access their medical records and other important documents, such as birth certificates, passports, insurance policies and wills, anytime from anywhere using the Internet. MyMedicalRecords is built on proprietary, patented technologies to allow documents, images and voicemail messages to be transmitted and stored in the system using a variety of methods, including fax, phone, or file upload without relying on any specific electronic medical record platform to populate a user's account. The Company's professional offering, MMRPro, is designed to give physicians' offices an easy and cost-effective solution to digitizing paper-based medical records and sharing them with patients in real time through an integrated patient portal. MMR is an Independent Software Vendor Partner with Kodak to deliver an integrated turnkey EMR solution for healthcare professionals. Through its merger with Favrille, Inc. in January 2009, the Company acquired intellectual property biotech assets that include anti-CD20 antibodies and data and samples from its FavId®/Specifid™ vaccine clinical trials for the treatment of B-Cell Non-Hodgkin's lymphoma. The MichaelBass Group has been retained by the Company for investment banking services, valuations and M&A transactions. To learn more about MMRGlobal, Inc. and its products, visit www.mmrglobal.com.
Forward-Looking StatementsStatements in this press release that are not strictly historical in nature, whether or not such statement relates directly to the Company's future performance, management's expectations, beliefs, intentions, estimates or projections, constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results to be materially different from historical results or from any results expressed or implied by such forward-looking statements. Some can be identified by the use of words (and their derivations) such as "need," "possibility," "offer," "development," "if," "negotiate," "when," "begun," "believe," "achieve," "will," "estimate," "expect," "maintain," "plan," "intend" and "continue," or the negative of these words. Factors that could cause or contribute to such differences include, but are not limited to, the prosecution of our patents; licensing, defending, protecting and maximizing the value of our biotechnology and health information technology intellectual property; valuation, guidance and projections provided by The MichaelBass Group; the risk the Company's products are not adopted or viewed favorably by the healthcare community; business prospects, results of operations or financial condition, including variations in our quarterly and year-end operating results; risks related to the current uncertainty and instability in financial and lending markets, including global economic uncertainties; timing and volume of sales and installations; length of sales cycles and the installation process; market acceptance of new product introductions; ability to establish and maintain strategic relationships; relationships with licensees; competitive product offerings and promotions; changes in government laws and regulations and future changes in tax legislation and initiatives in the healthcare industry; undetected errors in our products; possibility of interruption at our data centers; risks related to third party vendors; risks related to obtaining and integrating third-party licensed technology; acceptance of the Company's marketing and promotional campaigns; risks related to a security breach by third parties; risks associated with recruitment and retention of key personnel; uncertainties associated with doing business internationally across borders and territories; and additional risks discussed in the Company's filings with the Securities and Exchange Commission. The Company is providing this information as of the date of this release and, except as required by law, does not undertake any obligation to update any forward-looking statements contained in this release as a result of new information, future events or otherwise.
Add to Digg Bookmark with del.icio.us Add to Newsvine
Public Communications Co.
Source: MMRGlobal, Inc.
[ Back To Contact Center Solutions Homepage's Homepage ]