Nightingale Informatix announces results for the quarter ended June 30, 2009

Aug 28 2009

Nightingale Informatix Corporation ("Nightingale" or the "Company") (TSX-V: NGH), an application service provider (ASP) of electronic medical record (EMR) software and related services announces its financial results for the quarter ended June 30, 2009. All results are reported in Canadian dollars unless otherwise stated.

Q1 Fiscal 2010 Summary
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- Despite a significant decline in revenues from $4.9 million in the quarter ended June 30, 2008 to $4.1 million in the quarter ended June 30, 2009, primarily the result of the Company's recognition of $1 million of software revenue related to a Canadian government agency in the same quarter last fiscal year, recurring revenue increased 8%
from $3.3 million to $3.6 million in the quarter ended June 30, 2009.

- The Company achieved its second consecutive quarter of positive EBITDA in the quarter ended June 30, 2009. EBITDA was a positive $0.02 million for the quarter ended June 30, 2009, compared to an EBITDA loss of $0.2 million for the same quarter last fiscal year and compared to positive EBITDA of $0.01 million for the previous quarter.

- Net loss was $0.8 million, or $(0.01) per share, compared to a loss of $1.3 million, or $(0.02) per share, for the same quarter last fiscal year.

- Expenses decreased $1.1 million, or 23%, to $3.5 million in the quarter ended June 30, 2009 from $4.6 million in the year ago quarter and decreased $0.5 million, or 11%, from $4 million in the previous quarter.

- The change in the value of the US dollar is estimated to have positively impacted revenue during the fiscal quarter ended June 30, 2009 by approximately 10%, or $0.4 million, compared to the same quarter last fiscal year.

- In July 2009, the Company amended its debt financing agreements and extended the term through July 2012.

- The Company was selected to provide its web-based OntarioMD Certified Nightingale On Demand EMR to the North Burlington Medical Centre, where the application will be used by more than 30 full and part-time physicians providing family practice, pediatrics and walk-in (urgent care) medical services with over 75,000 patients visits per year.

"We continue to focus on achieving our financial goals through continued improvement in EBITDA," said Sam Chebib, President and CEO of Nightingale. "In the quarter ended June 30, 2009 we saw further improvement in our EBITDA and I am pleased to report that we have now achieved two consecutive quarters of break even EBITDA and we are on our way toward achieving cash breakeven.

"In the second quarter we are focused on increasing the number of healthcare practitioners on our EMR technology and with Government EMR funding announcements expected, we believe these developments will act as a catalyst for the market at large, which will help drive the EMR industry in general and drive top line growth for Nightingale."