Comprehensive Care first quarter total revenue increases 383% to $18.3 million

Comprehensive Care Corporation ("CompCare" or the "Company") (OTCBB: CHCR) today reported results for the first quarter ended March 31, 2011.

Total revenue for the three months ended March 31, 2011 increased 383% to $18.3 million, compared to $3.8 million for the three months ended March 31, 2010. The increase is primarily attributable to the addition of new customer contracts that commenced in the latter part of 2010 and the expansion of an existing client in the first quarter of 2011. Gross margin increased nearly 500% to $1.8 million for the three months ended March 31, 2011 compared to $0.3 million for the three months ended March 31, 2010, due to a greater volume of business and the expiration of at-risk contracts with high utilization of behavioral services. Net income for the three months ended March 31, 2011 was $0.04 million, or $0.00 per basic and diluted share, compared to a net loss of $2.2 million, or negative basic and diluted earnings per share of $0.06, for the three months ended March 31, 2010.

Clark A. Marcus, Chairman and Chief Executive Officer of CompCare, stated, "The strong top-line revenue growth and profit reported for the first quarter of 2011 were driven by our expanding membership base, which currently exceeds 1 million members, a streamlined and more effective staff, enhancement of our infrastructure, and implementation of and adherence to strict budgetary controls. All of this resulted in improved gross margins and a net profit for the first quarter of 2011, compared to a net loss for the first quarter of 2010. Achieving profitability again is a significant milestone for CompCare. We exceeded our original expectations as to when we could bring the Company to this point, and we are excited at the prospect of maintaining this momentum in the future."

"To continue to pursue our goals, we have further enhanced our management and sales teams with the addition of several experienced healthcare professionals. We expect future growth to also be driven by our creating greater market awareness of our flexible line of offerings and growing membership base. This allows us to compete more effectively for a broader range of new, larger contracts," concluded Mr. Marcus.