OmniComm Systems, Inc.
Fort Lauderdale, FL, March 30, 2017 - OmniComm Systems, Inc. (OmniComm) (OTCQX: OMCM), a global leading provider of clinical data management technology, today announced record financial results for the year ended December 31, 2016.
“The year of 2016 has been another record-breaking year in a string of very successful years,” said Stephen Johnson, OmniComm’s president and chief operating officer. “The strength of our product lines, our commitment to innovation and excellent customer service continue to propel our company forward. Our business in international markets continues to expand and our core product line, TrialMaster®, saw record contract and revenue results across all four quarters in both repeat and new business. This is a testament to the hard work our people have put into this company and to the loyal support our customers have given us. We are excited about our future prospects and look forward to delivering more innovative solutions that ultimately help improve patient quality of life and outcomes.”
For the year ending December 31, 2016, OmniComm reported record revenue of $25.4 million, a 23% increase over the prior year’s revenue of $20.7 million. Gross margin improved by 23% or $3.8 million to $20.0 million. Operating expenses increased by 6% or $0.9 million to $15.9 million, which resulted in operating income of $4.2 million, a 233% increase over 2015 operating income results. EBITDA, a non-GAAP financial measure OmniComm uses as an additional financial measure, improved by $3.0 million or 195% to $4.5 million.
“I am extremely pleased with our 2016 financial results,” said Cornelis Wit, OmniComm’s chief executive officer. “These strong results, with significant improvements in both top-line revenue and operating income, clearly demonstrate OmniComm’s ability to provide the life sciences sector with products and services that improve the clinical trial process.”
OmniComm provides EBITDA, a non-GAAP financial measure as additional information to its financial results. Non-GAAP EBITDA excludes the impact of depreciation and amortization expenses that are included in operating income. Non-GAAP EBITDA is not an alternative or substitute for the financial measure prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) of operating income. The non-GAAP EBITDA financial measure presented may differ from similarly titled non-GAAP financial measures presented by other companies, and other companies may not define this non-GAAP financial measure in the same way. OmniComm’s management uses non-GAAP EBITDA as a measure of operational efficiency and as a goal for incentive compensation. Management believes non-GAAP EBITDA is a useful measure investors may use as an additional factor in their analysis of OmniComm’s performance. Please review the below reconciliation of the non-GAAP financial measure EBITDA to the GAAP financial measure operating income, as well as OmniComm’s financial statements as filed with the Securities and Exchange Commission.
Statements contained in this press release that are not historical facts are "forward-looking statements." These statements can often be identified by the use of forward-looking terminology such as "estimate," "project," "believe," "expect," "may," "will," "should," "intends," or "anticipates" or the negative thereof or other variations thereon or comparable terminology, or by discussions of strategy that involve risks and uncertainties. We wish to caution the reader that these forward-looking statements regarding matters that are not historical facts are only predictions and are based on information available at the time and/or management's good faith belief with respect to future events. No assurance can be given that plans for the future will be consummated or that the future results indicated, whether expressed or implied, will be achieved. While sometimes presented with numerical specificity, these plans and projections and other forward-looking statements are based upon a variety of assumptions, which we consider reasonable, but which nevertheless may not be realized. Because of the number and range of the assumptions underlying our projections and forward-looking statements, many of which are subject to significant uncertainties and contingencies that are beyond our reasonable control, some of the assumptions inevitably will not materialize, and unanticipated events and circumstances may occur subsequent to the date of this press release. Therefore, our actual experience and results achieved during the period covered by any particular projections or forward-looking statements may differ substantially from those projected. Consequently, the inclusion of projections and other forward-looking statements should not be regarded as a representation by us or any other person that these plans will be consummated or that estimates and projections will be realized, and actual results may vary materially. There can be no assurance that any of these expectations will be realized or that any of the forward-looking statements contained herein will prove to be accurate. Forward-looking statements speak only as of the date the statement was made. OmniComm does not undertake any obligation to update or revise any forward-looking statement made by it or on its behalf, whether as a result of new information, future events or otherwise.
About OmniComm Systems, Inc.
OmniComm Systems, Inc. is a leading strategic software solutions provider to the life sciences industry. OmniComm is dedicated to helping the world’s pharmaceutical, biotechnology, contract research organizations, diagnostic and device firms, and academic medical centers maximize the value of their clinical research investments. Through the use of innovative and progressive technologies, these organizations drive efficiency in clinical development, better manage their risks, ensure regulatory compliance and manage their clinical operations performance. With an extensive global experience from more than 5,000 clinical trials, OmniComm provides comprehensive solutions for clinical research. For more information, visit: www.omnicomm.com
OmniComm, TrialMaster, TrialOne, and Promasys are registered trademarks of OmniComm Systems, Inc. Other names may be trademarks of their respective owners.