Toronto, Ontario--(Newsfile Corp. - August 29, 2014) - Gemoscan Canada, Inc. (TSXV: GES) (MUN: 1GE) ("Gemoscan" or the "Company"), today reported operational and financial results for the first quarter ended June 30, 2014. In this press release, all dollar amounts are expressed in Canadian currency and results are reported in accordance with International Accounting Standards 34 'Interim Financial Reporting' using account policies consistent with International Financial Reporting Standards.
The current financial results reflect the Company's previously announced acquisition of Physiomed Kennedy Inc., a multidisciplinary paramedical clinic, and consolidate relevant quarterly financial results therefrom. Also included are three months of management fees generated from the previously-announced definitive agreement with the paramedical clinic, Physiomed Yorkdale Inc., to provide operational management services to it.
For the three months ended June 30, 2014, total revenues were $675,621, representing an increase of approximately 81% from $373,894, versus the comparative three-month period in fiscal 2014.
For the three months ended June 30, 2014 the Company posted a net loss for the quarter of $268,866. The loss represents an increase of approximately 14% from the comparative-period loss of $235,446. This loss stemmed primarily from weaker than expected clinic performance during the period, compounded by higher service, marketing, and general and administrative costs for the quarter.
The Company further reported an increase to cash used for operating activities for the three months ended June 30, 2014, of $165,702 versus $146,944, for the comparative period in fiscal 2014; driven primarily by the net loss for the current period.
As a further update to the Company's news release of May 28, 2014, the Company has provided the TSX Venture Exchange (the "Exchange") with its preliminary submission with respect to its proposed acquisition of all of the issued and outstanding common shares of 2275518 Ontario Inc. and a related company, jointly known as Abira Healthcare; and it continues to undertake due diligence and draft the necessary agreements and disclosure documents pursuant to the same.
Also, in addition to the Company's news release of May 8, 2014, the Company continues to suspend its interest where its prior announced proposed acquisition of a 100% interest in seven of Novo Healthnet's paramedical clinics is concerned.
The Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.
About Gemoscan Canada, Inc.
Gemoscan is an industry leader in food intolerance management and maintains a first-to- market position with Canada wide distribution through select retail partners. Founded in 2003, using its proprietary patented technology, Gemoscan develops, owns and markets comprehensive naturopathic dietary management solutions for consumers, including the HEMOCODE™ System and the MenuWise™ Plan, personalized medically supervised programs that promote dietary well-being. Gemoscan is the first and only provider to commercialize a food sensitivity management solution directly to consumers in partnership with retailers, and today offers the most comprehensive services available.
Gemoscan also owns and operates Physiomed Kennedy Inc., and operates Physiomed Yorkdale Inc., both being multidisciplinary paramedical clinics, located in Toronto, Ontario.
Gemoscan Canada, Inc. trades its shares on the Toronto Venture Exchange under the symbol GES and is quoted on the Munich, Frankfurt and Stuttgart Stock Exchanges under the symbol 1GE.
Forward-Looking Information
This news release contains certain "forward-looking information". All statements, other than statements of historical fact that address activities, events or developments that Gemoscan believes, expects or anticipates will or may occur in the future. These forward-looking statements reflect the current expectations or beliefs of Gemoscan based on information currently available to Gemoscan. Forward-looking statements are subject to a number of significant risks and uncertainties and other factors that may cause the actual results of Gemoscan to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on Gemoscan. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Gemoscan disclaims any intent or obligation to update any forward - looking statement, whether as a result of new information, future events or results or otherwise. Although Gemoscan believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For more information please contact:
Company:
Brian Kalish
Chief Executive Officer
Gemoscan Canada, Inc.
Tel: 416.650.1200
bkalish@gemoscan.com
www.gemoscan.com
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