Nexgenrx Inc.TSXV: NXG

NexgenRx Announces Q2 2018 Results

Aug 22, 2018 at 2:00 AM UTC · Issued by Nexgenrx Inc.

Toronto, Ontario (FSCwire) - NEXGENRX INC. ("NexgenRx" or the "Company") is pleased to announce its Q2 2018 financial results.

Revenue during Q2 2018 grew slightly over the same three month period last year. Revenue for the second quarter was $1,464,698 and $3,010,256 year-to-date, representing a 2.3% increase. While new client revenue growth has been softer than expected, the Company anticipates its sales efforts will be rewarded over the next several quarters. First and second 2018 quarter expenses are essentially flat, as expected and as previously communicated, but up 15% on a year-over-year quarterly basis.

The Company was active in the second quarter, performing its due diligence to acquire two benefit administration companies, Canadian Benefit Administrators Ltd. ("CBA") and My Benetech Inc. ("MBT"), which culminated in the successful acquisition of these companies subsequent to the completion of the quarter (as noted in the Company's press releases dated July 24^th and August 15^th, 2018). Additional expenses related to the due diligence and cost of these acquisitions contributed to the loss in the second quarter.

About NexgenRx

NexgenRx is Canada's only independent full service technology solutions provider, offering proprietary full front end enrolment, eligibility, hour bank, billing and pension administration platforms, including mobile access capabilities, combined with a state of the art claims adjudication platform and full provider network coverage. These combined capabilities allow NexgenRx to provide complete proprietary solutions to plan sponsors that need sophisticated front end administration, health benefit technology applications and pension administration services all in a cost-effective manner. NexgenRx is committed to building partnerships with organizations looking to exceed the expectations of their clients and plan members and deliver superior administration and claims processing solutions.

Caution Regarding Forward-Looking Statements Except for statements of historical fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information.

Forward-looking information is based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking information. Some of the risks and other factors that could cause the results to differ materially from those expressed in the forward-looking information include, but are not limited to: uncertainty as to whether our strategies and business plans will yield the expected benefits; availability and cost of capital; the ability to identify and develop and achieve commercial success for existing and new products and technologies; the level of expenditures necessary to maintain and improve the quality of products and services; changes in technology and changes in laws and regulations; continued development and enhancement of the Company's proprietary software technology; cyber security risks and the other risks and uncertainties disclosed in our annual Management's Discussion and Analysis, as filed under our profile on SEDAR at www.sedar.com. Readers are cautioned that this list of risk factors should not be construed as exhaustive.

The forward-looking information contained in this news release is expressly qualified by this cautionary statement. We undertake no duty to update any of the forward-looking information to conform such information to actual results or to changes in our expectations except as otherwise required by applicable securities legislation. Readers are cautioned not to place undue reliance on forward-looking information.

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