Millennium Healthcare Inc (OTCMKTS:MHCC) provided a brief update to its shareholders regarding its financial results for FY2014 and outlook for FY2015. The company has been focused on expanding its business in the medical device segment. The team has been developing new distribution channels for its services and products. The 3Q2014 was the first complete quarter when the company implemented its strategy of offering exclusive diagnostic tools to primary care physician groups.
The performance
Millennium reported that 3Q and 4Q sales of its VasoScan™ and OralCDx® diagnostic devices surpassed anticipated results. The focus will remain on delivering the premium customer service to company’s valued partners as it is the deep commitment to the business at the early stage that forms the platform for growth in shareholder value over the long run.
The momentum
Millennium management is of view that the current share price of MHCC stock does not reflect the entire value of the entity. There has been a dramatic rise in the number of shares traded in company’s common stock. The increased activity indicates growth in shareholder diversity. Back in 2013, the shares traded on average were almost 31,665 shares per day. The amount of shares traded on average in 2014 increased to almost 247,454 shares per day. Now, in 2015 the shares traded on average are 600,000 shares per day. The figures represent increased liquidity which is of utmost significance to company’s shareholders.
The financials
For FY2014, the sales surged 319% to $8.34 million from $1.99 million recorded in FY2013. This sharp growth in sales didn’t consider 4Q2014 device POs/Sales worth $9.65 Million. Millennium was unable to record these sales in annual 2014 revenues due to lack of inventory following undercapitalization.
In last trading session, the stock price of Millennium declined more than 11% to close the trading session at $0.0486.
