HealthWarehouse.com, Inc. (OTCMKTS:HEWA) 4Q Earnings Indicate Company Is Turning The Corner

HealthWarehouse.com, Inc. (OTCMKTS:HEWA) reported its fourth quarter and full year operational results on  21st April. The online and mail order dependent drug and pharma supplier disclosed that its sales for the full year were down by 7.7 percent to bottom out at $10.23 million. This was offset by 3.4 percent increase in the firm’s gross margins. The turnaround in the firm’s operations was even more starkly demonstrated by the nearly 47 percent reduction in the firms operating loss at $2.4 million. The headline announcement was the reporting of adjusted Earnings before tax and interest of $0.16 million in the reporting quarter, as against the loss of $0.75 million for the 4Q of 2012.

Huge Expectations For 2014

Expressing confidence in completing the firm’s turn around in the current fiscal on the back of positive business dynamics driven by the changes in the health care industry from implementation of Affordable Care Act, HealthWarehouse.com, Inc. (OTCMKTS:HEWA) Chief Executive Officer and President Mr. Lalit Dhadphale has been quoted to have said that, “In order to position our company for sustainable and profitable growth, in 2013 we made the decision to focus our business on the cash pay prescription market and wind down non-profitable business components. With the Affordable Care Act coming into effect, consumers are taking personal responsibility for their healthcare costs as co-pays and deductibles continue to rise”. Mr Dhadphale went on to express confidence that the potential cash prescription drug sector is limitless in the short and middle term.

Key Highlights

The other highlights for the full year include an increase in gross margins to hit 50 percent, while EBITDAS went up by 75.7 percent. The operating losses also fell by 46.8 percent, while operating costs went down by 18.4 percent. In the fourth quarter, net loss was down 88 percent to improve to $0.12 million in 4Q13 as against the $0.95 million it has reported in 4Q12.

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