CRH Medical increases revenue and profit in 2012

CRH Medical (CRH Medical Stock Quote, Chart,News: TSX:CRH) today reported its fiscal 2012 results. The Vancouver-based company earned $1.33-million on revenue of $6.84-million, a topline that was up 24% from 2011.

In 2012, CRH says it trained 278 more physicians to use its O’Regan System, to bring the total to 1,332.

The O’Regan System is a single use, disposable, hemorrhoid treatment that has proven effective in treating hemorrhoid grades one, which is the least serious, to four, which is the most severe. The company sells its patented rubber band ligation technology as part of a turnkey package that includes marketing expertise and a referral program for gastroenterologists.

CEO Edward Wright said metrics were up across the board.

“As evidenced by our growing year-over-year revenues and net income, our sales and marketing initiatives for the CRH O’Regan System gained momentum in 2012,” said Edward Wright, Chief Executive Officer of CRH Medical. “Looking ahead, we plan to build on that positive trend through additional initiatives designed to drive our revenues higher.”

CRH Medical was formed in 2000, but kicked into gear in 2006 which it began to market in the US. Co-founder Tony Holler and CFO Richard Bear were no strangers to success, having just sold groundbreaking flu-vaccine maker ID Biomedical to GlaxoSmithKline for $1.7 billion. After luring retail expert Edward Wright from Cartier, the company rejigged its marketing strategy, moving away from a capital intensive retail clinic model towards a strategy in which the company sold through gastroenterologists. This shift proved to be a boon to both top and bottom lines; fiscal 2012 continued on the previous year’s trend in which the company earned $1.19-million, on revenues of $5.53-million.

Shares of CRH Medical closed today even at $.425.