SILVER SPRING, Md., April 1, 2013 /PRNewswire/ -- Pharmagen, Inc. (OTCBB: PHRX) (the "Company" or "Pharmagen") today announced financial results for the fiscal year ended December 31, 2012. On a consolidated basis, net revenues for the fiscal year 2012 totaled $4.26 mln vs. 2011 of $863K, representing 490% growth year-over-year. The company had one-time, non-recurring expenses of $1.2 mln related to going public and the investments it made in building a foundation for future growth. The company spent much of 2012 building the cornerstones for a move toward profitability in 2013. This included acquiring BryceRx Laboratories, Inc., which not only grew the company's topline with prescription based revenue but also dramatically increased the company's gross profit.
Pharmagen's branded OTC product, Clotamin™, has demonstrated consistent momentum growing from being carried in several hundred stores to being carried nationally at over 7,000 locations at one of the leading pharmacy chains in the world. The company has made significant investments in Clotamin and expects continued growth of the product across other major national retailers and internationally.
From a brand prospective, the company went through a strategic realignment. Pharmagen is now moving toward being the leader in pragmatic solutions to the drug shortage crisis in the United States. With a multifaceted approach, the company is meeting the demands of the health provider market through dynamic, independent wholesale, compounding/admix, and innovative IT solutions. The company grew its Pharmagen Distribution pharmaceutical wholesale license base to 47 states and continues to rapidly grow Pharmagen Laboratories license base as well. The company made significant investment across the board from IT, accounting, equipment and personnel.
Pharmagen brought on a Chief Financial Officer from a major hospital system, Eric Clarke. Clarke brings over 17 years of extensive health care and financial expertise. Prior to joining Pharmagen, Clarke served as part of the leadership team at MedStar Health; a $4 billion diversified health system in the Washington D.C. region, which includes leading medical facilities such as Washington Hospital Center and Georgetown University Hospital. Additionally, Clarke formally served as the Managing Director in charge of the Washington D.C., Risk Management Practice for a national professional services firm, providing expert advice and service in forensic accounting, SEC reporting, and Sarbanes-Oxley Compliance.With an eye on profitability, the company continues to keep operating expenses as low as possible and is actively exploring all opportunities that benefit shareholders. These endeavors include but are not limited to a strategic relocation to lower the company's tax burden, growing the company's institutional shareholder base by partnering with investment banks and a professional investment relations firm, attending financial conferences and staying at the forefront of health policy by engaging health regulators.