Apollo Medical Holdings, Inc. Reports Revenues and Results of Operations for Three Months Ended April 30, 2012

GLENDALE, Calif., June 22, 2012 /PRNewswire/ -- Apollo Medical Holdings, Inc. ("ApolloMed") (OTCQB-AMEH) today announced financial results for the three months ended April 30, 2012.

Financial Highlights for the three months ended April 30, 2012

Revenues increased 56.7% to $1.63 million for the three months ended April 30, 2012 compared to $1.04 million for the three months ended April 30, 2011
Gross profit increased 228.8% to $303,185 for the three months ended April 30, 2012 compared to $92,204 for the three months ended April 30, 2011
Loss from operations was ($53,153) for the three months ended April 30, 2012 compared to ($187,444) for the three months ended April 30, 2011
Non-GAAP Adjusted EBITDA was $55,772 for the three months ended April 30, 2012 compared to ($113,818) for the three months ended April 30, 2011

Other Events

ApolloMed continues to advance its business through new contracts and partnerships centered around medical management. As an example, in the first quarter, ApolloMed expanded 24 hour hospitalist service at five hospitals in the Covina, West Covina and Glendora areas of Los Angeles. We expect volume to continue to grow over time as existing partners leverage our presence at all our hospitals. ApolloMed is also pursuing a number of new health plan and hospital contracts.

In addition to growing our core hospitalist business, we continue to explore new opportunities to leverage our market leading medical management expertise. In the first quarter, ApolloMed management invested in creating a new entity focused on obtaining a designation as an Accountable Care Organization ("ACO") as defined under the Medicare Shared Savings Program ("MSSP"). We believe that in establishing an ACO, ApolloMed will be able to leverage its medical management service offering and networks to improve patient outcomes while controlling costs. ACOs participating in the MSSP will be able to share up to 50% of their achieved savings.

"We are pleased to report another quarter of record revenue and continued quarter over quarter growth," stated Warren Hosseinion, M.D., Chief Executive Officer of Apollo Medical Holdings. "We will continue to execute on our strategy of organic growth. In addition, we believe that our coordinated care model and expertise in caring for medically complex patients makes us an excellent candidate to participate in the MSSP."

APOLLO MEDICAL HOLDINGS, INC. CONSOLIDATED BALANCE SHEETS FOR THE THREE MONTHS ENDED APRIL 30, 2012 and 2011
		April 30, 2012		January 31, 2012
CURRENT ASSETS
Cash and cash equivalents		$	193,931	$	164,361
Accounts receivable, net			1,146,522		994,118
Advances			1,604		2,140
Due from affiliate			7,929		5,504
Prepaid expenses			52,624		45,601
Prepaid financing costs, current			48,513		37,500
Total current assets			1,451,123		1,249,224

Other assets			1,450
Deferred commission cost			-		1,563
Property and equipment - net			47,740		43,261
Intangible assets			20,000		20,000
Goodwill			50,000		50,000

TOTAL ASSETS		$	1,570,313	$	1,364,048

	LIABILITIES AND STOCKHOLDERS' DEFICIT

CURRENT LIABILITIES:
Accounts payable and accrued liabilities		$	179,094	$	163,476
Senior secured promissory note			270,000		-
10% Convertible notes payable, net			759,824		596,366
Derivative liability			544,188		653,026
Stock issuable			-		90,000
Due to officers			18,464		12,400
Total current liabilities			1,771,570		1,515,268

8% Convertible notes, net			150,000		150,000
Warrant liability			105,000		120,000
Total liabilities			2,026,570		1,785,268

STOCKHOLDERS' DEFICIT
Preferred stock, par value $0.001 ; 5,000,000 shares authorized; none issued			-		-
Common Stock, par value $0.001; 100,000,000 shares authorized, 30,851,774 and 29,335,774 shares issued and outstanding as of April 30, 2012 and January 31, 2012, respectively			30,852		29,336
Prepaid consulting			(44,800)		-
Additional paid-in-capital			1,694,654		1,429,051
Accumulated deficit			(2,275,064)		(2,117,708)
Total			(594,358)		(659,321)
Non-controlling interest			138,101		238,101
Total stockholders' deficit			(456,257)		(421,220)

TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT		$	1,570,313	$	1,364,048

APOLLO MEDICAL HOLDINGS, INC. CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE THREE MONTHS ENDED APRIL 30, 2012 and 2011
	Three months ended April 30,
	2012		2011

REVENUES	$	1,631,844	$	1,039,693
COST OF SERVICES		1,328,659		947,489
GROSS PROFIT		303,185		92,204

Operating expenses:

General and administrative		351,547		276,355

Depreciation		4,791		3,293

Total operating expenses		356,338		279,648

LOSS FROM OPERATIONS		(53,153)		(187,444)

Other income (expense)
Gain on change in fair value of warrant and derivative liabilities		123,838		-
Interest expense		(202,826)		(31,574)
Financing cost		(21,210)		(9,375)
Other (expense) income		(5)		1,063

Total other expenses		(100,203)		(39,886)

LOSS BEFORE INCOME TAXES		(153,356)		(227,330)

Provision for Income Tax		4,000		1,600

NET LOSS	$	(157,356)	$	(228,930)

WEIGHTED AVERAGE SHARES OF COMMON STOCK OUTSTANDING, BASIC AND DILUTED		29,965,878		28,648,134

BASIC AND DILUTED NET LOSS PER SHARE	$	(0.01)	$	(0.01)

*Weighted average number of shares used to compute basic and diluted loss per share is the same since the effect of dilutive securities is anti-dilutive.

APOLLO MEDICAL HOLDINGS, INC. RECONCILIATION OF LOSS FROM OPERATIONS TO ADJUSTED EBITDA FOR THE THREE MONTHS ENDED APRIL 30, 2012 and 2011
	Three months ended
	April 30,
	2012		2011

LOSS FROM OPERATIONS	$	((53,153))	$	(187,444)
Depreciation expense		4,791		3,293
EBITDA		(48,362))		(184,151)

Issuance of shares for service		42,880		63,000
Non-cash stock option expense		61,254		7,333

ADJUSTED EBITDA	$	55,772	$	(113,818)

*Use of Non-GAAP Financial Measures

In addition to containing results that are determined in accordance with accounting principles generally accepted in the United States of America (GAAP), this press release also contains non-GAAP financial measures. Adjusted EBITDA, as used in this press release, represents Loss from Operations before depreciation, adjusted for issuance of shares for service, stock option expense, amortization of debt discount and impairment of intangibles and losses on discontinued operations. Adjusted EBITDA is a key indicator used by management to evaluate operating performance. While adjusted EBITDA is not intended to replace any presentation included in the consolidated financial statements under GAAP and should not be considered an alternative to operating performance or an alternative to cash flow as a measure of liquidity, the Company believes this measure is useful to investors in assessing the Company's ongoing operating performance and working capital requirements. This calculation may differ in method of calculation from similarly titled measures used by other companies. A reconciliation of adjusted EBITDA to the nearest comparable GAAP financial measure is included in the financial schedules accompanying this press release. The Non-GAAP financial measures, as well as other information in this press release, should be read in conjunction with the Company's financial statements filed with the Securities and Exchange Commission.

About Apollo Medical Holdings, Inc.

ApolloMed is a leading provider of integrated medical management services that improves the quality and efficiency of inpatient hospital care plus multi-disciplinary care management services targeting inefficiencies in healthcare payer and provider networks. The Company's integrated model combines hospitalist medicine, critical care medicine, 24-hour physician call centers, case management and transition management that offers to help healthcare organizations engage in performance payments for utilization efficiency, quality of care objectives and shared accountability arrangements. The company's strategy is to capitalize on the growing market for hospital-based physicians and care management services.

Media Contact:

Nidia Flores
Apollo Medical Holdings, Inc.
818-396-8050
www.apollomed.net

SOURCE Apollo Medical Holdings, Inc.

Released June 22, 2012