2015 investment profile for net medical xpress, telemedicine and telehealth for hospital emergency...

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Net Medical Xpress NMXS provides HIPAA compliant and FDA cleared software products and telemedicine tools that allow ER doctors, radiologists and other medical and hospital personnel to remotely view and evaluate patients and medical images using Telemedicine. Significant medical solution for evaluating stroke, cardiac, and medical emergencies using remote medical specialists and NMXS telemedicine solutions.

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Page 1: 2015 Investment Profile for Net Medical Xpress, Telemedicine and Telehealth for Hospital Emergency Rooms

5021 Indian School Road, Suite 100 Albuquerque, N.M. 87110

505.255.1999 www.nmxs.com

IR Contact: Frank Hawkins

Hawk Associates 305.451.1888

www.hawkassociates.com [email protected]

Net Medical Xpress First Quarter Revenue $1.24 Million; Net Income $71K with Strong Growth in

Company’s Specialist Segment

Hawk associates | cHrysler Building | 405 lexington ave, 26tH floor | new york, ny 10174 | tel: 212.541.2465 227 atlantic Boulevard | key largo | florida | 33037 | tel: 305.451.1888

Company DescriptionNet Medical Xpress Solutions is focused on Telemedicine, rapidly emerging as the fastest growing segment of the healthcare industry.

Medical information is exchanged from one site to another via electronic communications for the health and education of the patient or healthcare provider as part of providing real time consultative, diagnostic and patient treatment services.

This is particularly valuable for rural hospitals, their patients and the families of the patients who benefit from real time effective specialist care in high stress and emergency situations.

More than 5 million Americans had their medical images read remotely in 2012. Approximately 10% of all intensive care beds in the U.S. use telemedicine. More than 10 million Americans benefited from telemedicine technology in 2012. Now, growing pressure from rising costs, provider shortages and increasing demand are forcing policy makers to

further ramp up uses for telemedicine.

Net Medical Xpress has four operating units:

Net Medical Xpress SolutionsThe company’s software engineering unit provides Picture Archiving and Communications (PACS) hardware and software to hospitals and other medical facilities.

Its proprietary XR-EXpress system enables doctors to examine medical images (X-Rays, CT Scans, Ultrasounds, EKGs, Echocardiograms, Barium studies) and make diagnostic judgments in real time securely over the Internet.

June 15, 2015

Investment Profile OTCQB: NMXS

OTCQB: NMXS

Closing Price (6/12/2015) $0.04

Market Cap. $6.985 mil.

52-Week Range $0.01 - $0.08

Average Daily Trading 86,523

FY ’14 EPS $0.00

FY ’14 Revenue $4.58 mil.

FY ’14 Net Income (Loss) ($482k)

Basic Shares 165.9 mil.

Insider Ownership 37.5

Est. Public Float 104 mil.

Fiscal Year End Dec. 31

Highlights

6/15/15 Net Medical Xpress announces radio series on cancer.

5/14/15 Net Medical Xpress Q1’15 revenue $1.24M. Net income $71K with strong growth in company’s Specialist segment

10/13/14 Net Medical Xpress Q3 revenue $1,091,000. 9 month revenue $3.5 M with 9 mo net loss ($185k).

8/12/14 Net Medical Xpress Q2 revenue $ 1 , 1 7 4 , 0 0 0 , 6 m o r e v e n u e $2.445,000. 6 mo net loss ($76,000) or $0.00 per share.

7/25/14 Net Medical Xpress shares $15.1 million telemedicine grant with University of New Mexico. Company to help set up 30 hospital network for cerebral emergency services.

3/20/14 Net Medical Xpress reports record revenue, net income for 2013. Revenue up 23% to $4.83. Net income $30K vs. $5k. Results improve with strong gains in telemedicine services and staffing company acquisition.

Page 2: 2015 Investment Profile for Net Medical Xpress, Telemedicine and Telehealth for Hospital Emergency Rooms

Net Medical Xpress SpecialistsRural hospitals use specialists from Net Medical Xpress to provide higher than previously available levels of point of care service to assist with acute medical needs ranging from strokes to heart attacks. The company’s specialists are credentialed to provide services for psychiatry, critical and

intensive care, pulmonology, strokes, cardiology, infectious diseases, renal exams and psychology.

The web-based program enables specialists located in population centers to make real-time assessments of patients at rural medical facilities through a secure and HIPAA compliant video examination. An active recruiting program is underway for credentialed specialists throughout the country to help serve the large rural hospital market.

Net Medical Xpress StaffingThis division, formed by the recent acquisition of MedTel, provides telemedicine physician recruiting and staffing. The division has a nationwide staff of over 250 general practice physicians, and a contract to staff telemedicine services of a major health insurance company, a home telemedicine service and an international company requiring services of U.S. doctors.

The information contained herein is believed to be accurate and is based upon sources which are considered reliable but are not guaranteed by Hawk Associates or the company mentioned. This information is subject to change without notice. Hawk Associates is not a registered broker dealer. Neither Hawk Associates nor the company mentioned assumes any responsibility for the information contained herein. The company featured in this report is a client of Hawk Associates, Inc. This does not represent an offer to buy or sell any security. This profile is protected by applicable copyright laws. No permission is granted to copy, distribute, modify, or post any text, graphics, design or logos.

Investment Profile OTCQB: NMXS

The OutlookDuring 2014, Net Medical Xpress recorded gains on numerous telemedicine fronts.

The company’s participation in a $15 million telemedicine grant with the University of New Mexico was aimed at providing new state-of-the-art telemedicine connections to various rural hospitals in New Mex ico connected w i th the university

I n t h e c o m p a n y ’ s r a p i d l y expanding Specialist program, the company recorded new customers for neurological services showing significant growth in this segment in 2014.

The company released four new WebRTC telemedicine video conferenc ing apps br ing ing telemedicine to the iPad and the iPhone and enabling organizations to embed a browser-based video conferencing app on a website.

Management The company has a growing and seasoned management team led by Founder & CEO Richard Govatski.

Website Informationwww.nmxs.comwww.netmedical.comwww.hawkassociates.com

Risk Factors• Ability to conclude licensing and

marketing agreements necessary to successfully penetrate targeted markets

• Potential competition from larger, better-funded companies

• Ability to strengthen cash flow and the balance sheet

XR-EXpress service, a medical Picture Archiving Communication System (PACS), is now available through iPhone™, iPad™, iPod touch™, Android™ devices, Google™ Android™ smartphones and Samsung GALAXY™ tablets.

Both the company’s proprietary Telemedicine Cart workstations and mobile devices such as iPhones, iPads, Android devices and Samsung tablets are supported. Image quality is vital since images are used by doctors to diagnose patients. With XR-EXpress, medical professionals can diagnose a case from their own computers and immediately return the results, significantly cutting the time it takes to provide critical information for primary physicians to promptly treat their patients. Previous cases for a particular patient may be accessed from the database at any time, eliminating the cost and hassle of storing old X-Ray film and paper files.

The company provides its cardio PACS service to heart hospitals. The solution is a unique XR-EXpress development that includes vascular and system wide integration with a hospital's existing cardio monitoring equipment.

XR-EXpress is a secure, FDA 510(k) cleared, HIPAA compliant system designed to protect the confidentiality of patient files and records. The system is available for resale and can be installed at a medical facility or purchased as a “Software-as-a-Service.”

Net Medical Xpress ServicesNet Medical Xpress Services provides real time diagnostic capabilities through readings and reports of X-rays, echocardiograms, EKGs, CTs, MRIs and other modalities at over 15,600 facilities in the U.S. with over 40 radiologists and 15 cardiologists providing around the clock service.

The reading business of NMXS’ operating units is a 24/7/365 service. The company’s radiologists, cardiologists, and neurologists who are licensed in all 50 states are highly experienced in specialized studies.

The company has outstanding turn around times for emergency cases as well as routine exams.