CVLB - Conversion Labs Expands Capabilities of Telemedicine Platform as Sales in April More Than Double
NEW YORK, May 11, 2020 (GLOBE NEWSWIRE) -- Conversion Labs, Inc. (OTCQB: CVLB), a direct-to-consumer telemedicine and wellness company, has begun the roll out of a new cloud-based, end-to-end telemedicine platform, Veritas MD. The platform builds upon Conversion Labs’ existing telemedicine technology, and supports the continued rapid growth and market expansion of the company’s telehealth brands that include Rex MD, Shapiro MD and SOS Rx.
Veritas MD has been designed to provide greater access and convenience to the growing number of customers seeking medical treatment and prescription medications from the comfort of their home. It integrates with the company’s existing telemedicine system that includes a 50-state physician network, a leading online pharmacy, and a professional in-house performance marketing team that is driving strong growth in online sales.
Conversion Labs launched its telemedicine business last year using a combination of internal and third-party technology. Now with the acquisition and integration of new, state-of-the-art telemedicine technology that forms the foundation of Veritas MD, Conversion Labs now owns a world class telemedicine platform that transforms the scalability and agility of the business.
“As we recently reported, our business has more than doubled month over month, driven by a major consumer shift to eCommerce and telemedicine,” said Justin Schreiber, CEO of Conversion Labs. “This explosive growth demonstrates that we have developed and introduced to the market the right products at the right time. So, today, it’s all about gaining greater efficiency and scalability with key technology that supports our expanding brand portfolio and provider network—and above all ensures the best in quality care. This is exactly what our new digital health platform delivers.”
The new technology was developed through years of work by experts in technology, medicine and regulatory affairs from which Conversion Labs secured an exclusive, perpetual license in North America for online, direct-to-consumer applications, along with non-exclusive rights globally. The company is now further enhancing the platform with proprietary features and functionality customized for its branded products. It expects to complete the integration and fully launch Veritas MD by July.
“The powerful, comprehensive capabilities of Veritas MD enables us to go head-to-head with the largest telehealth companies in the industry, and fulfill our vision of becoming a global leader in direct-to-consumer telemedicine,” added Schreiber. “We believe that securing the exclusive rights to this advanced technology not only accelerates our platform development by months or even years, it creates a significant competitive barrier to entry.”
According to Stefan Galluppi, Conversion Labs’ chief technology and operations officer: “This new end-to-end telehealth technology is highly synergistic with our operational platform which we built over the last year. It transitions us to a vertically integrated infrastructure, where we are developing and delivering innovative health and wellness products, and servicing our customers, all the way up the value chain.”
The Conversion Labs network of licensed telehealth physicians is writing now more than 150 new prescriptions daily and this number continues to climb. This is being largely driven by the increasing popularity of the company’s first telemedicine brand for men’s health, Rex MD, which it launched in December.
“Telehealth provides greater access and convenience to patients seeking medical treatment and prescription medications,” noted Galluppi. “While the recent rapid growth in telehealth has been transformational to our healthcare system, the general consensus is that this trend will continue far beyond COVID-19.”
Adoption of telemedicine across the healthcare industry has “shifted into hyper-drive” over the past month, according to analysts at Forrester Research, with virtual health care visits on pace to top 1 billion by year end. Forester expects COVID-19 will forever change the face of healthcare.
Another recent report projects that the global telemedicine market will expand at a rapid 19.3% compound annual growth rate to reach $175 billion by 2026.
“These reports reflect how mass numbers of consumers have suddenly discovered that telehealth provides a more convenient and safer way to consult with your doctor, and obtain prescribed medications and OTC products,” explained Galluppi. “We are never going back to the old ways of waiting weeks to see your doctor, hours wasted sitting in a waiting room, and being exposed to other patients who may be ill. Conversion Labs has now emerged at the forefront of this major shift in the delivery of healthcare.”
The company’s rise as a telehealth leader was reflected in its recently reported preliminary first quarter 2020 results. Revenues are expected to jump 60% to a record $4.3 million versus the same year ago quarter, with an annualized revenue run rate of more than $18 million. Galluppi attributes this growth to extensive investments in telemedicine, technology, brand development and customer acquisition.
Due to the continued strengthening of customer engagements and industry tailwinds, the company plans to increase its annual revenue outlook for 2020, previously set at more than $30 million, when it reports its full results for the first quarter of 2020 by the end of this week.
For more information about Veritas MD, or if you are a physician that would like to join this new digital revolution in health care, visit conversionlabs.com/veritas today.
About Conversion Labs
Conversion Labs, Inc. is a telemedicine company with a portfolio of online direct-to-consumer brands. The company’s brands combine virtual medical treatment with prescription medications and unique over-the-counter products. Its network of licensed physicians offers telemedicine services and direct-to-consumer pharmacy to consumers in 50 states. To learn more, visit Conversionlabs.com
Important Cautions Regarding Forward-Looking Statements
This news release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended, regarding, among other things our plans, strategies and prospects -- both business and financial. Although we believe that our plans, intentions and expectations reflected in or suggested by these forward-looking statements are reasonable, we cannot assure you that we will achieve or realize these plans, intentions or expectations. Forward-looking statements are inherently subject to risks, uncertainties and assumptions. Many of the forward-looking statements contained in this news release may be identified by the use of forward-looking words such as "believe," "expect," "anticipate," "should," "planned," "will," "may," "intend," "estimated," and "potential," among others. Important factors that could cause actual results to differ materially from the forward-looking statements we make in this news release include market conditions and those set forth in reports or documents that we file from time to time with the United States Securities and Exchange Commission. All forward-looking statements attributable to Conversion Labs, Inc. or a person acting on its behalf are expressly qualified in their entirety by this cautionary language.
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