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Cincinnati, Ohio – April 13, 2020 – Protech Home Medical Corp. (the “Company” or “Protech”) (TSXV: PTQ), a healthcare services company with operations in the U.S., provides a further business update on its operations during the COVID-19 pandemic.
Protech provides home delivery and efficient online set-up of equipment for, primarily, chronic conditions. The Company, based in the United States, operates out of 42 locations in 10 states with over 17,000 referring physicians and approximately 80,000 current active patients.
“In just a few weeks, our business has settled into a new normal”, commented Greg Crawford, Chairman and CEO of Protech. “As we noted in our press release dated March 18, 2020, our business has been deemed essential by the US government and we continue full operations during this pandemic. Since then, we have seen an uptick in demand for our at-home services. In particular, the expedited initiative by the medical community to free up hospital beds by sending non-critical patients home has accelerated physician referrals in most segments of our business. We are also pleased that the supply chain for our critical equipment continues to remain effective, and we continue to opportunistically build inventory to meet expected increases in demand, particularly for ventilators and home oxygen equipment.”
Protech’s Chief Financial Officer, Hardik Mehta, added, “Protech is pleased to announce that it has received more than C$1.5 million in cash payment as part of the CARES Act Provider Relief Fund to support healthcare providers fighting the COVID-19 pandemic. These are payments to healthcare providers, not loans, and will not need to be repaid. As part of the terms and conditions the payments can only be used to prevent, prepare for, and respond to the pandemic. Protech plans to fully utilize these payments to procure additional equipment and products to prepare and respond to the anticipated demand related to the pandemic.”
“In a further positive development, CMS, the Centers for Medicare and Medicaid Services, has removed non-invasive ventilators from the 2021 Competitive Bidding Program. The removal is designed to ensure greater patient access for at-home ventilator therapy. This segment accounts for approximately 17% of Protech’s revenue which continues to grow aggressively, this is very comforting and provides a great boost to our patient centric clinical services that has evolved into industry leading best practices to serve the physician and patient community. This change effectively improves Protech’s confidence in accessing the supply chain for such equipment and strengthens Protech’s margin outlook on the provision of such equipment,” continued Mr. Crawford. “I also want to take this opportunity to give heartfelt thanks to each one of our over 375 incredible team members, many of whom are on the frontlines of this pandemic. I also want to assure them that all efforts are undertaken to keep them safe as they go about their tireless efforts to provide superior care to our patients.”