MONTREAL, May 7 /PRNewswire-FirstCall/ - Aptilon Corporation ("Aptilon" or the "Company") (TSX-V: APZ), a leader in online access to and interaction with physicians on behalf of pharmaceutical sales and marketing programs, filed its financial results for the year ended December 31, 2009 on April 30th, 2010. Financial references are in CDN dollars. Complete financial statements and MD&A are available on SEDAR at www.sedar.com.

Highlights

    -  Revenue for 2009 increased 97% to $15.9 million from $8.0 million in
       2008

    -  Gross margin for 2009 increased 105% to $10.3 million from
       $5.0 million in 2008

    -  Revenue for the fourth quarter of 2009 increased 132% to $6.3 million
       from $2.7 million over the same period in 2008

    -  Net loss for the full year 2009 decreased 52% to $2.7 million from
       $5.7 million in 2008

    -  Net loss as a percentage of sales decreased to 17% from 71% during the
       prior year period

    -  Cash generated in the fourth and final quarter of 2009 reached
       $416,756, reversing a cash loss of $485,912 in the year earlier
       period, an improvement of 186%. Cash generated is calculated by adding
       amortization, stock-based compensation and accretion of carrying value
       on promissory note payable and debenture to the net loss.

    -  Acquired substantially all the assets of Direct Medical Data, LLC and
       BLM Incorporated, collectively "DMD", effective September 18, 2009.

"We are very pleased with our Company's advancement in fiscal 2009," said Chairman and CEO Dr. Roger Korman. "Improvements in both organic growth, combined with the completion of the purchase of assets of DMD has helped to deliver year over year and fourth quarter results that were the best in our history. On a quarterly basis, Aptilon has now delivered improving quarter over quarter revenue and gross margin results during each of the last seven quarters. We have expanded our suite of offerings to include both volume-based marketing impressions in addition to the generation of sales and marketing interactions. Aptilon continues to capitalize on new distribution channels for our products and services and we successfully transitioned several key clients from early stage to higher revenue operational contracts. Aptilon intends to further develop our roster of pharmaceutical clients and brands and increase the revenue generated from impressions and interaction generation in the year ahead," he added.

Financial Review 2009

For the year ended December 31, 2009, revenue increased 97% to $15.9 million compared to $8.0 million in 2008.

Gross margin for 2009 increased 105% to $10.3 million versus $5.0 million in 2008. Expressed as a percentage of revenue, gross margin increased to 65% for full-year 2009 from 63% in 2008 mainly due to improving average contract value with existing clients.

General and administrative ("G&A") expenses for 2009 were $3.5 million or 22% of revenue, compared to $3.1 million or 39% of revenue in 2008. G&A expenses consist primarily of salaries and benefits for executive management and administrative personnel, related office premises, and other infrastructure support costs. Stock-based compensation of $540,091 is also included in G&A.

Sales and marketing expenses for 2008 increased to $5.7 million compared to $5.4 million compared in 2008 primarily as a result of the DMD asset purchase completed in the third quarter. Sales and marketing expenses consist primarily of salaries (including commissions and bonuses) and related costs associated directly to sales and promotion activities.

Net loss for the year ended December 31, 2009 was $2.7 million or $0.02 per share, compared to $5.7 million or $0.03 per share in 2008 as the result of increasing revenue and improved operating efficiencies and larger base of clients.

The Company had 188,162,765 common shares outstanding at December 31, 2009.

Financial Review Fourth Quarter 2009

Revenue for the fourth quarter of 2009 totalled $6.3 million, an increase of 132% from $2.7 million in the fourth quarter of 2008 and 69% from $3.7 million in the third quarter of 2009. The increase is attributable to both organic growth and a full three-month impact of the assets acquired in the previous quarter.

The gross margin of $3.8 million in the fourth quarter represented 60% of revenue, slightly lower than the preceding three quarters of the year due to the revenue mix including the revenue from DMD purchased assets.

G&A in the fourth quarter of 2009 increased 44% from the same period in 2008, from $0.89 million to $1.28 million. Sales and marketing expenses also increased in the quarter, from $1.2 million in the fourth quarter of 2008 to $1.9 million in the fourth quarter of 2009. The increases in G&A and sales and marketing expenses experienced in the quarter were primarily due to the DMD acquisition completed in the third quarter 2009.

Net loss increased $366,128 from a net loss of $845,160 in the last quarter of 2008 to $1,211,288 in the final quarter of 2009. The increase in net loss was the result of the additional non-cash items (amortization, stock-based compensation and accretion expense) which amounted to $1,628,044 for the fourth quarter of 2009 compared to $359,248 in 2008.

About Aptilon Corporation

-------------------------

Aptilon enables pharmaceutical, biotech and medical device companies to effectively reach, advertise to and interact with more than 500,000 US physicians via the Internet through its innovative AxcelRx(SM) service offering including video detailing, ReachNet(SM) Physician Access Channel and the DMD database and permission-based email services. Top ten US pharmaceutical companies and respected healthcare organizations have adopted Aptilon's solutions to market to and engage leading physicians. For more information, visit www.aptilon.com.

AxcelRx(SM) and ReachNet(SM) are service marks of Aptilon Corporation.

Forward-looking statements

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This news release may contain forward-looking statements. These statements relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on information currently available to management of Aptilon. A number of factors could cause actual events, performance or results to differ materially from the events performance and results discussed in the forward-looking statements. These forward-looking statements are made as of the date hereof and Aptilon does not assume any obligation to update or revise them to reflect new events or circumstances.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE Aptilon Corporation

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