Mitesco Inc. (MITI) Reports 2021 Year-end Financial Results

MINNEAPOLIS, MN, April 05, 2022 (GLOBE NEWSWIRE) — via NewMediaWire — Mitesco, Inc. (OTCQB: MITI), an operator of primary care clinics using a nurse practitioner model to deliver a wide range of traditional medicine and wellness options, today reported that for the year ended December 31, 2021, the company had a net loss available to common shareholders of $11.2 million, or $(.06) per share, on revenue of $116,000, compared with a net loss available to common shareholders of $2.9 million, or $(.03) per share, on zero revenue for the year ended December 31, 2020.

Mitesco’s revenue in 2021 resulted from the opening, from February to September, of three of the company’s The Good Clinic primary care centers in Minneapolis.  The company’s increased loss for 2021 compared to 2020 was mainly due to an increase in operating expenses of about $3.5 million and an increase in declared Preferred Stock dividends and Preferred Stock deemed dividends of $3.2 million.

Excluding declared Preferred Stock dividends and Preferred stock deemed dividends, the company had a net loss in 2021 of $7.9 million, or $(.04) per share, compared with a net loss of $2.9 million, or $(.03) per share, in 2020.

At December 31, 2021, MITI had cash on hand of $1.2 million compared to approximately $65,000 at December 31, 2020, and zero long-term debt excluding operating leases for the clinics. Net cash raised via financing activities during 2021 was about $8.0 million, while net cash used in investing activities during the year was $1.9 million and net cash used in operating activities was $5.0 million

“I’m happy to report that we made significant progress in 2021,” said chief executive Larry Diamond. “As of December 31, we had six clinics open and operating in Minneapolis, with two more clinics under construction in the Denver area. Our total patient visits in Q4 – the first quarter in which we had three clinics open throughout — ramped up from less than 200 to over 1,300 per month and we anticipate this trend will improve in our three newly opened Minneapolis facilities. 

“We intend to open an additional 14 to 20 clinics this year in Minnesota and Colorado and another 10 to 14 clinics next year in Arizona and Florida, and expect Minnesota clinics to reach breakeven around year-end 2023. 

“Our business model – in which we staff our clinics solely with nurse practitioners rather than doctors — is unique in the primary care market, and gives us a 25 percent margin advantage over the typical physician-staffed clinic.

“We’re also making rapid strides towards uplisting to Nasdaq during the second quarter of this year. This move should expose us to a significant number of new investors, including key institutional investors. Going forward, we’re confident that our other unique attributes – offering patients a 40-minute average exam time, being located solely in densely populated residential buildings, having less than a one-day appointment wait time, and providing a wide gamut of both traditional and non-traditional wellness options – will allow us to differentiate ourselves from competitors, achieve faster than anticipated growth, and grow market share at an impressive rate.

“Lastly, our activities today include both the construction of clinics, which is capital intensive, and the operation of clinics, which is currently generating modest operating cashflow. It’s key, however, as we allocate our available capital, that we place a priority on the buildout of our clinic network, as each clinic is a cashflow generator for the future. We are finding strong acceptance of our clinic operation approach, supported by a modest level of local marketing, and plan to increase those marketing activities as our available capital increases following our imminent uplist, which we believe may accelerate our revenue growth,” explained Mr. Diamond. 

“We look forward to sharing this progress with our investors on a continual basis.”

For additional information on Mitesco’s 2021 financial performance, please see the company’s 10-K at https://www.mitescoinc.com/financials/sec-filings/

About Mitesco, Inc. and The Good Clinic, LLC

Mitesco is building a next-generation healthcare solution, providing healthcare services and technology, to make healthcare more accessible, higher quality, and more affordable. The Mitesco team has extensive experience in building successful growth situations within the healthcare industry, using both organic and acquisition growth strategies. Mitesco embraces that when consumers’ expectations are exceeded the business performance exceeds as well. Mitesco operations and subsidiaries include The Good Clinic, LLC (“The Good Clinic”). The Good Clinic (www.thegoodclinic.com) is a wholly-owned subsidiary of Mitesco N.A. LLC, the holding company for North American operations. The Good Clinic is building out a network of clinics using the latest telehealth technology with a certified nurse practitioner operating as its primary healthcare provider. The executive team at The Good Clinic includes key executives who brought Minute ClinicTM (previously known as Quickmedix) to scale, which was acquired by CVS in 2006.

Contacts:

Investor Relations
Jimmy Caplan
512-329-9505
Email: jimmycaplan@me.com

Media Relations
Rick Eisenberg
917-691-8934
Email: eiscom@msn.com