Access Plans (OTC BB:APNC)

Third Quarter 2011 Results

• Revenues decreased 9%, as expected, to $13.1 million, reflecting mandated commission schedule reductions on major medical policies sold by the Insurance Marketing Division effective January 1, 2011.
• Net income increased 61% to approximately $1.5 million, or $0.07 per diluted share, in the third quarter of FY2011, compared with $0.9 million, or $0.05 per diluted share, in the corresponding period of the previous fiscal year.

"For the nine months of Fiscal 2011, the Company has produced record earnings, and our debt-free balance sheet is stronger than ever," noted Danny Wright, Chairman and Chief Executive Officer of Access Plans, Inc. "The return to historic margin levels in the Wholesale and Retail Plan divisions, coupled with increased employee productivity, have more than offset the challenges that our Insurance Marketing Division has faced due to the reduction in major medical insurance commissions mandated by the Health Care Reform Act. The Company continues to see increased customer participation in many of its membership programs and expects this trend to continue. We expect earnings in the fourth quarter of Fiscal 2011 to substantially exceed earnings in the prior-year period and look forward to a record fiscal year ending September 30, 2011."

The GeoTeam® will track the  story due to the following commentary in its fiscal 2009 fourth quarter press release:

"Fiscal 2009 was a transformational year for the Company as we successfully enhanced and expanded our operations through the Access Plans acquisition and integration," commented Danny Wright, Chief Executive Officer. "In the fourth quarter, we continued to realize additional efficiencies resulting from the acquisition and consolidation of our Atlanta call center operation into the Irving, Texas location. This will result in significant annualized savings going forward."

Source: Business Wire (December 11, 2009)