 Q2 2020 Revenues Increase 244 to Record 6.6 Million; Continues Nationwide Platform ExpansionTAMPA, FL, July 27, 2020 GLOBE NEWSWIRE -- Trxade Group, Inc. NASDAQ: MEDS, an integrated drug procurement, delivery and healthcare platform, has provided its financial results for the second quarter ended June 30, 2020.Selected Financial Highlights in millionsQ2 2020Q2 2019 Increase Decrease Revenues6.61.9244 Gross Profit2.01.272 Gross Margin30.460.750 Net Income Loss0.50.11,036 Adjusted EBITDA10.50.08525 1 Adjusted EBITDA is a non-GAAP financial measure and is described in relation to its most directly comparable GAAP measure under Use of Non-GAAP Financial Information below.Second Quarter 2020 Financial Summary Revenues for the second quarter of 2020 increased 244 to a record 6.6 million, compared to revenue of 1.9 million in the same quarter last year. Sequentially, this represents an increase of 199 when compared to revenues of 2.2 million in the first quarter of 2020. The increase in revenue was primarily due to a significant increase in personal protective equipment PPE sales by the Companys Integra Pharma segment as a response to the COVID-19 pandemic. Gross profit in the second quarter of 2020 increased 72 to 2.0 million, or 30.4 of revenues, compared to gross profit of 1.2 million, or 60.7 of revenues, in the same quarter last year. The increase in gross profit was at lower margins, which was primarily due to lower-margin sales of PPE, such as N95 masks and sanitizers. Operating expenses in the second quarter of 2020 were 2.5 million compared to 1.0 million in the same quarter last year. This increase is primarily due to non-cash stock-based compensation expenses. Net loss in the second quarter of 2020 was 0.5 million, or 0.07 per basic and diluted share outstanding, compared to net income of 0.1 million, or 0.01 per basic and diluted share outstanding, in the same quarter last year. Adjusted EBITDA, a non-GAAP financial measure, increased 525 to 0.5 million, compared to 0.08 million in the same quarter last year. Cash and cash equivalents were 4.2 million as of June 30, 2020, compared with 7.7 million as of March 31, 2020.More information regarding the Companys Q2 2020 results of operations can be found in the Quarterly Report on Form 10-Q which the Company plans to file July 27, 2020 with the Securities and Exchange Commission.Management CommentaryThe second quarter financial results, which showcased a 244 increase in revenues to a record 6.6 million and 72 increase in gross profit to 2.0 million, said Suren Ajjarapu, Chairman and Chief Executive Officer, who continued, This growth was driven by Personal Protective Equipment sales, such as N95 masks and sanitizer products through our Integra Pharma unit.Our affiliated service offerings also continue to expand, with Bonum Health proving to be a critical healthcare service to thousands of customers throughout the United States. To accelerate the growth of this telemedicine division, which we see a significant opportunity as more consumers look for innovative healthcare solutions, we recently appointed senior healthcare executive Ashton Maaraba as President of Bonum Health. As a seasoned leader, we look forward to leveraging his decades of relevant expertise to grow this segment.As we move through the second half of 2020, we are better positioned than ever to execute upon our vision of continued growth of the platform, driven by new independent pharmacies, new suppliers and distributors, concluded Mr. Ajjarapu.Second Quarter 2020 and Subsequent Operational Highlights Trxade continued to expand its platform nationwide, adding 325 new independent pharmacies in Q2 2020, bringing the total registered pharmacy members to over 11,725. Appointed senior healthcare executive Ashton Maaraba as President of Bonum Health, the Companys telemedicine subsidiary. Supplied multiple employers with COVID-19 rapid test kits for employees and families, providing a diagnosis within 15 minutes at the point of care. Engaged international investor relations specialists MZ Group to expand the Companys comprehensive strategic investor relations and financial communications program across all key markets.Conference Call and WebcastManagement will host a conference call today, July 27, 2020 at 5:00 p.m. EDT to discuss Trxade Groups 2020 second quarter financial results. The call will conclude with a QA from participants. To participate, please use the following information:Q2 2020 Conference Call and Webcast Date: Monday, July 27, 2020 Time: 5:00 p.m. Eastern Daylight time U.S. Dial-in: 1-877-425-9470 International Dial-in: 1-201-389-0878 Conference ID: 13707025 Webcast: dial in at least 10 minutes before the start of the call to ensure timely participation.A playback of the call will be available through August 27, 2020. To listen, call 1-844-512-2921 within the United States or 1-412-317-6671 when calling internationally. Please use the replay pin number 13707025. A webcast will also be available for 30 days on the IR section of the Trxade Group website or by clicking the webcast link above.About Trxade Group, Inc.Headquartered in Tampa, Florida, Trxade Group, Inc. Nasdaq: MEDS is an integrated drug procurement, delivery and healthcare platform that fosters price transparency, thereby improving profit margins for both buyers and sellers of pharmaceuticals. Trxade Group operates across all 50 states with the central mission of making healthcare services affordable and accessible. Founded in 2010, Trxade Group is comprised of four synergistic operating platforms; 1 the Trxade B2B trading platform with 11,725 registered pharmacies, 2 Integra Pharma Solutions, Trxade Groups virtual wholesale division, 3 the Bonum Health platform offering affordable telehealth services; and 4 the DelivMeds app, which coordinates a nationwide distribution network through independent pharmacies or mail order delivery. For additional information, please visit us at and of Non-GAAP Financial InformationThis earnings release discusses EBITDA and Adjusted EBITDA. These measurements are not recognized in accordance with generally accepted accounting principles GAAP and should not be viewed as an alternative to GAAP measures of performance. EBITDA represents net income before interest, taxes, depreciation and amortization. Adjusted EBITDA is defined as EBITDA before stock-based compensation expense and gain loss in equity investment. EBITDA and Adjusted EBITDA are presented because we believe they provide additional useful information to investors due to the various noncash items during the period. EBITDA and Adjusted EBITDA have limitations as analytical tools, and you should not consider them in isolation, or as a substitute for analysis of our operating results as reported under GAAP. Some of these limitations are: EBITDA and Adjusted EBITDA do not reflect cash expenditures, future requirements for capital expenditures, or contractual commitments; EBITDA and Adjusted EBITDA do not reflect changes in, or cash requirements for, working capital needs; and EBITDA and Adjusted EBITDA do not reflect the significant interest expense, or the cash requirements necessary to service interest or principal payments, on debt or cash income tax payments. Although depreciation and amortization are noncash charges, the assets being depreciated and amortized will often have to be replaced in the future, and EBITDA and Adjusted EBITDA do not reflect any cash requirements for such replacements. Additionally, other companies in our industry may calculate EBITDA and Adjusted EBITDA differently than Trxade Group, Inc. does, limiting its usefulness as a comparative measure. See also Reconciliation of Net Income attributable to Trxade Group, Inc., to Earnings before Interest, Taxes, Depreciation and Amortization EBITDA and Adjusted EBITDA, below.Forward-Looking StatementsThis press release may contain forward-looking statements, including information about managements view of Trxades future expectations, plans and prospects, within the safe harbor provisions under The Private Securities Litigation Reform Act of 1995 the Act. In particular, when used in the preceding discussion, the words may, could, expect, intend, plan, seek, anticipate, believe, estimate, predict, potential, continue, likely, would and variations of these terms and similar expressions, or the negative of these terms or similar expressions are intended to identify forward-looking statements within the meaning of the Act, and are subject to the safe harbor created by the Act. Any statements made in this news release other than those of historical fact, about an action, event or development, are forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors, which may cause the results of Trxade, its divisions and concepts to be materially different than those expressed or implied in such statements. These risk factors and others are included from time to time in filings made by Trxade with the Securities and Exchange Commission, including, but not limited to, in the Risk Factors sections in its Form 10-Ks and Form 10-Qs and in its Form 8-Ks, which we have filed, and file from time to time, with the U.S. Securities and Exchange Commission. These reports are available at Other unknown or unpredictable factors also could have material adverse effects on Trxades future results andor could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements. 