PlanetRx.com Charts Strong 1Q Sales, Income Slump

PlanetRx.com Charts Strong 1Q Sales, Income Slump

SOUTH SAN FRANCISCO, Calif.--Internet healthcare destination PlanetRx.com Inc.(NASDAQ:PLRX) reported increased revenues and a continued earnings dive for its firstquarter ended Mar. 31. Net sales shot up 72 percent to $8.8 million, compared to $5.1million sold the year prior. Of these revenues, $7.8 million were e-commerce sales, whichwere up 71 percent, and $1 million were sponsorship revenues, which grew 79 percent.Itemized, prescription drugs accounted for 55 percent of total sales, a 49 percentincrease compared to the same period last year. Prescription refills contributed 44percent of total e-commerce sales, compared to 35 percent in the equivalent 1999 quarter.Despite the sales increase, first quarter net loss plummeted to $49.6 million or $1.05 pershare from $6.4 million or $2.76 per share the year prior. The widened loss includedamortization of stock-based compensation and intangible assets.

"PlanetRx.com's strong financial results for the first quarter 2000 continue tosupport the long-term viability of our business model," said Michael Beindorff,president and chief executive officer. "Our customer growth of over 57 percentindicates that consumers are increasingly looking to the Internet for their prescriptionsand health and beauty products."

First quarter highlights included a expansion of the capacity for filling prescriptionscovered under both the mail and retail benefit, in conjunction with Express Scripts, aswell as a joint branded site launch by PLRX and CCN, a preferred provider organization.The joint venture will allow more than 8 million CCN employees and beneficiaries to accessPLRX products and community offerings directly from the CCN homepage. Also during thequarter, signed several agreements to expand access to its site. Agreements were made withBabyCenter.com, which made PLRX the exclusive pharmacy partner; Lens Express, which becamethe premier contact lens provider for PLRX; MedicaLogic Inc., which will provideprescriptions from its Internet clinicians; and NextCard, which will use aggressive onlinemarketing to promote PLRX.

For more information, contact Steve Valenzuela at (650) 616-1520 or [email protected].