EXHIBIT 99.1

The Joint Corp. Reports First Quarter 2016 Financial Results

Added 7 Company-Owned or Managed and 12 Franchised Clinics in First Quarter

SCOTTSDALE, Ariz., May 12, 2016 (GLOBE NEWSWIRE) -- The Joint Corp. (NASDAQ:JYNT), a national operator, manager and franchisor of chiropractic clinics, today reported results for the quarter ended March 31, 2016. 

Financial Highlights

“Our first quarter results showed a strong start to the year and a continuation of our growth and operating strategy,” said John B. Richards, chief executive officer of The Joint Corp. “We expanded in the Chicago, Los Angeles and Orange County, California markets by adding newly-developed clinics as well as franchised clinics during the quarter. Operational influence on sales performance across the portfolio of acquired company-owned or managed clinics has been strong, evidenced by revenues from clinics acquired and owned or managed for at least nine months increasing by 28% on average in the first nine months under our management. In addition, the performance of clinics that we have operated for greater than 48 months continued their strong comp clinic revenue growth, growing by 17% in the first quarter of 2016 over the prior year period.”

Richards added, “I am also pleased to announce the addition of Peter Holt as chief operating officer. Peter brings a wealth of operational and development experience to us at a critical time in the company’s growth. His appointment underscores our continued commitment toward overall operational excellence and service to our important franchise system as we move toward profitability and continue the expansion of our exciting concept.” 

First Quarter 2016 Financial Results

Revenue for the first quarter of 2016 increased 70% to $4.3 million from $2.5 million in the first quarter of the prior year due primarily to the addition and growth of 42 company-owned or managed clinics and the addition of 36 franchised clinics since March 31, 2015.

Cost of revenue in the first quarter of 2016 increased 36% compared to the first quarter of 2015, due primarily to an increase in regional developer royalties driven by the continued growth in sales and openings of franchised clinics.

Selling and marketing expense decreased to $0.7 million in the first quarter of 2016, compared to $1.0 million in the same period last year, due to the timing of the Company’s national marketing fund expenditures.  

General and administrative expense increased to $5.7 million in the first quarter of 2016, compared to $2.8 million in the first quarter of 2015, due to payroll and occupancy expenses at the Company’s 54 owned or managed clinics, and to increases in the number of employees to support the company’s growth initiatives and public company operations.

Depreciation and amortization expense increased for the first quarter of 2016, compared to the same period last year, due to the addition of property and equipment and intangible assets relating to acquisitions of franchises and regional developer rights, as well as the growth in the number of greenfield clinics.

Operating loss in the first quarter of 2016 was ($3.5) million, compared to an operating loss of ($1.9) million in the first quarter of 2015. Net loss in the first quarter of 2016 was ($3.5) million, or ($0.28) per share, compared to a net loss of ($1.9) million or ($0.20) per share in the same period last year.

Adjusted EBITDA in the first quarter of 2016 was ($2.7) million, compared to ($1.5) million in the same quarter the prior year.

As of March 31, 2016, cash and cash equivalents were $10.4 million, compared to $16.8 million at December 31, 2015.

2016 Financial Guidance

For full year 2016, The Joint Corp. is reiterating guidance for total revenues and net new clinic openings and adjusting guidance for Adjusted EBITDA as set forth below:

Conference Call

The Joint Corp. management will host a conference call at 5:00 p.m. ET on Thursday, May 12, 2016, to discuss the first quarter 2016 results. The conference call will be accessible by dialing 844-464-3931 (U.S.) or 765-507-2604 (international), and referencing 93144858. A live webcast of the conference call will also be available on the investor relations section of the company’s website at www.thejoint.com.  An audio replay will be available two hours after the conclusion of the call through May 19, 2016. The replay can be accessed by dialing (855) 859-2056 or (404) 537-3406. The passcode for the replay is 93144858.

Non-GAAP Financial Information

This earnings release includes a presentation of EBITDA and Adjusted EBITDA, which are non-GAAP financial measures. EBITDA and Adjusted EBITDA are presented because they are important measures used by management to assess financial performance, as management believes they provide a more transparent view of the Company’s underlying operating performance and operating trends. Reconciliations of net loss to EBITDA and Adjusted EBITDA are presented within the tables below. The company defines Adjusted EBITDA as EBITDA before acquisition-related expenses, bargain purchase gain, and stock-based compensation expense. The company defines EBITDA as net income (loss) before net interest, taxes, depreciation and amortization expense.

EBITDA and Adjusted EBITDA do not represent and should not be considered alternatives to net income or cash flows from operations, as determined by accounting principles generally accepted in the United States, or GAAP. While EBITDA and Adjusted EBITDA are frequently used as measures of financial performance and the ability to meet debt service requirements, they are not necessarily comparable to other similarly titled captions of other companies due to potential inconsistencies in the methods of calculation. EBITDA and Adjusted EBITDA should be reviewed in conjunction with the Company’s financial statements filed with the SEC. 

Forward-Looking Statements

This press release contains statements about future events and expectations that constitute forward-looking statements.  Forward-looking statements are based on our beliefs, assumptions and expectations of industry trends, our future financial and operating performance and our growth plans, taking into account the information currently available to us.  These statements are not statements of historical fact.  Forward-looking statements involve risks and uncertainties that may cause our actual results to differ materially from the expectations of future results we express or imply in any forward-looking statements and you should not place undue reliance on such statements.  Factors that could contribute to these differences include, but are not limited to, our failure to develop or acquire corporate clinics as rapidly as we intend, our failure to profitably operate corporate clinics, and the factors described in “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2015, as filed with the SEC. Words such as "anticipates", "believes", "continues", "estimates", "expects", "goal", "objectives", "intends", "may", "opportunity", "plans", "potential", "near-term", "long-term", "projections", "assumptions", "projects", "guidance", "forecasts", "outlook", "target", "trends", "should", "could", "would", "will" and similar expressions are intended to identify such forward-looking statements. We qualify any forward-looking statements entirely by these cautionary factors.  We assume no obligation to update or revise any forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.  Comparisons of results for current and any prior periods are not intended to express any future trends or indications of future performance, unless expressed as such, and should only be viewed as historical data.

About The Joint Corp. (NASDAQ:JYNT)

The Joint is reinventing chiropractic by making quality care convenient and affordable for patients seeking pain relief and ongoing wellness. Our no-appointment policy and convenient hours and locations make care more accessible, and our affordable membership plans and packages eliminate the need for insurance. With 330+ clinics nationwide and more than 3 million patient visits annually, The Joint is an emerging growth company and key leader in the chiropractic profession. For more information, visit www.thejoint.com, follow us on Twitter @thejointchiro and find us on Facebook, You Tube and LinkedIn.

Business Structure

The Joint Corp. is a franchisor of clinics and an operator of clinics in certain states. In California, Colorado, Florida, Illinois, Minnesota, New Jersey, New York, North Carolina, Oregon and Tennessee, The Joint and its franchisees provide management services to affiliated professional chiropractic practices.

1 Comp Sales refers to the amount of sales a clinic generates in the most recent accounting period, relative to the amount of sales it generated in a similar period in the past, and (i) includes sales only from clinics that have been open at least 13 full months and (ii) excludes any clinics that have closed.


THE JOINT CORP. AND SUBSIDIARY
CONDENSED CONSOLIDATED BALANCE SHEETS
      
   March 31, December 31,
    2016   2015 
ASSETS     
Current assets:     
Cash and cash equivalents  $10,367,496  $16,792,850 
Restricted cash   457,267   385,282 
Accounts receivable, net   1,645,429   743,239 
Income taxes receivable   38,960   70,981 
Note receivable - current portion   48,763   60,908 
Deferred franchise costs - current portion   630,900   605,850 
Prepaid expenses and other current assets   445,030   366,033 
Total current assets   13,633,845   19,025,143 
Property and equipment, net   7,968,588   7,138,746 
Note receivable, net of current portion and reserve   10,710   15,823 
Deferred franchise costs, net of current portion   1,342,148   1,534,700 
Intangible assets, net   2,607,342   2,542,269 
Goodwill   2,466,937   2,466,937 
Deposits and other assets   642,049   638,710 
Total assets  $28,671,619  $33,362,328 
      
LIABILITIES AND STOCKHOLDERS' EQUITY      
Current liabilities:     
Accounts payable  $1,564,406  $1,996,971 
Accrued expenses   288,424   375,529 
Co-op funds liability   104,532   201,078 
Payroll liabilities   663,442   1,493,375 
Notes payable - current portion   461,350   451,850 
Deferred rent - current portion   279,251   334,560 
Deferred revenue - current portion   2,714,134   2,579,423 
Other current liabilities   96,290   54,596 
Total current liabilities   6,171,829   7,487,382 
Notes payable, net of current portion   -   130,000 
Deferred rent, net of current portion   1,140,780   457,290 
Deferred revenue, net of current portion   3,799,867   4,369,702 
Other liabilities   206,744   238,648 
Total liabilities   11,319,220   12,683,022 
Commitments and contingencies     
Stockholders' equity:     
Series A preferred stock, $0.001 par value; 50,000     
shares authorized, 0 issued and outstanding, as of March 31, 2016,     
and  December 31, 2015   -   - 
Common stock, $0.001 par value; 20,000,000 shares     
authorized, 13,118,336 shares issued and 12,584,336 shares outstanding     
as of March 31, 2016 and 13,070,180 shares issued and 12,536,180     
outstanding as of December 31, 2015   13,118   13,070 
Additional paid-in capital   35,465,555   35,267,376 
Treasury stock (534,000 shares as of March 31, 2016 and     
December 31, 2015, at cost)   (791,638)  (791,638)
Accumulated deficit   (17,334,636)  (13,809,502)
Total stockholders' equity   17,352,399   20,679,306 
Total liabilities and stockholders' equity  $28,671,619  $33,362,328 
      
 
The accompanying notes are an integral part of these condensed consolidated financial statements.
      


THE JOINT CORP. AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
      
      
   Three Months Ended
   March 31,
    2016   2015 
   (unaudited)
Revenues:     
Royalty fees  $1,368,831  $1,015,513 
Franchise fees   514,800   348,000 
Revenues and management fees from company clinics   1,658,553   387,453 
Advertising fund revenue   265,721   285,516 
IT related income and software fees   221,134   203,975 
Regional developer fees   147,537   217,500 
Other revenues   88,460   49,941 
Total revenues   4,265,036   2,507,898 
Cost of revenues:     
Franchise cost of revenues   694,735   507,566 
IT cost of revenues   45,228   37,695 
Total cost of revenues   739,963   545,261 
Selling and marketing expenses   738,683   967,024 
Depreciation and amortization   575,544   122,596 
General and administrative expenses   5,696,507   2,788,240 
Total selling, general and administrative expenses   7,010,734   3,877,860 
Loss from operations   (3,485,661)  (1,915,223)
      
Other income, net   4,924   11,500 
      
Loss before income tax expense   (3,480,737)  (1,903,723)
      
Income tax expense   (44,397)  - 
      
Net loss and comprehensive loss  $(3,525,134) $(1,903,723)
      
Loss per share:     
Basic and diluted loss per share  $(0.28) $(0.20)
      
Basic and diluted weighted average shares   12,567,901   9,662,502 
      
Non-GAAP Financial Data:     
Net loss   (3,525,134)  (1,903,723)
Interest expense   4,451   528 
Depreciation and amortization expense   575,544   122,596 
Tax expense (benefit) penalties and interest   44,397   - 
EBITDA  $(2,900,742) $(1,780,599)
Stock compensation   197,669   132,287 
Acquisition related expenses   30,861   142,709 
Adjusted EBITDA  $(2,672,212) $(1,505,603)
      

The above table presents the reconciliation of net income (loss) to Adjusted EBITDA for the three months periods ended March 31, 2016 and 2015.

THE JOINT CORP. AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
       
    Three Months Ended
    March 31, 
     2016   2015 
       
Net loss   $(3,525,134) $(1,903,723)
Adjustments to reconcile net loss to net cash    732,113   84,730 
Changes in operating assets and liabilities    (2,966,707)  475,932 
Net cash used in operating activities    (5,759,728)  (1,343,061)
Net cash used in investing activities    (545,684)  (2,370,792)
Net cash used in financing activities    (119,942)  - 
Net decrease in cash   $(6,425,354) $(3,713,853)
       

Investor Contact: 
Peter Vozzo
[email protected]
443-213-0505

Media Contact: 
Inna Lazarev
Public Relations Manager
[email protected]