VitalHub Achieves Record Revenues in Q3 2021 with ARR over $21.5 million

TORONTO, Nov. 15, 2021 (GLOBE NEWSWIRE) -- VitalHub Corp. (the “Company” or “VitalHub”) (TSX: VHI) announced today it has filed its Interim Condensed Consolidated Financial Statements and Management's Discussion and Analysis report for the three and nine months ended September 30, 2021 with the Canadian securities authorities. These documents may be viewed under the Company's profile at

When asked to comment on the results, VitalHub CEO Dan Matlow said,

“Although Q3 is traditionally a slower quarter due to the summer months, we have continued to experience strong organic growth and improved earnings year-over-year and quarter-over-quarter. Despite experiencing some extraordinary costs pertaining to our uplisting to the TSX and bank financing transaction, we have continued to see operational and financial improvement from the previous quarter. While the valuations of digital health providers have experienced multiple compression in recent months, we believe our status as a near pure SaaS-based software company differentiates us significantly, and is continually substantiated by improvements in key performance indicators and our reported financials.”

The Company will be holding a conference call via Zoom on November 16th, 2021, at 9:00am EST hosted by CEO Dan Matlow and CFO Brian Goffenberg with a Q&A session to follow. To register for the conference call please visit: VitalHub Q3 2021 Conference Call or

Third Quarter 2021 Highlights

  • Revenue of $6,619,047, an increase of $3,426,881 or 107% from the comparative period in the prior year.
  • Gross profit as a percentage of revenue for Q3 2021 was 82% compared to 81% in Q3 2020 and 77% compared to Q2 2021.
  • ARR (1, 2) grew by $1,811,726 to $21,569,032, achieving 9% growth in Q3 2021 versus Q2 2021.
  • ARR (1) consists of $513,488 or 2.60% organic growth and $1,298,238 or 6.57% acquisition growth in Q3 2021 versus Q2 2021.
  • Net (loss) of ($575,792) compared to a net loss of ($1,065,505) from the comparative period in the prior year.
  • EBITDA (2) of $189,088 compared to ($419,362) from the comparative period in the prior year.
  • Adjusted EBITDA (Non-IFRS measure) of $1,277,573, or 19% of revenue, compared to $502,595 or 16% of revenue from the comparative period in the prior year.
  • Cash on hand at September 30, 2021 was $15,704,130 compared to $23,391,946 as at December 31, 2020.
  • Cashflows from operations before changes in working capital was $1,394,927 for the period as compared to $352,464 for the same period last year.
  • During the quarter the Company arranged a $10,000,000 acquisition debt facility from the technology and Innovation banking division of The Bank of Nova Scotia.
  • On September 23, 2021 the Company commenced trading on the Toronto Stock Exchange (“TSX”). The common shares were previously listed on the TSX Venture Exchange (“TSXV”) since December 2, 2016.

Q3 2021 and 2020 Results

 Three months ended Nine months ended
30, 2021
% RevenueSeptember
30, 2020
% RevenueChangeSeptember
30, 2021
% RevenueSeptember
30, 2020
% RevenueChange
 $ $ %$ $ %
Revenue6,619,047 100%3,192,166 100%107%17,734,300 100%8,711,060 100%104%
Cost of sales1,174,244 18%618,482 19%90%3,773,770 21%2,264,839 26%67%
Gross Profit5,444,803 82%2,573,684 81%112%13,960,530 79%6,446,221 74%117%
Operating Expenses           
  General and administrative1,361,762 21%680,030 21%100%3,638,214 21%2,019,506 23%80%
  Sales and marketing974,506 15%433,933 14%125%2,646,543 15%896,725 10%195%
  Research and development1,875,775 28%859,192 27%118%4,328,219 24%1,992,248 23%117%
  Depreciation42,625 1%29,598 1%44%117,314 1%82,961 1%41%
  Depreciation of right-of-use assets71,006 1%55,495 2%28%201,769 1%162,341 2%24%
  Stock based compensation484,226 7%101,720 3%376%1,088,306 6%189,493 2%474%
  Foreign currency loss (gain)(44,469)(1%)97,934 3%(145%)148,311 1%(1,394)(0%)(10736%)
Other Income and Expenses          
  Amortization of intangible assets637,685 10%541,129 17%18%1,618,502 9%1,427,604 16%13%
  Business acquisition, restructuring and integration costs604,259 9%820,237 26%(26%)1,463,345 8%1,075,803 12%36%
  Interest expense and accretion (net of interest income)(7,292)(0%)(59)(0%)12177%(25,584)(0%)9,210 0%(378%)
  Interest income from sublease0 0%(404)(0%)(100%)0 0%(1,703)(0%)(100%)
  Interest expense from lease liabilities20,856 0%18,509 1%13%64,236 0%58,790 1%9%
  Loss on disposal of property and equipment(344)(0%)0 0%0%2,153 0%0 0%100%
Current income taxes0 0%1,875 0%100%10,071 0%(14,859)(0%)(168%)
Net (loss) income(575,792)(9%)(1,065,505)(33%)(46%)(1,340,869)(8%)(1,450,504)(17%)(8%)
EBITDA (Non-IFRS measure)189,088 3%(419,362)(13%)(145%)645,439 4%273,840 3%136%
Adjusted EBITDA (Non-IFRS measure)1,277,573 19%502,595 16%154%3,197,090 18%1,539,136 18%108%
Annualized Recurring Revenue (Non-IFRS measure)21,569,032  7,491,841  188%21,569,032  7,491,841  188%
Recurring revenue (Non-IFRS Measure)5,462,774 83%2,479,513 78%120%13,960,056 79%6,125,295 70%128%



Software for Health and Human Services providers designed to simplify the user experience & optimize outcomes.

VitalHub provides technology to Health and Human Services providers including; Hospitals, Regional Health Authorities, Mental Health, Long Term Care, Home Health, Community and Social Services. VitalHub solutions span the categories of Electronic Health Record (EHR), Case Management, Care Coordination, Patient Flow & Operational Visibility, and DOCit Mobile Apps.

The Company has a robust two-pronged growth strategy, targeting organic growth opportunities within its product suite, and pursuing an aggressive M&A plan. Currently, VitalHub serves 275+ clients across Canada, USA, UK, Australia, Qatar, and Latvia. VitalHub is based in Toronto, Canada, with an offshore development hub in Sri Lanka. The Company is publicly traded on the TSX Venture Exchange under the symbol “VHI”.


This press release includes forward-looking statements regarding the Corporation and its business, which may include, but is not limited to, statements with respect to the appointment of a new directors. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "is expected", "expects", "scheduled", "intends", "contemplates", "anticipates", "believes", "proposes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Such statements are based on the current expectations of the management of each entity and are based on assumptions and subject to risks and uncertainties. Although the management of each entity believes that the assumptions underlying these statements are reasonable, they may prove to be incorrect. The forward-looking events and circumstances discussed in this release, may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting the companies, including risks regarding the technology industry, failure to obtain regulatory or shareholder approvals, market conditions, economic factors, the equity markets generally and risks associated with growth and competition. Although the Corporation has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. No forward-looking statement can be guaranteed. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and the Corporation undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.


Dan Matlow
Chief Executive Officer, Director
(416) 727-9061