MONTREAL, May 29, 2023 (GLOBE NEWSWIRE) -- Premier Health of America Inc. (TSXV: PHA) (the “Corporation”), a leading Canadian Healthtech company, announces it has filed its Unaudited Quarterly Consolidated Financial Statements and MD&A for its first quarter ended March 31, 2023.
| First Quarter 2023 Highlights | ||||
| (in Canadian dollars) | March 31, 2023 (3 months) | March 31, 2022 (3 months) | March 31, 2023 (6 months) | March 31, 2022 (6 months) |
| Revenues | 21,795,296 | 17,583,869 | 43,370,345 | 35,999,588 |
| Gross margin | 5,781,011 | 4,335,299 | 10,844,459 | 8,755,848 |
| Gross margin as a % of revenues | 26.5% | 24.7% | 25.0% | 24.3% |
| Adjusted EBITDA (1) | 1,935,548 | 466,798 | 3,439,215 | 1,952,448 |
| Net Income (Loss) | 60,363 | (770,594) | (315,593) | (459,305) |
(1) See the Corporation’s MD&A for details on this non-Gaap measure.
Summary
- The Corporation had revenues of $21.8M for the second quarter ($17.6M for the same period in 2022).
- Gross margin for the quarter was 26.5%, slightly above our long-term target of 25%.
- Adjusted EBITDA for the quarter was $1.9M ($0.5M for the same period in 2022).
- Increases in revenue and Adjusted EBITDA are mainly attributable to the consolidation of Canadian Health Care Agency (“CHCA”) acquired in April of 2022, which more than offset for lower activity in Quebec.
- Net Income for the quarter was $0.1M (Net Loss of $0.3M for the same period in 2022).
“We are happy to report improved results for this quarter. Our gross margins remain within our target range while CHCA continues to deliver results in-line with the expectations we had when we purchased it last year. We are thrilled about the diversification it brings to our portfolio and eager to add more assets in Ontario and the rest of Canada,” said Martin Legault, CEO of Premier Health. “We’ll continue to rigorously manage our existing assets as we monitor the evolving Quebec market.”
Business Highlights
- The Corporation provided 212,600 hours of service during the quarter.
- The special measures imposed by the Ministry of Health last year were lifted as of January 1st,2023, for all regions outside of Montreal, Laval, Quebec City and Sherbrooke. As a reminder, these measures were adopted in response to the pandemic. They imposed pricing below existing contracts awarded through a competitive public procurement process.
- Acquisition of Ontario based CHCA in the third quarter of FY2022 continues to contribute positively to earnings.
- Successful launch of new mobile application with additional timesheet management features.
- Continued development of our LiPHe platform to further improve automation of our business processes. Deployment is in process at some of our subsidiaries.
Province of Quebec
We expected a gradual return to normality in 2023. However, the National Assembly of Quebec sanctioned Bill 10 on April 20th, 2023. Bill 10 mainly states that the Ministry of Health can decide where, when and for how long institutions can use independent labour. Such decisions need to be enacted through the issuance of specific directives and as long as such directives are not issued, we do not expect a material impact on our business units in Quebec. We believe that our services offer flexibility to both professionals and institutions, and as such, play a vital role in providing quality healthcare to the population. Independent labour accounts for less than 5% of the total hours worked in the public health care system and should be viewed as tool to ensure there is no rupture in the delivery of care. We are supporting clear directives including clear engagement parameters and tender processes. We believe this could prove positive for the industry and possibly decrease the average cost paid by the Ministry of Health for our services. We are closely monitoring the situation and are actively involved in the overall reflection with the Quebec Ministry of Health on the future of our industry through our industry association.
Canadian Health Care Agency
The Ontario agency was acquired in April of 2022 and contributed to the company’s results for the full first six months of 2023. For the period CHCA contributed around 30% of the consolidated revenues. The integration of CHCA is going as planned with a solid and well-established management team. CHCA is an important service provider to the Federal Government and is also providing services to provincial entities namely in Manitoba and British Columbia. CHCA recently was awarded a new contract in British Columbia for revenues of approximately 2 million dollars.
About Premier Health
Premier Health is a leading Canadian Healthtech company that provides a comprehensive range of outsourced services solutions for healthcare needs to governments, corporations, and individuals. Premier Health uses its proprietary LiPHe platform to lead the healthcare services sector digital transformation to provide patients with faster, cheaper, and more accessible care services.
Non-GAAP Measures
Earnings before interest, taxes, depreciation, and amortization (“EBITDA”), is calculated as the net profit (loss), before non-recurring items excluding acquisition and transaction costs, non-cash expenses (including loss from disposal of assets, impairments, amortization, and depreciation), interest expense, net of interest income and income tax expense. More detail can be found in PHA’s Management Discussion and Analysis.
For Further Information Please Contact:
Mr. Guy Daoust
Chief Financial Officer
Premier Health of America Inc.
gdaoust@premierhealth.ca / 1 800 231 9916
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION:
This press release contains forward-looking information based on current expectations. Statements about the date of trading of the Corporation’s common shares on the Exchange and final regulatory approvals, among others, are forward-looking information. These statements should not be read as guarantees of future performance or results. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance, or achievements to be materially different from those implied by such statements. The Corporation assumes no responsibility to update or revise forward-looking information to reflect new events or circumstances unless required by law. These factors and others are more fully discussed in the filings of the Corporation with Canadian securities regulatory authorities available at www.sedar.com.
