- WELL expects to announce strong, record financial performance
for Q4-2021 with annualized revenue run-rate exceeding C$450 million, which is better than the
previously provided guidance. WELL also expects to achieve
annualized operating Adjusted EBITDA run-rate approaching
C$100 million in Q4-2021.
- Total omni-channel patient visits(1) in Q4-2021
increased by 121% to 692,913 compared to Q4-2020, and reflected a
19% increase as compared to Q3-2021.
- CRH Medical ("CRH"), had a solid Q4-2021 and continues
to execute to plan. The company is on track to deliver
approximately US$43 million in free
cashflow before tax and leverage costs for the full year in
2021.
- WELL expects strong growth from its US focused virtual services
businesses in Q4-2021, with Circle Medical and Wisp revenues
approaching US$70 million in
annualized revenue run-rate on a combined basis. Circle Medical and
Wisp's combined revenue run-rate is expected to exceed US$100M later in 2022.
- WELL plans to activate its previously approved share buyback
program after it has released its Q4 and 2021 financial results and
is no longer restricted.
VANCOUVER, BC, Jan. 20,
2022 /PRNewswire/ - WELL Health Technologies Corp.
(TSX: WELL) ("WELL" or the "Company"), a company
focused on positively impacting health outcomes by leveraging
technology to empower healthcare practitioners and their patients
globally, is pleased to announce preliminary results for Q4-2021
ending December 31, 2021 are expected
to demonstrate strong financial performance underpinned by
significant growth in patient visits. The Company ended Q4 and 2021
with an annualized revenue run-rate exceeding C$450 million and annualized operating Adjusted
EBITDA run-rate approaching C$100
million. The Company's revenue growth was better than
the previously provided guidance of "approaching C$450 million annualized revenue run-rate".
Q4-2021 results benefitted from strong organic growth in both the
omni-channel patient services and virtual services segments of the
business. In addition, WELL completed its control acquisition of
Wisp a leading virtual care and e-pharmacy solution specializing in
women's health, at the start of Q4-2021 which also contributed to
the positive results in the quarter amongst other small tuck-in
transactions.
WELL achieved a total of 692,913 omni-channel patient
visits(1) in Q4-2021, representing a year-over-year
increase of 121% compared to Q4-2020, and 19% increase compared to
Q3-2021. In addition, MyHealth conducted 146,116 diagnostic visits
in Q4-2021, while Wisp completed 126,265 asynchronous patient
consultations. Combining WELL's omni-channel patient
visits(1), MyHealth's diagnostic visits and Wisp's
asynchronous patient consultations, WELL achieved a total of
965,294 patient interactions in Q4-2021, representing an annual
run-rate of 3.86 million patient interactions.
"We are very pleased to provide this update to shareholders as
WELL's business has never been stronger as evidenced by our solid
patient visit metrics, a key leading indicator of our financial
performance and profitability given the historically resilient per
unit economics of our patient services business," said Hamed Shahbazi, Chairman and CEO of WELL Health.
"With our strong balance sheet and positive cash generation
profile, WELL is favourably positioned to continue to grow both
organically and inorganically. We believe revenue, Adjusted EBITDA
and cashflow are key metrics to watch as we expected them to
continue to rise on a per share basis. We are looking forward to
reporting our Q4 and full year financials, which we believe will
continue to demonstrate continued strong financial performance and
cashflow generation metrics."
CRH Update
WELL's wholly owned subsidiary, CRH, continues to execute to
plan and is on track to deliver approximately US$43 million in free cashflow before tax and
leverage costs in 2021. During Q4-2021, CRH also completed the 100%
acquisition of Utah Anaesthesia, a Utah based anaesthesia group, which is
expected to generate approximately US$2.5
million in annual EBITDA. Furthermore, WELL continues to
demonstrate network effects from its CRH acquisition and opened a
new haemorrhoid treatment clinic in Toronto and completed the acquisition of
another haemorrhoid treatment center in Surrey, BC. Both clinics are majority owned by
WELL as 51% partnerships. WELL plans to open several additional de
novo haemorrhoid treatment clinics in BC and Ontario as well as in the United States over the next few
months.
Circle Medical and Wisp Update
WELL's US-based virtual services businesses, which includes
Circle Medical and Wisp, continued to demonstrate strong growth in
Q4-2021. The combined revenue run-rate of these two
businesses was approaching US$70
million in Q4-2021 and is expected to cross the US$100M threshold later this year. In addition,
Circle Medical demonstrated growth in Q4-2021 driven by patient
visits increasing 144% in Q4-2021 compared to Q4-2020. The number
of practitioners working with Circle Medical in Q4-2021 increased
by 173% as compared to Q4-2020.
Normal Course Issuer Bid (Share buyback program)
Pursuant to the Normal Course Issuer Bid (NCIB) press
release dated April 28, 2021, WELL is
pleased to announce its Board of Directors (the "Board") has
authorized the Company to allocate capital and re-activate its
share buy-back program subsequent to releasing its Q4 and 2021
Audited Consolidated Financial Statements, so long as the Company
is unrestricted to make such purchases. The Board believes that the
recent market prices of the Company's common shares (the
"Shares") do not properly reflect the underlying value of
such Shares. As a result, depending upon future price movements and
other factors such as WELL's available budget, the Board believes
that the purchase and cancellation of such Shares would be a
desirable use of corporate funds in the best interests of the
Company and its shareholders.
Eva Fong, WELL's Chief Financial
Officer, commented, "WELL's balance sheet and cashflows are healthy
and position the Company to accomplish a number of strategic
objectives through our capital allocation program including: (i)
buying back our stock through our approved NCIB program; (ii)
continuing our M&A program through highly accretive tuck-in
acquisitions; and (iii) investing in growth opportunities in our
own portfolio of businesses which can generate a high rate of
return. We are poised to demonstrate healthy organic growth, solid
cashflows and strong financial position through our upcoming
earnings announcements."
Footnotes:
- Omni-channel patient visits: means all patient visits generated
by all sources and channels. This includes any patient visits
delivered by a WELL healthcare practitioner (inclusive of in-person
or virtual) or a non-WELL practitioner but facilitated by WELL's
virtual care tools. This figure does not include visits for
diagnostic testing consultations or any asynchronous physician
consultations.
WELL HEALTH TECHNOLOGIES CORP.
Per: "Hamed Shahbazi"
Hamed Shahbazi
Chief Executive Officer, Chairman and Director
About WELL
WELL is a technology enabled healthcare company whose
overarching objective is to positively impact health outcomes to
empower and support healthcare practitioners and their patients.
WELL has built an innovative practitioner enablement platform that
includes comprehensive end to end practice management tools
inclusive of virtual care and digital patient engagement
capabilities as well as Electronic Medical Records (EMR), Revenue
Cycle Management (RCM) and data protection services. WELL uses this
platform to power healthcare practitioners both inside and outside
of WELL's own omni-channel patient services offerings. As such,
WELL owns and operates Canada's
largest network of outpatient medical clinics serving primary and
specialized healthcare services and is the provider of a leading
multi-national, multi-disciplinary telehealth offering. WELL is
publicly traded on the Toronto Stock Exchange under the symbol
"WELL" and is part of the TSX Composite Index. To
learn more about the Company, please visit: www.well.company.
Forward-Looking Information
This news release may contain "Forward-Looking Information"
within the meaning of applicable Canadian securities laws,
including, without limitation: information regarding the Company's
goals, strategies and growth plans;, including but not limited to
Circle Medical and WISP revenues approaching US$70 million in annualized revenue run-rate on a
combined basis and to exceed US$100M
later in 2022, CRH's WELL's plans to activate its previously
approved share buyback program after it has released its Q4 and
2021 financial result, Wisp and Circle Medical's future revenue
run-rate forecasts and the expected benefits and synergies of
completed acquisitions, and WELL's plans to open several new de
novo haemorrhoid treatment clinics in BC and Ontario as well as in the United States over the next few months.
Forward-Looking Information are necessarily based upon a number of
estimates and assumptions that, while considered reasonable by
management, are inherently subject to significant business,
economic and competitive uncertainties, and contingencies.
Forward-looking generally can be identified by the use of
forward-looking words such as "may", "should", "will", "could",
"intend", "estimate", "plan", "anticipate", "expect", "believe" or
"continue", or the negative thereof or similar variations.
Forward-looking information involves known and unknown risks,
uncertainties and other factors that may cause future results,
performance or achievements to be materially different from the
estimated future results, performance or achievements expressed or
implied by those forward-looking and the forward-looking
statements are not guarantees of future performance. WELL's
statements expressed or implied by these forward-looking statements
are subject to a number of risks, uncertainties, and conditions,
many of which are outside of WELL 's control, and undue reliance
should not be placed on such statements. Forward-looking
information is qualified in its entirety by inherent risks and
uncertainties, including: direct and indirect material adverse
effects from the COVID-19 pandemic; adverse market conditions;
risks inherent in the primary healthcare sector in general;
regulatory and legislative changes; that future results may vary
from historical results; inability to obtain any requisite future
financing on suitable terms; any inability to realize the expected
benefits and synergies of acquisitions; that market competition may
affect the business, results and financial condition of WELL and
other risk factors identified in documents filed by WELL under its
profile at www.sedar.com, including its most recent Annual
Information Form. Except as required by securities law, WELL
does not assume any obligation to update or revise any
forward-looking information, whether as a result of new
information, events or otherwise.
This news release contains future-oriented financial information
and financial outlook information (collectively, "FOFI")
about estimated annual run-rate revenue and Adjusted EBITDA, all of
which are subject to the same assumptions, risk factors,
limitations, and qualifications as set out in the above paragraph.
The actual financial results of WELL may vary from the amounts set
out herein and such variation may be material. WELL and its
management believe that the FOFI has been prepared on a reasonable
basis, reflecting management's best estimates and judgments.
However, because this information is subjective and subject to
numerous risks, it should not be relied on as necessarily
indicative of future results. Except as required by applicable
securities laws, WELL undertakes no obligation to update such FOFI.
FOFI contained in this news release was made as of the date hereof
and was provided for the purpose of providing further information
about WELL's anticipated future business operations on an annual
basis. Readers are cautioned that the FOFI contained in this news
release should not be used for purposes other than for which it is
disclosed herein.
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SOURCE WELL Health Technologies Corp.