WELL Health Provides Business Update Reflecting Strong Growth and Enhanced Revenue Outlook for Q2-2022
- WELL expects1 to announce strong financial results for Q2-2022 with another record performance as revenues are expected to be greater than C$130 million in the quarter.
- Total omni-channel patient visits2 in Q2-2022 increased by 50% YoY and a 7% increase when compared sequentially to the previous quarter.
- WELL's US focused virtual patient services businesses continue to grow rapidly, with Circle Medical and Wisp exceeding C$115 million in annualized revenue run-rate on a combined basis in June 2022, reflecting over 150% YoY growth and delivering positive Adjusted EBITDA3.
- CRH Medical’s 1,100+ credentialed practitioners delivered a record quarterly performance of 125,160 completed patient cases fuelled by solid organic growth.
Vancouver, BC, July 21, 2022 /PRNewswire/ - WELL Health Technologies Corp. (TSX: WELL, OTCQX: WHTCF) ("WELL" or the "Company"), a digital health company focused on positively impacting health outcomes by leveraging technology to empower healthcare practitioners and their patients globally, is pleased to provide preliminary results for Q2-2022 ending June 30, 2022.
WELL expects1 to report strong financial results underpinned by significant growth in patient visits. The Company is pleased to report preliminary results for Q2-2022 with revenue expected to exceed C$130 million, operating Adjusted EBITDA3 exceeding C$23 million, and Shareholder Free Cash Flow4 of approximately C$15 million.
WELL achieved a total of 839,698 omni-channel patient visits2 in Q2-2022, representing a year-over-year increase of 50% compared to Q2-2021, and a 7% increase compared to Q1-2022. In addition, MyHealth conducted 179,880 diagnostic visits in Q2-2022, while Wisp completed 152,398 asynchronous patient consultations. Combining WELL's omni-channel patient visits2, MyHealth's diagnostic visits and Wisp's asynchronous patient consultations, WELL achieved a total of 1,172,849 patient interactions in Q2-2022, representing an annual run-rate of 4.69 million patient interactions.
"Our patient visit figures have historically been an excellent leading indicator of our overall operational and financial performance. To that end, we’re very pleased to report another record quarter of patient visits delivered by our more than 2,200 healthcare provider partners systemwide.", said Hamed Shahbazi, Chairman and CEO of WELL. "WELL’s business model of ‘caring for the care providers’ by supporting them in all aspects of running their operations and allow them to focus on providing care is working. Now more than ever, at a time when healthcare workers are under duress, WELL is applying all of its talents and resources to help them focus on what matters, providing the best patient care available and delivering optimal health outcomes. We look forward to reporting Q2 results."
US Business Update
WELL's US-based virtual patient services businesses, which includes Circle Medical and Wisp, continued to demonstrate robust growth in Q2-2022. Based on June 2022 preliminary results, the combined businesses generated positive Adjusted EBITDA3 with their revenue run-rate exceeding C$115 million on a combined basis in June 2022. Circle Medical's YoY growth in Q2-2022 was driven by patient visits increasing almost 400%. The number of practitioners working with Circle Medical in Q2-2022 increased by 169% over the same period. Similarly, Wisp's growth in Q2-2022 was driven by an 60% YoY increase in asynchronous patient consultations.
WELL’s wholly owned subsidiary, CRH, whose business is predominantly in the US also had a record quarter for cases in Q2-2022 of 125,160, driven by solid organic growth. There are now more than 1,100 CRH credentialed healthcare practitioners providing services as part of CRH’s fully managed services in 93 medical facilities.
- Expectations noted are based on preliminary results recorded to date. These results may be subject to change as they are prepared for financial disclosure.
- Omni-channel patient visits is defined by 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.
- Adjusted EBITDA is a non-GAAP metric and defined by EBITDA (i) less net rent expense on premise leases considered to be finance leases under IFRS and (ii) before transaction, restructuring, and integration costs, time-based earn-out expense, change in fair value of investments, share of loss of associates, foreign exchange gain/loss, and stock-based compensation expense, and (iii) Revenue precluded from recognition under IFRS 15 that relates to certain patient services revenue that the Company believes should be recognized as revenue based on its contractual relationships.
- Shareholder Free Cash Flow is a non-GAAP metric and defined by Adjusted EBITDA attributable to shareholders less cash taxes, cash interest and capital expenditures.
WELL HEALTH TECHNOLOGIES CORP.
Per: “Hamed Shahbazi”
Chief Executive Officer, Chairman and Director
About WELL Health Technologies Corp.
WELL is a practitioner focused digital 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 on OTCQX under the symbol "WHTCF". To learn more about the Company, please visit: www.well.company.
This news release may contain "Forward-Looking Information" within the meaning of applicable Canadian securities laws, including without limitation WELL’s expectations to report strong financial results. Forward-Looking Information is 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 Information 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 such Forward Looking Information and, which are not guarantees of future performance. WELL’s statements expressed or implied by Forward Looking Information 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 their 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.
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