Well Health Reports New Record Patient Visits For Month Of January

Well Health (TSX: WELL) looked to stop the bleeding of its share price this morning with a general business update. The firm this morning provided performance data for the month of January, highlighting its patient visit counts for the month.

The highlight this morning was that the firms US operations had seen a total of 105,000 patient visits across the platform, which was reportedly conducted by 1,100 healthcare practitioners. The figures are both said to be new records as the company continues to focus on inorganic growth to drive its business model.

Of those patient visits, 24,565 are said to have come from Circle Medical, whom the firm acquired in 2020 for US$14.0 million. The more recently acquired Wisp meanwhile conducted 47,950 consultations. Collectively, the two firms are said to be on a US$70 million run-rate for annual recurring revenue, however it is unclear is that is based solely on the January performance of the company, or if its on a trailing basis. Nevertheless, this undefined figure is expected to climb to US$100 million by the end of the year.

CRH Medical, the firm acquired for US$372.9 million last year, meanwhile appears to not be performing at the same level as Well’s other divisions. Rather than highlight patient visits or financial performance for the month of January, the company instead highlighted that the subsidiary continues to consume capital with an M&A strategy. The firm highlighted the acquisition of a Connecticut-based anesthesia group which is reportedly to provide positive EBITDA for the company.

The update follows the firms corporate update in February, wherein they highlighted revenues worth just 0.9% of the current run rate.

Well Health last traded at $4.14 on the TSX.

Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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