- Healthcare solutions company, VitalHub (TSXV:VHI) has posted its financials for the first quarter of 2020, with the company generating C$2.8 million in revenue
- This represents a 13.3 per cent increase on last year’s first quarter revenue
- Despite the increase, quarterly earnings before interest, taxes, depreciation and amortization fell to $12,688, compared to $567,531 in 2019’s first quarter
- The company stated the ongoing COVID-19 pandemic impacted its quarterly performance, but remains confident it can stay cash-flow positive moving forward
- VitalHub (VHI) is down 7.27 per cent and is trading at $1.50 per share
VitalHub (TSXV:VHI) has posted its financials for the first quarter of 2020, with the company generating C$2.8 million in revenue.
This represents a 13.3 per cent increase on last year’s first quarter revenue.
Despite the increase in revenue, the company’s earnings have dropped substantially. Quarterly earnings before interest, taxes and depreciation and amortization (EBITDA) fell to $12,688, compared to $567,531 in 2019’s first quarter.
After adjusting for non-cash losses and other considerations, the company reported an adjusted EBITDA of $282,291. This is still significantly lower than last years adjusted figure of $656,765.
Comparatively, adjusted EBITDA as a percentage of revenue fell from 29 per cent in 2019 to 10 per cent this year.
VitalHub provides the technology solutions to the healthcare and human services sectors. The company has developed software to manage patient flow, online clinical assessments and electronic health records.
CEO and President of VitalHub, Dan Matlow stated the company’s quarterly performance was impacted by the ongoing COVID-19 pandemic.
“We began to see the impact of COVID-19 in the middle of the quarter, with requests coming in from clients to extend the utility of some of our offerings towards assisting in the pandemic response, as well as a general slowdown of implementations and business, consistent with the market.
“Overall, we expect to see a slow-down of activity over the next few quarters. The company believes it will continue to be cash flow positive even with the reduced activity,” he said.
VitalHub (VHI) is down 7.27 per cent and is trading at $1.50 per share at 3:40 pm EDT.