KELOWNA, BC, April 28, 2016 /CNW/ - (TSX-V: QHR) QHR
Corporation ("QHR" or the "Company"), a leader in the
Healthcare Information Technology sector, has announced financial
results for its fourth quarter and year ended December 31, 2015.
Q4 2015 revenue increased 19% year-over-year to a record
$7.7 million, up from $6.4 million in Q4 2014. The Company also
reported a 26% increase in recurring revenue run rate(1)
to $26.4 million at the end of Q4
2015 compared to $20.9 million at the
end of Q4 2014. Fiscal 2015 revenue was $28.2 million compared to $25.0 million in fiscal 2014.
Other Selected
Financial Information:
|
|
Q4/15 compared to
Q3/15 (millions)
|
|
|
Q4 2015
|
|
Q3 2015
|
|
$
Change
|
|
% Change
|
Revenue
|
|
7.683
|
|
7.051
|
|
0.632
|
|
9%
|
Recurring Revenue Run
Rate(1)
|
|
26.4
|
|
24.1
|
|
2.300
|
|
10%
|
EBITDA
|
|
0.965
|
|
0.627
|
|
0.338
|
|
54%
|
ADJUSTED
EBITDA(1)
|
|
1.033
|
|
0.756
|
|
0.277
|
|
37%
|
Net Earnings
(Loss)
|
|
0.318
|
|
(0.300)
|
|
0.618
|
|
206%
|
Cash
|
|
9.374
|
|
7.605
|
|
1.769
|
|
23%
|
DSO
|
|
38 Days
|
|
47 Days
|
|
9 Days
|
|
19%
|
|
|
|
|
|
|
|
|
|
Q4/15 compared to
Q4/14 (millions)
|
|
|
Q4 2015
|
|
Q4 2014
|
|
$ Change
|
|
% Change
|
Revenue
|
|
7.683
|
|
6.438
|
|
1.245
|
|
19%
|
Recurring Revenue Run
Rate(1)
|
|
26.4
|
|
20.9
|
|
5.500
|
|
26%
|
EBITDA
|
|
0.965
|
|
(0.355)
|
|
1.320
|
|
372%
|
ADJUSTED
EBITDA(1)
|
|
1.033
|
|
0.552
|
|
0.481
|
|
87%
|
Net Earnings
(Loss)
|
|
0.318
|
|
(0.868)
|
|
1.186
|
|
137%
|
Cash
|
|
9.374
|
|
12.169
|
|
(2.795)
|
|
-23%
|
DSO
|
|
38 Days
|
|
38 Days
|
|
0 Days
|
|
0%
|
|
|
|
|
|
|
|
|
|
QHR continues to focus on the Electronic Medical Records
("EMR") market, growing organic sales as well as pursuing
complementary acquisitions and partnerships to further its
leadership position in the market.
"We finished the year in a very strong position, both in market
share and financial run rates which are now profitable, driven by
recurring revenue growth from our EMR platform. The market
continues to embrace Electronic Medical Records, and our single
platform strategy sets us apart from our competition as the primary
choice for both healthcare providers and partners as we grow our
network across the country." said Mike
Checkley, President and CEO of QHR Corporation.
Revenue
Record revenue of $7.7 million for
Q4 2015 and $28.2 million for 2015
was largely driven by organic growth of the Accuro EMR product.
Net Earnings (Loss)
Net earnings for the quarter ended December 31, 2015 for continuing operations were
$318,070, compared to a loss of
$867,612 for Q4 2014. Net loss
for continuing operations in 2015 was $1,319,943 compared to net earnings of
$383,219 for 2014.
Cash Flow
In Q4 2015, cash flow generated from operating activities was
$ 2.1 million. For the year ended
December 31, 2015, operating
activities resulted in net cash outflows of $1,894,660. The cash outflow for 2015 was driven
primarily by working capital requirements and Other Charges during
the first half of 2015.
At December 31, 2015, the Company
had cash and cash equivalents in the amount of $9.4 million and trade and other receivables of
$3.4 million. The Company is
not using any of its operating line and has no outstanding
debt.
Full financial statements together with Management's Discussion
and Analysis are available on SEDAR.
(1) Recurring revenue run rate and EBIDTA
are measures used by management in evaluating financial
performance. Please refer to the cautionary statements under
the heading "Non-IFRS Financial Measures", below.
About QHR Corporation
QHR is a leader in Healthcare Technology, empowering providers
and connecting patients. With an 11-year track record
offering what is now the single leading Electronic Medical Records
platform in Canada, QHR has a
suite of complementary offerings that empower health professionals
and drive the Company's growth. The Company's technologies and
services enable secure medical records management for clinical
environments, empower health providers with tools for virtual care
including secure video and messaging, and tools for clinic
management including scheduling, billing, and patient management,
Health providers choose QHR to drive efficiencies within their
practice and improve the quality of care delivered to patients.
Non-IFRS Financial Measures
(1)These consolidated financial statements
for the year ended December 31, 2015,
including comparatives, are expressed in Canadian dollars and have
been prepared in accordance with International Financial Reporting
Standards ("IFRS") as issued by the International Accounting
Standards Board ("IASB"). As a complement to results provided in
accordance with IFRS, QHR also discloses and discusses certain
non-IFRS financial measures, including Recurring Revenue
Run-Rate, EBITDA and Adjusted EBITDA. QHR has
presented these non-IFRS measures because Management believes they
are relevant measures in evaluating QHR's performance.
EBITDA is defined as earnings before income tax expense,
financing costs, depreciation, amortization and stock-based
compensation. Adjusted EBITDA is defined as EBITDA adjusted with
acquisition, transition and integration costs and other expenses
that do not impact core operating performance.
Management believes that EBITDA and Adjusted EBITDA provide
important measures of the Company's operating performance because
they allow management, investors and others to evaluate and compare
the Company's core operating results, including its return on
capital and operating efficiencies, from period to period by
removing the impact of its capital structure (interest expense),
asset base (depreciation and amortization), tax consequences, other
non-core operating items (acquisition costs) and other non-free
cash items. Both EBITDA and Adjusted EBITDA do not have any
standardized meaning prescribed by IFRS, other companies may
calculate these non-IFRS measures differently, and therefore our
EBITDA and Adjusted EBITDA may not be comparable to a similar
titled measure by other companies. Accordingly, investors are
cautioned not to place undue reliance on them and are also urged to
read all accounting disclosures presented in the audited
consolidated financial statements and accompanying notes for the
year ended December 31, 2015.
Recurring Revenue Run Rate is the annualized recurring
revenue of a company if you were to extrapolate the revenue for the
current quarter over a period of one year.
Conference Call - The Company's executives will host a
conference call at 11:00 AM EDT
(8:00 AM PDT) Thursday, April 28, 2016, to discuss the
Company's Q4 and full year 2015 financial results. To join the
conference call, please dial Toll Free 1-888-390-0546, Conference
ID# 04181004
On behalf of the Board of Directors
Mike Checkley, President &
CEO
Legal Notice Regarding Forward Looking Statements
This news release may contain "forward looking statements"
within the meaning of applicable Canadian securities legislation.
These statements are subject to risks that may cause the actual
results to be materially different in future periods from those
expressed or implied by such forward looking statement.
Forward-looking statements in this news release include those
concerning the Company's belief that its single platform strategy
will continue to serve it well in the coming year, as well as its
belief that the pursuit of complementary acquisitions and
partnerships in an effort to drive growth in new markets and
further cement its leadership position in the Canadian EMR market.
Risks that may prevent or delay the forward looking
statements from coming to fruition include the possibility that the
Company may not offer products that are acceptable to industry
regulators or customers; competition, the availability of capital,
changing regulatory requirements, the Company's ability to attract
and retain key personnel, product obsolescence, work flow and
market factors that could increase costs more than expected.
QHR is a technology business development enterprise where
investment and product enhancements must be carefully managed to
achieve long-term revenue growth and profitability. It is the
Company's policy not to update forward looking statements except to
the extent required under applicable securities laws. Further
information on the Company is available at www.sedar.com or at the
Company's website, www.QHRtechnologies.com.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE QHR Corporation