Reliq Health Technologies Inc. (TSXV:RHT) (OTCPink:RQHTF) (FSE:MHN2), a rapidly growing global telemedicine company, reported record growth for the quarter ending September 30, 2022. Total sales increased from $1,608,000 to $3,472,000, an increase of 116%. Gross profit increased from $1,159,000 to $2,175,000, an increase of 88%, with the loss for period falling dramatically from $4,210,000 to only $122,000.
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Reliq Health Technologies Inc. (TSXV:RHT) (OTCPink:RQHTF) (FSE:MHN2), a rapidly growing global healthcare technology company developing innovative Virtual Care solutions, has filed its unaudited financial statements for the quarter ending September 30, 2022, reporting record growth.
Dr. Lisa Crossley, CEO, stated: “The Company achieved record revenues of $3,472,237 for the three months ending September 30, 2022, despite the significant impact the hurricanes during this period had on patients and clinicians in Florida, Puerto Rico and the US Virgin Islands. Software and services revenue continues to increase as a percentage of total revenue, consistent with the Company’s previous guidance that high margin software and services will account for the majority of its revenue in 2023 and beyond. Reliq remains on track to onboard over 100,000 patients to the platform by the end of December 2022 and over 200,000 by mid-calendar year 2023.”
These charts compare the quarter ended September 30th 2021 with the quarter ended September 30th 2022.
Total sales increased from $1,608,000 to $3,472,000, an increase of 116%.
Software and services revenue increased from $364,000 to $1,423,000, an increase of 291%
Gross profit increased from $1,159,000 to $2,175,000, an increase of 88%, with the loss for period falling dramatically from $4,210,000 to only $122,000.
After adjusting for non-cash expenses, such as share-based compensation, the company reported an adjusted EBITDA of $610,000 for the quarter ended September 30, 2022.
Dr. Lisa Crossley, CEO, commented further: “Subsequent to Q1 FY 2023, the Company added a new market segment to its total addressable market - Skilled Nursing Facilities. SNFs represent a large and previously untapped market for Reliq’s products. There are over 15,000 SNFs in the United States and over 1.5 million Medicare patients received care in a SNF setting in 2021. Since October 2022 the Company has signed contracts with Skilled Nursing Facility networks in Florida and California to onboard 105 facilities to its iUGO Care platform. These contracts are expected to add over 10,000 new patients per month to Reliq’s platform, or over 120,000 patients per year every year beginning in 2023.”
Reliq will provide Transitional Care Management to newly discharged patients from these SNFs at a rate of $60 per patient, with recurring revenue from Remote Patient Monitoring, Chronic Care Management and Behavioural Health Integration of $65 per patient per month, at a 75% gross margin.
The company expects its rapid expansion into the Skilled Nursing space to accelerate in 2023 as SNFs face increasing pressure from payors to reduce length of stay for patients while also avoiding readmissions.
Reliq’s iUGO Care solutions improve post-discharge health outcomes for SNF patients and reduce readmissions, while also generating new revenue streams for the facilities.
The company currently has more than $15 million in device orders that it had originally expected to fulfill by the end of Calendar Year 2022.
However, due to the impact from the Omicron wave of COVID-19 in the first half of Calendar Year 2022 and the hurricanes in Texas, Florida and the US Virgin Islands in September, the company expects previously forecasted revenues to be achieved approximately 4 to 6 months later than originally anticipated.
It should be noted that these device orders will be followed by ongoing software and service subscriptions and are therefore a leading indicator of future recurring revenues.
On November 21st, Bruce Campbell, President and Portfolio Manager of Stonecastle Investment Management was interviewed by Andrew Bell on Bloomberg and had this to say about Reliq Health.
Based in Hamilton, Ontario, with offices in Florida and Texas, Reliq specializes in developing innovative Virtual Care solutions for the multi-billion dollar healthcare market, including physician practices, skilled nursing facilities and other healthcare organizations.
The company’s powerful iUGO CARE platform for care coordination and home healthcare integrates wearables, sensors, voice technology with intuitive mobile apps and desktop software for patients, families, clinicians, and healthcare administrators.
The technology platform is a comprehensive SaaS solution that allows complex patients to receive high-quality care at home, improving health outcomes, enhancing the quality of life for patients and families, and reducing the cost of care delivery.
iUGO Care provides real-time access to remote patient monitoring data, allowing for timely interventions by the care team to prevent costly hospital readmissions and emergency room visits.
The shares are trading at $0.62
For more information, please visit the company’s website, www.ReliqHealth.com or email IR@ReliqHealth.com.
Investor Relations in the United States is handled by Ben Shamsian of Lytham Partners, who can be reached at 649-829-9701 or by email at shamsian@LythamPartners.com
