Carerx Corporation · TSX:CRRX
Carerx — Q2 2023 Earnings Presentation
15 slides from Carerx's earnings presentation, Aug 10, 2023
Slide 1: Q2 2023 Earnings Call
Q2 2023 Earnings Call August 10, 2023
Slide 2: Cautionary Statements
Cautionary Statements Forward Looking Statements Certain of the statements contained in this presentation are "forward looking information within the meaning of applicable Canadian securities legislation. Forward looking information includes, but is not limited to, business strategy, plans and other
Slide 3: Puneet Khanna, President & Chief Executive Officer
Puneet Khanna President & Chief Executive Officer 3
Slide 4: Q2 2023 Highlights
Q2 2023 • Revenue in Q2 2023 of $94.5 million • Adjusted EBITDA in Q2 2023 of $7.0 million • Puneet Khanna appointed President & CEO • Jeff Watson, former CEO of Apotex, appointed as an independent member of the Board of Directors 4
Slide 5: Andrew Mok, Chief Financial Officer
Andrew Mok Chief Financial Officer 5
Slide 6: Q2 2023 Financial Results | Revenue
Q2 2023 Financial Results | Revenue (millions) 110 • Average beds serviced of 95,247: -1.6% vs Q2 2022 $96.9 $94.5 100 $91.4 • Year-over-year revenue decline primarily the 90 result of a change in the mix of branded and 80 generic drugs dispensed during the first half of 70 2023. This did not negati
Slide 7: Q2 2023 Financial Results | Adjusted EBITDA
Q2 2023 Financial Results | Adjusted EBITDA (millions) • Year-over-year adjusted EBITDA decline primarily 10 the result of incremental costs associated with $8.8 9 continued challenges in the healthcare labour $7.0 market totaling approximately $1.7 million in the 8 $6.8 quarter 7 6 • Quarter-over-q
Slide 8: Q2 2023 Financial Results | Net Income
Q2 2023 Financial Results | Net Income (millions) • Elimination of net loss was driven primarily by non-cash adjustments including impairment Q2 2022 Q1 2023 Q2 2023 losses related to goodwill and intangible assets 5 totaling $24.3 million and investments totaling $1.9 $2.7 million recorded during t
Slide 9: Balance Sheet
Balance Sheet (millions except ratio) • Decrease in cash balance driven primarily by earn- out payments associated with previous acquisitions due to achievement of operational At June 30/23 and growth targets Cash $36.0 M • No impact from rising interest rates due to fixed rate debt Net Debt1 $58.6
Slide 10: Puneet Khanna, President & Chief Executive Officer
Puneet Khanna President & Chief Executive Officer 10
Slide 11: Strategic Priorities
Strategic Priorities Optimize business operations Strengthen balance sheet and improve cash generation Continue to grow revenue Expand industry advocacy efforts 11
Slide 12: BD Rowa Update
BD Rowa Update • Commenced packaging in Q1 2023 • Innovative technology enabling higher volumes without additional labour costs • Improved accuracy and reduced downtime • Expect over 11,000 beds serviced when fully onboarded 12 Optimized, higher volume and speed of dispensing with greater safety, fe
Slide 13: Optimize Business Operations
Optimize Business Operations • Procurement initiatives and best practices to augment purchasing power • Standardized operating model and policies and procedures to enhance operational efficiencies • Introducing Lean methodology to generate data-driven decisions that increase productivity, promote co
Slide 14: Multiple Paths For Growth
Multiple Paths For Growth Grow with existing customers • LTC occupancy increasing post-Covid >95,0001 beds 19% • Home operators expanding through increased capacity, new construction, new bed license allocations and acquisitions • Increased penetration and broadening scope of services (e.g. Revicare
Slide 15: Questions
Questions Visit our website at www.carerx.ca | Follow @CareRx on Twitter