WELL Provides Corporate Update on Financial Performance of Acquired Canadian Clinics and Confirms Favourable Positioning Amidst Escalation of Tariffs between the US and Canada
WELL Health Technologies (TSX: WELL, OTCQX: WHTCF) has released performance metrics for its acquired Canadian clinics, showing strong ROIC figures of 41%, 24%, and 28% for clinics acquired in 2022, 2023, and 2024 respectively, with effective multiples of 2.0x, 2.3x, and 2.6x Adj. EBITDA.
The company's M&A pipeline includes 165 clinics generating over $440 million in annual revenue, with 19 signed LOIs representing approximately $50 million in revenue. Both pipelines maintain double-digit Adj. EBITDA margins.
WELL confirmed it has no exposure to U.S.-Canada tariffs as it doesn't engage in cross-border sales. Over 60% of its revenues, Adj. EBITDA and cashflow is generated in U.S. dollars through U.S.-based entities. The company maintains its long-term goal of reaching $4 billion in revenues from Canadian sources.
WELL Health Technologies (TSX: WELL, OTCQX: WHTCF) ha rilasciato metriche di performance per le sue cliniche canadesi acquisite, mostrando forti indicatori di ROIC del 41%, 24% e 28% per le cliniche acquisite nel 2022, 2023 e 2024 rispettivamente, con multipli efficaci di 2.0x, 2.3x e 2.6x su EBITDA adj.
Il pipeline di M&A dell'azienda include 165 cliniche che generano oltre $440 milioni di ricavi annuali, con 19 lettere di intenti firmate che rappresentano circa $50 milioni di ricavi. Entrambi i pipeline mantengono margini di EBITDA adj. a due cifre.
WELL ha confermato di non avere esposizione ai dazi U.S.-Canada poiché non effettua vendite transfrontaliere. Oltre al 60% dei suoi ricavi, EBITDA adj. e flusso di cassa è generato in dollari statunitensi attraverso entità basate negli Stati Uniti. L'azienda mantiene il suo obiettivo a lungo termine di raggiungere $4 miliardi in ricavi da fonti canadesi.
WELL Health Technologies (TSX: WELL, OTCQX: WHTCF) ha lanzado métricas de rendimiento para sus clínicas canadienses adquiridas, mostrando cifras sólidas de ROIC del 41%, 24% y 28% para las clínicas adquiridas en 2022, 2023 y 2024 respectivamente, con múltiplos efectivos de 2.0x, 2.3x y 2.6x EBITDA adj.
El pipeline de fusiones y adquisiciones de la compañía incluye 165 clínicas que generan más de $440 millones en ingresos anuales, con 19 cartas de intención firmadas que representan aproximadamente $50 millones en ingresos. Ambos pipelines mantienen márgenes de EBITDA adj. de dos dígitos.
WELL confirmó que no tiene exposición a aranceles de EE. UU. y Canadá ya que no participa en ventas transfronterizas. Más de el 60% de sus ingresos, EBITDA adj. y flujo de caja se genera en dólares estadounidenses a través de entidades con sede en EE.UU. La compañía mantiene su objetivo a largo plazo de alcanzar $4 mil millones en ingresos de fuentes canadienses.
웰 헬스 테크놀로지 (TSX: WELL, OTCQX: WHTCF)는 인수한 캐나다 클리닉의 성과 지표를 발표하며, 2022년, 2023년, 2024년에 인수한 클리닉에서 각각 41%, 24%, 28%의 강력한 ROIC 수치를 제시하고, 조정된 EBITDA의 효과적인 배수가 각각 2.0x, 2.3x, 2.6x임을 보여주었습니다.
회사의 M&A 파이프라인에는 연간 4억 4천만 달러 이상의 수익을 올리는 165개의 클리닉이 포함되어 있으며, 약 5천만 달러의 수익을 나타내는 19개의 LOI가 서명되었습니다. 두 파이프라인 모두 두 자릿수의 조정 EBITDA 마진을 유지하고 있습니다.
웰은 국경 간 판매를 하지 않기 때문에 미국-캐나다 관세에 대한 노출이 없다고 확인했습니다. 수익, 조정 EBITDA 및 현금 흐름의 60% 이상가 미국 기반 기관을 통해 미국 달러로 발생합니다. 회사는 캐나다 출처에서 40억 달러의 수익을 달성하겠다는 장기 목표를 유지하고 있습니다.
WELL Health Technologies (TSX : WELL, OTCQX : WHTCF) a publié des indicateurs de performance pour ses cliniques canadiennes acquises, montrant des chiffres de ROIC solides de 41 %, 24 % et 28 % pour les cliniques acquises en 2022, 2023 et 2024 respectivement, avec des multiples effectifs de 2,0x, 2,3x et 2,6x d'EBITDA adj.
Le pipeline de fusions et acquisitions de l'entreprise comprend 165 cliniques générant plus de 440 millions de dollars de revenus annuels, avec 19 lettres d'intention signées représentant environ 50 millions de dollars de revenus. Les deux pipelines conservent des marges d'EBITDA adj. à deux chiffres.
WELL a confirmé qu'il n'a aucune exposition aux tarifs américains-canadiens puisque la société n'effectue pas de ventes transfrontalières. Plus de 60 % de ses revenus, d'EBITDA adj. et de flux de trésorerie sont générés en dollars américains par l'intermédiaire d'entités basées aux États-Unis. L'entreprise maintient son objectif à long terme d'atteindre 4 milliards de dollars de revenus provenant de sources canadiennes.
WELL Health Technologies (TSX: WELL, OTCQX: WHTCF) hat Leistungskennzahlen für seine erworbenen kanadischen Kliniken veröffentlicht und zeigt starke ROIC-Werte von 41%, 24% und 28% für Kliniken, die 2022, 2023 und 2024 erworben wurden, mit effektiven Multiplikatoren von 2,0x, 2,3x und 2,6x Adj. EBITDA.
Die M&A-Pipeline des Unternehmens umfasst 165 Kliniken, die jährlich über 440 Millionen Dollar Umsatz generieren, mit 19 unterzeichneten LOIs, die etwa 50 Millionen Dollar Umsatz repräsentieren. Beide Pipelines weisen zweistellige Adj. EBITDA-Margen auf.
WELL bestätigte, dass es keine Exposition gegenüber US-kanadischen Zöllen hat, da es keine grenzüberschreitenden Verkäufe tätigt. Über 60% seines Umsatzes, Adj. EBITDA und Cashflow werden in US-Dollar durch in den USA ansässige Unternehmen generiert. Das Unternehmen hält an seinem langfristigen Ziel fest, 4 Milliarden Dollar Umsatz aus kanadischen Quellen zu erreichen.
- Strong ROIC performance across clinic cohorts with 3-year average of 30%
- Significant M&A pipeline with 165 clinics worth $440M in annual revenue
- 60% of revenue, EBITDA, and cashflow generated in USD, providing currency hedge
- Substantial margin improvements in acquired clinics (up to +658 bps)
- 2024 cohort expected to contribute same EBITDA as 2022 and 2023 combined
- 2023 clinic cohort showed negative aggregate Adj. EBITDA at purchase
- Declining effective multiples from 2022 (2.0x) to 2024 (2.6x)
- WELL provided updated comprehensive ROIC(1) metrics for all clinics acquired in years 2022, 2023, and 2024 based on exit run-rates in 2024. The results show ROIC figures of
41% ,24% , and28% respectively. - WELL provides comprehensive performance metrics for all Canadian clinics acquired in years 2022, 2023, and 2024 based on exit run-rates in 2024. The results show effective multiples of 2.0x, 2.3x and 2.6x Adj. EBITDA respectively.
- WELL's overall M&A prospect pipeline now stands at 165 clinics generating over
$440 million $50 million - WELL also disclosed that it has no exposure to
U.S. tariffs against Canadian goods and any potential future tariffs imposed on services would not harm the Company given that it currently does not offer its healthcare software platform capabilities or care delivery capabilities on a cross-border basis In addition, WELL has significant exposure to theU.S. dollar as over60% of its revenues, Adj. EBITDA and cashflow is generated inU.S. dollars by WELL's US based entities.
WELL's Recent Clinic Cohorts Demonstrating Strong Profitability and Growth
WELL continues to enhance its acquired clinics by implementing its proprietary technology-driven transformation strategy. By tech enabling clinicians, improving digital workflows and centralizing administrative services, WELL has increased efficiency and profitability across its expanding network. This has resulted in time and resources being returned to care providers who are able to increasingly focus on providing care and improving patient outcomes.
Hamed Shahbazi, Founder and CEO of WELL, commented "We are very pleased to share these metrics. The results clearly show that our clinic ROIC(1) metrics have significantly benefited by our clinic transformation program and consistently delivered strong financial performance. We are now taking steps to significantly increase our pace of growth in 2025 to meet our previously stated future long-term goal of reaching
The following table summarizes key performance data from the Company's Canadian clinic M&A program:
Clinic Cohort | |||
2022 | 2023 | 2024 | |
No. of Clinics Purchased | 7 | 29 | 95 (includes 59 |
Aggregate Adj. EBITDA Margin | +585 | +658 | +133 |
Average Acquisition Multiple of | 5.2x | nmf(2) | 3.5x |
Average Effective Multiple of | 2.0x | 2.3x | 2.6x |
ROIC(1) | 41 % | 24 % | 28 % |
3-year Average ROIC(1) = | |||
Expanding M&A Pipeline and Growth Outlook
WELL's acquisition strategy continues to drive significant growth, with a record-sized pipeline of opportunities in the Canadian healthcare sector. The Company's M&A prospect pipeline now includes 165 clinics generating over
WELL's clinic acquisition strategy has accelerated significantly, making 2024 its most active year for clinic acquisitions in company history. The size of each new acquisition cohort has grown, and WELL expects this momentum to expand even further. Moving forward, the 2024 cohort alone is anticipated to contribute approximately the same amount of Adj. EBITDA as the combined 2022 and 2023 cohorts, making it the most Adj. EBITDA-additive acquisition year in our Canadian Clinic program since 2021.
This level of expansion reflects WELL's ability to efficiently identify, acquire, and integrate high-quality clinics at attractive valuations. Importantly, incremental ROICs on new acquisitions are materially higher than the company-wide average, reinforcing the growing value of tuck-in acquisitions. With WELL's acquisition platform now maturing, the opportunity to integrate and optimize additional clinics is greater than ever. This ROIC inflection is being observed across our entire Canadian Clinics business care clinics, demonstrating the scalability of WELL's operational improvements and capital allocation discipline.
WELL's Business Model Resilient to
WELL can confirm that there are no material tariff threats to its business today as it does not engage in cross-border sales between
Even if the tariff matter were to escalate and include services, WELL would still not be materially exposed as the Company does not offer its healthcare software platform capabilities or care delivery services on a cross-border basis between the two countries. Additionally, WELL does not expect any material supply chain impacts to any of its operations, as per the impacted list shared by the Department of Finance Canada. Furthermore, WELL has significant exposure to the US dollar as over
Eva Fong, Chief Financial Officer of WELL, commented "Our business is built on a strong, resilient foundation, and we are well-positioned to withstand any macroeconomic challenges that may arise. Even if the potential tariffs between the
Footnotes:
- WELL defines Pre-Tax Unlevered ROIC for its Canadian clinic cohorts, as the Adjusted EBITDA of the underlying businesses, inclusive of clinic transformation costs, divided by the total M&A consideration, including upfront cash, share consideration, and realized and future earn-out payments. The Total M&A consideration used in the Pre-Tax Unlevered ROIC calculation excludes any allocation of corporate overhead, Property, Plant & Equipment, and Working Capital. The non-GAAP financial measures included in this non-GAAP ratio includes Adjusted EBITDA. This non-GAAP ratio is not a standardized financial measure used to prepare the Company's financial statements and may not be a comparable to similar financial measures disclosed by other issuers. The Company uses these non-GAAP standardized measures as supplemental indicators of its financial and operating performance which the Company believes allows for meaningful analysis of trends in its clinic business.
- The Average Acquisition Multiple of EBITDA at Purchase for the 2023 clinic cohort is not meaningful, as the aggregate Adj. EBITDA for the 2023 clinic cohort was negative, resulting in a negative valuation multiple.
WELL HEALTH TECHNOLOGIES CORP.
Per: "Hamed Shahbazi"
Hamed Shahbazi
Chief Executive Officer, Chairman and Director
About WELL Health Technologies Corp.
WELL's mission is to tech-enable healthcare providers. We do this by developing the best technologies, services, and support available, which ensures healthcare providers are empowered to positively impact patient outcomes. WELL's comprehensive healthcare and digital platform includes extensive front and back-office management software applications that help physicians run and secure their practices. WELL's solutions enable more than 38,000 healthcare providers between the US and
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SOURCE WELL Health Technologies Corp.
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