Good morning. My name is Lara, and I will be your conference operator today. At this time, I would like to welcome everyone to the Carebook First Quarter 2023 Results Conference Call. All lines have been placed on mute to prevent any background noise. Please take note of this notice with regards to forward-looking statements. The company will make forward-looking statements on their calls today that are based on assumptions, and therefore subject to risks and uncertainties that could cause actual results to differ materially from those projected. Carebook undertakes no obligation to update these statements except as required by law. You can read about these risks and uncertainties in the company's press release this morning, as well as in their filings with Canadian regulators on SEDAR. The company will also make reference to certain non-IFRS measures and key performance indicators on their call today. These measures are not standardized financial measures under IFRS and do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, those measures are provided as additional information to complement those IFRS measures by providing further understanding of results of operations from management's perspective. Accordingly, this measure should not be considered in isolation, nor as a substitute for analysis of the financial information reported by the company under IFRS. After the speakers' remarks, there will be a question and- answer- session. If you'd like to ask a question during thus time simply press star then number one on your telephone keypad. If you'd like to withdraw your question please press star followed by number two. Mr. Michael Peters, CEO of Carebook Technologies, you may begin your conference. Thank you, operator, and good morning to all of you on the phone and on the webcast. Welcome to Carebook's first quarter 2023 results call. With me this morning is Olivier Giner, our Chief Financial Officer. On today's call, I will take you through our highlights for the quarter, some important subsequent events, and discuss our outlook going forward. Olivier will take you through our first quarter numbers, and then we will open it up for questions. During the first quarter of 2023, we continued the implementation of several contracts with key customers, broadening our footprint in the employer vertical. We were successful in implementing our cost reduction strategy and finding further efficiencies within our cost structure. During the quarter, we improved our operating margins and operating cash flows. In addition, we raised long-term capital during the quarter in the form of equity, allowing us to continue to reduce our short-term liabilities, strengthen our balance sheet, and improve our ability to execute our growth strategies during 2023. Since the beginning of 2023, the company has signed CAD 4.4 million in additional contract value, which will impact positively on 2023 and future years. On March 31, 2023, CoreHealth signed a significant extension to an existing contract with a large European client, representing an increase in contract value of CAD 2.8 million over an extended term of 3.5 years. On April 21, Carebook further expanded the scope of work under its pharmacy solution with its core client, adding another CAD 1.6 million in contract value. Our first quarter results reflect a positive trend in the employer vertical as we benefit from the successful integration of our acquisitions of InfoTech and CoreHealth and the implementation of new clients wanting the employer vertical. Our continued announcements of major wins with Tier 1 clients reflects the strength of our offerings and serves as an endorsement of our relentless focus on delivering quality customer programs in the growing employer market. Major companies across North America and Europe are recognizing Carebook for the innovative and powerful digital health and wellness solutions we offer that can provide meaningful relief to the challenges faced by their clients and employees. When coupled with the significant enhancements to our statement of work with our major pharmacy client and our ongoing efforts to find efficiencies within our cost structure, Carebook is on a path to profitability. I will end my remarks for the quarter with another strong company announcement. We were proud to announce that healthcare veteran Domenic Pilla has joined Carebook's board as of March 28, 2023. In recent years, Mr. Pilla led McKesson Canada, a wholly owned subsidiary of McKesson Corporation, serving as Chief Executive Officer from 2016- 2020. He also acted as President and Chief Executive Officer of Shoppers Drug Mart Corporation from 2011- 2015. We are grateful to have him join as a board member and look forward to working together to advance Carebook's mission. I will now turn it over to Olivier Giner to review our first quarter financials. Olivier. Thanks, Michael. Revenue for the quarter ended March 31, 2023, was CAD 2.5 million, compared to CAD 2.4 million for the quarter ended March 31, 2022, an increase of 5%, which was mostly driven by organic growth in the pharmacy vertical and offset by a decrease in implementation revenue at CoreHealth and a decrease in licenses revenue at InfoTech. Revenue generated in the quarter ended March 31, 2023, was 64% from the employer vertical, down from 79% during the same quarter in 2022 due to significant contract expansions from our major pharmacy client. Recurring revenue from the employer vertical business is expected to continue to increase during 2023, following the implementation of several large customers during the fourth quarter of 2022 and the first quarter of 2023, and the signature of a significant extension to an existing contract with a large European client in March of this year. Loss from operations for the quarter ended March 31, 2023, was minus CAD 0.4 million, compared to minus CAD 1.7 million incurred in the same period of 2022, a decrease of CAD 1.2 million or 75%. The decrease in operating expenses was due to lower general and administrative costs and lower sales and marketing costs. We now report adjusted EBITDA, which indicates our ability to generate profits from our operations. Adjusted EBITDA for the first quarter of 2023 was CAD -0.5 million, positioning Carebook to achieve its goal of generating positive adjusted EBITDA in the near future. Relative to the first quarter of 2022, adjusted EBITDA increased by CAD 0.6 million or 55%, reflecting stronger revenues, synergies, and disciplined cost management, which drove an adjusted EBITDA margin of - 19%, compared to - 43% in the first quarter of 2022. Total comprehensive loss was CAD -0.5 million for the quarter ended March 31, 2023, compared to a loss of CAD -1.8 million for the quarter ended March 31, 2022, a decrease of 75%. The variance is driven mostly by a higher revenue and lower loss from operations. We now also measure and report annual recurring revenue or ARR. ARR is contracted software and services revenues that are expected to have a duration of more than one year and amounts to the annualized value of such contracted recurring revenue from all clients. At the end of the quarter ended March 31, 2023, ARR was CAD 10.7 million, an increase of 37% over the same date in 2022. The company continued its fundraising efforts in 2023, and on March 8, 2023, the company announced the closing of a non-brokered private placement with UIL Limited, its largest shareholder, for CAD 1.25 million. The private placement resulted in the issuance of 12,500,000 common shares and 187,500 common share purchase warrants. Subsequent to the quarter, on May 23, 2023, the company announced the closing of a non-brokered private placement with Permanent Mutual Limited, an affiliate of UIL Limited, for CAD 1.25 million. The private placement also resulted in the issuance of 12,500,000 common shares and 187,500 common share purchase warrants. These funds help implement our strategy going forward, and management will continue to evaluate alternatives to secure additional financing until the company becomes profitable. During the quarter, the company implemented additional cost reduction measures that resulted in additional recurring savings. One important cost saving going forward is as a result of the sublease of our Montreal office, which commenced on May 1, 2023, and will continue until the end of the lease in 2028. These initiatives, when combined with the strong revenue growth that a company is experiencing, confirm the trajectory of the company towards profitability. This wraps up my remarks regarding the first quarter results. You can find our unaudited interim condensed financial statements with notes and MD&A for the quarter ended March 31, 2023, on SEDAR. With that operator, we're ready to take questions now. Thank you, sir. Ladies and gentlemen, we will now begin the question- and- answer session. Should you have a question, please press star followed by the number one on your touchtone phone. Again, that's star followed by the number one on your touchtone phone. If you would like to withdraw your request, please press star followed by the number two. Please stand by while we compile the Q&A roster. There are no questions at this time. I'd now like to turn the call back over to Mr. Michael Peters for any closing remarks. Thank you, operator. Our first quarter 2023 results confirm the positive trends exhibited since the beginning of 2022. Most importantly, the strength of our sales bookings year to date validate our success in the employer vertical. We are looking forward to a positive performance as we meet the demands of major companies across North America and Europe, seeking out innovative and powerful digital health and wellness solutions. Thank you again for your participation. Olivier and I are available at any time to answer any further questions you may have. Have a great day. Thank you. Thank you, presenters. Ladies and gentlemen, this concludes your conference call for today. We thank you for participating and ask that you please disconnect your lines. Have a lovely day.
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