Carebook Announces Second Quarter 2024 Financial Results
- Revenue for the quarter up 37% to
$3.7M for Q2 2024 compared to$2.7M for Q2 2023. - As a result of significant revenue growth and cost optimization initiatives, loss from operations was
$(0.5)M for Q2 2024, an improvement of$0.2M when compared to Q2 2023. - Net Loss for Q2 2024 was
$(0.7)M , consistent and stable when compared to Q2 2023. - Adjusted EBITDA(1) loss for Q2 2024 was
$(0.1)M , an improvement of 75% relative to Q2 2023. - Adjusted EBITDA Margin(1) of (2)% in Q2 2024 compared to (9)% in Q2 2023.
- ARR(2) of
$12.1M as ofJune 30, 2024 , an increase of 14% over the same date in 2023.
"The second quarter of 2024 continues to show strong revenue growth when compared to the second quarter of 2023 as we completed several large implementations and helped our clients onboard a significant amount of users during the last twelve months" commented
______________________________ |
1 EBITDA and Adjusted EBITDA are non-IFRS financial measures, and Adjusted EBITDA Margin is a non-IFRS financial ratio, in each case without a standardized meaning under IFRS and which may not be comparable to similar measures or ratios used by other issuers. Please refer to the sections "Cautionary Note Regarding Non-IFRS Measures, non-IFRS Ratios and Key Performance Indicators", "Non-IFRS Measures and Non-IFRS Ratios" and "Non-IFRS Measures and Reconciliation of Non-IFRS Measures EBITDA and Adjusted EBITDA" for the definitions of such non-IFRS financial measures and ratio, an explanation of the usefulness of such non-IFRS financial measures and ratio, and a reconciliation of non-IFRS financial measures to the most directly comparable IFRS financial measure. |
2 Annual Recurring Revenue or ARR is a key performance indicator. Please refer to the sections "Cautionary Note Regarding Non-IFRS Measures, non-IFRS Ratios and Key Performance Indicators" and "Key Performance Indicators" below for the definition of ARR, as well as an explanation of the usefulness of such key performance indicator to the Company. |
Q2 2024 Highlights
Revenue
Revenue for the quarter ended
Loss from Operations and Net Loss
Loss from operations for the quarter ended
Net loss was
Adjusted EBITDA
Adjusted EBITDA(1) loss for the quarter ended
Annual Recurring Revenue
ARR(2) was
Financial Outlook
Conference Call Details
A conference call will be held at 8:30 AM Eastern on August 21, 2024 to discuss
Conference Call Details |
|
Date |
|
Time: |
|
Local: |
1-437-900-0527 |
North American Toll Free: |
1-888-510-2154 |
RapidConnect URL: |
|
Webcast URL: |
|
|
|
Conference Replay |
|
Local: |
1-289-819-1450 |
North American Toll Free: |
1-888-660-6345 |
Entry Code: |
18804 # |
Expiration Date: |
|
Cautionary Note Regarding Non-IFRS Measures, non-IFRS Ratios and Key Performance Indicators
This press release makes reference to certain non-IFRS measures and key performance indicators. These measures are not standardized financial measures under IFRS as issued by the IASB 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, these measures are provided as additional information to complement those IFRS measures by providing further understanding of our results of operations from management's perspective. Accordingly, these measures should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS. We use non-IFRS measures, including "EBITDA" and "Adjusted EBITDA" and non-IFRS ratios including "Adjusted EBITDA Margin". This press release also makes reference to "Annual Recurring Revenue" or "ARR", which is a key performance indicator used in our industry. These non-IFRS measures, non-IFRS ratios and key performance indicators are used to provide investors with supplemental measures of our operating performance and liquidity and thus highlight trends in our business that may not otherwise be apparent when relying solely on IFRS measures. The Company also believes that securities analysts, investors, and other interested parties frequently use non-IFRS measures, non-IFRS ratios and key performance indicators in the evaluation of issuers. The Company's management also uses non-IFRS measures, non-IFRS ratios and key performance indicators in order to facilitate operating performance comparisons from period to period, to prepare annual operating budgets and forecasts, and to determine components of management and executive compensation. The key performance indicators used by the Company may be calculated in a manner different than similar key performance indicators used by other companies.
Non-IFRS Measures and Non-IFRS Ratios
"Adjusted EBITDA" is defined as EBITDA adjusted for non-recurring M&A and other transaction costs, certain non-recurring costs (or savings), share-based compensation, foreign exchange loss (gain), intangible asset and goodwill impairment, changes in fair value of warrants or changes in fair value of contingent consideration. Adjusted EBITDA provides management with a useful supplemental measure in evaluating the performance of our operations and provides better transparency into our results of operations. Adjusted EBITDA indicates our ability to generate profit from our operations prior to considering our financing decisions and costs of consuming intangible and capital assets.
"EBITDA" is defined as net income or loss before income tax expenses, finance costs and depreciation and amortization.
"Adjusted EBITDA Margin" is calculated as Adjusted EBITDA divided by revenue for the relevant period.
Key Performance Indicators
"Annual Recurring Revenue" or "ARR" represents contracted software and services revenues that are expected to have a duration of more than one year, and is equal to the annualized value of contracted recurring revenue from all clients on our platforms at the date being measured. Contracted recurring revenue is revenue generated from clients who are, as of the date being measured, party to contracts with
Non-IFRS Measures and Reconciliation of Non-IFRS Measures EBITDA and Adjusted EBITDA
|
|
|
THREE MONTHS
|
|
THREE MONTHS
|
|
|
SIX MONTHS
|
|
SIX MONTHS
|
|
|
|
|
|
|
|
|
|
|
|
Net loss |
|
$ |
(668) |
$ |
(687) |
|
$ |
(1,017) |
$ |
(1,146) |
Add: |
|
|
|
|
|
|
|
|
|
|
Amortization and depreciation expense |
$ |
370 |
$ |
402 |
|
$ |
739 |
$ |
819 |
|
Finance costs |
|
$ |
390 |
$ |
378 |
|
$ |
772 |
$ |
751 |
Other income (1) |
|
$ |
(13) |
$ |
(197) |
|
$ |
(19) |
$ |
(211) |
Income Tax expense (recovery) |
|
$ |
(162) |
$ |
(320) |
|
$ |
(324) |
$ |
(640) |
Impairment (2) |
|
$ |
- |
$ |
178 |
|
$ |
- |
$ |
178 |
EBITDA (3) |
|
$ |
(83) |
$ |
(246) |
|
$ |
151 |
$ |
(249) |
Add: |
|
|
|
|
|
|
|
|
|
|
Share-Based compensation |
|
$ |
25 |
$ |
12 |
|
$ |
68 |
$ |
58 |
Additional One-Time Costs (Savings) (4) |
$ |
- |
$ |
- |
|
$ |
(186) |
$ |
(512) |
|
Adjusted EBITDA (3) |
|
$ |
(58) |
$ |
(234) |
|
$ |
33 |
$ |
(703) |
(1) |
Other income includes a gain following the initial recognition of the net investment from the |
(2) |
Impairment on disposal of leasehold improvements from |
(3) |
Non-IFRS financial measures without a standardized definition under IFRS, which may not be comparable to similar |
(4) |
Additional One-Time Costs (Savings) relate to a grant from the |
About
For further information contact:
Carebook Investor Relations Contact:
Email : ir@carebook.com
Telephone: (450) 977-0709
Neither
Financial Outlook Assumptions
Our financial outlook is based on a number of assumptions, including assumptions related to inflation, changes in interest rates, consumer spending, foreign exchange rates and other macroeconomic conditions; our major revenue streams remaining in line with our expectations; customers adopting our solutions at an average contract value at or above that of our planned levels; our ability to price our products in line with our expectations and to achieve suitable margins; our ability to achieve success in the continued expansion of our product lines and solutions; continued success in additional product adoption and user base expansion throughout our customer base; our ability to derive the benefits we expect from the acquisitions we have completed; our ability to attract and retain key personnel required to achieve our plans; our expectations regarding the costs, timing and impact of our cost reduction initiatives; our ability to manage customer churn and churn rates remaining at planned levels. Our financial outlook does not give effect to the potential impact of acquisitions that may be announced or closed after the date hereof. Our financial outlook, including the various underlying assumptions, constitutes forward-looking information and should be read in conjunction with the cautionary notice on forward-looking statements below. Many factors may cause our actual results, level of activity, performance or achievements to differ materially from those expressed or implied by such forward-looking information.
Notice Regarding Forward-Looking Statements:
This release includes forward-looking information and forward-looking statements within the meaning of Canadian securities laws regarding
SOURCE