HEALWELL AI Provides Corporate Update and Preliminary Financial Results for the Year Ended December 31, 2023
HEALWELL debuted in the fourth quarter of 2023 and since then has achieved significant milestones including raising approximately $29.5 million, completing the acquisition of a majority interest in AI healthcare company Pentavere, announcing that it is powering WELL AI Decision Support, the first AI-powered physician co-pilot product adopted by WELL Health Technologies (TSX: WELL), and announcing the acquisition of Intrahealth, an enterprise class EHR driving current yearly run-rate revenues to over $20 million, most of which is attributable to SaaS and services.
Management provides a positive outlook based on strong and active acquisition and business development pipeline with the potential to more than double HEALWELL’s yearly revenue run-rate to over $40 million using the Company’s existing cash on hand and without further financing resources.
HEALWELL AI to hold a conference call and simultaneous webcast next week, details will be provided separately when they are available.
TORONTO, March 21, 2024 (GLOBE NEWSWIRE) -- HEALWELL AI Inc. ("HEALWELL" or the "Company") (TSX: AIDX) (OTCQX: HWAIF), an AI and data science company focused on preventative care, is pleased to provide a corporate update including the release of preliminary financial results for its Fiscal Fourth Quarter and Year Ended December 31, 2023. These results are unaudited and remain subject to the completion of the Company’s year-end financial reporting processes, audit, and any potential adjustments that might result.
Selected unaudited financial result expectations for the periods include:
Annual revenue from continuing operations of $7.32 million during fiscal 2023. Quarterly revenue from continuing operations of $1.92 million during Q4-2023.
Net Loss from continuing operations of $30.20 million.
As at December 31, 2023, HEALWELL had Net assets of $21.96 million and cash of $19.16 million.
Dr. Alexander Dobranowski, HEALWELL’s CEO, commented, “Fourth quarter was a historic chapter in HEALWELL’s journey as we marked our debut, with an unwavering commitment to revolutionize healthcare through AI innovation. During the fourth quarter we forged a transformative partnership with WELL Health Technologies Corp. (TSX: WELL), secured approximately $29.5 million through convertible debt and equity financings, and completed the acquisition of a majority interest in Pentavere, one of the leading healthcare AI platforms in Canada. Our recent acquisition of Intrahealth further strengthens HEALWELL’s position as a leading AI and data science company in the healthcare sector.”
Dr. Alexander Dobranowski further adds, “We have an extremely positive outlook based on our organic growth profile and M&A strategy. We currently have a strong and active acquisition pipeline with the potential to more than double our current revenue run-rate of over $20 million to over $40 million per year, by using the existing cash we have on hand. We look forward to providing more details on our upcoming quarterly investor conference call.”
Scott Nirenberski, HEALWELL’s CFO, commented, “During the fourth quarter we solidified our balance sheet, which enabled the Company to complete the Intrahealth acquisition in Q1-2024. Our 2023 results are not indicative of the Company’s current run-rate revenues as Intrahealth is expected to achieve over $12 million revenue this year and we are expecting both Khure Health and Pentavere revenues to also accelerate in 2024. In addition, we are also expecting to improve our profitability and cash flow profile in the coming quarters.”
All figures reported above are preliminary and unaudited, are based on information available to management as of March 21, 2024, and are subject to further changes upon completion of the Company’s audit and year-end financial reporting processes, audit and any potential adjustments that may result. This update does not present all necessary information for an understanding of HEALWELL’s financial condition as of the date of this release, or its results of operations for the year and quarter ended December 31, 2023. As HEALWELL finalizes its financial statements for the periods, it is possible that the Company may identify items that require it to make adjustments to the preliminary financial information set forth above and those changes could be material. Accordingly, investors are cautioned not to place undue reliance on this information. The Company does not intend to provide preliminary results in future periods.
HEALWELL will release its financial results for the Year Ended December 31, 2023 next week. Details will be provided separately when they are available.
Dr. Alexander Dobranowski
Chief Executive Officer
HEALWELL AI
About HEALWELL
HEALWELL is a healthcare technology company focused on AI and data science for preventative care. Its mission is to improve healthcare and save lives through early identification and detection of disease. Using its own proprietary technology, the Company is developing and commercializing advanced clinical decision support systems that can help healthcare providers detect rare and chronic diseases, improve efficiency of their practice and ultimately help improve patient health outcomes. HEALWELL is executing a strategy centered around developing and acquiring technology and clinical sciences capabilities that complement the Company's road map. HEALWELL is publicly traded on the Toronto Stock Exchange (the “TSX”) under the symbol “AIDX” and on the OTC Exchange under the symbol “HWAIF”. To learn more about HEALWELL, please visit https://healwell.ai/.
Forward Looking Statements
Certain statements in this press release, constitute “forward-looking information” and “forward looking statements” (collectively, “forward looking statements”) within the meaning of applicable Canadian securities laws and are based on assumptions, expectations, estimates and projections as of the date of this press release. Forward-looking statements include statements with respect to the Company’s financial results and performance in the quarter and year ended December 31, 2023, the Company’s acquisition pipeline, anticipated revenue growth in 2024, and the anticipated timing for filing the audited financial statements and holding the earnings call. The words “result”, “improve”, “grow”, “outcome”, “position”, “implement”, “provide”, “satisfy”, “goal”, “commitment”, “intend”, “generate”, “accelerate”, “continuing to”, “potential”, “future”, “result in”, “increasing”, “anticipates”, “expecting”, “achieve”, “revolutionize”, “transform”, “outlook”, “solidified”, or variations of such words and phrases or statements that certain future conditions, actions, events or results “will”, “may”, “could”, “would”, “should”, “might” or “can”, or negative versions thereof, “occur”, “continue” or “be achieved”, and other similar expressions, identify forward-looking statements. Forward-looking statements are necessarily based upon management’s perceptions of historical trends, current conditions and expected future developments, as well as a number of specific factors and assumptions that, while considered reasonable by the Company as of the date of such statements, are outside of the Company's control and are inherently subject to significant business, economic and competitive uncertainties and contingencies which could result in the forward-looking statements ultimately being entirely or partially incorrect or untrue. Forward looking statements contained in this press release are based on various assumptions, including, but not limited to, the following: the Company's ability to maintain its relationships with its commercial partners and to successfully implement its strategic alliance with WELL; the Company's future access to debt and equity financing; the Company's plans for future cost reduction; the availability of working capital and sources of liquidity; the Company's ability to achieve its growth and revenue strategies; the availability of potential acquisition targets, the Company’s ability to complete acquisitions successfully, and the terms on which acquisitions may be completed; the demand for the Company's products and fluctuations in future revenues; the availability of future business ventures, commercial arrangements and acquisition targets or opportunities and the Company's ability to consummate them and to effectively integrate future acquisition targets into its platform; the Company's ability to grow its customer base; the effects of competition in the industry; the requirement for increasingly innovative product solutions and service offerings; trends in customer growth; the stability of general economic and market conditions; currency exchange rates and interest rates; the Company's ability to comply with applicable laws and regulations; the Company's continued compliance with third party intellectual property rights; the Company’s ability to complete its audit on anticipated timelines; and that the risk factors noted below, collectively, do not have a material impact on the Company's business, operations, revenues and/or results. By their nature, forward-looking statements are subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct, and that objectives, strategic goals and priorities will not be achieved.
Any financial results discussed in this press release are preliminary, unaudited and represent the most current information available to the Company’s management as of the date of March 21, 2024 as financial closing and audit procedures for the year ended December 31, 2023 are not yet complete. These estimates are not a comprehensive statement of the Company’s financial results for the applicable periods and actual results may differ materially from these estimates as a result of the completion of year-end accounting procedures, adjustments, auditing and the identification of events that may be relevant to the financial results prior to the filing of the Company’s financial statements for the period. In addition, any statements regarding the Company’s financial performance are not necessarily indicative of the Company’s anticipated financial performance for Q1 2024 or for any future fiscal period.
Known and unknown risk factors, many of which are beyond the control of the Company, could cause the actual results of the Company to differ materially from the results, performance, achievements or developments expressed or implied by such forward-looking statements. Such risk factors include but are not limited to those factors which are discussed under the section entitled “Risk Factors” in the Company’s annual information form dated March 31, 2023, which is available under the Company's SEDAR+ profile at www.sedarplus.com. The risk factors are not intended to represent a complete list of the factors that could affect the Company and the reader is cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking statements. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are provided for the purpose of providing information about management’s expectations and plans relating to the future. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, or to explain any material difference between subsequent actual events and such forward-looking statements, except to the extent required by applicable law. All of the forward-looking statements contained in this press release are qualified by these cautionary statements.
For more information:
Pardeep Sangha
Investor Relations, HEALWELL AI Inc.
Phone: 416-440-4040 x.201
ir@healwell.ai
