Ms. Karen Adams reports

CLOUDMD PROVIDES UPDATE ON GROWING MOMENTUM DRIVEN BY CLIENT DEMAND FOR NAVIGATED HEALTHCARE SOLUTIONS & INCREASED OPERATIONAL EFFICIENCIES

CloudMD Software & Services Inc. has provided an update on the success of its initiatives to grow the company's share of wallet among large global organizations and drive down costs by creating operational efficiencies.

Key client successes since Q2 2023:

• An additional 100,000 lives covered via new client signings for CloudMD portfolio solutions, including health care navigation (mental and physical health), Internet-based cognitive behaviour therapy (iCBT) and mental health coaching solutions. Major new clients include a large multinational technology company (48,000 lives) and a large media and telecommunications company (10,000 lives).
• Continued momentum for increasing lifetime customer value with expanded take-up of multiservice offerings in new and existing accounts. Almost 50 per cent of new clients in Q3 launched with more than one service, and nearly one-third of existing clients added at least one new service during this period.

Major operational efficiency initiatives:

• Consolidation of internal cloud technology infrastructure into a singular tenant scheduled to be completed by year-end, expected to result in significant annual cost savings, reduced management overhead and additional capacity to deliver on more critical items.
• Increasing customer satisfaction through enhancements to personalized intake, allowing for greater control over operations and substantial monthly cost savings.

"I am excited that our focus on full integration of our portfolio of solutions across all aspects of our business, which is being led by our exceptional leadership team, is resulting in accelerating momentum, driving revenue and reducing costs within the organization," said Bram Lowsky, executive vice-president, health and wellness solutions, CloudMD. "As an increasing number of organizations seek to reduce the complexity, high costs and often disappointing outcomes of supporting their employees with disjointed multivendor solutions, we are seeing strong interest in our game-changing full-service navigated approach to mental health, health care and workplace safety. By choosing to work with CloudMD, clients and partners that select our complete suite of solutions really can have it all. And the growing number of organizations investing in our solutions to deliver better outcomes for their valued employees continues to validate the strength of our approach."

"The executive and leadership team at CloudMD continues to be laser-focused on delivering profitable growth and executing on our strategic plan to reduce costs with significant initiatives to build operational efficiencies," said Karen Adams, chief executive officer, CloudMD. "The industry and our customers are asking for a more enhanced solution to solve the mental and physical health issues that individuals face. Customers value our comprehensive approach to not only connecting individuals with the right resources but also the ability to engage and return to function. This is being accomplished with a clear focus on continued cost reductions and improvement of EBITDA [earnings before interest, taxes, depreciation and amortization]."

About CloudMD Software & Services Inc.

CloudMD is an innovative North American health care service provider focused on empowering healthier living by combining leading-edge technology with an exceptional national network of health care professionals. Every day, CloudMD's employees and health care providers live the company's values of delivering excellence, collaboration, connected communication and accountability to solve complex health problems. CloudMD's industry-leading workplace health and well-being solution, Kii, supports members and their families with a personalized and connected health care experience across mental, physical and occupational health. Kii delivers superior clinical health outcomes, consistent high engagement and measurable Rreturn on investment for payers such as employers, educational institutions, associations, governments and insurers. CloudMD is also a market leader in workplace absence management through data-driven prevention, intervention and return-to-work programs.

We seek Safe Harbor.