Mr. Jean-Robert Pronovost reports

PREMIER HEALTH REPORTS 2024 FIRST QUARTER RESULTS

Premier Health of America Inc. has filed its unaudited quarterly consolidated financial statements and MD&A (management's discussion and analysis) for its first quarter ended on Dec. 31, 2023.

Summary:

• Acquisition of Solutions Staffing of British Columbia (SSI) and $50-million refinancing completed on Nov. 9, 2023;
• Gross margin for the quarter at 20.7 per cent, in line with the company's revised long-term target of 20 per cent;
• Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) for the quarter was $2.6-million ($1.5-million for the same period in 2022), despite acquisition costs of around $650,000 in the quarter and only 52 days of contribution from SSI;
• Net loss for the quarter was $200,000 ($400,000 for the same period in 2022), resulting from acquisition costs and higher financing costs.

The first quarter of 2024 was marked by the largest acquisition and refinancing Premier Health has completed so far. By integrating SSI, not only the Premier Health group will almost double its revenues and adjusted EBITDA, but it also significantly improves its geographical diversification within Canada. This is key to ensuring organic growth and reducing revenue volatility. Premier Health's existing agencies performed as expected during the quarter, although CHCA suffered some slowdown while it prepares for the operationalization of its new contract with Indigenous Service Canada.

"We are proud of finalizing the acquisition of SSI and refinancing transactions. As a coast-to-coast agency, we are now stronger, more attractive for new candidates and more resilient to local headwinds. Our business model, digital platform and mobile app are perfectly aligned with the gig economy framework. In that context, there is still a lot of consolidation possible in Canada and we are eager to pursue our growth outside Quebec," said Martin Legault, chief executive officer of Premier Health. "The Quebec market is evolving and we still believe agencies will play a role in the future state of its health care system. We need to be smart, adapt and use our scale to be competitive."

More information can be found in the company's quarterly financial statements and MD&A as available on SEDAR+.

About Premier Health of America Inc.

Premier Health is a leading Canadian health technology company that provides a comprehensive range of outsourced services solutions for health care needs to governments, corporations and individuals. Premier Health uses its proprietary LiPHe platform to lead the health care services sector digital transformation to provide patients with faster, cheaper and more accessible care services.

Non-GAAP (generally accepted accounting principles) measures

EBITDA is calculated as the net profit (loss), before non-recurring items, excluding acquisition and transaction costs, non-cash expenses (including loss from disposal of assets, impairments, amortization and depreciation), and interest expense, net of interest income and income tax expense. More detail can be found in Premier Health's MD&A.

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