Mr. Guy Daoust reports

PREMIER HEALTH REPORTS 2025 THIRD 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 third quarter ended on June 30, 2025.

Summary:

• Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) for the quarter was $22,000 ($367,000 for the same period in 2024), mainly driven by a decline in volume in Quebec and British Columbia.
• Net loss for the quarter was $3.5-million (loss of $8.4-million for the same period in 2024), the result of lower adjusted EBITDA, partly offset by favourable fair value adjustments and lower income tax.

The effects of the implementation of Quebec's Bill 10 continued impacting the per diem segment during this quarter. As a reminder, Bill 10 imposes capped rates and a series of restrictions for using independent labour in Quebec. The per diem business now represents around 4 per cent of revenues.

The travel nurse and northern communities' services are generally performing well except in B.C., where the company is experiencing a volume reduction. This can be attributed to a service acquisition centralization effort by the health authorities that Premier Health expects will eventually favour the best service providers. In addition, the initial rollout of the new contract caused certain delays in bookings as the new rules came into effect. CHCA also experienced a decline in hours and revenue in May and June, due to contract cancellations stemming from wildfire-related evacuations in various affected regions of Ontario.

The company has continued to work on the reorganization of its Quebec operations. During Q3 (third quarter), it continued to reduce the work force in that province, as well as in the corporate structure. Cost savings are on track with the amounts disclosed in Q4 (fourth quarter) 2024 and should carry on in the coming quarters as the various initiatives are fully deployed. Cost structure at the company's B.C. subsidiary is also being adapted to address to the market conditions in that province.

"Our cost reduction plan is still progressing and additional efforts were deployed in the current quarter. The per diem segment is largely non-existent and our focus will fully shift to travel nurses. The home care sector presents interesting opportunities, and we are evaluating our capacity to gradually enter this market, as well as calls for tenders in Quebec and Ontario. In the short term, we remain committed to cost reduction, debt management, operational efficiency and pursuing organic growth opportunities," said Guy Daoust, interim chief executive officer of Premier Health.

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, companies and individuals. Premier Health uses its proprietary LiPHe platform to lead the digital transformation of the health care services sector, providing patients with faster, more affordable and more accessible care.

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), change in fair values, interest expense, and income tax expense (recovery). Adjusted EBITDA excludes share-based compensation and unusual items, as determined from time to time. Gross margin is either used as a number or a percentage. As a number, it means revenues minus direct costs. When used as a percentage, it means the ratio of revenues minus direct costs to revenues.

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