Quipt Home Medical reports Q3 EPS (4c), consensus (1c)

Reports Q3 revenue $64.0M, consensus $65.1M. “We are very proud of the progress made during the fiscal third quarter in mitigating the ongoing challenges we faced. Strength in our sleep resupply program and overall volume growth across our product mix helped us improve on our sequential revenue performance as compared to fiscal Q2. In real time, we are building momentum towards a return to historical organic growth levels. The operational team worked diligently to produce a consistent Adjusted EBITDA Margin4 of 22.3%, and we are expecting to see consistent margin performance for the remainder of the calendar year. As we continue to experience steady growth in our resupply program, and favorable referral patterns in real time, as well as working to navigate past the Change Healthcare cyber-attack, our robust balance sheet positions us exceptionally well to allocate capital flexibly. Given the improving acquisition environment, we are focused on identifying synergistic acquisition candidates that meet our stringent criteria and utilizing our Normal Course Issuer Bid (NCIB) opportunistically. Moreover, the recent acquisition of a larger peer in our industry underscores the significant valuation gap we have in the marketplace compared to our fundamentals. Furthermore, we anticipate a potential dislocation in the marketplace based on historical developments when large M&A takes place, and, if applicable, we are confident in our ability to pick up market share. On a go-forward basis, we will remain extremely disciplined, continuing to execute our strategic growth initiatives to drive organic growth, and economically build scale in attractive markets. This strategic approach not only strengthens our market position, but also highlights our commitment to creating long-term value for our shareholders,” said CEO and Chairman Gregory Crawford.