FinancialsInteresting and not unpredictable to see a slowing acquisition pace, practice value behaves like a house afterall.
My hopes
1. That the slowdown in acquisitions will allow them to focus on volume initiatives same store, 2% growth IMO is abysmal. Provinces with a fee guide, saw larger than usual jumps this year, just a guess, but aggregated 2% increase could just be the impact of those fee guide increases meaning practices were in fact flat? Concerned that with 4-5MM forecast accretive acquisition EBIT that stag acquisition rev growth + stagnant same store rev growth could be lackluster, which could lead to uninspiring SP results?
2. Renegotiation of exec debt, yes, framed in the release as a way to lessen the impact of rates on motivational value, however it also could be an earn out package? Does anyone know when those loans were first issued? Perhaps the renegotiation portends a takeout?
3. If a takeout, where's the $ coming from? 20% PF ebid at a reasonable multiple, less interest rates where they are, who's got that cash right now that can be spent at a reasonable cost within the relevant risk range?
Anyhow, I'm a holder playing wait and see. This is a good model over the medium IMO.