VitalHub Corp. (the "Company" or "VitalHub") (TSXV: VHI) is pleased to report that the Company had organic growth in excess of $1,000,000 in new Annualized Contract Value Revenue during Q4/2020.
The Company defines Annualized Contract Value (ACV) as the contracted annual recurring revenue relating to renewable software license fees and maintenance services. ACV revenue typically has gross margin above 85%. As a result of the organic growth in Q4/2020, VitalHub's ACV is now in excess of $14.5 million on a Company-wide basis, an increase of 7.4% from the end of Q3/2020. 75% of this revenue was generated from the UK marketplace, and the remainder from the rest of the world.
The Company is rapidly expanding, as evidenced by the recently announced procurement of 8 new contracts that have contributed to the growth in ACV. In addition, VitalHub has completed various transactions in the community, mental health, long-term care sectors, and through the MCAP and Oculys business units. The Company completed the following previously announced material transactions in Q4/2020:
Much of VitalHub's organic growth in ACV has been generated through the adoption and sale of the Company's proprietary Synopsis and SHREWD product sets.
SHREWD is a product portfolio of real-time operational management tools, designed for all tiers of complexity that can span across health systems. The cloud-based SHREWD platform and portfolio of modules has the ability to take complex data from all system providers across health and social care, creating clear visibility of pressure points and potential impact on demand and capacity.
The Synopsis products allows hospitals to manage the entire assessment process - from initial questionnaire through to post-operative outcomes - digitally, removing the paper trail, reducing triage times, and cutting cancellation rates. Synopsis is a vital tool for health systems, providing clarity, efficiency, and value; having the proven ability to reduce cancellation rates and risk, increasing patient throughput and theatre utilization.
"Our recent acquisitions in 2020 have added to our strong set of product offerings, giving VitalHub a robust suite of solutions that are currently providing a high degree of value to healthcare organizations around the world. Due in part to our great customer reference base, and also to the strong team of industry experts deploying our offerings, other healthcare organizations are purchasing our digitally-enabled solutions to become more streamlined and efficient," said Dan Matlow, CEO of VitalHub. "VitalHub has achieved its strong revenue growth not only through acquisitions. As our organic growth has been demonstrating, our solutions are each industry leaders in their respective markets. We are excited about the future of these products and are confident in their ability to meet the demands of health systems internationally. This organic growth is further proof that we are able to grow both organically and through M&A via our two-pronged growth strategy."