RE:WHAT IS THE BIG DEAL on 2022?parahyangam wrote: Big jump in revenue off set by big increases in cost of revenue and admin.
Even if you take out the depreciation of 55 mil
then add back.
50 mil in new debt.
and 34 mil in capital issuance.
you are underwater
then
add back the depreciation you had an operating loss = > 70 mil.
Anybody who buys into this does not understand this business model or the nature of the business WELL is in
it has been tried many times before and it will fail
the cycle up will be from 2 or 3 dollars
This is very poor financial analysis. Can you walk us through your calculation of using EBITDA/Net Income and "adding back" or accounting for the new debt/capital issuances? Those are two separate items of a company's financial statements and they're not linked - a debt issuance or share issuance doesn't flow through to the Income Statement at all (only the costs of same)? Not sure what you're getting at.
WELL had a profitable year with
Net Income of $18.6MM and non-cash Depreciation/Amortization expenses of $55MM. The company then adds back one-time items and other things to arrive at Adjusted NI and Adjusted EBITDA figures. Dep/Amort is not entirely relevant for this business as a huge amount of this relates to the amortization of their contracts under CRH (not amortization of equipment, etc). This is a growing free cashflow machine.
There's a detailed reconcilation of Net Income and EBITDA here and you can decide for yourself what add-backs or one-time items are appropriate:
https://www.newswire.ca/news-releases/well-health-reports-record-revenue-results-for-q4-and-full-year-2022-and-provides-strong-growth-outlook-for-2023-883762686.html