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Premier Health of America Inc V.PHA

Premier Health of America Inc. is a Canadian healthtech company. The Company provides a comprehensive range of outsourced service solutions for healthcare needs to governments, corporations, and individuals. The Company uses its proprietary LiPHe platform to lead the healthcare services sector in digital transformation to provide patients with more accessible care services. The Company operates through two segments: Per Diem and Travel Nurses. The Per Diem segment includes Premier Soin and Code Bleu, two of its Quebec subsidiaries that offer their respective services for nursing and assistance by profile and by region. The Travel nurse segment includes Canadian Health Care Agency, Premier Soin Nordik, Solutions Nursing as well as Solutions Staffing, four of its subsidiaries that offer their respective services to the federal and provincial governments for nursing and assistance, including in remote regions.


TSXV:PHA - Post by User

Comment by Torontojayon Jun 01, 2023 6:58am
61 Views
Post# 35474262

RE:RE:Acumen

RE:RE:Acumen

That's a good point Colourama. I think they should simply focus on their current operations and pay down debt as long as interest rates remain elevated. The interest expense is now reducing its profitability which is now almost $412k
 per quarter. If they pay down their debt, they could add almost ~ $1.6m to earnings before taxes. This is very attractive considering their market cap is only about 10 times this number. 

If there is a shortage in nurses, then agencies will have to offer them higher wages to incentivize them to work. They could also charge more for their services which would offset these higher wages unless they impose a cap rate. In any case, I do like the idea of growing organically during this time period but the shortages in nurses makes it almost impossible to do. 

I have to look into this, but I'm not sure if Ontario faces the same challenges as Quebec do when it comes to hiring nurses. Ontario gets a lot of immigration which could help fill in these positions. 

 

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