Premier Health of America Inc PRHAF

Q1 2023 estimates

[colourama]

Aside from everyone writing off the company as now being worth 0 cents, what do we expect for Q1 2023?

The fact that they have already bought back 65% (nearly 1 million) of the maximum shares permitted of the NCIB in 3 months, suggests there was a strong demand up again last Sept-Dec.

I am hoping for $23 million in revenue, and $2.3 million EBITDA with a 10% margin.

[CauseWhyNot]

I'm hoping they will show decent ebitda growth (adjusted and normal).  I wish they never spent the money in the buy back. They could have hired 3 people to start a division in BC or expand in Ontario. There too much growth potential to shift to buying back shares. this stock is going to get oversold and if you don't believe QUE tabled bill will not go through or a weak version

[CauseWhyNot]

Note to self: proof read before submitting. 

[colourama]

Certainly it will be nice to see their expansion continue, but the stock buyback has only cost them about $0.36 million. I don't imagine that this amount is affecting any serious finanical capability for them to make an acquisition if that is in their immediate plans. To summarize comments written elsewhere, the Quebec proposed bill doesn't make sense - there are nursing shortages

[Torontojay]

Hi Colourama.  Billable hours has been trending down. Premier Health and Premier Health Nordik has been stable but Code Bleu has not. The good news is the company is able to increase the prices on these billable hours. It is expected that we will see stability in hours billed for 2023 according to management.  It will be interesting to see if there were any additional wage pressures

[CauseWhyNot]

I was thinking, at most, they will cap outsourcing margins. My understanding is other companies are making 30-35%, while pha is trying to make 25%. I could see them capping that. it's not a lot of money spent on NCIB, but that could have hired 3 guys in Vancouver and start building out their staffing company. Acquisition is a good strategy, but it's expensive and takes a long time to

[colourama]

CauseWhyNot, appreciate your comments and you make good points. Hopefully with Q1 results out this week (if I am not mistaken), management can provide a little bit more commentary on their plans going forward. I continue to hold and wait to see how things develop, although I am frustrated like others as it's been a tough hold the past 1.5 years.