Quipt Home Medical Corp T.QIPT

Net income synergies

[lscfa]

Co. said cost synergies will add $2 million to ebitda but there will also be cost savings in interest expenses. Great Elm was paying a 9% preferred dividend. Quipt's credit facility will have a lower interest rate and debt interest reduces income taxes payable.

[besttobe]

Net Income and FCF ("free") are more relevant for Quipt, as they don't include cost of rental equiptment in ebitda and now that they are in debt, interest rates matter. Anyway, we shall see. The market gives Quipt a low multiple for a reason. It is a unprofitable roll up microcap. They need to start showing a profit. now that they are scaled as promised. IMO GLTA

[cnotes22]

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