Quipt Home Medical Corp T.QIPT

Free cash flow

[lscfa]

Down for fQ3 due largely to increased equipment capex. Explained in Conf. Call that spending on ventilators was up, probably for the same reason that Viemed gave....

As many of you know, Viemed was a pioneer in the noninvasive ventilation market, resulting in a fleet with a number of aging ventilators. The recent Philips recall of these older machines has presented a unique opportunity to replace these devices and alleviate the need for future servicing. We've entered into an agreement with Philips to buy back a large number of our affected events. By leveraging substantial volume purchase discounts with manufacturers of new ventilators, we can use the proceeds from the buyback to significantly reduce the average age of our VIP fleet without negative impacts on our overall cash flows and P&L.

 

 

$US 000’s	Revenue	ebitda - equip  capex - leases	FCF / Revenue
Jun 24	63,967	1,466	2.3%
Mar 24	63,954	5,855	9.2%
Dec 23	65,363	6,521	10.0%
Sep 23	62,523	5,115	8.2%
Jun 23	60,284	4,779	7.9%
Mar 23	58,120	3,922	6.7%
Dec 22	40,815	3,271	8.0%
Sept 22	40,092	901	2.2%
Jun 22	36,692	2,738	7.5%
Mar 22	33,553	1,401	4.2%
Dec 21	29,525	1,551	5.3%

[KarlGibbons]

its not free cash flow you are showing.  why aren't you deducting working capital investments?  If they have really generated over $13mm year to date in FCF, why is the cash down over $3 million and they had to borrow on the revolver and delay payables?