WELL Health Technologies Corp.

Welcome to the Well Health Technologies Corp fourth quarter and full year 2022 financial results conference call. My name is Michelle and I'll be your operator for today's call. At this time all participants are in a listen only mode. We will conduct a question and answer session later in the call which will be restricted to analysts only. Please note this conference is being recorded. I will now turn the call over to Pardeep Sangha Vice President, Investor Relations, Mr. Senga, you may begin.

Thank you, Operator, and welcome everyone to Wealth Health's annual 2022 and fiscal fourth quarter financial results conference call for the 12- and three-month end of December 31, 2022. Joining me on the call today are Hamed Shabazi, Chairman and CEO, and Eva Fong, the company's CFO. I trust that everyone has received a copy of our financial results press release that was issued earlier today. Portions of today's call, other than historical performance, include statements of forward-looking information within the meaning of applicable securities laws. These statements are made under the safe harbor provisions of those laws. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic, and competitive uncertainties and contingencies. These forward-looking statements involve known and unknown risk, uncertainties, assumptions, and other factors many of which are outside of wealth control that may cause the actual results, performance, or achievement of wealth to differ materially from the anticipated results, performance, or achievements implied by such forward-looking statements. These factors are further outlined in today's press release and in our management discussion and analysis. We provide forward-looking statements solely for the purpose of providing information about management's current expectations and plans relating to the future. We do not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forelooking statements to reflect any change in our expectations or any change in event, conditions, assumptions, or circumstances on which any such statement is based, except if it's required by law. We may use terms such as adjusted gross profit, adjusted gross margin, adjusted EBITDA, shared EBITDA, adjusted net income, and adjusted free cash flow on this conference call, which are all non-GAAP and non-IFRS measures. For more information on how we define these terms, please refer to the definition set out in today's press release and in our management discussion and analysis. The company believes that adjusted EBITDA is a meaningful financial metric as it measures cash generated from operations which the company can use to fund working capital requirements, service future interest and principal debt repayments, and fund future growth initiatives. Adjusted EBITDA should not be construed as an alternative to net income or loss determined in accordance with IFRS. And with that, let me turn the call over to Mr. Hamed Shabazi, Chairman and CEO. Go ahead, Hamed.

Thank you, Pardeep, and good day, everyone. We hope that you're all keeping safe and healthy. We appreciate everyone for joining us today. To start, I'd like to provide some historical perspective on Well. We recently celebrated the five-year anniversary of the acquisition of our first six clinics in British Columbia, which took place in February of 2018. That was Well's first acquisition and began our journey into the healthcare market by tech enabling healthcare providers and helping them modernize and digitize their businesses. It's been an amazing journey, during which time Well has grown from zero revenue to completing a record year in 2022, in which we achieved over $625 million on a Q4 annualized revenue run rate basis. More than one out of every four providers in Canada rely on Well in some way to power their businesses. from practice management solutions to revenue cycle management to provider and patient communication tools, such as online patient booking or e-referrals. Over the past five years, we've both grown organically and inorganically into one of the leading digital healthcare companies in North America. I'd like to thank the amazing team as well, including the healthcare providers who helped make all of this possible. During the past five years, we went through an unprecedented global pandemic during which our healthcare providers continue to provide incredible care under difficult conditions. The pandemic also accelerated the adoption of virtual care and digitization in the industry. More recently, we've also had to deal with very challenging circumstances, including worker shortages, supply chain difficulties, and rising costs brought about by high inflation. On all occasions, our management team employees and healthcare providers continue to overcome all these challenges. enabling the company to deliver phenomenal performances quarter after quarter. We are now firmly in the post-pandemic period and witnessing a host of new catalysts that speak to Well's relevance as a company and our role in helping healthcare providers digitize and modernize their practices, and in many cases, help make those practices more economically sustainable. Catalysts that we are watching closely as a team and believe act as tailwinds for the company are as follows. One, The increased likelihood of more public and private partnerships to support our healthcare ecosystem, announced by political and public health leaders, most recently in Ontario. Two, a commitment by federal authorities in Canada to add significant additional funding to help Canada not only improve the sustainability of its healthcare ecosystem, but also digitize and modernize it. Three, the emergence of artificial intelligence, including generative AI, to power tools and tech enablement for healthcare providers. Never even conceived or thought before. By the way, this is an area of intense focus for your management team as well. We'll discuss this more later. The demonstration particularly, four, the demonstration particularly in the United States of how valuable hybrid care networks are to major pharmacies and other institutions. We seem to be in a new golden age of primary care where there is rampant innovation and an opportunity to elevate care and better support providers. Moving on to wealth financial performance, we're thrilled to report another record-breaking year with strong fourth quarter results and significant growth across all key metrics. We'll achieve record annual revenue of $569.1 million for 2022, an increase of 88% over the prior year. I'm proud to report that Well has healthy cash flows, having achieved almost $105 million in operating adjusted EBITDA in 2022, resulting in adjusted free cash flow to shareholders of approximately $49 million. Q4 2022 was also a tremendous quarter for the company. Well achieved revenue of $156.5 million in the fourth quarter, representing 35% year-over-year revenue growth, most of which was organic. The fourth quarter of 2022 also marks our 16th consecutive quarter of record revenue. The company's growth was driven by acquisitions made over the past year, as well as solid year-over-year organic growth, which was 19% for the full year and 20% organic growth in the fourth quarter. While achieved record patient engagements over the past year, with approximately 3.5 million omni-channel patient visits and 4.9 million patient interactions in 2022. Omni-channel patient visits grew 50% in 2022 compared to the prior year, and total patient interactions grew 86% over the same period. This demonstrates our continued leadership position as the preeminent end-to-end healthcare company in Canada, while our U.S. businesses continue to exhibit industry-leading growth metrics. Our record revenue, profitability, and patient visits are a testament to the company's continued focus on delivering accessible and innovative healthcare solutions. Additionally, our US-based virtual services businesses continue to perform exceptionally well, further strengthening our position in the North American digital healthcare market. The company continues to witness healthy growth across all its business segments, including both online and in-person care channels, with minimal impacts due to recession, inflation, supply chain issues, or other macroeconomic effects. With that, I would now like to turn the call over to our CFO, Eva Fong, who will review the annual financials for 2022 and fiscal fourth quarter. I will then come back and provide further commentary on our business units and outlook. Eva.