WELL Health Technologies Corp.

Canadian-owned, certified, and fully integrated platform. Now let's look at Wellstar's financial performance for the quarter. We're pleased to report that Wellstar delivered yet another strong quarter, generating revenue of $21.8 million, an increase of 27% year-over-year. Wellstar achieved MRR, or monthly recurring revenue, of $6.4 million at the end of Q1 2026, an increase of 38% as compared to Q1 2025. Adjusted EBITDA of $4.9 million in Q1 2026, an increase of 14% as compared to adjusted EBITDA of $4.3 million in Q1 2025. Adjusted EBITDA margins were 23% in Q1 2026 for Wellstone. I want to point out that there were approximately $259,000 in pre-public related company costs in the quarter preparing for our spin-out plans. Excluding these costs, adjusted EBITDA would have been $5.2 million, an increase of 20%. Moving on, HealWell also released its Q1 2026 financials earlier this afternoon. We're extremely proud of the progress made by HealWell, a company that we helped launch. HealWell is a global healthcare software company with enterprise-grade data science and AI offerings serving 70 of the largest health systems here in Canada and globally in 11 countries, including customers such as the NHS in the UK, governments of France, Spain, Saudi Arabia, Abu Dhabi, New Zealand, Australia, and health systems in the United States. HealWell achieved revenue of $33.2 million in Q1 26, an increase of 316% year over year. HealWell also reported positive adjusted EBITDA of $735,000 in Q1 26 compared to a loss of 2.3 million in Q1 2025. HealWell will be hosting its webcast conference call tomorrow morning before market open. I hope you're able to check in and listen to HealWell's management discuss their progress and particularly some of their recent AI and health system wins demonstrating that the market is responding well to their efforts. Next topic I'd like to talk about is our current strategic review process of our US assets. We are, of course, limited in what we can say about these strategic review processes, especially given the advanced nature of some of our work here and the negotiations we're engaged in. Nonetheless, I'll try to give you some high-level color. Firstly, we remain committed to our strategy of seeking strategic alternatives of the company's U.S. care delivery assets, including WISP, Circle Medical, and CRH. Similar to our last call several weeks ago, I can confirm that we are in active discussions with potential buyers for all three assets. We are navigating these discussions deliberately and with discipline to ensure we maximize value for our shareholders and find the right long-term partners for these high-quality businesses. These strategic alternatives reflect the capital allocation discipline I described earlier. We continue to like all these businesses, but discipline matters. And we're looking at multiple alternatives, not just divestitures. Whatever path we choose will not impair our ability to focus our capital resources and drive our Canadian clinic business. To our shareholders, I want to thank you for your patience as we bring these processes to the right outcome. Now I'll comment on each one of the U.S. businesses, starting with WISP. WISP achieved revenue of $29.1 million in Q1 compared to $29.5 million in Q1 the previous year. Adjusted EBITDA was a loss of $0.9 million compared to $0.5 million in Q1 2025. While revenue remains stable, Adjusted EBITDA reflects deliberate investments designed to strengthen WISP's long-term position. These investments include Compliance and clinical excellence, product innovation with new launches, including a new mobile app recently launched with more enhancements planned for later this year. Strategic diversification through a new B2B vertical driven by a small acqui-hire we completed at the outset of the year, complementing the direct-to-consumer model. These investments are already yielding measurable operational improvement, and we expect WIS to return to EBITDA profitability in the second half of the year. Moving on to Circle Medical. Circle Medical reported revenue of $36 million in Q1, an increase of 21%. However, revenue included approximately $12.8 million of net deferred revenue. Circle Medical's normalized adjusted EBITDA was $2.9 million in Q1, which has grown sequentially over the previous quarter. Note that we expect to have minimal deferred revenue impact of approximately $4.8 million that is recognized in Q2 2026 with no more deferred revenue beyond that. Also, as we indicated in our last conference call, we have a deal in principle with the U.S. regulators relating to the billing issues we had outlined last year in our Q4 2024 conference call. We look forward to finalizing these arrangements and reporting back to shareholders. And finally, CRH and provider staffing. The combined CRH anesthesia and staffing business generated $111.3 million in Q1 2026 compared to $114.3 million in Q1 2025. While the CRH anesthesia business was up 7% year over year, there was a small decline in overall revenue due to a decrease in the staffing business, as this business can be a bit lumpy. Adjusted EBITDA for combined anesthesia services and staffing was $17.9 million in Q1 2026, compared to $17.6 million in Q1 2025. While growth was challenged in Q1 2026, we actually improved EBITDA margins in the combined businesses. And now I'd like to pass the call over to Eva.

Thank you, Hamid. The theme of our capital expenditures is investment for the future. Our capital expenditures in Q1 2026 increased by 88% from Q1 2025. This is primarily due to the addition of HealWell and our increased investments for the future. These investments include increase in capital expenditure due to the following. Canada clinic transformation and new diagnostic equipment. The newly launched Well Research Program. increase in cyber world's new AI-focused platform, and four, the increased AI-related capital expenditure at world corporates, such as the World Health Intelligence platform that Hamed mentioned earlier. Our Q1 2026 revenue grew 25% year-over-year to $368 million. Even excluding the additional pure wealth and the net impact of circle medical deferrals, the underlying business contributed approximately 22 million of net growth. Adjusted EBITDA grew strongly year over year, despite meaningful investments made in world research, cyber wealth, and the world intelligence platform. We expect these investment pressures to subside in the coming quarters, after which the underlying margin expansion of the platform will be more visible. Turning to adjusted net income. Adjusted net income doubled to $15.5 million in Q1 2026 from $7.5 million in Q1 2025. Adjusted net income was negatively impacted by our new growth initiatives such as well research, cyber well, and the AI in IT transformation initiatives. Operating adjusted free cash flow attributable to shareholders was 1.6 million in Q1, 2026, compared to 11.8 million in Q1, 2025. Adjusted free cash flow was negatively impacted by the following. Increased spending for growth initiatives, including well research, cyber well, and AI related transformation. The investments noted earlier on the call related to RISP, Higher capital expenditures as discussed and higher cash taxes compared to Q1 2025 due to timing of cash payments and improved profitability in certain subsidiaries. We view this adjusted free cash flow impact as temporary. As our growth initiative investment phase normalizes, we expect adjusted free cash flow conversion to improve significantly through the back half of 2026 and into 2027. Turn into our balance sheet as of March 31st, 2026. Well ended Q1, 2026 with a solid balance sheet holding cash and cash equivalents of 134 million. We remain in good standing and fully compliant with all components related to our two credit lines, JP Morgan in the US and Royal Bank in Canada. The outstanding debt from these credit lines was approximately $444.8 million in Canadian dollars as of March 31st, 2026. This doesn't include Hillwall's credit facility with the Bank of Nova Scotia, which is also in good standing with outstanding debt of $48.5 million. During Q1 2026, we expanded and extended our senior secure credit facility to $400 million Canadian with an additional $100 million uncommitted accordion under syndicates led by Royal Bank of Canada, JP Morgan, and TD Bank. This effectively doubles our prior capacity and extends the maturity to January 2030. This enhanced facility gives us a significant financial flexibility to execute on our Canadian acquisition pipeline, which, as Hamid described earlier, is the largest we have ever had. In Q1, we continued our normal course issuer bid, or NCIB. In Q1, 2026, the company bought back 177,600 shares. We're expecting to continue with our share buyback program for the rest of 2026 as permitted. I'm also pleased to report that we have the cash and available resources to continue to fund our organic and inorganic growth program, which are focused on Canadian clinics and WorldStar. That concludes my financial update, and I will now turn the call back over to Hamed.

Thank you, Eva. We are pleased to reaffirm our guidance for fiscal 2026. We expect annual revenue in the range of $1.55 billion to $1.65 billion, representing reported growth of 11% to 18% and normalized growth, excluding impact of any circle medical deferrals of 15 to 22%. We expect adjusted EBITDA in the range of 175 to $185 million. This guidance includes approximately 17.6 million in circle medical deferred revenue expected to be recognized in 2026, which carries close to 100% EBITDA contribution. It also only includes acquisitions announced to date. Excluding the impacts of the circle medical deferrals, Earnings on a normalized basis, the company expects to continue to deliver performance in line with prior years of achieving better than 10% annual growth in adjusted EBITDA and free cash flow growth, including acquisitions. Our guidance is sensitive to the timing of additional M&A and divestitures, and we will update the market as needed. For Well Canada specifically, which includes Canadian clinics and WellStar, we delivered over 44% adjusted EBITDA growth in 2025, and we are targeting approximately $800 million in revenue and over $100 million in adjusted EBITDA on a run rate basis within the next 12 months. As we have, just as a reminder, we have established a substantial outpatient clinic platform over the past few years, which now serves as a robust foundation for scalable growth. By integrating AI and advanced technology into our operations, we're actively enhancing our operating leverage and driving greater efficiencies across the business. To further strengthen our financial position, we expect to implement a targeted cost optimization program in the second half of the year aimed at reducing structural costs and expanding margins as we continue to scale. And as noted earlier, the company maintains full commitment to discipline capital allocation, with its Canadian clinic program as the primary destination for incremental capital. This focus is the central rationale behind the company's intention to proceed with the spin-out of WellSTAR and its ongoing evaluation of strategic alternatives for its U.S. care delivery assets. In closing, Q1, 2026 demonstrated that Wells model compounds. We delivered record first quarter results, accelerated our Canadian growth engine, strengthened our balance sheet and advanced value unlocking initiatives across our network. The strategic clarity we have today built around being the operating system for modernizing Canadian healthcare positions us strongly for the years ahead. I'd like to thank our board of directors, our senior management team across all the various different operating subsidiaries of the company, and all of our employees and contractors. And in particular, I want to thank our healthcare practitioners and frontline workers who provide highly competent patient care every day and make a difference in the lives of our patients. Thank you all for joining us today, and thank you to our shareholders, investors, and analysts for their continued support. We'll now open the call to questions. Operator.