TORONTO, April 18, 2018 (GLOBE NEWSWIRE) -- VitalHub Corp. (the “Company” or “VitalHub”) (TSXV:VHI) has released its audited financial results for the full year and fourth quarter ended December 31, 2017.
When asked to comment on 2017’s Year-End Results, VitalHub CEO Dan Matlow said, “2017 was focused on progressing our acquisition strategy, raising capital, and assembling the key ingredients for long-term success. The combination of our four acquired companies (VitalHub, B Sharp, HInext, and Clarity) together with a large existing customer install base, proven and experienced management team, valuable sales and marketing teams, growing mental health and long-term care markets, and a new innovative Blockchain solution, provides us with a strong foundation for growth and success in 2018 and beyond. With two of our acquisitions having closed after the end of the year, we look forward to putting out our Q1 results in May, which will, for the first time, combine all of our acquired companies.”
The Company acquired B Sharp Technologies Inc. (“B Sharp”) on October 5, 2017 through the purchase of all issued and outstanding securities. B Sharp develops and deploys client mental health case management and electronic documentation solutions for healthcare, social services, and community care organizations, and has a software development operation in Sri Lanka which provides access to skilled and cost‐effective development personnel. The products of B Sharp are used by over 40 customers in 70 locations across Canada. B Sharp had total unaudited revenues from operations of over $1.8 million for the year‐ended December 31, 2017.
B Sharp has signed a strategic reseller agreement with TELUS Health to distribute a white‐labelled version of its mental health software platform (“B Care”) across Canada. TELUS Health and VitalHub have a licensing deal in place that will generate approximately $1 million in revenue upon the successful implementation of the B Care solution. This partnership and licensing deal will serve to advance the Company’s strategy to further penetrate the mental health community market by offering much-needed, innovative technology solutions.
VitalHub revenue for the three months ended December 31, 2017 was $699,489, representing an increase of 471.8% over revenues of $122,329 in the same period last year. Company revenue for the year ended December 31, 2017 was $1,146,391, representing an increase of 134.9% over revenues of $488,135 from the previous year. This increase is primarily attributable to the inclusion of revenue resulting from the B Sharp acquisition which amounted to $533,516 for the period October 5, 2017 to December 31, 2017.
For the year ended December 31, 2017, the Company raised total gross proceeds of $7,481,930 from various offerings, comprised of one brokered private placement which closed on September 12, 2017, two non‐brokered private placements which closed on October 24, 2017 and December 19, 2017, and the issuance of debentures which closed on December 7, 2017.
Acquisition of HInext Inc.
On January 10, 2018, the Company completed the acquisition of HInext Inc. (“HInext”) through the purchase of all issued and outstanding securities pursuant to an acquisition agreement dated December 21, 2017 with all the shareholders of HInext.
HInext owns TREAT, a web‐based electronic health record (“EHR") and care coordination platform built for health care providers. TREAT's integrated solutions are tailored to many sectors of care, including Behavioral and Mental Health, Community. Currently, more than 80 organizations across North America benefit from using TREAT's integrated health care solution. HInext has historical unaudited revenues of $2.695 million, $3.329 million and $3.572 million for the previous three fiscal years (2015, 2016 and 2017).
Acquisition of Clarity
On January 19, 2018, the Company completed the purchase of select assets of Clarity Healthcare Solutions (“Clarity”), pursuant to an acquisition agreement dated January 17, 2018.
Clarity is a Canadian Healthcare software and consulting services company specializing in patient centric solutions. Clarity Healthcare Solutions is a web‐based interface and data entry solution used by leading healthcare organizations to perform in‐patient assessments, as it streamlines resident assessments and reporting for complex continuing and long‐term care providers. Its applications include mental health, rehab and homecare assessment. Clarity had approximately $200,000 in revenue in its last fiscal year.
Introduction of WellLinc Blockchain Solution
On February 7, 2018, the Company introduced “WellLinc”, a proprietary electronic health record interoperability solution powered by blockchain technology. VitalHub's WellLinc solution is built utilizing Hyperledger Fabric technology and supports full EHR interoperability that is not limited to read-only access to data. WellLinc allows organizations that update a client record in one node to automatically record that transaction and update it across all other trusted nodes. WellLinc represents the first fully-interoperable mental-health-specific blockchain solution the Company is aware of.
VitalHub uses web, mobile, and Blockchain technology to create disruptive SaaS-based healthcare applications that solve industry-wide problems. VitalHub's aim is to create high-value, secured solutions that enable broad interoperability among existing health data systems. Vitalhub is primarily focused on working with organizations in the Mental Health and Long-Term Care space, to further extend organization's applications across the continuum of care, powered by the security, efficiency, and trust of Blockchain technology.
The Company has a robust two-pronged growth strategy, targeting organic growth opportunities within its product suite, and pursuing an aggressive M&A plan. Currently, VitalHub serves 200+ clients across North America. VitalHub is based in Toronto, Canada, with an offshore development hub in Sri Lanka. The Company is publicly traded on the TSX Venture Exchange under the symbol "VHI".
The TSX Venture Exchange has in no way passed upon the merits of the transactions and has neither approved nor disapproved the contents of this press release. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
Chief Executive Officer, Director