VitalHub Corp Reports Fourth Quarter and Fiscal Year 2020 Financial Results
VitalHub Corp (TSXV: VHI) (the “Company” or “VitalHub”), a leading provider of enterprise health information technology solutions, today reported its financial results for the fourth quarter and fiscal year ended December 31, 2020.
Highlights
VitalHub reported total revenue of $3.3 million for the fourth quarter of 2020, a decrease of $0.3 million or 8.3% compared to the same period in 2019. For the fiscal year ended December 31, 2020, total revenue was $13.2 million, a decrease of $0.2 million or 1.5% compared to the same period in 2019.
The Company reported a net loss of $1.2 million for the fourth quarter of 2020, compared to a net loss of $0.7 million for the same period in 2019. For the fiscal year ended December 31, 2020, the Company reported a net loss of $3.3 million, compared to a net loss of $2.2 million for the same period in 2019.
Revenue
Total revenue for the fourth quarter of 2020 was $3.3 million, a decrease of $0.3 million or 8.3% compared to the same period in 2019. The decrease in revenue was primarily due to a decrease in professional services revenue of $0.3 million or 16.7%.
For the fiscal year ended December 31, 2020, total revenue was $13.2 million, a decrease of $0.2 million or 1.5% compared to the same period in 2019. The decrease in revenue was primarily due to a decrease in professional services revenue of $0.3 million or 8.3%.
Gross Profit
Gross profit for the fourth quarter of 2020 was $1.7 million, a decrease of $0.2 million or 10.2% compared to the same period in 2019. The decrease in gross profit was primarily due to a decrease in professional services gross profit of $0.2 million or 17.3%.
For the fiscal year ended December 31, 2020, gross profit was $7.2 million, a decrease of $0.2 million or 2.7% compared to the same period in 2019. The decrease in gross profit was primarily due to a decrease in professional services gross profit of $0.2 million or 8.3%.
Operating Expenses
Operating expenses for the fourth quarter of 2020 were $2.9 million, an increase of $0.2 million or 8.3% compared to the same period in 2019. The increase in operating expenses was primarily due to an increase in research and development expenses of $0.2 million or 16.7%.
For the fiscal year ended December 31, 2020, operating expenses were $10.5 million, an increase of $0.4 million or 4.2% compared to the same period in 2019. The increase in operating expenses was primarily due to an increase in research and development expenses of $0.3 million or 10.3%.
Net Loss
The Company reported a net loss of $1.2 million for the fourth quarter of 2020, compared to a net loss of $0.7 million for the same period in 2019. The increase in net loss was primarily due to an increase in operating expenses of $0.2 million or 8.3%.
For the fiscal year ended December 31, 2020, the Company reported a net loss of $3.3 million, compared to a net loss of $2.2 million for the same period in 2019. The increase in net loss was primarily due to an increase in operating expenses of $0.4 million or 4.2%.
Cash Position
At December 31, 2020, the Company had cash and cash equivalents of $2.3 million, compared to $3.2 million at December 31, 2019. The decrease in cash and cash equivalents was primarily due to the net loss of $3.3 million for the year ended December 31, 2020.
Outlook
VitalHub is focused on continuing to drive organic growth through the expansion of its existing customer base and the development of new products and services. The Company is also focused on expanding its presence in the United States and other international markets.
The Company is also focused on continuing to drive operational efficiencies and cost savings. VitalHub is committed to maintaining a strong balance sheet and cash position to support its growth initiatives.
Management Commentary
“We are pleased to report our fourth quarter and fiscal year 2020 financial results,” said Dan Matlow, Chief Executive Officer of VitalHub. “We are proud of the progress we have made in 2020, despite the challenges posed by the COVID-19 pandemic. We have continued to drive organic growth through the expansion of our existing customer base and the development of new products and services. We have also continued to expand our presence in the United States and other international markets. We are confident that our focus on organic growth, operational efficiencies and cost savings will enable us to continue to drive long-term value for our shareholders.”
About VitalHub Corp
VitalHub is a leading provider of enterprise health information technology solutions. The Company’s solutions are used by healthcare providers to improve operational efficiencies, enhance quality of care, and enable the secure exchange of health information. VitalHub’s solutions are used by hospitals, regional health authorities, long-term care, mental health, home health, and other healthcare providers. The Company’s common shares are listed on the TSX Venture Exchange under the symbol “VHI”.