Market Overview

Viemed Healthcare Announces Financial Results for Third Quarter 2019


LAFAYETTE, La., Nov. 04, 2019 (GLOBE NEWSWIRE) -- Viemed Healthcare, Inc. (the "Company" or "Viemed") (TSX:VMD, NASDAQ:VMD), a home medical equipment supplier that provides post-acute respiratory care services in the United States, announced today that it has reported its financial results for the three and nine months ended September 30, 2019.

Operational highlights (all dollar amounts are USD):

  • Revenues for the quarter ended September 30, 2019 were approximately $23.5 million and gross margin was $17.2 million, or 73%. Revenues and gross margin increased 37% and 32%, respectively, as compared to the quarter ended September 30, 2018.
  • The Company grew its ventilator patient count by approximately 36% as compared to the prior year's comparable quarter and 4% over the second quarter of 2019.
  • Net income for the quarter ended September 30, 2019 totaled approximately $3.0 million, a 22% increase as compared to the quarter ended September 30, 2018. Adjusted EBITDA for the quarter ended September 30, 2019 totaled approximately $5.0 million, a 14% increase as compared to the quarter ended September 30, 2018. A reconciliation of reported non-GAAP financial measures to their most directly comparable GAAP financial measures can be found in the tables accompanying this press release.
  • The Company entered into an amendment to its loan agreement to provide for a $5 million term loan during the quarter, which is in addition to its undrawn $10 million line of credit. The term loan gives the Company access to additional capital as its capital expenditures have increased with the expansion of additional product lines, and positions the Company for future growth.
  • The Company expects to generate total revenues of approximately $24.7 to $25.2 million during the fourth quarter of 2019 (approximately $21.8 to $22.2 million after netting out expected bad debt). Beginning with the fourth quarter, the Company is planning on presenting all adjustments as reductions of revenue instead of presenting both revenue reductions and bad debt expense to better align with other healthcare providers. The mid-point of the revenue guidance represents a 35% increase over the quarter ended December 31, 2018.

"I am delighted to have posted another record breaking quarter in gross revenue and active vent patients," said Casey Hoyt, Viemed CEO. "The continued success of treating patients in the home is evident with each new area that we enter and we are excited to continue our expansion throughout the lower 48 over the next 12 months. Additionally, our diversification efforts continue as we enter new areas, new payors and new products, all while growing our core business."

Conference Call Details

The Company will host a conference call to discuss Q3 2019 results on Tuesday, November 5, 2019 at 11:00 a.m. EST.
The call-in numbers for participants are:

US Toll Free: 1-800-239-9838
International Toll Free: 1-323-794-2551
Meeting ID Number: 7888235

Following the conclusion of the call, an audio recording and transcript of the call can be accessed on the Company's website.


Viemed, through its indirect wholly-owned subsidiaries Sleep Management, L.L.C. and Home Sleep Delivered, L.L.C., is a home medical equipment supplier that provides post-acute respiratory care services in the United States. Sleep Management, L.L.C. focuses on disease management and improving the quality of life for respiratory patients through clinical excellence, education, and technology. Its service offerings are based on effective home treatment with respiratory care practitioners providing therapy and counseling to patients in their homes using cutting edge technology. Home Sleep Delivered, L.L.C. focuses on providing in-home sleep testing for sleep apnea sufferers. Visit our website at

For further information, please contact:

Glen Akselrod
Bristol Capital

Todd Zehnder
Chief Operating Officer
Viemed Healthcare, Inc.

Forward-Looking Statements

Certain statements contained in this press release may constitute "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 or "forward-looking information" as such term is defined in applicable Canadian securities legislation (collectively, "forward-looking statements"). Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "potential", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes", "projects", or the negatives thereof or variations of such words and phrases or statements that certain actions, events or results "will", "should", "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative of these terms or comparable terminology. All statements other than statements of historical fact, including those that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance, including the Company's guidance for the fourth quarter, and the Company's plans to expand to the lower 48 U.S. states, are not historical facts and may be forward-looking statements and may involve estimates, assumptions and uncertainties that could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. Such statements reflect the Company's current views and intentions with respect to future events, and current information available to the Company, and are subject to certain risks, uncertainties and assumptions. Many factors could cause the actual results, performance or achievements that may be expressed or implied by such forward-looking statements to vary from those described herein should one or more of these risks or uncertainties materialize. These factors include, without limitation: the general business, market and economic conditions in the regions in which the Company operates; the Company may be subject to significant capital requirements and operating risks; the ability of the Company to implement business strategies and pursue business opportunities; volatility in the market price of shares in the capital of the Company; the Company's novel business model; the risk that the clinical application of treatments that demonstrate positive results in a study may not be positively replicated or that such test results may not be predictive of actual treatment results or may not result in the adoption of such treatments by providers; the state of the capital markets; the availability of funds and resources to pursue operations; decline of reimbursement rates; dependence on few payors; possible new drug discoveries; dependence on key suppliers; granting of permits and licenses in a highly regulated business; competition; low profit market segments; disruptions in or attacks (including cyber-attacks) on the Company's information technology, internet, network access or other voice or data communications systems or services; the evolution of various types of fraud or other criminal behavior to which the Company is exposed; the failure of third parties to comply with their obligations; difficulty integrating newly acquired businesses; the impact of new and changes to, or application of, current laws and regulations; the overall difficult litigation environment; increased competition; changes in foreign currency rates; increased funding costs and market volatility due to market illiquidity and competition for funding; critical accounting estimates and changes to accounting standards, policies, and methods used by the Company; the Company's status as an emerging growth company and a foreign private issuer; and the occurrence of natural and unnatural catastrophic events and claims resulting from such events; as well as those risk factors discussed or referred to in Viemed's disclosure documents filed with the U.S. Securities and Exchange Commission (the "SEC") available on the SEC's website at, including the Company's Form 10 filed with the SEC on August 1, 2019, and with the securities regulatory authorities in certain provinces of Canada available at Should any factor affect the Company in an unexpected manner, or should assumptions underlying the forward-looking statements prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward-looking statements are expressly qualified in their entirety by this cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or completeness of such forward-looking statements. The forward-looking statements included in this press release are made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking statements, other than as required by applicable law.

(Expressed in thousands of U.S. Dollars, except share amounts)

September 30, 2019
December 31, 2018
Current assets        
Cash and cash equivalents   $ 12,630     $ 10,413  
Accounts receivable, net of allowance for doubtful accounts of $7,664 and $4,266 at September 30, 2019 and December 31, 2018, respectively   11,729     8,839  
Inventory, net   1,266     2,887  
Prepaid expenses and other assets   2,078     824  
Total current assets   $ 27,703     $ 22,963  
Long-term assets        
Property and equipment   52,161     30,562  
Other assets   17      
Total long-term assets   $ 52,178     $ 30,562  
TOTAL ASSETS   $ 79,881     $ 53,525  
Current liabilities        
Trade payables   $ 4,072     $ 5,884  
Income taxes payable   28     152  
Accrued liabilities   8,600     7,551  
Current portion of lease liabilities   8,767     3,031  
Current portion of long-term debt   1,728      
Warrant conversion liability       363  
Total current liabilities   $ 23,195     $ 16,981  
Long-term liabilities        
Accrued liabilities   2,213     1,117  
Long-term lease liabilities   2,813     394  
Long-term debt   8,076      
Total long-term liabilities   $ 13,102     $ 1,511  
TOTAL LIABILITIES   $ 36,297     $ 18,492  
Commitments and Contingencies        
Common stock - No par value: unlimited authorized; 37,952,660 and 37,500,815 issued and outstanding as of September 30, 2019 and December 31, 2018, respectively   3,366     71  
Additional paid-in capital   5,470     5,390  
Accumulated other comprehensive loss   (236 )    
Retained earnings   34,984     29,572  
TOTAL SHAREHOLDERS' EQUITY   $ 43,584     $ 35,033  

(Expressed in thousands of U.S. Dollars, except outstanding shares and per share amounts)

  Three Months Ended September 30,   Nine Months Ended September 30,
  2019     2018   2019   2018
Revenue $ 23,525     $ 17,163     $
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