Canada's Vitalhub Q2 revenue growth less than expected
Canada's Vitalhub Q2 revenue growth less than expected
Overview
Canada healthcare software firm's Q2 revenue rose 33% yr/yr but missed analyst expectations
Adjusted EBITDA for Q2 increased 29% yr/yr
Outlook
Company says pro forma ARR is about C$106.0 mln after Buddy Healthcare acquisition
Vitalhub says it is positioned to scale business internationally after recent acquisition
Result Drivers
ORGANIC AND ACQUISITION GROWTH - Co said Q2 revenue and ARR growth were driven by 10% organic ARR growth and 15% acquisition-related ARR growth over the past year
BUSINESS INTEGRATION - Co said near-completion of integrating acquisitions from 2025 contributed to improved adjusted EBITDA and operating cash flow conversion
FOREIGN EXCHANGE IMPACT - Co said foreign exchange fluctuations contributed to ARR growth
Company press release: ID:nGNX9dgf91
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Miss | C$31.70 mln | C$32.29 mln (10 Analysts) |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the advanced medical equipment & technology peer group is "buy"
Wall Street's median 12-month price target for Vitalhub Corp is C$12.00, about 69.3% above its August 5 closing price of C$7.09
The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 29 three months ago
Reuters Recommended Reads
Aug 6 - Canada's Healwell AI Q2 revenue flat, swings to profit
Aug 6 - Canada's WELL Health Q2 revenue rises, lifts 2026 outlook
Aug 6 - Health Catalyst Q2 adjusted EBITDA beats estimates
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)