Diskusjon Triggere Porteføljer Aksjonærlister

Physitrack PLC - Physiotherapy and Telerehabilitation SaaS

Software/SaaS
#31

Erik Penser comments after Q2

Price target lowered a bit due a bit lower margins and higher profit request on the market.

Fortsatt hög tillväxt

Omsättningen under Q2’22 uppgick till EUR 3,1m (EUR 1,9m), vilket motsvarar en total tillväxt om 57% y/y och proforma tillväxt på 31%. På segmentnivå bidrog Lifecare Technology, som står för 75% av intäkterna, med 27% tillväxt mot 25% tillväxt under H1’22. Virtual Wellness som står för resterande intäkter, växte med 44% under Q1’22 mot 49% H1’22. Churnen uppgick till 1,3% (1,8%) under det andra kvartalet.

Uppvisar fortsatt god lönsamhet

Periodens justerade EBITDA landade på EUR 0,9m (EUR 0,7m) vilket motsvarar en marginal om 30% (34%). Den lägre marginalen var väntad, då bolaget tidigare kommunicerat att förvärvade bolag har lägre marginaler än övriga gruppen. Förvärven har även kostat i form av integrationskostnader. Med färre förväntade förvärv i närtid förflyttas fokus till lönsamhet och organisk tillväxt.

Förändrade prognoser och nytt avkastningskrav

Bolagets ökade investeringar samt kostnadsinflation leder till att vi ökar kostnaderna samt sänker tillväxttakten marginellt i närtid. Vi sänker vårt motiverade värde till 60 - 65 kr per aktie (75 - 77kr). Sänkningen beror även på ett ökat avkastningskrav som följer analysavdelningens nya ramverk för avkastningskrav, som har som syfte att bättre reflektera risken med att investera i mindre bolag.

Full analysis, more details

1 Like
#32

Q3 published. Good revenue growth but profitability lacks a bit, likely due the changes and integrations.

Another strong quarter, with top line growth of 72 per cent, significant EBITDA growth, and growing momentum in the Wellness segment

Jul - Sep 2022
· Revenue increased by 72 per cent from the comparative period in 2021 to generate total sales of EUR 3.4m (EUR 2.0m). On a proforma basis revenue grew by 28 per cent. This proforma growth was achieved in both the Lifecare Technology (17 per cent) and Virtual Wellness (57 per cent) divisions.
· Adjusted EBITDA of EUR 0.9m (EUR 0.6m) was generated resulting in an Adjusted EBITDA margin of 27 per cent (30 per cent). This movement was driven by recent acquisitions, as well as the Group’s focus on continued investment in the two divisions allowing a strong footing for their scale-up ambitions.
· Operating profit after taxation of EUR 0.02m (EUR 0.03m).
· Adjusted operating profit of EUR 0.2m (EUR 0.2m) was generated resulting in a margin of 6 per cent (10 per cent).
· Adjusted ordinary and diluted profit per share totalled EUR 0.01 (EUR 0.01).
· Cashflow generated from operations before the payment of adjusting items equalled EUR 0.5m (EUR 0.1m).

Jan - Sep 2022
· Revenue increased by 65 per cent from the comparative period in 2021 to generate total sales of EUR 9.0m (EUR 5.4m). On a proforma basis revenue grew by 30 per cent. This proforma growth was achieved in both the Lifecare Technology (22 per cent) and Wellness (53 per cent) divisions.
· EBITDA increased by 340 per cent from the comparative period in 2021 to EUR 1.2m (EUR 0.3m).
· Adjusted EBITDA of EUR 2.6m (EUR 1.8m) was generated resulting in an Adjusted EBITDA margin of 29 per cent (32 per cent).
· Adjusted operating profit of EUR 0.9m (EUR 0.7m) was generated resulting in a margin of 11 per cent (12 per cent).
· Adjusted ordinary and diluted profit per share totalled EUR 0.05 (EUR 0.05).
· Cashflow generated from operations before the payment of adjusting items equalled EUR 1.7m (EUR 1.7m).

Operational highlights
· Continued investment in Access Ecosystem to broaden the Champion Offering for the inclusion of mental health therapy and further acceleration of Champion Health – Physiotherapy.
· Launched the re-branded Champion Health – Nordics and Champion Health in Germany.
· Transition of development team in-house, comprising seventeen highly skilled tech developers. Through a fresh perspective, the new team have fast tracked development of key features including Easylink, EasyPrint and EasyAssign.
· Investment in a new Learning Management System (LMS) forming the backbone of the continued education element of this business line.

Henrik Molin, Co-founder and CEO of Physitrack PLC, commented:
“Despite the challenging macro environment for businesses and individuals, Physitrack Group manages to strengthen the position further this quarter as we keep experiencing significant top line and EBITDA growth. Underpinned by its robust business model, the Group is well positioned to continue enhancing offerings in both operating segments. We see a strong momentum in the Wellness segment, with a massive market opportunity ahead of us, further propelled by increasing demands for cost savers such as higher efficiency and less employee turnover.”

image
image1403×546 145 KB

Annual recurring (ARR) growing nicely

image

New Mental Health service published under Champien Health brand, :+1: .

Champion Health, part of Physitrack Group, launches Mental Health Therapy in premium product

Champion Health, part of the Physitrack Group, today announces the launch of another integrated care pathway into its premium Employee Wellbeing product – Mental Health Therapy. The new care pathway seamlessly integrates into Champion’s user journey as of today and is expected to significantly accelerate the growth of its SaaS offering.

The acquisition of Champion by the Physitrack Group, announced in May of 2022, opened up the possibility for Champion to enhance its holistic wellbeing with Physitrack’s virtual-first care offerings delivered through the Access ecosystem, while also establishing a strong commercial foothold in the corporate wellness market. The global digital health market is projected to be a USD 222 billion market by 2026, according to Facts & Factors Research.[1]

Through the integration of another Care pathway into Champion following the successful launch of Physiotherapy in July of 2022, new growth avenues in SaaS with substantial revenue potential are opened up, and the Group’s expansion in the UK, the Nordics, Germany and the US is substantially accelerated.

#33

Q4 report published some time ago. Free operating cash flow positive and overall on track to targets.

Market reaction surprised although there are some mixed signals. But overall on better track

Erik Penser analysis:

target price 48-52SEK

PTRK_Q4.pdf (608,5 KB)

Also DNB target set 41SEK to 40SEK, recommendation BUY

#34

Big discrapency in TP and price action since IPO. General tech SaaS - letdown or anything which is missed? Liabilities & market turmoil for subscriptions in an inflation environment i would presume. However I appreciate your posts here.
I have tried. But cannot sell myself on how physiotherapy etc. is better done remote than trough physical meetings for evaluation by the expert.

#35

Yes, there is quite a difference and actually getting very underpriced for what I can see. Stable ARR and positive operating margin.

Main issues are several acquisitions and those costs that have drained the IPO money. But that was the target, so can’t argue too much, except for the valuations. Also deferred payments for the acquired companies will put some pressure. Some were cut already and some paid as well.

About the SaaS type of approach on physiotherapy. I found it quite helpful. There was few visits to therapist who gave me access to some trainings to do between the meetings. Videos in the service instead of a piece of paper give better access to rehearsals and are way more practical. That does not cost me anything extra but the service provider pays monthly fee to have access to service.

And it is not only Physiotherapy anymore. Wellness part is growing faster and should have good traction especially in UK.

Per Nordnet, some valuations for scalable and growing SaaS platform provider
P/B 0,83
P/S 1,43

P/E is high, 113 but that does not give objective valuation since all the profit are pushed to acquisitions and growth.

1 Like
#36

Fast growing about 30%. CEO stated about double margin at the end of 2023 with 100% topline in the cirtual care leg, not included in est as below :).
Cheap.

23 = EV/EBIT 13
24 = EV/EBIT 6
25 = EV/EBIT 3.5

1 Like
#37

Very low multiples here.

Quite interesting that the market is not reacting on CEO:s estimate regarding 100% topline and ebitda margins of 15-20% by the end of 2023 in the wellness leg.

:fire:

1 Like
#38

Finally the share is getting some support level around 14-15SEK.
Maybe some idea of better Q1 perfomance :thinking:

Physitrack PLC has adjusted its previously communicated financial calendar for 2023. The date for publication of the Q1 interim report has been changed from 16 May 2023 to 2 May 2023.

Updated financial calendar

2 May 2023 – Interim report Q1 (1 Jan 2023 – 31 March 2023) – new date
3 May 2023 – Annual General Meeting
15 August 2023 – Interim report Q2 (1 Jan 2023 – 30 June 2023)
14 November 2023 – Interim report Q3 (1 Jan 2023 – 30 Sep 2023)
29 February 2024 – Year-end-report (1 Jan 2023 – 31 Dec 2023)

#39

Q1 published

  • Solid growth, 101% on Wellness side (!).
  • EPS (0,00) and adjusted +0,01.
  • No more deferred earnouts this year, 1,6M€ paid on Q1
  • No need to raise funds short-to-mid term

Another strong quarter which achieves record revenue levels and exceeds medium term targets

Jan - Mar 2023

  • Revenue increased by 45 per cent from the comparative period in 2022 to generate total sales of EUR 3.7m (EUR 2.6m). On a proforma basis revenue grew by 36 per cent. This proforma growth was achieved in both the Lifecare (15 per cent) and Wellness (101 per cent) divisions.
  • Adjusted EBITDA of EUR 0.9m (EUR 0.7m) was generated resulting in an Adjusted EBITDA margin of 25 per cent (29 per cent).
  • Adjusted operating profit of EUR 0.1m (EUR 0.4m) was generated resulting in a margin of 3 per cent (17 per cent).
  • Adjusted ordinary and diluted profit per share totalled EUR 0.01 (EUR 0.02).
  • Cashflow generated from operations before the payment of adjusting items equalled EUR 0.7m (EUR 0.5m).

Operational highlights

  • A positive start to the financial year with revenue increasing by 45 per cent against prior year comparative and 36 per cent on a pro-forma basis, exceeding our medium term target of 30 per cent growth.
  • The Group continues to focus on driving efficiencies in the underlying profitability of the business and is pleased to see adjusted EBITDA reach an all-time high of EUR 922k generating an EBITDA margin of 25 per cent.
  • Despite a success based earnout of EUR 1.6m being paid to previous owners of acquired subsidiaries during the quarter, the Group has ample room in its revolving credit facility and does not expect to require any capital or debt raising in the short to midterm. No further deferred consideration payments are expected during 2023.
#40

Solid as usual. Next move will be focusing on cashflow and marg exp.
Think this will be great!

1 Like
#41

Redeye initiated analysis, full report:

https://www.redeye.se/api/articles/download-file/3d2bb720-52a0-3bf6-af2d-727f010778d9

Tracking growth with two business divisions priced as one Redeye initiates coverage on Physitrack, a scalable and rapidly growing e-health software company that assists corporations in improving employee health and patients with rehabilitation. The company has recently expanded into the fast-growing corporate health market with its Champion Health platform and now aims to take on the European market and more English-speaking markets to accelerate revenue and expand profit margins. Given recurring revenues at 70%, proforma growth of 30%-plus, expected margin expansion in 2023, and the marketonly pricing in one of the two business divisions, we see a significant potential upside in the investment case. We initiate coverage with a Base case of SEK38.

Valuation

Significant upside potential with two business divisions priced as one In our Base Case, we estimate a 2023e–2027e sales CAGR of 22%, with the EBIT margin expanding from 7% in 2023e to 24% by 2027e. Using a DCF model, we value Physitrack at a Base Case of SEK38. Our Bear Case is SEK72, and our Bull Case is SEK11.

Our perception of Physitrack differs significantly from that of the stock market. Physitrack is a
rapidly growing and scalable software company positioned for significant margin expansion in
our view. However, the stock market is pricing Physitrack as a one-division company with
limited margin expansion potential. This is reinforced by our sum-of-the-parts valuation, which
estimates a value of approximately SEK13 per share for the Wellness division and roughly
SEK24 per share for the Lifecare division. Moreover, the discount is also prominent when
comparing median EV/EBIT multiples for 2024e, with Physitrack trading at a c140% discount
relative to its Nordic SaaS peers.

image

1 Like
#42

Very solid company that fits all weather. More to come!

#43

Norwegian billionaire buys share at around 20sek.

1 Like
#44

Physitrack Q2 report out and Redeye analysis as well

Physitrack PLC – Interim report: January – June 2023

Another strong quarter, with adjusted EBITDA crossing the €1 million mark for the first time and year-to-date organic growth exceeding targets at 32 per cent.

Quarter ended - Apr - Jun 2023

  • Revenue increased by 23 per cent from the comparative period in 2022 to generate total sales of EUR 3.8m (EUR 3.1m). On an organic basis revenue grew by 25 per cent. This organic growth was achieved in both the Lifecare (9 per cent) and Wellness (66 per cent) divisions.
  • Adjusted EBITDA of EUR 1.0m (EUR 0.9m) was generated resulting in an Adjusted EBITDA margin of 25 per cent (30 per cent).
  • Adjusted operating profit of EUR 0.1m (EUR 0.3m) was generated resulting in a margin of 1 per cent (11 per cent).
  • Adjusted ordinary and diluted loss per share totalled EUR 0.00 (EUR 0.01).
  • Cashflow generated from operations before the payment of adjusting items equalled EUR 0.5m (EUR 0.7m).
  • Free cash flow for the quarter was a net outflow of EUR 0.6m (EUR 1.0m).

Operational highlights

  • Stepping up to the challenges of a strong comparative period and prior quarter, the group continued its impressive growth story by achieving year to date revenue growth of 33 per cent against prior year comparative, and 32 per cent on an organic basis.
  • The Group continues to focus on driving efficiencies in the underlying profitability of the business and in addition to focusing on higher margin commercial opportunities implemented a number of cost optimisation initiatives.
  • Physicourses expanded its service offering by partnering with world renowned education partners, increasing its content library and setting the scene for further revenue synergies between the core Lifecare business.
  • The Group re-confirms that it is expected there will be no further deferred contingent consideration payments for the remainder of the financial year, and no capital raising via share issuance or debt.

Redeye updates its estimates and fair value range after Physitrack’s stable Q2 2023 report, which came in close to our forecasts. We find the c25% organic growth, combined with effective cost management in the face of ongoing challenging market conditions, to be encouraging. We raise our base case to SEK41(SEK38) per share

  • Steady growth, profitability getting there eventually.
  • No deferred payments this year and no need for additional fund raises
  • Risks are getting lower, so also Redeye TP raised SEK38 → SEK41
#45

Nice thread for those who want to know more.

https://x.com/GalahadCapital/status/1684140918037950464?s=20

1 Like
#46

In swedish with some own words.

https://x.com/HappyZubi/status/1710987053855383813?s=20

1 Like
#47

Redeye preview of Q3

Physitrack will release its Q3 2023 report on 14 November at 08:00 and host a conference call at 10:00. We anticipate a solid quarter with c24% y/y organic growth and margin improvements. The prevailing situation from Q2 is expected to remain unchanged, with a continued focus on high-margin customers, resulting in a modestly restrained top-line performance while improving margins in Q3’23. Additionally, we anticipate that the Q3’23 results will reaffirm Physitrack’s progress toward achieving positive cash flow by Q4’23. At this time, we are reiterating our fair value range, with a base case of SEK41 per share.

Also a new deal mentioned, already from September

#48

Additional to Healix deal Physitrack announced new major deal with E.ON UK :partying_face:

Physitrack Plc - Subsidiary Champion Health signs agreement with E.ON UK

Champion Health, a wholly owned subsidiary of Physitrack Plc, signs agreement with one of the foremost names in the UK energy sector to support 9,000 employees with Employee Wellbeing solutions.

Champion Health, a leading provider of innovative Wellbeing solutions and a subsidiary of Physitrack Plc, has finalised a working agreement with E.ON UK, one of the foremost names in the energy sector, to support E.ON UK’s 9,000 employees.

The agreement supports colleague wellbeing, placing a strong emphasis on personalisation, preventive measures through data, and quick access to support via a bespoke digital directory.

#49

Q3 was a bit softer on topline than expected, other figures follow the suit. Otherwise quite expected report and new agreements support the growth and profitability based on the comments.

Q3 Review

The Q3 report reflects consistent performance in our view, showcasing the desired indicators. Margin expansion, stemming from effective cost management, growth in Wellness subscription revenues, and a 12% year-on-year increase in ARR, are notable highlights. Furthermore, there was a positive quarter-on-quarter improvement in cash flow. Nevertheless, the strategic emphasis on higher-margin customers led to a top-line that was slightly softer than expected. However, we contend that we prefer a restrained top-line with margin expansions over a strategy focused solely on pursuing growth at any cost. Year-to-date, the organic growth stands at 27%, surpassing the 17% median of its peer group for 2023e. Our optimistic outlook on the company persists, and we anticipate that new contracts for Champion Health will contribute to continued growth in the Wellness division during Q4 and 2024.

2 Likes
#50

And yet again new order for Champion Health. Biggest in Nordic branch history, 4M SEK for year 2024

https://www.physitrackgroup.com/press-release?slug=physitrack-plc-champion-health-nordic-subsidiary-signs-agreement-with-multinational-energy-provider

Champion Health Nordic, a wholly owned Swedish subsidiary of Physitrack Plc, signs agreement with one of the foremost names in the European energy sector to support employees with Employee Wellbeing solutions.

Champion Health Nordic, a leading provider of innovative Wellbeing solutions and a Swedish subsidiary of Physitrack Plc, has finalised a working agreement with one of the foremost names in the European energy sector, to support its Swedish employees with employee wellbeing solutions.

The agreement supports the customer’s colleague wellbeing, placing a strong emphasis on biometric testing, coaching and preventive measures through data analysis. The contract spans over three years will add SEK 4 million of revenue in 2024, making it the largest in the history of Champion Health Nordic.

2 Likes