Ann: Global pharma company extends MedAdvisor health program deal, page-4

this is what is so infuriating about mgmt

the announcement reads like a 3 mth extension for US4.7m, but I suspect it's just an additional USD1.3m

I mean this company has positive news, but without clear measurable communication, it's (too) hard to assign a decent value and hence the shareprice suffers.

From the 6th Nov Adheris acquisition update, Adheris financials showed:
- CY2019 & CY2020 revenues of USD25m & USD 26m respectively (it looks like they ended up closer to USD30m in CY2020)
- CY2019 & CY2020 PBT of USD -2.4m and USD -1.8m respectively
USD30m seems to be around breakeven and actually that is also the number to trigger the 2nd earnout

Revenues based on what they have announced:
- 13Nov2020 USD 0.8m
- 26Nov2020 USD 1.89m
- 17Dec2020 USD 3.4m
- 17Dec2020 USD 1.3m
- 25Mar2021 USD1.3m

That's under USD9m in announced deals (arguably most of these programs run for the calendar year so does not mean 1Q or 1H revenues), but to me on the surface it is not a bad message given they need to hit USD30m. It just points to poor communication and guidance which in the past they have used to hide behind delays and poor execution. That will very quickly come unstuck with their now increased cost base if they are not disciplined in sticking to delivering on what is needed (i.e. execution for topline revenue growth)