CareRx Corporation (TSX:CRRX) has reported third-quarter results that it said were in line with its expectations, with adjusted underlying earnings (EBITDA) improving for the second consecutive quarter.
President and CEO Puneet Khanna commented in a statement that the improvement in adjusted EBITDA “reflects early progress from our team's exceptional work in improving our efficiencies and managing the cost challenges that we have been facing in the healthcare labour market.”
"Through enhancements in our technological and operational capabilities, as well as an organizational focus on margin-enhancing initiatives, we intend to further leverage our industry leadership position in order to drive profitable growth as we continue to provide value-added service to the expanding seniors living sector,” Khanna added.
CareRx posted revenue of $93.8 million for the three months ended September 30, 2023, down from $94.5 million in 2Q 2023 and lower than the $97.4 million reported a year earlier.
It attributed the quarter-over-quarter decline to a small net reduction in the average number of beds serviced, while the decrease from the same period a year ago was due to a change in the mix of branded and generic pharmaceuticals dispensed. This did not negatively impact profitability, the company added.
Adjusted EBITDA rose 4.3% from a quarter earlier to $7.3 million and was down from the $7.7 million reported for 3Q 2022.
Its net loss narrowed year-over-year to $1.4 million.
CareRx is the largest provider of pharmacy services to seniors living in long-term care homes, retirement homes, and other group settings in Canada.
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