Jack Nathan Medical Corp (Jack Nathan Health) saw its revenue jump 70% to $1.9 million during its fiscal second quarter off the back of its clinic expansion throughout Canada and Mexico.
In a statement announcing its financial results, the healthcare company said it expects higher revenues to come in subsequent months as its adds new services and sees more contributions from its MedSpas, which reopened near the end of the quarter.
Jack Nathan had a busy 2Q, acquiring two additional medical clinics in British Columbia, bringing its total to seven corporate owned and operated locations inside Walmart Canada stores.
READ: Jack Nathan Medical announces appointment of Dr Glenn Copeland as its new chief executive officer, effective immediately
It also opened three medical clinics inside Walmart centres, which included two in Alberta and one in British Columbia.
As a result of its expansion and scaling of operations, Jack Nathan reported an Adjusted EBITDA loss of $0.7 million during the three-month period to end July 31, 2021 compared to a profit of $0.5 million in the same quarter a year earlier. The company posted operating expenses of $3.8 million compared to $0.6 million during 2Q 2020.
“While we reported strong year-over-year revenue growth, it was curtailed by restrictions related to the global pandemic,” new CEO Glenn Copeland said in a statement accompanying the results.
“In spite of this, we acquired seven medical clinics year-to-date and re-opened the two MedSpas. Additionally, we are utilizing existing space to grow our Rehab and MedSpa footprint with ongoing expansion in the second half of this year and beyond.”
Copeland also highlighted the firm’s Mexican operations, where it recently opened its 100th medical clinic, putting the firm on track to open 203 clinics by fiscal year end.
“The COVID-19 testing program launched this past quarter has been successful and we now have 28 testing tents open, with additional sites planned,” Copeland said. “We are creating a better patient experience and driving higher patient-clinic engagement, while building a foundation to support future growth.”
The new CEO told shareholders that he was “honoured” to take on the CEO role.
“Through our alliance with Walmart, JNH is providing needed medical care services to millions of patients throughout Canada and Mexico. In addition to family care, we are expanding ancillary services, executing on our vision to create the best, one-stop, omni-channel medical experience. We are investing to support this vision; expanding our facilities and geographic footprint, staff and medical community, and technology platform, to generate value for all stakeholders in the years to come.”
Jack Nathan ended the quarter with $4.5 million in cash.
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