Loading...
•
Jun 30, 2021
Premier Q4 2021 Earnings Report
Premier's financial results for the fiscal-year 2021 fourth quarter and full year were reported and fiscal-year 2022 financial guidance was issued.
Key Takeaways
Premier, Inc. reported a 40% increase in GAAP net revenue, reaching $481.5 million, driven by strong growth in both Supply Chain Services and Performance Services segments. While GAAP net income decreased slightly, adjusted net income and EPS showed modest increases. The company also issued fiscal year 2022 guidance, expecting continued growth.
GAAP net revenue increased 40% to $481.5 million.
Supply Chain Services segment revenue increased 51% to $389.7 million.
Performance Services segment revenue increased 9% to $91.8 million.
Adjusted EPS increased 3% to $0.60.
Premier
Premier
Premier Revenue by Segment
Revenue by Segment
Supply Chain Services Revenue
CapyFin.comPerformance Services Revenue
CapyFin.com Forward Guidance
Premier expects total net revenue to be in the range of $1.32 billion to $1.43 billion, adjusted EBITDA to be in the range of $483 million to $500 million, and adjusted EPS to be in the range of $2.50 to $2.60 for fiscal year 2022.
Positive Outlook
- Net administrative fees revenue of $570 million to $590 million
- Direct sourcing products revenue of $350 million to $390 million
- Net revenue available under contract that represents approximately 86% to 93% of the fiscal 2022 guidance range
- Free cash flow approximating 35% to 50% of adjusted EBITDA
- Company expects to target a multi-year, compound annual growth rate in the mid-to-high single digits for consolidated net revenue, adjusted EBITDA and adjusted EPS.
Challenges Ahead
- Capital expenditures of $100 million to $110 million
- Effective tax rate (ETR) of 23%
- Per-share guidance does not include the impact of share repurchases under the previously authorized $250 million stock repurchase plan.
- The timing and amount of any share repurchases will be determined by management based on market conditions, share price and other factors.
- Does not include the effect of any potential future significant acquisitions
Revenue & Expenses
Visualization of income flow from segment revenue to net income