Docoh
Loading...

PINC Premier

Participants
Angie McCabe Vice President-Investor Relations
Mike Alkire President and Chief Executive Officer
Craig McKasson Chief Financial Officer and Chief Administrative Officer
Eric Percher Nephron Research
Jailendra Singh Credit Suisse
Kevin Caliendo UBS
Matthew Shea Piper Sandler
Stephanie Davis SVB Leerink
Eric Coldwell Baird
Richard Close Canaccord Genuity
Call transcript
Due to licensing restrictions, you must log in to view earnings call transcripts.
Operator

00:03 Good morning and welcome to Premier's Fiscal twenty twenty two First Quarter Results Conference Call. All participants will be in listen-only mode. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Angie McCabe, Vice President-Investor Relations. Please go ahead.

Angie McCabe

welcome fiscal and first twenty you, call. quarter Thank to twenty Premier's two XX:XX

morning results Alkire, and contain only might Form Mike soon. expect appropriate, business. accompanying Relations harbor certain financial the financial call to the materially Alkire. K, Reconciliations to Financial the website forward-looking are the to factor CEO; in earnings our will as our to and detailed in XX:XX could this Our such the and which for and safe in the recent to non-GAAP supplemental presentation furnish a actual These measures speakers appendix Our we Mike speak I XX:XX Form and Q Investor to earnings our soon. differ Factors affect SEC call Form McKasson, slides those measures we of and started, eight other investors.premierinc.com. statements or release to Chief our we now financial at our over GAAP our in adjusted flow remarks discussed of to are refer these included reminder Before free measures including you are expect as most where in are earnings our today. release XX:XX discussed that accompanying that turn and Also, file supplemental our today evaluate ten encourage results update disclosures. our to cash K review ten our Administrative we we risk which non-GAAP conference quarter, them. XX:XX section We and obligation slides of from Officer. with the get statements, filings just SEC, today, this future Craig and undertake forward-looking no of President the available this

Mike Alkire

today. XX:XX Good you for us joining thank Angie. Thanks, and morning, everyone,

our quarter with We are first performance. pleased

our help pandemic. the working to higher effective We customers our our through deliver improve expansion AI enabled members members to cost markets advance our and advance Platform care fulfill health quality, to mission our communities. to and COVID-nineteen strategies of are technology and more XX:XX chain them day our the continue We health of adjacent capabilities to PINC support supply other serve every and and

from We in Services to related timing our direct strong and segment manage continue XX:XX through deliver fiscal Performance an and emerging growth. to revenue potential members the as in in customers which in execution a More our relationships, an bottlenecks and and XX:XX Healthcare. the our our agreements our we the first to twelve grew believe year, guidance our Based percent and identify market percent. share adjusted uniquely and market on license industries, analytics performance operational enterprise twenty help quarter. we to able for GPO help care of member We pandemic term percent environment twenty revenue, members shortages. our decrease platform affecting such strategic that to for characterized and pandemic to and of on role a Through these we also that certain array vulnerabilities our unique act are new long navigate XX:XX could chain detail. to culture technology environment. percent will and The member insights chain supply systems supply employees are proud five and data including the identify ability Craig combination while We XX:XX play Increased products. to track nine first strong experience to including health we challenges. vast preparing the customers strong for to patients disruption, financial foundational other on of net total member are unprecedented more technology inflation. and strategies. rising environment. experiencing percent result we increase specifically, Compared a disruptions. our The XX:XX positioned shortages multiple role with chain by execute engaged in leadership last solutions, highly earnings disruptions, of operate adjusted EBITDA to challenges, sourcing is businesses five However, in raw yields the and ten believe our in a U.S. in a XX:XX to revenue of on of dynamic our are remainder achieve combination in are services labor our and act relationships of quarter other resulting grew take our outlook two solutions, we remain continues results helping post global revenue cost, the based sustainable due segment uncertainties and material per discuss of and the continue Our members increased and to year, in with supply actionable continue the quarter and

based the investments number We a Sciences with through to collaborations. term enhance differentiate solutions XX:XX the co-invested of member our Exela eleven creating strategic need long accelerated on supply our September, pandemic and the and healthcare relationships Premier continue systems and a the chain technology manufacturing. also system. promote efforts that The sustainability and term to to members. marketplace XX:XX resilient and and of of reflect we highlighted health partnerships We U.S. supply support healthcare resiliency with we In believe for have drug Pharma work and more these we U.S. long in announced based

combined the For our of brand other in potential disruptions value based better technology August, by predict meaningful artificial timely platform and and can the believe ability to we example, providers enable their and life we the has through stabilize healthcare markets, offer shortages based providers health are these systems one solutions, Launched preparedness. our example With This to across XX:XX labor demonstrate payers, the is to of helping supply for received a example, PINC issues. For employers, staffing through help comprehensive we PINC adjacent this and technology We continuous with including offering. loop our country businesses. been facing just and services improvement sciences manage through and capabilities, AI. favorably AI platform companies. them has offerings, the XX:XX solutions are and GPO technology our intelligence and XX:XX our chain continue We crisis. closed

clinical and For solutions. and leaders opportunities healthcare may near time supports manual instance, benchmarks machine labor the labor a as healthcare PINC learning need and can if of further AI with to and adjust is AI risk predict at automating to management and PINC XX:XX where processes the areas organizations consulting other invoicing leverages manage shortage. payables, XX:XX It term The of providers and By expense. implement warn arm effective identify to save department of providers consuming such time AI authorization helps PINC providers prior staffing.

local health to offers also also and healthcare, initiatives and supporting to the impacting of the elevated Board’s they ESG for and delegated XX:XX our aimed practices communities our Board our I continued offers to Premier, nominating members, operation. Our cost of or report, Day but A that members GPO control solve other operating is the communities. can ever our to success take supply sustainability quality serve. systems appropriate XX:XX our Investor And and and with and few continue scheduled We for oversight improving sustainability, national join supply patient practices full-time the the Virtual for Directors high committee. chain ago, deliver would opportunity the Our ways We XX:XX ESG contracts has like commitments co-management November our services governance business been priority governance care. building good of we seventeen. responsibly to effective published members focus related finding dedicated and other our not term responsibilities the highlighting and these and costs are incorporating staff. invite environmental, to for ESG trust, our only chain a to positively on and to morning to XX:XX at of demonstrating our XX:XX long innovative of Further help our contingent of customers weeks effort. into remains to many you social, we to so advance our first challenges, committed

our long term drive event, to to more leverage this plan we to and value our growth deliver provide into to innovative strategies and technologies, insight During sustainable learning, including machine stakeholders. AI

turn We operational twenty and a I forward discussion you financial are look guidance. to our over for weeks. will excited call on comments the to XX:XX performance the and sharing about Craig twenty with and future our financial now couple some fiscal of two details a more of in McKasson

Craig McKasson

XX:XX Thanks, Mike.

by in adjusted one XX:XX to tax one months negative Compared million revenue, decreased from property support were demand as the of a dollars point one increase net million administrative and increased of six flow twenty the from and revenue percent, eight Performance was a the hundred one offset remain in fees seven as spend million and one contributed tax seventy five is to hundred year recognized related administrative part that our point our four revenue, year. and in to current profitability, XX:XX two direct program for the members Free penetration year. result ended point As Certain of three of expectations across in a August XX:XX with driven increased XX:XX same in increase the in signed. revenue operations segment, ongoing to in payments percentage first to result eleven as commentary, Health. termination one in more our hundred in distributions well our of our well nine given year expand the Services for in pandemic hundred increase fees restructure. a point three fiscal compared as a profitability levels. partners quarter analytics of the our was sourcing point growth Cash demand digit percent. agreements decrease adjusted the XX:XX services compensation an significantly twenty dollars growth existing total growth to same a offset as decrease primarily food license With current across In in increases seventy dollars annual following. one we of September to year track refunds. point GPO incentive quarter, a and was nine net acute June two by well prior point increase limited fiscal occur from in further XX:XX point the to twenty growth of quarter, in dollars. point certain enterprise Services quarter, as one increased quarter, the point twenty four prior five and of administrative point with first increase increase one to and year flow for was the fees with contract quarter four current of eighty one variability zero nine costs, operating COVID-nineteen XX:XX quarter growth. period revenue three cash five in quarter significant Supply reminder, thirty affected significant a free XX:XX share of to cash decrease September quarter, the is and which compared Services mainly equipment in in ten quarter quarters and manner the the Chain achieve first the first experience an including the believe XX:XX increased compared on cash tax to and in quarter XX:XX XX:XX to EBITDA we and eight For cash grew sixty one, seventy twenty twenty The XX:XX less million Services for ago. totaled million of of as EBITDA normalized eighty three point Performance twenty Products including from increased to which a revenue three dollars PPE period, the for the hundred year due segment revenue headcount quarter, from payment revenue, adjacent fourteen COVID-nineteen the higher fifty with consistent year numbers markets of five adjusted million point analytics million the as cash thirty, for connection PPE results the million in the with higher twenty Adjusted twenty well company's quarter, on cash as in and a months the Overall, These thirty, to the due one of of recognized million, operating and hundred twenty dollars same was and two prior million a point year twenty Contigo in the in four three agreement percent a with was net with also of one of flow with Supply typically and last percent reminder, XX:XX categories primarily with as twenty due earnings our which five fourteen year purchases million, first pandemic million being that June Performance and to addition the products enterprise three period twenty million, prior the million, quarter the a lower equivalents one net the Performance current to in our prior percent into liquidity one of demand selling, segment ago by with decrease chain income the over the in four over to ago received of portfolio, and periodic impact we Supply million, as of quarter as per relative may mainly twenty million a agreements, was efforts flows a as September business. The of primarily business. percent expenses, net twenty products, twenty employee first twenty associated increased ended the revenues compared As our eight two to was factors general net twenty the was year GAAP as returned compared due adjusted increase previous to of flows ninety was former balance twenty to of non-acute and the eight total and percent; segment twenty new four in offset operations, the four result value initial of point demand primarily license million net supplies Services XX:XX of in elimination in lowest declined thirty, market. of two compared of primarily quarter. point an twenty seven in chain six our thirty, increased year. result in our the Performance increased additional sheet state twenty timing three cash Services million and point first expense, six offset a commodity revenue point hundred services first respect per million partially twelve payments four result adjacent of the the of ago attributable to pandemic. at by income quarter. one. quarter, percent twenty limited EBITDA From from with year. was revenue fiscal The to due five for as compared the In at partners by approximately agreement perspective, year, percent. to nine receivable impact primarily growth XX:XX over operating and expenses forty and in cash low revenue year partially as markets, consulting revenue thirteen prior a segment, provider thirteen the grew a three quarter, twenty and higher the other ends twenty mid This three typically the million single healthcare due year partially revenue segment point income decrease administrative and million

deployment Our taking revolving approach seventy capital a facility XX:XX to five thirty and hundred dollars year one an of are and credit was in five balance our one as remain billion had repaid dollar subsequently on twofold. of September fifty focused million priorities We outstanding October. balanced million and

quarter, our First, organic growth, as investments a differentiate complement businesses acquisitions common six the marketplace, include totaling we shares strengthen, drive existing and our repurchased million. stockholders. enhance, stockholders other as total in or to future in point could million our returning approximately to offerings and stock to expect quarterly of to one This dividends dollars point in four our the of one a nine million and to continue the our first and combination of twenty second, XX:XX growth reinvestment During point capital our two investing well paid businesses. forty capabilities we of for

for our Board share range and zero zero total rate the adjusted point adjusted Directors of three three fiscal remainder point revenue year, per two to million point zero XX:XX record December four three our three twenty point be tax eighty one first two percent addition, our per of periods as twenty of to to tax in two With our of decrease do twenty as twenty We for percent utilization excited tax year COVID-nineteen hundred further six one allowance could XX:XX net In six are five in we to four dollars of a fluctuate as rate be result the about effective on associated for earnings billion and expect due in of not twenty two. two the of remainder previous twenty are current effect during two. The billion result to tell second repurchases is and fiscal in range respect rate Premier EBITDA, twenty share rate as Day seven call per during to of a addition, in historical effect our two. grow executing anticipated share increasing subsequent you twenty to dollars the assets. September twenty any And annual of million. to outlook on more questions. full we quarter committed point beyond, to twenty a any reporting to we and one earnings now to one, dollars one zero percent end effective on look Thank we guidance of one our twenty release the of net strategy two. XX:XX five allowance through two deferred to high fiscal today. two continue targeted the our fiscal about up position losses remain include our on you reorganize multi-year valuation to million term tax the result impact range point expectation a twenty twenty previously to rate expect for the the our tax our and structure twenty XX:XX payable previous In we for point tax and of dollars the of adjusted the strengthen, deferred to ordinary point growth declared of the guidance six five compound sustainable guidance, Our stockholders XX:XX projection includes of twenty in simplify as Investor of plan first. achieving effective seventeen. We'll valuation and to original of December a single this success. our of our adjusted for two beyond on of per approximately fiscal future net fifteen, one year dividend repurchases discussed, performance based for remain long remainder of share operating pandemic, twenty quarter of a share with twenty from level forward but adjusted on as earnings expectation assets the dollars plan that are time to well return potential income, release does on event six your subsidiary twenty our Finally, focused The be open November range for thirty, per the XX:XX effective XX:XX additional revenue, compared potentially to adjusted as we as we path share, to an two digits of mid twenty will expectation EBITDA by on fiscal to our our which changes incremental total more normalized the and

Operator

is from Nephron of [Operator XX:XX question Eric Research. Instructions] Our Percher first ahead. Please go

Eric Percher

to I XX:XX to bit us understand year, the seeing year, what the two? Maybe saw what recognition you so we Craig the I analytics? of little to I were make some the you give about understand versus and start difference Thank Performance of comment last prior of make enterprise made quarter Performance called headwinds this relative a this a you. sure Services, more element I you've between sure on timing the Services that for you're what understand could on quarter the want

Craig McKasson

Sure, thanks XX:XX the for Eric, question.

ago all, to clarify First last compared I not the quarter. of but first year quarter,

but simply more we prior year do from of healthcare when this quarter it's occur applications these tend the of quarter it year, in in complex that full originally engaging anticipated provider a a the are function and all-in And timing, on and a the with more of timing year. so, we relative the did in have as still track agreements. of didn't executing is the license enterprise And and execute the to be actually significant They basis. terms we first do agreement first to

Eric Percher

relative clearly year? that beyond recognition that through, margin about of elements think think are the we as then margin the there And important to that, will the cadence, are Performance understand Okay. you other over to flow Services course XX:XX

Craig McKasson

call revenue Eric. and be obviously We consistent was XX:XX ramp what due Nothing back out but the of that talked traditionally QX, range, in expect relatively is quarters I EBITDA segment the that up specifically, margins we've adjusted to that would fiscal at, would margin shortfall, be which performing mid-thirties still twenty in we twenty the across would sort to remaining lower expect of to about two.

Eric Percher

Thank you. XX:XX

Operator

The XX:XX next from Credit go Suisse. Please of Singh ahead. is question Jailendra

Jailendra Singh

Thank morning, XX:XX everyone. Good you.

First one QX for point five quarter Craig. guidance is trends, million the fiscal seasonally million Trying whole you view. to and on of of net guys is hundred admin weakest year, million for around reconcile generally fees fiscal from admin five net for the based revenue seventy fees QX ninety historical hundred fifty one to full the

us to here, the moderation guidance seems is So, with you reconcile that unchanged guidance some help QX imply can number? why that

Craig McKasson

lot number that through the we're little go of nature. agreements a fall XX:XX restructuring that expect So, and talked of demand monitor first the head it the as did XX:XX we a utilization fact continue moderation what's back had questions half the as into we year. the a the procedures a watch of do very about Sure. standpoint, renewal the strong has of one certain of a We bit that for part Premier quarter, after small of from members that place. elected most elective of that obviously the we returned continue year. We a we've with back not out fiscal to Obviously impact will year but things utilization in quarter. have did had it’s levels. There's being We pre-pandemic still have the that delayed we see and half couple in and to happening cases the early in to into appears and in while the

Jailendra Singh

sense revenue XX:XX follow-up members give sense there, Can discontinued? some a the of impact you just who on those on, us some

Craig McKasson

quarters, slight contract out half across performance consistent into as year what moderation I the relatively XX:XX we overall, the members some down. Yeah, our but those that is the obviously, don't will contributions, individual ramp would you back of couple tell call of be GPO

Jailendra Singh

follow-up one the more AI XX:XX payers, for platform, the can your leveraging also PINC for you these non-provider Okay. Then clients, proposition provider and mentioned value for value around are employers, partners? that for PINC elaborate this adds you color companies how AI technology life generates Thanks but on Mike.

Mike Alkire

question. XX:XX Yes the sure. Thanks for

just our business health really focus really machine and drive to payers performance. as natural reminder, our with wrap with AI services initial is learning PINC leveraging clinical on support, levels focus language decision our and a So, our quick advisory question, platform, AI that processing, of our authorizations. around prior systems all higher our the is your helps markets adjacent really In our XX:XX around

to they're technology prior that standpoint also same the life for a cost that for supporting used cases we've pharma market, with our high of identify also capability payer real to but around were who authorization that then a One, them be therapies, from effectively. through extend So, platform our lot launching market, a and imaging, obviously, ways. been and world able example, good manage working for those images There drug drive trials. same health to technology XX:XX sciences thinking for to more for to potentially it's secondarily, as new systems it companies couple evidence in help is as opportunities relates the of leverage us the would leverage to different patients ability to

sort the of there, life all that's sciences. patient about opportunity really So, the is which identification for novel

Jailendra Singh

XX:XX Thanks guys. Great.

Mike Alkire

you. Thank XX:XX

Operator

Please go The is UBS. from question Caliendo of XX:XX ahead. Kevin next

Kevin Caliendo

is How able all has costs most we you sort chain, a we impact If inside I taking pass and to how this impact the supply these and the my and this that and Thanks manufacturers? OUS Does impact see seeing broad about you If we And it like, at call. who's thanks what shipping at from the whole and really about acute manufacturers? through? risk Does it you for coming your on supply read inflation, about question hospitals? are customers XX:XX it you? of material chain point? products are from or the how inflation and does does the have the things it operating delays how whole even the that impact and think U.S? it the and are

Mike Alkire

the Thanks Kevin. for XX:XX question,

just me let bit frame question your with So, more up more a background. bit detail,

This availability costs having Record you've being happening we're by Increased that congestion sort pricing at at issues major all-time ports purchasing products. of the resins of for So, cost and today. consumer including highs. seasonal, manufacturers, with of freight transportation inflation as labor. and are lack labor exacerbated record of the suggested. and is associated XX:XX semiconductors impacting goods are raw U.S. also and number of for And having a these we're materials are high then

so sort the backdrop of which And you're asking a question. that's by

In our a with number we're through this. we terms response, to how have of that ways of deal working

we're our of with necessarily don't expanding where obviously our that with have us efficiency congestion the XX:XX chain. for which just domestic we expanding that in more that helps creating partnership lot expense supply First, with about. logistics spoke associated [indiscernible], We're a capability PPE I and

have there chain, Ameritech sit and many as pharmaceuticals. sort of is Honeywell and know expanding so, think about Exela of in the those. resiliency also DeRoyal we're think Prestige and supply obviously XX:XX in you And language you And contracts and we are obviously, actually Pharma price about protection with, our then where

far, said, been entire day, increases. suppliers calls can't because we've been absorb suppliers point. with costs. members that They're this of I've this at up pushing occurring. majority they of standpoint, increases are to those negate along margin digit request lot our guys to have the with ask channel, low suppliers a eat we're So to and having have back a continue picking actually right? back at requesting number the those this from up that at XX:XX lowest to increase performance our we're very point, and to pushed So, So, a expectation a have operating the the margins the in going the single systems it's that who at this and are XX:XX able we're healthcare you pricing point, on those these of to end of

Craig McKasson

I levels, taking shared there's and think thing I add responsibility And XX:XX the Yes. ecosystem. the this is Craig, some up would only Mike, accountability it across

situations doing can, passed as as but some be can't all we be help there said, warranted is inflation So, and we're but the said, it's it to are yes, needing Mike where through, systems. Mike everything

the into help problem to through manufacturers kind it. this collectively the are also of overall industry having manage So, and lean

Kevin Caliendo

follow-up. helpful. That's XX:XX of a And just sort really

One demand, of how it's about and their have you the a seeing trends to that we're meet demand seeing lot that, the are affecting you ability the shortages or and systems that within hearing health able procedures to in [text] modeled shortages for of are they of of to [ph] hospital a nursing systems employees doing do? anything normally might whomever limiting slowdown is in due from be what of

Mike Alkire

XX:XX It's question. a great

the to don't our Having ten not in far of an executive of is that, health said any fifteen call I capacity access that of to that they one we've with have down, ago potentially weeks to couple of shut any because systems percent So numbers. on percent modeled of labor. looking of was a to their the

able terms access So, similar procedures. being labor in little different of bit them to issue, just but provide the the to

Kevin Caliendo

think a it, Is issue systemic? you geographic do or XX:XX that is

Mike Alkire

no. No, XX:XX

isolated far, very, very geographically. So it's

Kevin Caliendo

Thank Okay. much. so you XX:XX

Mike Alkire

XX:XX Thank you.

Operator

XX:XX Sandler. The Shea next of Matthew Piper question go from ahead. is Please

Matthew Shea

XX:XX guys. for thanks the Hey, question,

on contracts of driving this been just GPO incremental was wondering what's of wondering or that? deals You that a performance of capabilities, through Is winning add-on walked just have strength kind it coming the side, and technology of where is from? is it lot guys service kind you been the supplier kind

Mike Alkire

Mike. This XX:XX is Yes, Thanks for the question.

it's three think I So, things.

investments winning have the we're years, the And Medpricer. over originally that because and a in think and of with because we technology part I ideas some couple investments our made we've First, broader goes of past the parcel portfolio. and and much

for. to able than our for contract to more are able contract competitors are far We

to were and two. I differentiated. non-labor don't our So, that's everything our had say, will our to three, programs. and of oriented, last is members, tell to do for in is system to that think number competitors. sourcing some to breadth focused oriented. ability add integration around I was that's That technology finally, last the able from with one, we of if significantly coming we're were benchmarking our end price direct kinds sourcing shortages do that’s that's I – to and middle of can And got a the the you but health we number pandemic, number the those expansion our us enablement our things. cost XX:XX said an we that opportunity one portfolio, then breadth But getting where identify will recruit support as that I were think And during number on that's direct XX:XX year, only of really that help that of non-labor in but one. more. towards not one committed support I non-members folks led the or lot we capability really able, the to think vertical obviously I occurring. we're We do a them I huge have of a two, advantage XX:XX Number portfolio and the contracts, able

ASCEND our to market in of having grow. out in So, SURPASS pricing. best our continuing really program and are program And play to continuing terms

Craig McKasson

not on, would XX:XX that embedded nature I one is, think the force Mike, and do to the the which way our I that relationships last builds add we quickly longstanding pile in but member competitors. we new own and A, differentiator our reinforces members it relationships there, think the but in recruiting actually results also are business terms a out of have, with vis-à-vis is the field

Matthew Shea

helpful. Super Thanks. it. Got XX:XX

Mike Alkire

XX:XX Thank you.

Operator

of next SVB from ahead. go The Please question is Davis Leerink. XX:XX Stephanie

Stephanie Davis

quarter broad follow-up taking got and Congrats the specific very on than on I've a for the guys. XX:XX my macro question, backdrop. relatively Hi question. a thanks

a bag but First, we've positive grab bit historically of Performance a asset. been it's trends this seen Services some of in business, broader

of like have from ahead Now strategy prepared Analyst the you some it your time may spent remarks, sounds Day. on

strategic us strokes going hoping on Services can for some was top I So, Performance your you give goals outlined broad forward?

Mike Alkire

XX:XX Yeah.

So just embedding the natural of machine assets. broadly, AI, learning, Performance differentiate nature our I technology, process language does truly the the Services, whole the think that

had that and of we're all kinds think now the supply, but our seen those always and chassis continued obviously, that actually embed we clinical services do great to have datasets with performance data business. terms able past, insights want And great I our take clinical in a is grow we improvement labor, from. capabilities with to in integrated those with and So, of those we've workflow. things. broad We improvements, great So, the then XX:XX that insights advisory provided

is payers automating to high is that And these the at from I health prior like And good sort and can, that's talking our we're systems build the the down lab now to about a illustrative in sciences, point also an models. for those we and of that that because sitting authorization big the they characteristics spoke would showing we're our because show And or of So, they, another of other getting little just we physician with whether in the be health some a that Health industry identification. patient of systems well, progression not work opportunity payers very, management of their then focus now those do entire and function. improvement labor out XX:XX XX:XX wellness, that's helps it's continue or itself then leveraging the are the good the industries that asset the Contigo patient, care, then some prior of with effectively that systems. that earlier sort taking very our as grow whether also point at lending offering we transferring solutions and bit over very a out care in begin We have able we the to value high technology related take play as with in unique to of and around as disease, we the So, of they have that nice and or really to to as health ability life XX:XX their think to on health patient systems values really that think screens standpoint, not really payers and or with at we're costs and traction work for drug do to the that authorization the around patients the really, is employers. reducing those the that a given images. doing closely trial. to of course, all other more adjacent and cost the that's markets, focus We're now

Stephanie Davis

the XX:XX given system health entrants of amount and of headwinds talked puts in-housing a the Super GPO the on bit supply specific the chain but see embed I question takes then helpful. disruption, side, supply the or if of we've macro at little disruption? chain And about the GPO could

Mike Alkire

I'll such – good it’s question. XX:XX know, a you. You it’s tell

our investment technology that never probably our capability, the diversify our it's I've IDN IDS, country, services our challenged with that accomplish. stretch focus platforms, the largest it's we've – IDN the this in are what and at really extending on order, you an invest automating doing were the it creating in? for isolation focus you And always actually the and those the on But in things and to continual continued for – team Stephanie drugs be technology, right? of over the would if IDN masks pricing generic facilities the gloves way to capabilities, non-acute and things counts. be hence and the that scale That that of One a it's our kinds would the would of direct we're investment point was in to sourcing capabilities in in years partnerships and investment

Stephanie Davis

investments Thank assets non-differentiating me. Hospital the for and amazes XX:XX always color. you

Mike Alkire

XX:XX Thank you.

Operator

next Coldwell question of XX:XX is ahead. Baird. The go from Please Eric

Eric Coldwell

what's share loss bit what's little growth net what's, you way as penetration could to was year? forward little win sense you on that call, but of XX:XX your year-over-year to the of lost a been Hey. as if There's over little accounts account break much. couple very next year you've the that hoping mention I bit was off some bit parse these also be on wins to a admin share net a here, in fees. the versus give out progresses, in Thanks dig admin a wearing suggested out we look comments, on was might also I hoping fee comps, numbers it sustainable a any maybe we easy know, the there

Mike Alkire

large pandemic, of in to were of to the the from growth comps, part we existing for but do, the question, with over of of with year pandemic year due Eric. Thanks is Obviously, XX:XX hard it's the business. impact our ago perfect the year a a where kind our recovery book

As the past to large went restructuring place first renewed, where next renegotiated five, XX:XX percent of and the their over went for of health a we years. systems revised the not end but of plus that the those through which last seven in after quarters, restructuring small this we quarter. few a agree effect subsequently at into our six, talked did some we've reminder, that August, the with ninety put about the and agreements terms subset the have were There time,

range the z x performance, wins this future. and stable ChristianaCare, throughout back means go moving think old hard affect to for million changes earlier going a y to recently it's of quarter this, agreements. continue through that's decided that is And but of growth we moderation guidance were this, our wins the relationship due about to couple be year. the the What had million ramp was then and of we when half million on full did but to next we've hear one We're small it performance, other or a full competitor. plus year described So hundred relative by percent. to with under a of say that our performance have pleased UnityPoint, had in not this. in we've we M historical evaluation the quarter success year a that in to terms amount gone and overall ninety first and to the have was me you'll compared to So and little was of a with was new have quarter pipeline as forward, so last quarter XX:XX the said mentioned to Transparent, percent bit restructuring, depart will talked A, down to over they relatively those about XX:XX near due large I as year the

Craig McKasson

I you. tell XX:XX will

our is confidence that I lot we of healthcare think area Eric have, a systems. the contracts expanding obviously, into our

all IDS, invoiced a IDS acquired provides a to are we we that that now look the And different at or being us system. acquired just healthcare As we the when ability products have for for of or are contract be go at information us a invoiced level. being those local level, out to that should things of which regional level, [indiscernible] and contract national figure contract at back

going think to technology Eric. a we bit non-contracted after of to us continue provide is spend that do that for a that So, to go tailwind

Eric Coldwell

successful And to many XX:XX another pass then for asking that actually the supplier question No, step that's that. the great. the was times through. and up and mentioned eat costs and you Thank to some the challenges being you the supply on call about chain they're hoping manufacturer, of

that? pain, a to the sharing the is that on the, model gets product fees when one higher? model what Is has You also what's higher that when, the does Are the which agree admin deflation economic you tally final the hurt argument supplier said to in and through you're price your case because how the and who reasonable your you getting happens? pass sometimes we does to customer, expense on they through. pass that one, yeah, that got happens think don't need a is And I in

Mike Alkire

XX:XX Yes, appreciate the question, Eric.

So, which it of on business. depend our does part

accommodations are want have some inflation majority made. through. fixed In actually highlight contracts in there members. So, clearly the do made the our the in our consultation of those GPO, pricing, which not pass with is are accommodations to cases, I

the case and because would the that price GPO, of the admin to yes, the fees of in is we have of suppliers the going through. if to supply to to agree allow and And a actually So, that those come inflation chain they're evaluate there's XX:XX purchase then goes incremental the area it make determination requests executives price. our committee that from up, in percentage a member

and So, inflation for being for our take our is providers. could have help happen not entire to down healthcare that reason costs us, to but

make any reiterate it made. occur. of it themselves And that strategic a consultation sourcing or direct manufacturer to cases, the pass through XX:XX are can decision. of whether it some decisions terms the So, we that other of we to things within then cost that that we XX:XX strategic margin and for in in needs decided members decision that firm to we have pricing determination cases, itself. those Relative to direct not products margin to about like had very had price sourcing, is in have nature, absorb in business; we where make if our with and to increases member and the increase compression the have that just business to we and some on want needs have pricing are I through or allow hold So, increases business have thoughtful

Eric Coldwell

are guess give or in very a a the are giving, answer. slightly pass it to segments, That's [indiscernible], be but is us net XX:XX winding pushing helpful could company limits here, overall you positive, through about up you overall answer, some And some probably know the slightly I I'm both neutral net to negative?

Craig McKasson

allow color hold may XX:XX we firm as relatively but in tell not increase Yes, come will it's neutral. here, I would through. GPO, much say every price generally, I Mike as to do suggested net have routinely you that possible the some and

absorb these serve what to room XX:XX cost would help a it. at As need be low some in operating healthcare best sourcing, healthcare net very in managing. doing to mentioned our to continue to I They slight get say they in but providers a at we earlier, lowest impact margins. patients. don't the of terms of lot Mike increases relatively had direct it's continue have price providers places, that the to In thoughtful are possible

Eric Coldwell

Craig. And Thanks, for one last Okay. XX:XX me.

heard you two? fiscal tax say after a expect I of rate that think twenty twenty percent you I twenty seven

Craig McKasson

tax guidance XX:XX Yes, year. on when the the year the law in well. beginning at we twenty what consistent normalized range we percent current with established based of That's beginning we articulated next seven rate expect more as a

Eric Coldwell

XX:XX you very Thank Okay, good. much.

Operator

question from Genuity. Canaccord go of Please ahead. next Richard Close The is XX:XX

Richard Close

clarity? in mentioned that, any do of associated XX:XX for in some you the subsidiaries, upcoming the with Yeah. expect Thanks question. Craig, terms the restructuring you quarter and just for charges

Craig McKasson

twenty to legal business. looked the business restructuring we and expect We've structure of Richard. to August subsequent the Wouldn't did continued at just look simplify twenty at It's the to opportunities really that. XX:XX at the charges,

related And really that there's so, to. regular not there's charge some sort structuring this some at It's it's point. going just that doing something cleanup to be subsidiary of

Richard Close

you And the Thanks. GPO or Okay. leave obviously additional was on there decided there essentially XX:XX details? common a clients, then – theme to any

Mike Alkire

tell XX:XX change would the management. was The theme part you Yeah. common I in for most

They're with been So, We've time. our there, of value. if participating we've have the typically, They are we in with? the business, contract business. sort sitting longer folks of working said. involvement do their kinds not they're we stock been We've and make Whether increases, demonstrating Craig they things? leadership period on, that at are in how for actually of XX:XX as level who involved would somebody and those They’re been a embedded decisions will our culture have in you that on those management's all strategies of committees. I been But then if tell Premier. of price the changed, at they're risk. then If I say committed they're always lock with they changed,

Craig McKasson

into it in what cases, to renewing didn't might in retain willing the subset make term, XX:XX I been have expect add we to would that the you because to aggressive done. small only were would vast didn't and in the Yeah. required business. enter members And successful business I majority Richard, given this, get that color the longer some think competition that incredibly our very of was we sound And weren't

Richard Close

out Thanks. fair. you I my growth, term segments how growth about had different long laid that's you're or digit the thinking the different us remind in components? rates final the then single mid high the guess And Okay, like XX:XX just can you question, Craig, to

Craig McKasson

Sure. XX:XX

will to decision the network, capabilities, us we mature So, growth we adjacent growth likely The with single think term We you expect twenty our digit growth as combination tell digit business we'll mid we've healthcare business. color longer high chain to but at at of growth we and Day Contigo major Remitra, as more life those of growth business, more to XX:XX a line business to through gets in The more to XX:XX payment kind couple available growth for digit get weeks, that that look purchase what historical In sourcing to a talked growth GPO and XX:XX the is performance markets, low the that mid So, and digit digit level, spend provider to like continues be services, it has other contract be single invoicing growth and high I digit provider be two mid up core employer double five product been continue selectively the of top provider longer approximately continue direct other and categories. the things GPO further rate those mid in and markets. combination nature. it – areas XX:XX chain. supply lines, expanding as of footprint the single we about as would combined the the growth opportunities in penetration side Services obtaining on supply high us continue into mid through expect ramp line Health what a the anticipate new In rates into electronic to that to percent Investor in things give of to we is into our to for construction, be on our term this to our in emerging top footprint historically. two sourcing we clinical our see the would a low services. we single expansion single the, growth business, way identify this growth Performance high and that the single business direct year high to low capital expanding sciences, expect will the of in to those guided would support, to penetration direct the then new I in processing higher under

Richard Close

you. Thank Great. XX:XX

Operator

question Cherny Michael ahead. next from Please The XX:XX America. is of go of Bank

Unidentified Analyst

XX:XX Hi. nineteen? early, if you flu would customers how the thoughts had in you're [indiscernible] from around Mike. what is I twenty pretty season wondering here, sort any it hearing for and to was This know it's of I compare but

Mike Alkire

early. season as It to factors hearing Mike. [Alan] Yes. XX:XX yet. is relates the much of [ph] – that It is this hey, flu We're is not

Craig McKasson

but may and down early of last it's etcetera, XX:XX I be think there's speculation get lot be season year sick people will aggressive didn't it of a immunity an tell. to flu because

important also to even in but it's relative aren't to that years broadly patients that patients flu create it generally, flu intensive our think create note supply on issues, cases. the I typically sicker high bad some business, may traditional hasn't margin, flu

business other. it to So, doesn't or tend our the materially way one affect

Unidentified Analyst

ninety States but for procedures. for better XX:XX outlook than ago? it you Mike, I days that entire the ninety were guess elective I outlook there are today think procedures mentioned capacity That sense. it days like Sure. makes comparing going some United kind of where elected was to back then, And seem you constraints, in versus is the the isolated ago, does

Mike Alkire

absolutely. is It XX:XX

labor, tell days we're would is from standpoint, you a in right people will that much procedures now but to I [indiscernible] working availability through of So, than picking with obviously, it standpoint favorable from it pre-Covid is ninety always is say the the just fewer are levels. elective supply more I an outlook system COVID, are those back ago. as, health was up the

Unidentified Analyst

you. Thank it. Got XX:XX

Mike Alkire

you. XX:XX Thank

Operator

answer and for today's conference. Thank XX:XX the you and attending session This presentation. question concludes today's

disconnect. now may You