Think Research Updates its Cost Optimization Program
Subsequent to recent acquisitions, the Company is updating its cost optimization plans to improve profitability and cash flow from operations
TORONTO, May 26, 2022 /CNW/ - Think Research Corporation (TSXV: THNK) (OTC: THKKF) ("Think" or the "Company"), a company focused on transforming healthcare through digital health software solutions, today announces updates to its cost optimization program to improve the Company's profitability and cash flow from operations.
Sachin Aggarwal, Think Research CEO said, "The Company made two acquisitions in the last 12 months which significantly increased our growth opportunities, but also our cost base. We have been able to extract $5.8M of aggregate annualized cost synergies associated with these acquisitions in Q3 and Q4 FY21. We are pleased to update that we have been able to extract an additional $1.1M of annualized cost synergies in Q1 FY22 through our cost optimization program."
Think expects to realize total annualized cost synergies of approximately $9M by the end of fiscal 2022, including cost synergies achieved to date. Think has formed an internal cost optimization team to review every aspect of its operations to ensure gross margins and operating margins are optimized while revenue growth targets remain unaffected. This operational review includes combining operations to achieve efficiencies and digitalizing manual operations to save time and improve services. Shareholders can expect to see Think's future profitability profile enhanced by these measures.
Think Research Corporation is an industry leader in delivering knowledge-based digital health software solutions. The Company's focused mission is to organize the world's health knowledge so everyone gets the best care. Its evidence-based healthcare technology solutions support the clinical decision-making process, standardize care, and improve patient outcomes. For over a decade, Think's cloud-based, EMR-agnostic digital tools have empowered clinicians around the world and positively impacted millions of patients across the continuum of care – including primary physician care, acute care hospitals and surgical suites as well as community and seniors care. Think is proud to serve as a trusted health system partner to a rapidly growing, global client base that spans five continents across more than 13,000 healthcare facilities, with a clinical audience of over 300,000 doctors, nurses and pharmacists. Visit www.thinkresearch.com
This press release contains "forward-looking information" within the meaning of applicable securities laws. Forward-looking information may be identified by statements including words such as: "anticipate," "intend," "plan," "budget," "believe," "project," "estimate," "expect," "scheduled," "forecast," "strategy," "future," "likely," "may," "to be," "could,", "would," "should," "will" and similar references to future periods or the negative or comparable terminology, as well as terms usually used in the future and the conditional. Statements including forward-looking information may include, without limitation, statements regarding the expected results of the Company's cost optimization program and the measures to be taken pursuant to such cost optimization program.
Forward-looking information reflects management's current beliefs and is based on assumptions that may prove to be incorrect, including but not limited to the Company's business objectives, results of operations, financial results and trading activity in the Common Shares. The Company considers these assumptions to be reasonable in the circumstances. However, there can be no assurance that such assumptions will reflect the actual outcome of such items or factors. By its nature, forward-looking information involves known and unknown risks, uncertainties, changes in circumstances and other factors which may be outside of the Company's control and which may cause the Company's actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. The Company's actual results may differ materially from those indicated in the forward-looking information. Important factors that could cause actual results to differ materially from those indicated in the forward-looking information include, among others, the risk factors described under the heading "Risk Factors" in the Company's Management's Discussion & Analysis for the year ended December 31, 2021, which is available on the Company's profile at www.sedar.com. The Company has assumed that the risk factors referred to above will not cause such forward-looking statements and information to differ materially from actual results or events. The reader is cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking statements.
Other than as specifically required by applicable Canadian law, the Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, whether as a result of new information, future events or results, or otherwise.
This press release contains financial outlook information within the meaning of applicable securities laws. The financial outlook included in this MD&A includes, but is not limited to: the expectation that the Company's cost optimization plans will improve profitability and cash flow from operations, the expected cost synergies to be realized from the Company's cost optimization program in fiscal year 2022, and the expectation that the Company's profitability profile will be enhanced by measures taken in accordance with the cost optimization program. The financial outlook contained in this press release was approved by management as of the date hereof and was provided for the purpose of providing an outlook of the Company's activities and results and may not be appropriate for other purposes. Management believes that the financial outlook has been prepared on a reasonable basis, reflecting reasonable assumptions, estimates and judgments; however, actual results of the Company's operations may vary from those described herein. The Company disclaims any intention or obligation to update or revise any financial outlook contained in this press release, whether as a result of new information, future events or results or otherwise, unless required pursuant to applicable Canadian law. Readers are cautioned that the financial outlook contained in this press release should not be used for purposes other than for which it is disclosed herein.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For more information: https://www.thinkresearch.com/ca/investors/
SOURCE Think Research Corporation
Mark Sakamoto, Executive Vice President, Think Research, 416.388.7119, [email protected]
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