WATERLOO, ON / ACCESSWIRE / November 29, 2021 / Cloud DX (TSXV:CDX)(OTCQB:CDXFF), Cloud DX, a leading North American provider of virtual care and remote patient monitoring solutions, today reports results for the third quarter of fiscal 2021.

Key Developments:

• Overall revenue lower by 4%; Subscription revenue increased 22%
• New partnerships in the quarter resulted in access to up to 27,000 patients
• Inclusion of one-time costs attributed to the Qualifying Transaction impacted expenses;
  • 120% increase in operating expenses
  • 98% decrease in adjusted EBITDA

Third Quarter Financial Highlights

Year to Date Financial Highlights

Revenue

In the 3 months ended September 30, 2021 subscription revenue was 19% lower. Product and professional services revenue is anticipated to be variable in the early stages of growth. Specifically, in 2020 a large Connected Health Kit deployment for an academic study generated an unusual concentration of hardware revenue that has not occurred in 2021.

In the 9 months ended September 30, 2021 subscription revenue increased 22%. Similar to the three-month period, product and professional services revenue is projected to fluctuate in the early stages of growth. As noted above, in 2020 a large project-based order of Connected Health Kits had no comparison to date in 2021.

Expenses

In the 3 months ended September 30, 2021 operating expenses increased 20% predominantly caused by certain cash and non-cash expenditures associated with the Qualifying Transaction. Salaries and wages were 38% higher thanks to an additional 27 employees between September 30, 2020 and September 30, 2021. Sales, General and Administrative was 223% higher due to higher comparative advertising and promotion, insurance and subscription costs as compared to September 2020.

In the 9 months ended September 30, 2021, operating expenses increased 72% primarily driven by certain cash and non-cash expenditures associated with the RTO; Professional fees were 41% higher caused by costs attributable to this transaction; stock based compensation was higher due to the obligation to revalue employee stock-based compensation granted as previously issued stock options were cancelled prior to the RTO. Headcount increased by 29 FTEs between September 30, 2020 and September 30, 2021 causing a 74% increase in salaries and wages.

Customer Stats

Cloud DX has seen access to available patients suited to its remote patient monitoring products increase as follows:

About Cloud DX

Accelerating virtual healthcare, Cloud DX is on a mission to make healthcare better for everyone. Our Connected Health ^TM remote patient monitoring platform is used by healthcare enterprises and care teams across North America to virtually manage chronic disease, enable aging in place, and deliver hospital-quality post-surgical care in the home. Our partners achieve better healthcare and patient outcomes, reduce the need for hospitalization or re-admission, and reduce healthcare delivery costs through more efficient use of resources. Cloud DX is the co-winner of the Qualcomm Tricorder XPRIZE, a 2021 Edison Award winner, a Fast Company 'World Changing Idea' finalist, and one of 'Canada's Ten Most Prominent Telehealth Providers.

Cloud DX Investor Site https://ir.clouddx.com/overview/default.aspx

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For investor inquiries please contact:
Jay Bedard
Cloud DX Investor Relations
647-881-8418
[email protected]

SOURCE: Cloud DX Inc.