NASDAQ$PINC

Premier Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Premier's financial results for the fiscal-year 2021 fourth quarter and full year were reported and fiscal-year 2022 financial guidance was issued.

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.

Headline financials

Total Revenue

$482M

Previous: $343M+40.5%
EPS (adj)

$0.60

Previous: $0.58+3.4%
Capital Expenditures

$22M

Previous: $25.1M-12.4%
Free Cash Flow

$193M

Previous: $67M+188.0%
Net Income

$50.7M

Previous: $55.4M-8.5%
Operating Income

$63.7M

Previous: $67.2M-5.2%
Gross Profit

$220M

Previous: $204M+7.6%
Cash & Equivalents

$129M

Previous: $99.3M+30.0%
Total Assets

$3.52B

Previous: $2.95B+19.5%
Stock-Based Comp

$7.82M

Previous: $1.66M+371.9%

Revenue & EPS history

Premier · Revenue · Quarterly

$482M

Q4 2021+40.5%vs Q4 2020
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Premier · $482M total across 2 segments · Q4 2021

  • Supply Chain Services
    $390M+50.8%
  • Performance Services
    $91.8M+8.9%

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.

Tailwinds

  • 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.

Headwinds

  • 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

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 2 quarterly earnings reports

Historical avg

-0.6%

Avg return

Earnings day

-0.3%

Avg return

5 days after

-0.3%

Avg return

30 days after

44%

24 / 54 earnings

Positive

+16.6%

Q1 2025

Best reaction

-18.7%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026
Q1 2026-0.1%-0.1%
Q4 2025+7.3%+2.9%+8.1%
Q3 2025+11.8%+12.4%+12.7%
Q2 2025-14.7%-16.3%-21.7%
Q1 2025+16.6%
Q4 2024+0.4%
Q3 2024-5.4%
Q2 2024+1.3%
Q1 2024+1.1%
Q4 2023-12.0%
Q3 2023-18.7%
Q2 2023-0.2%
Q1 2023-8.4%
Q4 2022-2.1%
Q3 2022+4.3%
Q2 2022-1.8%
Q1 2022+5.4%
Q4 2021+6.6%
Q3 2021-0.5%
Q2 2021+3.6%
Q1 2021+4.7%
Q4 2020-6.9%
Q3 2020-3.5%
Q2 2020-9.4%
Q1 2020+11.6%
Q4 2019-1.7%
Q3 2019+8.4%
Q2 2019-9.4%
Q1 2019-6.8%
Q4 2018+11.2%
Q3 2018-5.3%
Q2 2018-1.2%
Q1 2018-6.0%
Q4 2017+1.4%
Q3 2017+0.4%
Q2 2017-3.4%
Q1 2017-2.6%
Q4 2016-4.9%
Q3 2016-7.0%
Q2 2016+4.6%
Q1 2016+1.1%
Q4 2015-6.4%
Q3 2015+7.2%
Q2 2015+7.7%
Q1 2015-4.5%
Q1 2013-0.8%
Q4 2012-0.8%
Q4 2014+7.8%
Q3 2013-7.9%
Q3 2014+1.0%
Q4 2013-3.4%
Q2 2013-3.4%
Q2 2014+1.8%
Q1 2014+0.1%

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