Tunstall’s challenging year: results reported

[grow_thumb image=”https://telecareaware.com/wp-content/uploads/2014/07/Big-T-thumb-480×294-55535.gif” thumb_width=”150″ /]Breaking News. The topline of Tunstall Healthcare Group’s 2014 results (through 30 Sept 14) is now (partly) public thanks to the Yorkshire Post, Tunstall’s ‘hometown paper’. (We do note that it was published on 23 Dec, in the ‘dead of night’ rolling up to the Christmas holiday.) Notably, there is no report on the Tunstall website and it is too early to show on standard corporate reporting sites such as DueDil and CompanyCheck. The YP article appears to be written partly in press release-speak, which we do not fault them for on limited news available. In summary:

• In the 2014 FY ended 30 September, revenues were £215 million. FY2013 was £221 million, a decrease of £6 million (2.7 percent).
• A corresponding but greater EBITDA (earnings before interest taxation depreciation and amortization) drop to £43.0 million. FY 2013 was £52.7 million, a decrease of £9.7 million (18.4 percent).
• The good news: revenues up 6.8 percent in the Nordics, Southern Europe, Central Europe, and Australasia; Spain’s Televida as a market leader also a bright spot [TTA 19 Dec].
• No such good news in UK and the US 
  • As our UK readers know, Government austerity measures have cut into funds available for contracts. Tunstall’s wins this year were Hanover Housing Association and Leicestershire County Council.
  • In the US, it is not widely known that Tunstall was a supplier to Alere Health which ended when “Alere bought its own telehealth operation in the US, which meant it no longer needed Tunstall’s services.” That was, of course, the purchase of MedApps, now Alere Connect, in late 2012 and integration with new products in 2013. (Alere sold Health in November to giant Optum [TTA 4 Nov].) Not in the YP article is their ongoing relationship with giant Walgreens for their white-labeled PERS (ex-AMAC) which they are boosting with a pilot reported here. Given this, no wonder that their presence was muted at May’s ATA and nil at the mHealth Summit.
• CEO Paul Stobart is quoted, “We have an ambitious investment agenda in 2015, with capital expenditure increasing by 30 percent over 2014, targeting new propositions in the IP and mobile segments, as well as in supporting our growing managed services business.” Undoubtedly this includes their adoption of the Tactio mobile platform in UK and EU–impressive on our visit of Tactio at mHealth Summit–and their acquisition of a US provider, Mountain Home.

Yorkshire Post, Tunstall keeps investing after ‘challenging’ year  Hat tip to a sharp-eyed reader!

Previously in TTA, we have covered the Charterhouse reinvestment of £20 million, the request for loan covenant extension to December 2015, and how too much debt is their growing problem.