NASDAQ:STRM Streamline Health Solutions Q1 2025 Earnings Report $2.90 -0.16 (-5.23%) Closing price 03:50 PM EasternExtended Trading$2.52 -0.38 (-13.24%) As of 04:54 PM Eastern Extended trading is trading that happens on electronic markets outside of regular trading hours. This is a fair market value extended hours price provided by Polygon.io. Learn more. Earnings HistoryForecast Streamline Health Solutions EPS ResultsActual EPS-$0.75Consensus EPS N/ABeat/MissN/AOne Year Ago EPSN/AStreamline Health Solutions Revenue ResultsActual Revenue$4.33 millionExpected RevenueN/ABeat/MissN/AYoY Revenue GrowthN/AStreamline Health Solutions Announcement DetailsQuarterQ1 2025Date6/11/2024TimeN/AConference Call DateWednesday, June 12, 2024Conference Call Time9:00AM ETUpcoming EarningsStreamline Health Solutions' Q1 2026 earnings is scheduled for Wednesday, June 11, 2025, with a conference call scheduled at 9:00 AM ET. Check back for transcripts, audio, and key financial metrics as they become available.Conference Call ResourcesConference Call AudioConference Call TranscriptPress Release (8-K)Quarterly Report (10-Q)Earnings HistoryCompany ProfilePowered by Streamline Health Solutions Q1 2025 Earnings Call TranscriptProvided by QuartrJune 12, 2024 ShareLink copied to clipboard.There are 5 speakers on the call. Operator00:00:00Hello, and welcome to the Streamline Health Solutions First Quarter 2024 Earnings Conference Call. A question and answer session will follow the formal presentation. As a reminder, this conference is being recorded. It's now my pleasure to turn the call over to Jacob Goldberger, Vice President, Finance. Jacob, please go ahead. Speaker 100:00:29Thank you for joining us for the corporate update and financial results review of Streamline Health Solutions for the Q1 of fiscal 2024, which was in 3 month period that ended April 30, 2024. As the conference call operator indicated, my name is Jacob Holdberger. Joining me on the call today are Ben Sillow, President and Chief Executive Officer and BJ Reeves, Chief Financial Officer. At the conclusion of today's prepared remarks, we will open the call for a question and answer session. If anyone participating on today's call does not have a full text copy of our press release announcing these results, you can retrieve it from the company's website at www. Speaker 100:01:03Streamlinedhealth.net or from numerous financial websites. Before we begin with prepared remarks, we want to be Speaker 200:01:09sure we are clear for everyone on Speaker 100:01:11the record how certain information, which may be provided today as with all of our earnings calls, should be viewed. We therefore submit to the record the following statements. Statements made on this conference call that are not historical facts are considered to be forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These are subject to risks, uncertainties, assumptions and other factors that could cause actual results to differ materially from those we may discuss. Please refer to the company's press releases and filings made with the U. Speaker 100:01:36S. Securities and Exchange Commission, including our most recent Form 10 ks Annual Report, which is on file with the SEC for more information about these risks, uncertainties and assumptions and other factors. As always, we're representing management's current analysis of these items as of today. Participants on this call should take into account these risks when evaluating the topics we will discuss. Please note Streamline is not undertaking any commitment or obligation to publicly revise any such forward looking statements made today. Speaker 100:02:00On today's call, we will discuss non GAAP financial measures such as adjusted EBITDA and booked SaaS ACV. Management uses these measures to help provide better insight into our financial performance. However, certain items of income and expense are not included in these measures, so these calculations may differ from those which another entity may utilize in calculating their own non GAAP measures. As we compare these amounts on consistent terms, please refer to our website at www.screenlinehealth.net and our earnings release for a reconciliation of such non GAAP measures to the most comparable GAAP measures. I would now like to turn the call over to Ben Stilwell, CEO. Speaker 300:02:33Thank you, Jacob. Good morning. So far this year, we have significantly expanded on the value we provide to the revenue cycle in healthcare. This expansion comes product enhancements for workforce automation and opportunity identification from the clients we have brought online or expanded our impact and identifying the next set of clients to partner with us to get paid for the care they provide. As a result, our pro form a SaaS revenue grew 22% during the Q1 of fiscal 2024 after excluding the revenues from the client non renewal we have addressed at the end of fiscal 2023. Speaker 300:03:10Book SaaS ACV, which is the annualized contract value for all agreements currently being recognized as well as bookings that have not been implemented has grown to $15,900,000 as of today with $13,100,000 already implemented. We remain confident in implementing the remaining backlog and achieving an adjusted EBITDA breakeven run rate during the second half of this year. And we have achieved this with a more efficient operating model while improving product functionality, servicing our existing clients and adding new clients. Now to discuss our product innovation, we continue to deliver impactful solutions focused on identifying financial opportunities to providing the automated workflows to resolve them. In April, we mentioned the initial impact of our AI model to create new and enhanced rules for our clients. Speaker 300:04:01This has only continued to grow with more rules being deployed and further refined. The model observed coding changes that occurred unrelated to our existing rules. That work started out based on observations within eValuator and is now expanding to coding changes that occurred outside eValuator from other processes or applications both up and downstream from us. Recently, we also debuted My Evaluator, a full refresh of the evaluator user experience, which has improved client satisfaction and usability. Looking forward, our evaluator roadmap focuses on identifying additional opportunities for impact. Speaker 300:04:38In addition to continued utilization of AI to enhance rule development, the eValuator roadmap is focused on novel methods to enhance the financial impact and operational insights we can provide with the existing technology. Our Rev ID application benefits the most from our investments in automation. Thousands of charges occur in a hospital daily. So identifying only those that need attention and quickly allowing users to resolve them is paramount. Our recent developments focused on usability while our roadmap includes pattern recognition to automatically assign tasks improvements to usability. Speaker 300:05:15Moving to our service model, which a Kansas City based client recently called the gold standard for a partner vendor relationship. Our client services team provides hands on education, optimization and insight putting revenue cycle leaders back in the driver's seat while bolstering the impact they receive from our solutions and cementing our relationships. For example, on the evaluator side, we drove $1,000,000 of impacts in 1 quarter for a 700 bed hospital. Our insights enabled the facility to identify and replace a poor outsourced coding resource. Meanwhile, a 7 facility system replaced a legacy on premise technology solution with eValuator resulting in a significant operating expense reduction to more than $4,000,000 of financial impact. Speaker 300:06:00This same client saw a more than 10% improvement in coding accuracy rates. On the Rev ID side, a recent implementation at a 65 bed facility resulted in more than $1,000,000 of incremental net patient revenue in just 90 days, finding significant charges in an array of departments including the ED, radiation and nursing. This implementation was completed in less than 3 months with just an hour of cumulative client IT time. Another Rev ID client recovered more than $7,500,000 of net patient revenue across a 670 bed, 5 facility health system in a 12 month period. In addition, that client saved more than 600 hours of work effort associated with the manual charge reconciliation process that rev ID replaced. Speaker 300:06:47These examples and many more like them are what give us confidence that we can help our clients succeed. We will continue to develop the service model to put our clients in the driver's seat. With impactful solutions and a gold standard client services model in place, we know our attention needs to sit squarely on attracting more healthcare systems to our client community. To date, our stated priorities have been 1, displacement campaign related to an existing offering in a value adder space where we believe our tool delivers better results at a lower cost. 2, the continued emphasis on our Oracle partnership, which continues to aggressively push Rev ID. Speaker 300:07:27And 3, development of a new and effective channel partner 4, and the last one, beyond new client sales, we have significant potential for upsell and cross sell within our existing client base. We've seen success in each of these areas. For example, we have had several recent go lives at sites procure via the Oracle channel. We announced a new client via this channel last month and we've been presenting jointly with our sales team to additional prospects at trade shows and we've seen an uptick in the number of prospects that Oracle is introducing us to. In the Q1, we also announced client deals for facility expansions in an enterprise client where we sold Evaluator to a Rev ID client. Speaker 300:08:10There's still substantial opportunity here, enough to actually double our revenue base from this channel alone. And from a sales operations standpoint, we are arming our sales force with enhanced messaging to match with industry priorities and better explain the overall financial impact of our solutions for all prospects to align with the priorities of their C suite leadership and with VP and Director level counterparts. But I want to expand on that financial impact and alignment by talking about our brand promise. I believe, we believe that the healthcare systems should be able to own their financial health. Today, our biggest conceptual competitors are ignoring the process or outsourcing the functions. Speaker 300:08:53In either case, the hospital lacks the information and workflow to systemically address issues with revenue integrity brought about by an incredibly complex reimbursement system. Healthcare systems need to be able to succeed in these revenue cycle succeed. And with that, I'd like to turn the call over to our CFO, BJ Reeves. Speaker 200:09:22Thank you, Ben. Total revenue for the Q1 of fiscal 2024 was $4,300,000 as compared to $5,300,000 during the Q1 of fiscal 2023. The change in total revenue was attributable to previously announced client non renewals offset by successful implementations of new SaaS contracts. SaaS revenue totaled $2,700,000 $3,200,000 and represented 63% 60% of total revenue during the Q1 of fiscal 20242023 respectively. As previously reported, the company had a SaaS contract which did not renew toward the end of its 2023 fiscal year. Speaker 200:10:05On a pro form a basis excluding the revenue recognized from that client, SaaS revenue grew 22% in the Q1 of fiscal 2024 versus fiscal 2023. Total operating expense was $6,600,000 during the Q1 of fiscal 2024 compared to 8 $300,000 for the Q1 of fiscal 2023. The lower overall operating expense was the result of the company's previously announced strategic restructuring and was primarily reported in SG and A and R and D. We also saw lower costs associated with our professional fees and software licenses in line with lower overall revenue from that portion of our business. Historically, we experienced higher expenses during our 1st fiscal quarter due to administrative expenses associated with our audit and annual shareholder meeting. Speaker 200:11:00We project a sequential decline in expenses during the Q2 fiscal 2024 and do not anticipate significant increase in operating expenses for the duration of the fiscal year. We continue to make investments to improve our technology, including the development of enhancements such as the My Evaluator update, continuing development and expansion of applications for the AI technology we have leveraged to generate additional content and improvements related to the automation and usability for the Rev ID solution. 1st quarter fiscal 2024 net loss totaled $2,700,000 compared to a loss of $2,900,000 in the Q1 of fiscal 2023. The relatively static net loss despite lower revenue was the result of improvement in operating expense offset by increased cash and non cash interest expense as well as the non cash valuation adjustment expense of $24,000 compared to a valuation adjustment gain of $364,000 during the Q1 of fiscal 2023. Adjusted EBITDA for the Q1 of fiscal 2024 was a loss of $700,000 compared to a loss of $1,300,000 during the Q1 of fiscal 2023. Speaker 200:12:19The significant improvement of adjusted EBITDA is the result of the company's focus on the growth of its SaaS revenue solutions as well as significant cost savings achieved through the previously announced strategic restructuring. As Ben mentioned, our current booked SaaS ACV including our recent announced wins totaled $15,900,000 and we continue to expect that we can generate persistent positive adjusted EBITDA above a $15,500,000 SaaS run rate. Currently, dollars 13,100,000 of our booked SaaS ACV is implemented and we anticipate we will successfully implement and achieve that $15,500,000 run rate during the second half of this fiscal year. Moving to the balance sheet. As of April 30, 2024, we had $4,000,000 of cash on hand compared to $3,200,000 at January 31, 2024. Speaker 200:13:17During the quarter, we executed private placements for gross proceeds of $4,500,000 Total debt, including our senior term loan and notes resulting from the private placement was $12,500,000 and we had no balance on our $2,000,000 revolving credit facility as of April 30, 2024. Looking forward, as we continue to execute in fiscal 2024, we anticipate growing revenues on relatively static expenses, achievement of persistent adjusted EBITDA profitability and significant improvement in our use of cash for operations. That concludes our review. Operator, please begin the question and answer session. Operator00:13:59Thank you. We'll now be conducting a question and answer session. Our first question today is coming from Matt Hewitt from Craig Hallum. Your line is now live. Speaker 400:14:31Good morning and congratulations on the good start to the year. Obviously, some progress on both the new contracts as well as some of the implementations. Maybe starting off with the new contracts, it looks like it's a little bit of a mix on where these wins are coming from, both current customers as well as some new customers. Could you talk a little bit about the pipeline and how that's developing and your expectations over the course of this year? Speaker 300:15:00Yes, sure. Thanks, Matt. So as we mentioned, the focus on the Oracle pipeline has started to get some wins both in terms of getting some of the initial ones that were done on Oracle Paper live. And then moving into, if that model works, can we introduce them to others within the universe and really getting into their sales team. We meet with their sales team pretty regularly. Speaker 300:15:23So we feel good about that. And in general, Rev ID has just matured a lot in the last year technology wise and we're feeling better about implementations, about the support model, etcetera. That kind of translates over to the ability to cross sell the module, both models actually because what we've seen is as we've had more success on Rev ID, we've had more success proving the same service model works for both solutions, it makes it easier to do that cross sell. So the 2 enterprise clients that we named, one was eValuator going to rep ID and the other was vice versa. Both of them had a, okay, I see how the service model can be additive if I have it over both solutions. Speaker 300:16:06So positive on those two fronts. And then obviously, of the 4 sort of sales thrusts that I mentioned, we're seeing positive traction on the other 2 as well. So it's good to have a couple of different efforts going on simultaneously. So we're not betting the farm on anyone specifically. Speaker 400:16:24That's great. And then regarding the implementations, I think what up $1,500,000 from the start of the year or the end of last year. But obviously, great progress there. Has anything changed or what's allowing you to get those implementations done or have a faster turnaround there? Is it something on your end? Speaker 400:16:43Is it something on the customer's end, a mix of both? Any color there would be helpful. Speaker 300:16:48Sure. Yes. So I think the business that we had acquired on the rev ID side was born out of consulting and it took us a minute to kind of prove out the software model that we were trying to help them with and that was kind of the thesis originally. So what we saw after lifting into a cloudless architecture, we had a little bit more documentation on how to do things more scalably. Obviously, having a direct partnership with Oracle makes it so we have more of a direct link to the tech specs and things like that. Speaker 300:17:19I think that has all sort of culminated. And just in general, our team has done a couple of back to back and it feels a little bit more repeatable and scalable. Speaker 400:17:31Great. And then maybe one last one for me on regarding the AI. I think last quarter when you spoke you had talked about how you had some initial success, dollars 1,000,000 of impact within 6 weeks. I'm just curious if there's any update there or the feedback that you're getting on the AI contribution? Thank you. Speaker 300:17:52Sure. Thanks, Matt. So we mentioned a dollar figure during the earnings call in April. We also have a case study out there that kind of shows a little bit more detail around how we're doing it. It's been very impactful for our current clients and it continues to have rule deployments every 2 weeks that are meaningful impact to our clients. Speaker 300:18:12They're starting to see that in their monthly reviews, etcetera. We're starting to look at other models that are relatively similar, but new models that we'll be able to use and having an experience in our belt. But the first one certainly helps and we hope to have other unrelated features that we can deploy that are AI ML based. The other thing that we're doing is in our messaging, we're making sure that people know, I mean, even though it is a buzzword, it's something that healthcare systems are explicitly looking for is how can I use AI within my revenue cycle? So just being able to say, yes, we're one of those vendors who's materially using it to drive impact, not just planning on using it and just in the marketing part of things, it's actually driving financial impact. Speaker 300:18:58So we're excited about it and we'll do more of it. Speaker 400:19:02That's great. Thank you. Speaker 200:19:05Thank you. We reached the Operator00:19:06end of our question and answer session. I'd like to turn the floor back over to management for any further or closing comments. Speaker 100:19:13Thank you all again for your interest and support of Streamline Health. If you have any additional questions or need more information, please contact me at jacob. Goldbergercmlinehealth.net. I look forward to speaking with you all again when we discuss our Q2 2024 financial performance. Good day. Operator00:19:30Thank you. That does conclude today's teleconference and webcast. You may disconnect your line at this time and have a wonderful day. We thank you for your participation today.Read morePowered by Conference Call Audio Live Call not available Earnings Conference CallStreamline Health Solutions Q1 202500:00 / 00:00Speed:1x1.25x1.5x2x Earnings DocumentsPress Release(8-K)Quarterly report(10-Q) Streamline Health Solutions Earnings HeadlinesStreamline Health Solutions (NASDAQ:STRM) Coverage Initiated at StockNews.comMay 5 at 2:17 AM | americanbankingnews.comStreamline Health Solutions, Inc. (NASDAQ:STRM) Q4 2025 Earnings Call TranscriptMay 4 at 4:45 PM | insidermonkey.comElon’s Terrifying Warning Forces Trump To Take ActionElon Musk has avoided two major financial crises before. He pulled Tesla and SpaceX back from the brink of collapse and built two of the most valuable companies in history. Now, he's sounding the alarm about America's $36 trillion debt time bomb that could destroy the fabric of our society.As head of the Department of Government Efficiency (DOGE) under President Trump, Musk is exposing just how bad things are...May 5, 2025 | American Hartford Gold (Ad)Earnings call transcript: Streamline Health sees Q4 revenue drop in FY2024May 4 at 6:41 AM | uk.investing.comStreamline Health Solutions, Inc. (STRM) Q4 2025 Earnings Call TranscriptMay 2 at 11:05 AM | seekingalpha.comStreamline Health® Announces New eValuatorâ„¢ Contract with Ohio-Based Health SystemMay 1, 2025 | globenewswire.comSee More Streamline Health Solutions Headlines Get Earnings Announcements in your inboxWant to stay updated on the latest earnings announcements and upcoming reports for companies like Streamline Health Solutions? Sign up for Earnings360's daily newsletter to receive timely earnings updates on Streamline Health Solutions and other key companies, straight to your email. Email Address About Streamline Health SolutionsStreamline Health Solutions (NASDAQ:STRM) offers health information technology solutions and associated services for hospitals and health systems in the United States and Canada. The company offers RevID, an automated revenue reconciliation software; eValuator, a coding analysis platform; data comparison engine; coding and clinical documentation improvement (CDI) solutions, including CDI, abstracting, and physician query; and financial management solutions, such as accounts receivable management, denials management, claims processing, spend management, and audit management. It also provides auditing and coding, software, and professional services. The company sells its solutions and services through direct sales force and reseller partnerships. Streamline Health Solutions, Inc. was incorporated in 1989 and is based in Alpharetta, Georgia.View Streamline Health Solutions ProfileRead more More Earnings Resources from MarketBeat Earnings Tools Today's Earnings Tomorrow's Earnings Next Week's Earnings Upcoming Earnings Calls Earnings Newsletter Earnings Call Transcripts Earnings Beats & Misses Corporate Guidance Earnings Screener Earnings By Country U.S. Earnings Reports Canadian Earnings Reports U.K. Earnings Reports Latest Articles Is Reddit Stock a Buy, Sell, or Hold After Earnings Release?Warning or Opportunity After Super Micro Computer's EarningsAmazon Earnings: 2 Reasons to Love It, 1 Reason to Be CautiousRocket Lab Braces for Q1 Earnings Amid Soaring ExpectationsMeta Takes A Bow With Q1 Earnings - Watch For Tariff Impact in Q2Palantir Earnings: 1 Bullish Signal and 1 Area of ConcernVisa Q2 Earnings Top Forecasts, Adds $30B Buyback Plan Upcoming Earnings American Electric Power (5/6/2025)Advanced Micro Devices (5/6/2025)Marriott International (5/6/2025)Constellation Energy (5/6/2025)Arista Networks (5/6/2025)Brookfield Asset Management (5/6/2025)Duke Energy (5/6/2025)Energy Transfer (5/6/2025)Mplx (5/6/2025)Ferrari (5/6/2025) Get 30 Days of MarketBeat All Access for Free Sign up for MarketBeat All Access to gain access to MarketBeat's full suite of research tools. 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There are 5 speakers on the call. Operator00:00:00Hello, and welcome to the Streamline Health Solutions First Quarter 2024 Earnings Conference Call. A question and answer session will follow the formal presentation. As a reminder, this conference is being recorded. It's now my pleasure to turn the call over to Jacob Goldberger, Vice President, Finance. Jacob, please go ahead. Speaker 100:00:29Thank you for joining us for the corporate update and financial results review of Streamline Health Solutions for the Q1 of fiscal 2024, which was in 3 month period that ended April 30, 2024. As the conference call operator indicated, my name is Jacob Holdberger. Joining me on the call today are Ben Sillow, President and Chief Executive Officer and BJ Reeves, Chief Financial Officer. At the conclusion of today's prepared remarks, we will open the call for a question and answer session. If anyone participating on today's call does not have a full text copy of our press release announcing these results, you can retrieve it from the company's website at www. Speaker 100:01:03Streamlinedhealth.net or from numerous financial websites. Before we begin with prepared remarks, we want to be Speaker 200:01:09sure we are clear for everyone on Speaker 100:01:11the record how certain information, which may be provided today as with all of our earnings calls, should be viewed. We therefore submit to the record the following statements. Statements made on this conference call that are not historical facts are considered to be forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These are subject to risks, uncertainties, assumptions and other factors that could cause actual results to differ materially from those we may discuss. Please refer to the company's press releases and filings made with the U. Speaker 100:01:36S. Securities and Exchange Commission, including our most recent Form 10 ks Annual Report, which is on file with the SEC for more information about these risks, uncertainties and assumptions and other factors. As always, we're representing management's current analysis of these items as of today. Participants on this call should take into account these risks when evaluating the topics we will discuss. Please note Streamline is not undertaking any commitment or obligation to publicly revise any such forward looking statements made today. Speaker 100:02:00On today's call, we will discuss non GAAP financial measures such as adjusted EBITDA and booked SaaS ACV. Management uses these measures to help provide better insight into our financial performance. However, certain items of income and expense are not included in these measures, so these calculations may differ from those which another entity may utilize in calculating their own non GAAP measures. As we compare these amounts on consistent terms, please refer to our website at www.screenlinehealth.net and our earnings release for a reconciliation of such non GAAP measures to the most comparable GAAP measures. I would now like to turn the call over to Ben Stilwell, CEO. Speaker 300:02:33Thank you, Jacob. Good morning. So far this year, we have significantly expanded on the value we provide to the revenue cycle in healthcare. This expansion comes product enhancements for workforce automation and opportunity identification from the clients we have brought online or expanded our impact and identifying the next set of clients to partner with us to get paid for the care they provide. As a result, our pro form a SaaS revenue grew 22% during the Q1 of fiscal 2024 after excluding the revenues from the client non renewal we have addressed at the end of fiscal 2023. Speaker 300:03:10Book SaaS ACV, which is the annualized contract value for all agreements currently being recognized as well as bookings that have not been implemented has grown to $15,900,000 as of today with $13,100,000 already implemented. We remain confident in implementing the remaining backlog and achieving an adjusted EBITDA breakeven run rate during the second half of this year. And we have achieved this with a more efficient operating model while improving product functionality, servicing our existing clients and adding new clients. Now to discuss our product innovation, we continue to deliver impactful solutions focused on identifying financial opportunities to providing the automated workflows to resolve them. In April, we mentioned the initial impact of our AI model to create new and enhanced rules for our clients. Speaker 300:04:01This has only continued to grow with more rules being deployed and further refined. The model observed coding changes that occurred unrelated to our existing rules. That work started out based on observations within eValuator and is now expanding to coding changes that occurred outside eValuator from other processes or applications both up and downstream from us. Recently, we also debuted My Evaluator, a full refresh of the evaluator user experience, which has improved client satisfaction and usability. Looking forward, our evaluator roadmap focuses on identifying additional opportunities for impact. Speaker 300:04:38In addition to continued utilization of AI to enhance rule development, the eValuator roadmap is focused on novel methods to enhance the financial impact and operational insights we can provide with the existing technology. Our Rev ID application benefits the most from our investments in automation. Thousands of charges occur in a hospital daily. So identifying only those that need attention and quickly allowing users to resolve them is paramount. Our recent developments focused on usability while our roadmap includes pattern recognition to automatically assign tasks improvements to usability. Speaker 300:05:15Moving to our service model, which a Kansas City based client recently called the gold standard for a partner vendor relationship. Our client services team provides hands on education, optimization and insight putting revenue cycle leaders back in the driver's seat while bolstering the impact they receive from our solutions and cementing our relationships. For example, on the evaluator side, we drove $1,000,000 of impacts in 1 quarter for a 700 bed hospital. Our insights enabled the facility to identify and replace a poor outsourced coding resource. Meanwhile, a 7 facility system replaced a legacy on premise technology solution with eValuator resulting in a significant operating expense reduction to more than $4,000,000 of financial impact. Speaker 300:06:00This same client saw a more than 10% improvement in coding accuracy rates. On the Rev ID side, a recent implementation at a 65 bed facility resulted in more than $1,000,000 of incremental net patient revenue in just 90 days, finding significant charges in an array of departments including the ED, radiation and nursing. This implementation was completed in less than 3 months with just an hour of cumulative client IT time. Another Rev ID client recovered more than $7,500,000 of net patient revenue across a 670 bed, 5 facility health system in a 12 month period. In addition, that client saved more than 600 hours of work effort associated with the manual charge reconciliation process that rev ID replaced. Speaker 300:06:47These examples and many more like them are what give us confidence that we can help our clients succeed. We will continue to develop the service model to put our clients in the driver's seat. With impactful solutions and a gold standard client services model in place, we know our attention needs to sit squarely on attracting more healthcare systems to our client community. To date, our stated priorities have been 1, displacement campaign related to an existing offering in a value adder space where we believe our tool delivers better results at a lower cost. 2, the continued emphasis on our Oracle partnership, which continues to aggressively push Rev ID. Speaker 300:07:27And 3, development of a new and effective channel partner 4, and the last one, beyond new client sales, we have significant potential for upsell and cross sell within our existing client base. We've seen success in each of these areas. For example, we have had several recent go lives at sites procure via the Oracle channel. We announced a new client via this channel last month and we've been presenting jointly with our sales team to additional prospects at trade shows and we've seen an uptick in the number of prospects that Oracle is introducing us to. In the Q1, we also announced client deals for facility expansions in an enterprise client where we sold Evaluator to a Rev ID client. Speaker 300:08:10There's still substantial opportunity here, enough to actually double our revenue base from this channel alone. And from a sales operations standpoint, we are arming our sales force with enhanced messaging to match with industry priorities and better explain the overall financial impact of our solutions for all prospects to align with the priorities of their C suite leadership and with VP and Director level counterparts. But I want to expand on that financial impact and alignment by talking about our brand promise. I believe, we believe that the healthcare systems should be able to own their financial health. Today, our biggest conceptual competitors are ignoring the process or outsourcing the functions. Speaker 300:08:53In either case, the hospital lacks the information and workflow to systemically address issues with revenue integrity brought about by an incredibly complex reimbursement system. Healthcare systems need to be able to succeed in these revenue cycle succeed. And with that, I'd like to turn the call over to our CFO, BJ Reeves. Speaker 200:09:22Thank you, Ben. Total revenue for the Q1 of fiscal 2024 was $4,300,000 as compared to $5,300,000 during the Q1 of fiscal 2023. The change in total revenue was attributable to previously announced client non renewals offset by successful implementations of new SaaS contracts. SaaS revenue totaled $2,700,000 $3,200,000 and represented 63% 60% of total revenue during the Q1 of fiscal 20242023 respectively. As previously reported, the company had a SaaS contract which did not renew toward the end of its 2023 fiscal year. Speaker 200:10:05On a pro form a basis excluding the revenue recognized from that client, SaaS revenue grew 22% in the Q1 of fiscal 2024 versus fiscal 2023. Total operating expense was $6,600,000 during the Q1 of fiscal 2024 compared to 8 $300,000 for the Q1 of fiscal 2023. The lower overall operating expense was the result of the company's previously announced strategic restructuring and was primarily reported in SG and A and R and D. We also saw lower costs associated with our professional fees and software licenses in line with lower overall revenue from that portion of our business. Historically, we experienced higher expenses during our 1st fiscal quarter due to administrative expenses associated with our audit and annual shareholder meeting. Speaker 200:11:00We project a sequential decline in expenses during the Q2 fiscal 2024 and do not anticipate significant increase in operating expenses for the duration of the fiscal year. We continue to make investments to improve our technology, including the development of enhancements such as the My Evaluator update, continuing development and expansion of applications for the AI technology we have leveraged to generate additional content and improvements related to the automation and usability for the Rev ID solution. 1st quarter fiscal 2024 net loss totaled $2,700,000 compared to a loss of $2,900,000 in the Q1 of fiscal 2023. The relatively static net loss despite lower revenue was the result of improvement in operating expense offset by increased cash and non cash interest expense as well as the non cash valuation adjustment expense of $24,000 compared to a valuation adjustment gain of $364,000 during the Q1 of fiscal 2023. Adjusted EBITDA for the Q1 of fiscal 2024 was a loss of $700,000 compared to a loss of $1,300,000 during the Q1 of fiscal 2023. Speaker 200:12:19The significant improvement of adjusted EBITDA is the result of the company's focus on the growth of its SaaS revenue solutions as well as significant cost savings achieved through the previously announced strategic restructuring. As Ben mentioned, our current booked SaaS ACV including our recent announced wins totaled $15,900,000 and we continue to expect that we can generate persistent positive adjusted EBITDA above a $15,500,000 SaaS run rate. Currently, dollars 13,100,000 of our booked SaaS ACV is implemented and we anticipate we will successfully implement and achieve that $15,500,000 run rate during the second half of this fiscal year. Moving to the balance sheet. As of April 30, 2024, we had $4,000,000 of cash on hand compared to $3,200,000 at January 31, 2024. Speaker 200:13:17During the quarter, we executed private placements for gross proceeds of $4,500,000 Total debt, including our senior term loan and notes resulting from the private placement was $12,500,000 and we had no balance on our $2,000,000 revolving credit facility as of April 30, 2024. Looking forward, as we continue to execute in fiscal 2024, we anticipate growing revenues on relatively static expenses, achievement of persistent adjusted EBITDA profitability and significant improvement in our use of cash for operations. That concludes our review. Operator, please begin the question and answer session. Operator00:13:59Thank you. We'll now be conducting a question and answer session. Our first question today is coming from Matt Hewitt from Craig Hallum. Your line is now live. Speaker 400:14:31Good morning and congratulations on the good start to the year. Obviously, some progress on both the new contracts as well as some of the implementations. Maybe starting off with the new contracts, it looks like it's a little bit of a mix on where these wins are coming from, both current customers as well as some new customers. Could you talk a little bit about the pipeline and how that's developing and your expectations over the course of this year? Speaker 300:15:00Yes, sure. Thanks, Matt. So as we mentioned, the focus on the Oracle pipeline has started to get some wins both in terms of getting some of the initial ones that were done on Oracle Paper live. And then moving into, if that model works, can we introduce them to others within the universe and really getting into their sales team. We meet with their sales team pretty regularly. Speaker 300:15:23So we feel good about that. And in general, Rev ID has just matured a lot in the last year technology wise and we're feeling better about implementations, about the support model, etcetera. That kind of translates over to the ability to cross sell the module, both models actually because what we've seen is as we've had more success on Rev ID, we've had more success proving the same service model works for both solutions, it makes it easier to do that cross sell. So the 2 enterprise clients that we named, one was eValuator going to rep ID and the other was vice versa. Both of them had a, okay, I see how the service model can be additive if I have it over both solutions. Speaker 300:16:06So positive on those two fronts. And then obviously, of the 4 sort of sales thrusts that I mentioned, we're seeing positive traction on the other 2 as well. So it's good to have a couple of different efforts going on simultaneously. So we're not betting the farm on anyone specifically. Speaker 400:16:24That's great. And then regarding the implementations, I think what up $1,500,000 from the start of the year or the end of last year. But obviously, great progress there. Has anything changed or what's allowing you to get those implementations done or have a faster turnaround there? Is it something on your end? Speaker 400:16:43Is it something on the customer's end, a mix of both? Any color there would be helpful. Speaker 300:16:48Sure. Yes. So I think the business that we had acquired on the rev ID side was born out of consulting and it took us a minute to kind of prove out the software model that we were trying to help them with and that was kind of the thesis originally. So what we saw after lifting into a cloudless architecture, we had a little bit more documentation on how to do things more scalably. Obviously, having a direct partnership with Oracle makes it so we have more of a direct link to the tech specs and things like that. Speaker 300:17:19I think that has all sort of culminated. And just in general, our team has done a couple of back to back and it feels a little bit more repeatable and scalable. Speaker 400:17:31Great. And then maybe one last one for me on regarding the AI. I think last quarter when you spoke you had talked about how you had some initial success, dollars 1,000,000 of impact within 6 weeks. I'm just curious if there's any update there or the feedback that you're getting on the AI contribution? Thank you. Speaker 300:17:52Sure. Thanks, Matt. So we mentioned a dollar figure during the earnings call in April. We also have a case study out there that kind of shows a little bit more detail around how we're doing it. It's been very impactful for our current clients and it continues to have rule deployments every 2 weeks that are meaningful impact to our clients. Speaker 300:18:12They're starting to see that in their monthly reviews, etcetera. We're starting to look at other models that are relatively similar, but new models that we'll be able to use and having an experience in our belt. But the first one certainly helps and we hope to have other unrelated features that we can deploy that are AI ML based. The other thing that we're doing is in our messaging, we're making sure that people know, I mean, even though it is a buzzword, it's something that healthcare systems are explicitly looking for is how can I use AI within my revenue cycle? So just being able to say, yes, we're one of those vendors who's materially using it to drive impact, not just planning on using it and just in the marketing part of things, it's actually driving financial impact. Speaker 300:18:58So we're excited about it and we'll do more of it. Speaker 400:19:02That's great. Thank you. Speaker 200:19:05Thank you. We reached the Operator00:19:06end of our question and answer session. I'd like to turn the floor back over to management for any further or closing comments. Speaker 100:19:13Thank you all again for your interest and support of Streamline Health. If you have any additional questions or need more information, please contact me at jacob. Goldbergercmlinehealth.net. I look forward to speaking with you all again when we discuss our Q2 2024 financial performance. Good day. Operator00:19:30Thank you. That does conclude today's teleconference and webcast. You may disconnect your line at this time and have a wonderful day. We thank you for your participation today.Read morePowered by