CareCloud cut FY23 revenue view to $117M from $120M-$122M, consensus $120.28M

CareCloud has released an update highlighting the following: Roadmap for Future Growth: CareCloud’s stable core business and proprietary end-to-end platform lay the foundation for revenue growth and operational improvements in 2024 and beyond. The Company previously announced a suspension of dividend payments on its preferred stock. This deferral in monthly payments allows the Company to stabilize its liquidity position and manage compliance with lender loan covenants. The Board of Directors will regularly review and consider the timing to reinstate dividend payments, which are cumulative and continue to accrue, and intends to resume such dividends towards the end of 2024. Free Cash Flow: CareCloud continues to generate positive cash flow from its operations despite facing a slower return to top-line growth than expected in recent months. With regards to the previously communicated guidance for fiscal year 2023 revenue and adjusted EBITDA, we currently expect annual revenue of approximately $117 million, compared to the previous guidance range of $120 – $122 million, primarily impacted by our project-oriented professional business line. We expect adjusted EBITDA will be within the previously announced guidance range of $15 – $17 million.