PINC - Earnings call transcript Q3 2024

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Operator

Good morning, and welcome to Premier's Fiscal 2024 Third Quarter Conference Call. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the conference over to Ben Krasinski, Senior Director, Investor Relations. Please go ahead.

Ben Krasinski

Thank you, and welcome to Premier's Fiscal 2024 Third Quarter Conference Call.

are our Premier's Officer. Chief morning and and this McKasson, Craig Administrative speakers Mike President Alkire, CEO; Our and Financial

those we Please XX-Q supplemental want earnings I Investors section are get everyone website the of to we Before today. quarter, our and at future to performance, statements Form for risk strategies, These plans, forward-looking our from encourage with statements you prospects, reports. most that the the statements investors.premierinc.com. available be advised speak contain to today them. in file release differ filings might our remarks the discussed We actual our certain disclosures forward-looking could recent accompanying and expect undertake regarding as update presentation obligation future affect remind the Factors and that of detailed SEC, management's this in statements that the call forward-looking results factor review such and XX-K as today, expectations to which and soon. including no started, materially these Form in and discussed are results we our

earnings to both soon. now on which non-GAAP be in earnings our evaluate why for furnish financial measures, addition presentation, Also, the other included I business. financial to appendix to and and flow, the GAAP XX-Q included Alkire. of financial will presentation also measures including SEC release Form call GAAP will our turn to we the of in these on the our to financial our to free measures of adjusted we non-GAAP measures Information measures call. use X-K, these supplemental cash over will in and expect this refer our during our this Mike measures the in we to accompanying reconciliations Form Information and quarter are

Michael Alkire

to also fiscal results. third morning, you we quarter will through everyone, our Today, We'll improvement for to provide performance on of make enablement we health the technology thank us. progress some our share care XXXX continue Good drive strategy and capabilities. further our highlights operating joining advancing

update our as well some fiscal XXXX, provide XXXX. as outlook on for we'll on perspectives Lastly, an initial provide fiscal

that First, this our deliver our I expectations how for our guidance, team are performance say profitability us to reaffirming year. proud executed that the me operating quarter on meet am of for to and we has which let full track exceeded

the Services from Supply in For by quarter, year growth the our third period, segments. increased both Performance revenue and Services total driven net prior Chain

capital accelerated implemented We stockholders continued transaction to during $XXX we additional to our as million quarter. return also share repurchase the

performance execute in enabling provider to this X as and and support continue all and leveraging aspects our AI our supply technology certain capabilities technology we strategies, to We core adjacent markets. of advance chain data, streamlining and discipline unique growth with improvement

enabler delivery our and Regarding supply supply we large of providers. to we as integrated for initiatives. key to costs allowing differentiated capital, increase support market providers and helping a flow and cash working technology-enabled capabilities invoicing driving automated payable other and organizational are better strategy, continue digital can manage our chain the solutions roll better chain out made these growth management be to networks to believe in labor adoption We for progress and capabilities

significant key market. new and suppliers, also and value We've agreements providers the and continue renewed, signed in expanded with deliver we partnership to

together, with and decisions. patients. comanagement smarter and our care while maintaining Premier's realize X-hospital leveraged their Kaleida high-quality supply purchasing million a Kaleida we clinical data our New chain utilizes teams as chain enable insights and Health, system the for last over X outcomes Western and years, savings analytics, supply during data robust in capabilities as all example, industry-leading $XX and well York, in For to to capabilities, align

provides our to in provider This recent for performance partnership enhancement. strategy, ratings respect with Fortune differentiation release Top program seeking and excited XXX Magazine. insights improvement AI-driven transparent Hospitals announce to of we're vital performance the the providers With market

and helped partnerships, road including our us nation's map its this the and Importantly, of deal expand have largest systems. doors enhancements for open of a one with health success program the signed

the to new health solutions We relationships our margin also and continue enhancing in These expand with hospitals health engagements technology-enabled care drive establish improvement. systems play and and partnerships supporting to role underscore delivery. essential

multi-decade partnership. For a recently system regional example, large our expanded

that will further their solution As system. and deploy they analytics in AI-enabled technology AI-enabled will clinical specifically part This our entire our advanced later clinical speak about support capabilities, of this across call. Craig included documentation agreement, decision the

outlook. wanted I for they member the enable the they their for commend to team continue care better, I to conclude, and health I our as Craig a will innovate and health communities providers results turn smarter system financial to and call dedication for on comprehensive serve. Before our now discussion over to commitment more

Craig McKasson

Mike. Thanks,

net In business revenue in by share fee quarter the our compared segment, net business, year in increased of acute prior the and from our as prior the Total increase purchasing early our both Care primarily offset fees In Services share by me in level. segments. pricing to administrative due of sourcing year agreements, to driven revenue were as continued for both and members well termination further payments period our by XXXX member third was Chain was products expansion the in of fiscal onetime results. Continuum Let an offset mid-XX% certain year from aggregate higher flat, to their lower growth the products of programs, period. Supply direct the growth member expected certain relatively blended partially as

software continue in growth with Supply announcement help to driven Medicine. chain announced Premier chain the in business, services Services license, of their supply growth where quarter Tufts comes selection revenue experienced Chain end-to-end heels We recently its last manage in and segment, which by supply operations Healthcare comanagement supply the as also of Beebe operations. to other expertise support Premier's We chain engage our members partner, on our

Performance year by offset driven Services increase revenue was a license our to in decrease increase segment, in contributions partially business. our enterprise the from period, by an Applied the Sciences agreements compared In prior

to make adjacent during delivered continue progress first months growth the fiscal businesses, We our X markets over XXXX. which revenue XX% of have in

in fatigue. clinical enhancing AI-enabled leveraged by we see continue recently capabilities to Health clinical documentation and Indiana improve example, highlighted to solution our provider interest reducing of our in increasing and For how also the Community alert accuracy satisfaction documentation decision-making while Network

Health Turning the contemplated. loss key driver million to provider related was to market GAAP care the capabilities financial and business, goodwill quarter, a our of impairment to expectations meaningfully Contigo future has the net our assets charge this result was was for $XX.X of million primarily a network long-lived $XXX and profitability. business. adoption self-insured slower expansion into originally and health than been of The for our

allow of we scale. As and this broader a business continued will we increased advancement announced partner through capability last outside for believe an quarter, set

will on for We this we SXS search a business, have as for our more provide sourcing something information direct once well definitive partner process Global, as report. our to

expenses to factors: Supply our year the period revenue related EBITDA our EBITDA mainly as primarily increase capabilities logistics enablement Total sourcing adjusted offset the expense. due a in income continued prior primarily adjusted margin year AI following same costs to result in to EBITDA, growth period, primarily businesses. impacted that by direct the partially as markets to of increase purchase by expenses revenue current offset generative was partially decreased ongoing GPO well business, factors Services of related due Performance adjusted compensation adjacent higher a was our offset program to declined to Adjusted our EBITDA higher Chain for and adjusted primarily Services partially in by in growth. a an of but growth, in investments in due the interest net business performance-related support in comanagement services decrease impacted increased and expansion as by to an chain supply the compared lower profit

our share accelerated share of approximately implemented of expected as in XXXX. Adjusted in fiscal a The quarter million completion, of million earnings which in repurchased share upon retirement per February. in through reduction early determined retired repurchase with conjunction to transaction to be common the the number first $XXX the due primarily average count is A weighted share result Class of shares XX increased repurchase shares be accelerated final the and will

approximate million this From impact $XXX.X of a of full to in XX% related cash XX% to free for payments the flow adjusted to to year, XXXX of fiscal fiscal our the earlier the sale tax continue operations expect excluding perspective, the year. care cash GPO EBITDA we non-health

sale year the months the our primarily period. first cash X fiscal well as declined $XXX.X million impacted tax technology The flow million increase as prior in of of cash decreased $XXX.X $XX.X was of of For operations the million flow to from by care nonhealth due XXXX, chain associated automation. the our payments prior was with year Free period, too, from change GPO as also operations. the advancement the development of payments the it, software supply tax from related capitalized to in an

nonhealth of proceeds equivalents decreases totaled the received as on driven repayment The quarter. the well as share of balance decrease to June expect the the nonhealth XX, end of net $XXX cash of were in period XXXX. continued of $X which fourth we With million member respect $XXX.X of of price sale of to continue into Cash with mentioned sale have was XX, XX, use compared we our the XXXX, and a $XX.X tax care total billion and purchase no has as cash as by GPO $XX.X to extended as as offset repurchase, as received March proceeds from facility, the of by million been total credit consent true-up for of partially our outstanding X-year be These the finalize revolving have the balance the to to of accelerated final March the the GPO operations, quarter. the that and payments. million up XXXX, operations, previously care the million

disciplined a capital return balanced long to term, With approach with current priority. stockholders respect remain on and taking focused a we deployment, to

of to billion we our months XXXX. which during million stockholders, repurchase augmented share X a quarterly This part share cash fiscal authorization XXXX, repurchase as accelerated $XX.X As dividend, we mentioned a $XXX first executed $X returns and the to million accelerate totaled our approved of through Board transaction. XX, quarter, June last that,

addition, XX, June In of declared recently June dividend as record a XXXX $X.XX share payable of per to Board stockholders our X. of on

potential evaluate offerings continue as growth, organic or to existing capabilities opportunities and our enhance also to as the differentiate for in investment support marketplace. well acquisitions to further strengthen, We our complement

call X in and are we year, earnings our outlook introduced reaffirming Turning XXXX the on the fiscal months to that our our of on February. for guidance. Based this XXXX performance guidance remainder year we full year-to-date second for fiscal the quarter

planning until Looking not ahead, our fiscal quarter share formal in a August, and fourth did to high-level year. full next while we in XXXX are report guidance provide to perspectives few anticipation fiscal want of we earnings our year

Consistent with GPO blended agreements aggregate primarily member expect share XXXX recent our with commentary, the will members. further to a we mid-XX% as Chain we in decline Services, in Supply current low continue due excluding level range the to to SXS increase renew Global, fee extend from revenue XX% fiscal and

this we offset expect in we both more share. GPO fees and member fee than gross in continued increase While and the by member in Continuum will acute of anticipate our growth purchasing Care revenue administrative programs, be

GPO Given a the of business, have will the this profitability. high-margin impact meaningful nature on

to and excluding for segment, work Services in advancing care the markets our quality They their continued believe our health provider revenue employees lower-cost data comprised low inside. in growth our also solutions our growth adjacent Performance I for double-digit to relationships, the In AI-enabled communities to vast sets are greatest they deeply key serve. members of the to businesses would from like our our to mid-single-digit we unique Health, Contigo is mission other care customers dedication including single-digit are our in strategy also our of hard we expect enabling our which range and by our and In their a thank grow by deliver closing, higher business. foundation, and asset technology to embedded care and our powered component we combination member improvement of differentiated helping and the health where drive capabilities, health

call to balance flow now substantial your maintain for time to returning flexible and the today, continue generate also value remain appreciate and sheet, to We cash committed stockholders. We we'll questions. open a

Operator

the comes Percher [Operator Nephron Instructions] first with And Research. question Eric from

Eric Percher

And early the of was A that the question the Mike in help Craig. I'm both termination performance. to the extent for Could that chain and us trying was with underlying in understand an benefit quarter? expected you supply guidance? item

Craig McKasson

is to Sure, happy be address Eric. that. This Craig. I'll

in know this in established quarter. terminated when termination the expectations of had the member did guidance. into range factored payment we We was the our and early $X that So million about

Eric Percher

at will that level? or have Okay. year And at point, And that we've the does as repriced the offsetting book that is in we the low guidance that XX% this next at seen of the look for how book repriced suggest repricing book fact range, full the that and of that level at it's that the more at much that revenue, point?

Craig McKasson

a question, good It's Yes. Eric.

to share continue anticipate where coming up we X/X with would have and that the here we of extended that into by book the has end that sit So obviously the extended the of pricing about what point I'd already and about future levels renewed our is time been We today, would say of to that X/X anticipate. and through in with plan fiscal be revised fee and book remaining will in renew XXXX period, XXXX, would that we time. that members at fiscal renewed

Eric Percher

rest already book the there? longer-term of the the the contracts? And rest of Or book,

Craig McKasson

X/X XX cases, is contracts longer-term years. up ranging X about So some in to, renewed, already

to we be and continue book, X/X be renew get members restructure-related about a through there go the will to XX, then about up about XXXX. the will that -- June amount post XX 'XX, As we'll additional an renewed of quarter of to

Operator

with the from And Leerink question next Michael comes Partners. Cherny

Michael Cherny

business. that would into relative especially Is renegotiations? XXs go? fee get to and long year. is this renewals, any what there this the one term a of through can share can low I those stay is evolution to Curious feeling the admin way of renewal book ceiling and cut? of how the think for the see Maybe that to color about kind of Do relative that you've process think on next changes you're I beyond this as of topic to this will if things go? be the for this another on this Is seen giving basis where you there the appreciate you the longer-term round where in

Craig McKasson

be mean there question predict. market all Thanks is and we to for accurately the important the we've the renewals Yes, community until It Michael, difficult Craig. as Obviously, wants investor question. actually about. this it's understand. through an to is conditions, that into to dynamic able talked get I are

reason is, perspective been contracts current have contracts perspective anticipate what with next providing on renewing the Our through the renewed, fiscal the year, we that we're the that the XXs. as we go that that's low

XXs. low is longer will we from the we it in could will up remain but in ultimately believe ratchet current Our it perspective range, XX% definitely likely reside the XXs that the albeit term,

Michael Cherny

do. you other lines great But means multiyear and to of through? component, able work call you there go Can Got Services? a growth well. chance you're about these the be nature talk it, relative from it. to anything the it And talk obviously, chain thinking a perspective about these trade-off you beyond GPO greater then terms and can about, on expansion aside just can service specifically more contract in there supply that to your Performance services would maybe ASCEND else compliance within what and as revenue ancillary strategic Are maybe a from customers give back the SURPASS? of renegotiations what you side, to renegotiations talk Is

Michael Alkire

Yes, this is Mike.

of couple a So things.

Obviously, been first. to an in purchase investment services of we've those It just non-acute them really So leverage with well lot services a as with work to all, let the them us support contracting stick of opportunity making side that area. me as and technology first areas. our the for to gives

purchase obviously, see penetration So both we for want of the to higher as non-acute contract levels well as services.

health also to opportunity care levels our gives the committed the which back system. more drive utilization portfolio, significantly to It value of drives us of higher

It the the system. as with happening that program, area an ASCEND and ratchet then about it but revenue care to to drives SURPASS of penetration. to of it that systems, lot programs. us a technology today the our deliver care in what's only will really on want drive as think allows manual. again, for to final value happening it us because more, from savings it to help more health process, effort degree what's their And levels standpoint a We not to higher is also believe, is, significant to much we get you a payables up manage the from of think the business, our invoicing focus drives allows So continue of health invoicing and well AscenDrive that see obviously, brings really transaction which significantly standpoint to embedded buying as them transparency as more

Craig McKasson

with supply the are in in drive additional that it this contract them. where opportunity chain Michael, in in quarter, Mike comanagement The a where bring us their is does chain is for reason is chain pen occur And supply Mike's to partner, were now new points. the to more to over capabilities. taking also remarks and builds quarter. our all help One, that's those of that about. penetration prepared an the puts operations actually power but about actually for some that this where of we the important of higher run Tufts supply circumstances, driver actually the seat we Craig. I we actually talking Two talked have chain Yes. supply cases, not Both limited about Beebe us relationships talked to provides last

process are also the taking customer And actually approach then ask Performance while additional more X Premier to advantage of through pull this, just said to of technology you I service have much will through capabilities do and add need to we wraparound renewal and the this -- Services. to member a about didn't I you

Operator

And the JPMorgan. Samuel comes question next with from Anne

Anne McCormick

your things things some a off are Given kind be and hoping what where are still maybe some of within starting where little spending? stabilizing on improving maybe where And Performance looks appetite we've for margins bit seem like seen hospitals you considered loosen and Services of [ edges to are holding just maybe to solutions. discretionary hospitals things I speak the was to could the ] some up on the there.

Michael Alkire

Yes.

this Mike. is So

So a few things.

think. health not, think systems care our I I -- are

with are struggling systems care the of still much health Our very labor. cost

that's So going away. something that's not

to to way having reengineer care. out they're they're So figure providing the ways

technology driving care. quality and leveraging obviously, of So high

So to systems, we've I to think support technology the make investments to to as we capabilities those the in to continue health systems. care health continue explore extenders be for labor got

number So one. that's

the will whole that proliferation areas so of about to I you for area within bringing of kinds that, two, we that health predictive the care health tell Number care And idea we're meaningfulness systems. this AI should is the AI to apply focus again, our are most the hearing different part AI. technology, where And really of of the much ecosystem. on

can a in drug medical time. at look electronic work as procedures things within significant labor, requires of to of ways authorization, care takes, amount by cases, to to some we but our trials great patients reimbursement actually deal of the prior actually way, think health for appropriately the well help record a like identify where So also which, for as systems document

see those all technologies behalf want to areas. to of of health to continue to streamline think systems. we're investments I we where and out build continue on the to going care So that's And capabilities

Anne McCormick

follow-up AI-enabled customer I And helpful. the that. receptivity that. documentation really maybe within That's could and like you about base talk discussed, some hoping just maybe like those for of with annually capabilities you using you the they having inform your things on just things was kind using talked that then XX% you discharges data those Can access to AI. about How you're And comfortable model? set about just talk within of PINC of technology? to are that a

Michael Alkire

lot are like the ask one innovators and around suggest that But AI. about XX% to sentences. one if couple maturity it I'll curve. set implemented as the makes And jump of it's learning of of maybe have the a they bit easier health advanced leading And systems sort actually any of organizations XX% think here little data utilization medical business with electronic our in that tell to a machine it those are that a I I and and standardized have you would Leigh record. EMR capabilities Yes. you, will obviously, other on adding because

market leveraging in some help not reasons, advanced opportunities opportunities just been of to looking always you those said have proof and support and want of make to to then you more to for some the to I And and be they followers they'll technology. have that as those I towards we've have that see areas, and the beginning the given co-manage to join do what's to cases we're they probably think to be technology capabilities a got XX% XX% next uptake. some that the of then -- innovators, scores think a what have the the quickly come data systems the does trials slower really we've actually Craig other in their for So behalf of assets? us been And and some incredible on tried on of you improvement, journey able interest in of then participate basically and sense for really implementation variety as But you touch with that we true working. and to kind opportunity, want area, health the are to of Leigh, we're for our and there's enter HCC able earlier, on of they'll in come of into past. will it followers do the the lot that obviously on where that bring and

Leigh Anderson

Yes.

either view we ERP. It's margin that the of probably and a clinical I augmented start large that's think derived Top, EHR, set into from with the are information set. if best intelligence with data the XXX that

capital clinical data patient advisory-led high really ties keep help be extraordinarily So risk look adjustment together and of an that we at we that start It's walks down and and able And with hospitals solution sets, them chain and offering human then we can timely. blend augment imperative, our transformational level, either assets we labor, the one effectively Mike or assets to in the that level, to our transformation, to at can the to a can that management, cohort solution do be managed into that it clinical information can ERP alert we was we talking set. so level, get with data then as into whether at about, data the clinical and information services the EHR that clinical data that physician whatever through and help whether strategic quality, be it decision support solution. or supply

Operator

question next Davis from Barclays. the And with Stephanie comes

Stephanie Davis

was hoping had threat bit pull to little on that a talked you I about X that guys first earlier. Premier

than there get some these anything solutions you're you Or of renewals, through that is given bit ] a client with the moving just some that are IT base? seeing most any client [ IT As there the your of the Services prioritized higher go dynamics resonating before, landscape? within Performance of are little

Michael Alkire

I Yes. you there's would tell down it I X into -- probably areas. would break

have that for supply lean really chain. primarily we of health us systems roughly half our So on

the through all looking we're technology, are the where the the technology supply the work So those all obviously, -- pulling on that chain our e-Invoicing, e-Payables, pull-through at looking comanagement. us really chain, of there. supply advanced They're doing lean of organizations we're for at enabling

pocket, one pulling capabilities. those of sort through you're all and that's So

Craig areas. both looking chain for and those and us uses total pocket have characterize performance margin and as supply I other would And both improvement. Leigh The at, as other obviously, services said,

standardize enhanced at also to clinical but of chain, drive way not at systems they're to they're So providing that as care ways looking capabilities the to ways only health they're supply looking reduction the well.

So all technology and all talked then Leigh just the that's alerting with the that about bringing capabilities. -- obviously, in,

say different we're of out it's I'd X ways discussions. how going characterized So in and those having terms in

Craig McKasson

the this institution obviously, build with. working have on you're would specific And Yes. to we in is enterprise is, definitely it Services, Craig. analytics. depends The But I our care Performance interest seen have Stephanie, health only

-- in Mike bringing to margin area component improvement, talked of be so would interest that, wanting about that articulated. And and the to seen help with we've but increased the enterprise technologies we license as those them leverage that

Stephanie Davis

in large some given pricing that less investments of the fee quarter that you're a with are to competitor, attrition? maybe and clients the client pricing IT kind still model? beyond announcements interested themes that of of your are is purely some in like term win there mind So Or the see client this these and starting by any it in

Michael Alkire

labor of talking brings bring they they've and of Premier labor the been created, for huge but total issues. issues have sort being have that imperatives. and huge I've cost got do all assets want to about because really basically or huge Craig it's -- to They've got quarters, labor some -- -- look It's health that's want this at you really that some systems value

transform and Some things. models are new of those to payment kinds trying to

do So that opposed are I to value as one at organizations will create. value tell have total willing you, that to you of look aspect we

on value demonstrate some much that decision the of relieve obviously, total And is our possible, the prop as pressure fee to looks like to just back. share job do so what as admin

Operator

comes question Kevin next from Caliendo UBS. with And

Kevin Caliendo

perspective just your On and lot about the growth overall? a thinking Performance based that of control What you Services, how about think assumptions is the thinking it macro? what you in both that the puts the outlook, micro -- a the there? and how are just how much wins sort of how customer of sort mid-single-digit on takes, about get from macro a you that around business, and going is talked And of are about much the the business like to grow just the but

Michael Alkire

we increased health as with take that Yes. and not in be can capabilities, those same And in delivering systems build care obviously, extra out them us potentially Look, things. struggling structures, as ensuring continue necessarily they're with staying less those of highest deliver. labor could they're the services basically to costs, highest help with I focus reimbursement that cases, and They're really at we cost care asking to the costs. quality come with again, around diligent how time, on can but and is the struggling and they I support incredibly up do to more some level. think inflation in kinds the

So quite really of a what's at that's the highest level, driving the market. bit

Craig McKasson

to a Performance thing as assumptions, perspective underlying into Yes. to trying majority of would go the only the more Services is that guidance broad on fiscal about add year revenue, in at think in business technology XX% think is we that, the August a again, with formalize to and Kevin, the that I I our business early -- side. provide, we'll but XX%, visibility 'XX sort The typically level, SaaS-based given we with we're still of that our the

good about growth combination to to in pipeline we we advisory previously large wraparound have gets a the those but gets of So we'll the leaves visibility part them of license have win us the have low-single-digit business. our to amount us of We've that. the to of anticipated that enterprise of -- a services that, agreements, so nature we process through, component services which market. of work business some that to talked have and have to the But judgmental provider from our

becoming. enable that look the have we and growing have XX% type adjacent with pharma work the business, Applied double-digit as country the it's seen continue to of sound ex-Contigo that then in in growth Sciences largest facilitate be relationships very And with markets range that at And them. XX% to the continue ongoing which to in companies the as business, we going is anticipate we to we

that which the growth of Our as documentation those continue overall. off the to processing, about then invoice for to Remitra growth our of side to in really the businesses, clinical appreciation a business but business growth those asked don't in combination double-digit us comfortable gets Services the very the and typically the capabilities we pipelines, visibility those Performance given mid-single-digit that nature coding electronic were feel earlier. and the that segment, from in anticipate type drive capabilities And given has the of decision support driven high have nascent

Kevin Caliendo

lot a even I than and detail quick helpful follow-up. for. super hoping more was That's One

we that didn't be is somewhat Just still But that if had it we'd any of is expected? destocking in about I'm the that PPE that of I your sort on has PPE sort heard wondering than of and outlook this. as context Is asking expected? demand to 'XX? normalized. got the higher end have better what Or -- at Is you trending all? stuff, think fiscal

Craig McKasson

the bottom Yes, of the terms talked past seeing patterns as thought in return. really we've as again ordering of mean, hit well really I sort couple about we in it's that had we expected. of quarters this trending

although of portfolio I we pricing, low through thing reductions. think continue as component still that's very have price to PPE now glove is that managing we've largest in the particular, been our the which we continue stabilizing -- we is see, are well. to I pricing, mean to believe

thought, come So we from to reaffirmed we step would anticipate last flat and that a sourcing where performance, expect perspective in we of that quarter forward. moving expect growth sort up where we anticipate to will I that, quarter-to-quarter, of talked sort nominal of but direct today we

Operator

Sandler. Jessica Piper question next from comes the with Tassan And

Jessica Tassan

and I that any of to maybe Global, and was the on structure maybe envision partnership? of partner engage could hoping Contigo outside how kind looking you describe you future of you're type SXS the

Craig McKasson

may respect looking term, financial Sure, is vision talked strategic we to there interest backers. in do infrastructure take enabled we partners are think Craig. for by Jessica. color. believe or This of can the I be help still long existing organizations TPA, and to partners could any powered value we as Mike to of With about also have looking for that that is that that Contigo, it. announced could when business, augment Happy the an the business in be that strategics type it have COE that add

been build would it a in resource That's I Contigo that to side. bring And taking the be we so capabilities of and on as with the to where that future put develop for play actually business we allow to and that network what what to bear. that think would really capability have the TPA, is the COE solution able more scalable a platform trying they're the it it idea and we've well, say on to comprehensive, business in additional

an focus that and really product with ability a more side, from there is organization that On I health opportunity the an SXS to capacity we maintaining critical similar think deliver would and for and a strategic really standpoint, and has think while believe U.S. ideal important supply we which view care on resiliency, scale more forward partner. is moving chain be breadth the

as think SXS shared of the move on the around are members basis and can that vision would at go-forward our kind ongoing forward type organizations and for we continue benefit business have to we about have customers that the so country. looking And a other of that

Michael Alkire

of to Craig. And a I'd thanks, of couple then share Craig's. And that builds on top like

reimbursement struggling about going be systems health say at some payvider health think things. are a the systems from space long and continually to whole market slow And payers As look space, issues that and in those you that will term. payvider something number authorization I kinds prior of care continue to with of is cases market to the are going

so we we help it's partner that some capability why right Thank to add to the that's the that so important you And question. systems. obviously health those really can that believe beef support capability additional for up find

Jessica Tassan

the could going X FY clarifying percent? then it. kind of you makes in Can share, pace follow rate Got consolidated low-XXs on hoping just the I consolidated to or up is percent, I renewals the sense. buybacks. just the confirm low-XXs with to questions? comment remaining expected 'XX wanted guys That to be And the be the of are fee on

Craig McKasson

XXs. To XXXX, anticipate the business entire low we answer blended share the the be first to fiscal in question, in our fee Jessica, overall for

our of So agreements, that's combination in business a Continuum the Care agreements of GPO. ongoing renewed and acute

blended rate. So overall

we progress Relative share continue share transaction. to repurchase the the repurchase, through accelerated to

terms Our have of when in somewhere changed current not complete, mid-August. expectations mid-July and that between will

call, be for its our So the the will when complete August, authorization point meeting the $XXX at board of at was believe share in we time plans next billion Directors be $X February. in and that that million we that approved on would we we with evaluating Board have will in expectations remaining repurchase our anticipate earnings and the

Operator

Quarter our for Conference you And Third today's Call. session Fiscal attending Premier's Thank question-and-answer this concludes XXXX presentation. and

You disconnect. may now

Premier (PINC) 7 May 242024 Q3 Earnings call transcript