MCI Onehealth's Business Financials
With a strategic focus on healthcare technology and serving 250 corporate customers, MCI has a profitable niche in Canada's mainly publicly funded healthcare system. Through 2020, their company has grown its telehealth offerings.
The business’s 2020 revenues have fallen to $27 million CAD ($21 million USD) for the nine months ending September 30, 2020. The fall in revenue is primarily due to a drop in walk-in patient volumes, down 40% from the year before. For the first nine months of 2020, the company reported a positive net income of $1 million CAD ($790,000 USD).
How MCI Will Use Its IPO Funding
MCI plans to use the funds raised from the initial public offering in three ways according to its SEDAR prospectus. First, the business plans to allocate 50% of the cash proceeds to support its business’s technology development and data analytics platform. The company will use 40% of its funds to support its traditional health care offering — the remaining 10% of funds to support marketing, corporate development, and operational needs.
More Than Medical Clinics — MCI's Technology
MCI’s business technology offerings include the MCI Onehealth assistant, an artificial intelligence-powered health assistant connecting patients to healthcare providers. The company has also developed brightOS, data, and decision support platform for doctors to improve patient care. The brightOS technology is currently in testing with a planned launch later in 2021.
In addition to supporting direct patient care, MCI plans to earn revenue from healthcare data. As stated in the company's December 29, 2020, prospectus on SEDAR, "the platform is expected to make de-identified data more accessible to extract healthcare insights that can be commercialized with life science customers." If their business can execute this plan successfully, it will generate business revenues from the data it already collects from patient care.
How Big Is MCI's Total Addressable Market?
Historically, MCI has focused on delivering healthcare in Canada. According to the company's prospectus on SEDAR, MCI estimates "market size for total clinical payments of approximately $40 billion [CAD]" (i.e., $31 billion USD). Furthermore, the company also sees an opportunity to sell its telehealth technology internationally. The global telehealth and virtual care market is estimated to be worth $45 billion USD as of 2020.
About the Author
Bruce Harpham is an author and marketing consultant based in Canada. His first book "Project Managers At Work" shared real-world success lessons from NASA, Google, and other organizations. His articles have been published in CIO.com, InfoWorld, Canadian Business, and other organizations. Visit BruceHarpham.com for articles, interviews with tech leaders, and updates on future books.