Premier, Inc. (NASDAQ:PINC) Q1 2020 Earnings Conference Call - Final Transcript

Nov 05, 2019 • 08:00 am ET


Premier, Inc. (NASDAQ:PINC) Q1 2020 Earnings Conference Call - Final Transcript


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Good morning, ladies and gentlemen, and welcome to the Premier Inc FY 20 First Quarter Results and Conference Call. [Operator Instructions] I would now like to turn the conference over to your host, Mr. Jim Storey of Investor Relations.

Jim Storey

Thank you, Crystal, and welcome everyone to Premier Inc's Fiscal 2020 First Quarter Conference Call. Our speakers today are Susan DeVore, Chief Executive Officer; Mike Alkire, President; and Craig McKasson, Chief Administrative and Financial Officer. Susan, Mike, and Craig will review the quarter's performance, provide an operations update and discuss ongoing strategies for the year.

Before we get started, I want to remind everyone that copies of our earnings release and the supplemental slides accompanying this conference call are available in the Investor Relations section of our website at Management's remarks today contain certain forward-looking statements and actual results could differ materially from those discussed today. These forward-looking statements speak as of today and we undertake no obligation to update them. Factors that might affect future results are discussed in our filings with the SEC, including our Form 10-Q for the fiscal first quarter, which we expect to file soon. We encourage you to review these detailed Safe Harbor and risk factor disclosures.

Please also note, where appropriate, we will refer to non-GAAP financial measures to evaluate our business. Reconciliations of non-GAAP financial measures to GAAP financial measures are included in our earnings release in the appendix of the supplemental slides accompanying this presentation and in our earnings release Form 8-K, which we expect to file to the SEC soon.

Now, let me turn the call over to Susan DeVore.

Susan DeVore

Thanks, Jim, and welcome everyone to our conference call. Today, Mike, Craig and I will review our fiscal first quarter financial and operational performance and provide updates on our strategic initiatives and focus for the remainder of fiscal 2020. We'll then turn the call over to Q&A. So let's get started.

Overall, our fiscal first quarter financial performance exceeded management's expectations, driven by the continued steady growth of our core supply chain business, which largely offset the anticipated softness in Performance Services segment revenue. We delivered this performance within the context of our longer-term focus on technology enabling our supply chain business and expanding our enterprise analytics and performance improvement capabilities.

Mike, and Craig will discuss our initiatives and financial performance shortly. However, before we turn to further review of the quarter, I want to take a few minutes to address some recent market speculation about Premier. To take a step back, Premier's business model for both Supply Chain and Performance Services is driven by differentiated, comprehensive data analytics and services, which enables us to deliver a unique integrated total value proposition customized for each member. This helps us retain and grow our business in a highly competitive marketplace underscored by the fact that we have produced consistent steady and profitable growth since our IPO. We consistently deliver our members a total return on their investment averaging between 5-to-1 and 20-to-1.