American Shared Hospital Services (AMEX:AMS) Q4 2023 Earnings Call Transcript

Raymond Stachowiak: I can’t talk too much about individual situations. I can tell you that in the case of Pueblo, I would expect at least $1 million of incremental revenue from this new revenue stream in the first twelve-month period. And once again, we will not have that full year effect in 2024. It will come on in 2025 for a full year. We’re expected to treat our first patient in May of 2024. In Ecuador I think we’ll see some increases from that account, but I can’t comment too much individually. Is that helpful?

Michael Cooper: That’s very helpful. Thank you very much and look forward to the next year.

Operator: This concludes our question-and-answer session. I would like to turn the conference back over to Ray Stachowiak for any closing remarks.

Raymond Stachowiak: Yes, I think one point I’d like to make is the Rhode Island acquisition is an increase in our future revenue almost immediately. When we close on the transaction, we’ll start recognizing revenue on the first day thereafter the close and this is an important distinction. If you look at our situation in Pueblo, we’re owning and operating 85% ownership, and we agreed to this arrangement in late 2022, and our revenue stream from that situation is not coming on until the second quarter of 2024. So that’s a really good example of how long of a sales cycle and implementation cycle we sometimes have. And by growing by acquisition, it gives us immediate jump in our revenue and profitability from day one. So that’s one of the reasons I’m very, very bullish on this opportunity and anxious to proceed along those lines.

So with that, I’d like to thank everyone who joined us today. I really believe AMS is at an inflection point. We’re excited about the future and I hope you all stay tuned. We’ll speak with you next on our first quarter call in mid-May and please contact us directly if you have any questions before then. Be well and stay safe. Thanks for your time today. Goodbye.

Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.