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• Premier is like a **Costco** or **Sam's Club** for hospitals, allowing them to collectively purchase medical supplies and services at discounted rates.
• Premier is also like a specialized **Deloitte** or **PwC** for the healthcare industry, providing data analytics and consulting to help hospitals improve their operational efficiency and patient outcomes.

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• Group Purchasing Organization (GPO) Services: Premier operates as a GPO, negotiating contracts for supplies, technologies, and services to help healthcare providers reduce costs and improve supply chain efficiency.
• Performance Services & Technology: The company offers a suite of technology solutions, data analytics, and consulting services designed to improve clinical quality, operational efficiency, and financial performance for healthcare organizations.
• Advisory & Consulting Services: Premier provides strategic and operational consulting expertise to healthcare providers on topics such as value-based care, population health, and organizational transformation.

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Premier (symbol: PINC) is a healthcare improvement company that operates primarily as a group purchasing organization (GPO) and provides data analytics, advisory services, and supply chain solutions. It sells primarily to other companies in the healthcare sector (B2B model).

Based on its annual report (10-K filings), Premier does not have any single major customer that accounts for 10% or more of its consolidated revenue. This indicates a highly diversified customer base.

Premier's customers are broadly comprised of various types of healthcare organizations. These include:

• Acute care hospitals
• Health systems (which encompass multiple hospitals and other facilities)
• Other healthcare providers, such as ambulatory surgery centers, physician practices, long-term care facilities, and home health agencies

Due to the nature of Premier's business model, which involves serving a vast network of thousands of healthcare providers, no single customer company is identified as a major customer in their public filings. Therefore, specific names of major customer companies with their symbols cannot be provided.

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Michael J. Alkire
President & Chief Executive Officer

Michael J. Alkire joined Premier in 2003 and has nearly 30 years of operational, technology, and business development leadership experience in the healthcare industry. He was appointed Chief Operating Officer in 2013, President in 2019, and Chief Executive Officer in 2021. Prior to Premier, Mr. Alkire held leadership roles at Cap Gemini, where he was responsible for supply chain and high-tech manufacturing in North America, and also worked at Deloitte & Touche. He launched PINC AI™, Premier’s comprehensive technology and consulting platform.

Glenn Coleman
Chief Financial Officer & Chief Administrative Officer

Glenn Coleman was appointed Chief Administrative and Financial Officer of Premier, effective November 11, 2024. He brings over three decades of financial and industry expertise, with extensive experience in public company financial planning, reporting, and operations. Mr. Coleman previously served as Executive Vice President and Chief Financial Officer of Dentsply Sirona. His prior roles also include Executive Vice President and Chief Operating Officer, and Chief Financial Officer at Integra LifeSciences Holdings Corporation. He also held financial management positions at Curtiss-Wright Corporation and Alcatel-Lucent, and began his career at PricewaterhouseCoopers LLP.

Leigh Anderson
Chief Operating Officer

Leigh Anderson was promoted to Chief Operating Officer of Premier, effective September 12, 2023. He joined Premier in 2013 and previously served as the President of Performance Services since July 2018, overseeing the company’s enterprise-wide, cloud-based informatics business and its consulting unit. Mr. Anderson has over two decades of informatics experience and has held lead informatics roles at Hospital Corporation of America, Health Trust, Global Healthcare Exchange (GHX), and AT&T.

Andy Brailo
Chief Commercial Officer

Andy Brailo was elevated to Chief Commercial Officer of Premier, effective September 12, 2023. He has been with Premier for over 20 years, previously serving as the Chief Customer Officer. Mr. Brailo is responsible for overseeing Premier’s member-embedded field force, supply chain services growth teams, acute and non-acute field and sales teams, sponsor programs, commercial operations, Nexera consulting, co-management functions, and the stockd® e-Commerce and alternate site business.

Bruce Radcliff
President of Supply Chain Services

Bruce Radcliff was appointed President of Supply Chain Services, effective September 1, 2025. He joined Premier in May 2023 as Group Vice President of Strategic Sourcing. Prior to joining Premier, Mr. Radcliff spent 10 years leading supply chain operations for Advocate Aurora Health, a Premier member health system. He has more than 15 years of experience within large healthcare providers and over a decade of supply chain leadership.

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The most significant risk is the integration risk and potential management distraction resulting from the acquisition by Patient Square Capital. This transaction, overwhelmingly approved by stockholders and expected to close around November 25, 2025, will fundamentally shift Premier from a public company focused on quarterly earnings to one pursuing long-term private equity growth. Such a transition inherently involves challenges in integrating new ownership, aligning strategic priorities, and potential management distraction during the process.

Secondly, Premier faces ongoing risks related to intense competition and potential regulatory scrutiny of its Group Purchasing Organization (GPO) business model. The GPO model, which generates significant revenue through administrative fees, is continuously under examination in Washington, D.C., and faces challenges from both established players and new entrants in the healthcare technology and services market.

Finally, the business is susceptible to revenue declines, inflationary pressures, and persistent challenges within the healthcare supply chain. Premier has reported decreases in net administrative fees and overall revenue in both its Supply Chain Services and Performance Services segments. The company continues to be impacted by rising labor costs, raw material costs and availability, higher interest rates, and ongoing supply disruptions and product shortages, all of which pressure supplier pricing and the company's margins.

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Addressable Markets for Premier Inc. (PINC)

Premier Inc. (PINC) operates primarily through two segments: Supply Chain Services and Performance Services. The addressable markets for its main products and services, predominantly within the U.S., are as follows:

• Healthcare Group Purchasing Organization (GPO) Programs: The market size for Group Purchasing Organizations in the United States is estimated at $7.3 billion in 2025.
• Healthcare Supply Chain Management (including software, co-management, direct sourcing, and digital invoicing/payables): The U.S. healthcare supply chain management market generated approximately USD 738.6 million in revenue in 2023 and is projected to reach USD 1,367.9 million by 2030, growing at a CAGR of 9.2% from 2024 to 2030. Specifically, the U.S. digital healthcare supply chain management market held the largest share in 2023 within North America, which dominated the global market with a 32.9% revenue share in 2023.
• Healthcare Consulting Services: The U.S. Healthcare Consulting Services Market was estimated at USD 6 billion in 2023 and is expected to grow to USD 16.94 billion by 2035, at a CAGR of approximately 8.725% during the forecast period (2025-2035). Other reports indicate the U.S. market reached USD 10.1 billion in 2024.
• Value-Based Care Solutions: The U.S. value-based healthcare service market size was valued at USD 4.01 trillion in 2024 and is expected to reach USD 6.16 trillion by 2030, with a CAGR of 7.4% from 2025 to 2030. Another source states the U.S. market was valued at USD 3.6 trillion in 2023 and is anticipated to grow at a CAGR of 6.2% over the forecast period to reach USD 6.2 trillion by 2032. The U.S. market accounted for the largest revenue share of 82.5% in 2024 within North America, driven by strong federal initiatives.

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Here are 3-5 expected drivers of future revenue growth for Premier (PINC) over the next 2-3 years:

1. Growth in Performance Services' Adjacent Markets Businesses: Premier anticipates continued strong revenue growth, exceeding 20%, from its adjacent markets businesses within the Performance Services segment. This is expected to contribute to overall segment revenue growth in the mid to high single digits for the full year.
2. Expansion of Supply Chain Co-Management and Digital Supply Chain Businesses: The company has seen growth in its supply chain co-management business through new member engagements and an increase in its digital supply chain business due to further expansion of its solutions to providers and suppliers. These areas are identified as ongoing growth opportunities.
3. Leveraging Strategic Partnerships and AI-enabled Technologies: Premier has announced strategic partnerships, such as one with Epic, and is investing in AI-enabled technologies. These initiatives are expected to drive future growth by enhancing its offerings and capabilities in the healthcare technology space.
4. Expansion of Advisory Capabilities in Real-World Data and Evidence: Premier is actively expanding its advisory capabilities in the areas of real-world data and evidence, suggesting a focus on growing its consulting and data-driven service offerings.
5. Acquisition of IllumiCare: The acquisition of IllumiCare is projected to expand Premier's clinical decision support capabilities and is anticipated to generate revenue synergies, with an estimated $8-10 million in revenue forecast for fiscal year 2026.

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Share Repurchases

• In February 2024, Premier authorized a $1.0 billion share repurchase program, which expired on June 30, 2025.
• Under this authorization, Premier completed a $400 million accelerated share repurchase (ASR) in July 2024 (fiscal year 2025).
• By August 19, 2025, Premier had repurchased an aggregate of $800.0 million of its common stock through ASR transactions under the $1.0 billion authorization, which included a $200 million ASR program entered into in February 2025.

Share Issuance

• Premier's number of outstanding shares decreased from approximately 110 million in 2023 to 82.37 million in 2025, reflecting a net reduction primarily due to share repurchases.
• As of June 30, 2024, 2.8 million shares were available for future issuance under the 2015 Employee Stock Purchase Plan, in addition to shares available for equity awards under the 2023 Equity Incentive Plan.

Inbound Investments

• On September 22, 2025, Premier entered into a definitive agreement to be acquired by an affiliate of Patient Square Capital in a transaction valued at $2.6 billion, with stockholders receiving $28.25 in cash per share.

Outbound Investments

• Premier divested its non-healthcare group purchasing organization (GPO) operations in July 2023, and its S2S Global direct sourcing business on October 1, 2024.
• The company acquired IllumiCare for a preliminary adjusted purchase price of $47.5 million by August 19, 2025, which included cash and a contingent earn-out.
• Premier made four annual installment payments of $30.0 million each, from June 2021 to June 2024, totaling $120.0 million, for the acquisition of Acurity and Nexera assets.

Capital Expenditures

• Premier's capital expenditures were $88.88 million in fiscal year 2021, $87.44 million in fiscal year 2022, $82.3 million in fiscal year 2023, and $81.19 million in fiscal year 2024.
• Estimated capital expenditures for fiscal year 2025 were $82.65 million.
• For fiscal year 2026, expected capital expenditures are projected to be between $80 million and $90 million, with a focus on technology, strategic acquisitions, and general corporate projects, including investments in AI-enabled technologies and expanding advisory capabilities.