NUTEX HEALTH REPORTS FIRST QUARTER 2025 FINANCIAL RESULTS
PR Newswire
HOUSTON, May 13, 2025
-- TOTAL REVENUE OF $211.8 MILLION VERSUS $67.5 MILLION IN Q1 2024, AN
INCREASE OF 213.8%
-- NET INCOME ATTRIBUTABLE TO NUTEX HEALTH INC. OF $14.6 MILLION VERSUS NET
LOSS OF $0.4 MILLION IN Q1 2024
-- DILUTED EPS OF $2.56 PER SHARE VERSUS $(0.08) PER SHARE IN Q1 2024
-- EBITDA OF $43.1 MILLION VERSUS $7.1 MILLION IN EBITDA IN Q1 2024, AN
INCREASE OF 507.0%
-- ADJUSTED EBITDA OF $72.8 MILLION VERSUS $(0.4) MILLION IN Q1 2024
-- NET CASH FROM OPERATING ACTIVITIES OF $51.0 MILLION
-- COMPANY BELIEVES ITS ARBITRATION EFFORTS THROUGH THE INDEPENDENT DISPUTE
RESOLUTION $(IDR)$ PROCESS HAVE RESULTED IN MORE FAIR AND REASONABLE
PAYMENTS
HOUSTON, May 13, 2025 /PRNewswire/ -- Nutex Health Inc. ("Nutex Health" or the "Company") (NASDAQ: NUTX), a physician-led, integrated healthcare delivery system comprised of 24 state-of-the-art micro hospitals and hospital outpatient departments (HOPDs) in 11 states and primary care-centric, risk-bearing physician networks, today announced first quarter 2025 financial results for the three months ended March 31, 2025.
Financial highlights for the three months ended March 31, 2025:
-- Total revenue increased $144.3 million to $211.8 million for the three
months ended March 31, 2025 as compared to total revenue of $67.5 million
for the same period in 2024, an increase of 213.8%. Revenue from mature
hospitals, which are hospitals opened prior to December 31, 2022,
increased by 186.5% in 2025 compared to 2024.
-- The arbitration process resulted in approximately $105.0 million more in
revenue in the three months ended March 31, 2025 than the same period in
2024, which amounted to 73.1% of the $144.3 million revenue increase. Of
the $105.0 million in arbitration revenue, $60.0 million, $26.0 million
and $19.0 million related to dates of services for the first quarter
2025, fourth quarter 2024 and pre-fourth quarter 2024, respectively.
-- Total stock-based compensation expense for the three months ended March
31, 2025 was $36.1 million compared to less than $0.1 million for the
same period in 2024. Approximately 99% of total stock-based compensation
expense of $36.1 million is due to the one-time obligations for
under-construction and ramping hospitals.
-- Operating income for the three months ended March 31, 2025 was $72.2
million compared to $1.5 million for the same period in 2024,
representing a $70.7 million improvement year over year.
-- Net income attributable to Nutex Health for the three months ended March
31, 2025 of $14.6 million as compared to net loss attributable to Nutex
Health of $0.4 million for the same period in 2024. The $14.6 million in
net income includes non-cash stock-based compensation expense of $36.1
million, while the $0.4 million net loss includes no non-cash stock-based
compensation expense.
-- EBITDA attributable to Nutex Health of $43.1 million, as compared to
EBITDA attributable to Nutex Health of $7.1 million for the three months
ended March 31, 2024, an increase of 507.0%.
-- Adjusted EBITDA attributable to Nutex Health of $72.8 million, as
compared to Adjusted EBITDA attributable to Nutex Health of $(0.4)
million for the three months ended March 31, 2024.
-- Total visits at the Hospital Division were 48,269 for the three months
ended March 31, 2025, as compared to 40,068 for the same period in 2024,
an increase of 8,201 or 20.5%. Visits at mature hospitals increased by
5.3% in the three months ended March 31, 2025 as compared to the same
period in 2024.
-- Net cash from operating activities of $51.0 million for the three months
ended March 31, 2025.
-- As of March 31, 2025, the Company had total assets of $761.9 million,
including cash and cash equivalents of $87.7 million, and long-term debt
of $21.7 million.
Note: EBITDA and Adjusted EBITDA are non-GAAP financial metrics. A reconciliation of non-GAAP to GAAP measures is included below in this earnings release.
"We are excited to provide yet another solid quarter with $14.6 million in net income, a record high gross profit of 56%, a record high $51.0 million in net cash from operating activities and a record high cash balance of $87.7 million, highlighting the company's continued financial strength as we execute on our growth plan for 2025," stated Jon Bates, Chief Financial Officer of Nutex Health.
"In 2024, Nutex Health achieved significant operational improvements across all key metrics. Total hospital division visits increased by 20.5%, driven by higher ER acuity and an enhanced service mix, with greater focus on observation patients and inpatients. In 2025, we will continue optimizing operations and maintaining a lean cost structure to support sustained growth," said Josh DeTillio, Chief Operating Officer of Nutex Health.
"The great momentum that we started in 2024 is continuing into the first quarter of 2025. We are now seeing more consistent financial results stemming from a combination of volume growth and operational efficiency, with more fair and reasonable payments from the arbitration process. We still have a lot of work ahead of us, but the positive trend is very encouraging. We would like to thank our team of physicians and team members nationwide for working in alignment to get us to where we are this quarter," stated Tom Vo, M.D., MBA, Chairman and Chief Executive Officer of Nutex Health.
For more details on the Company's first quarter 2025 financial results, please refer to our Quarterly Report on Form 10-Q filed with the U.S. Securities & Exchange Commission and accessible at www.sec.gov.
NUTEX HEALTH INC.
CONSOLIDATED BALANCE SHEETS
(Unaudited)
(In thousands, except share and
per share amounts) March 31, 2025 December 31, 2024
---------------------------------- ---------------- -------------------
Assets
Current assets:
Cash and cash equivalents $ 87,670 $ 43,581
Accounts receivable 295,082 232,449
Accounts receivable - related
parties 4,258 3,602
Inventories 3,118 2,850
Prepaid expenses and other current
assets 11,389 9,998
------------ ---------------
Total current assets 401,517 292,480
Property and equipment, net 76,431 77,933
Operating right-of-use assets 27,466 27,872
Finance right-of-use assets 216,193 218,889
Intangible assets, net 15,205 15,530
Goodwill, net 13,919 13,919
Deferred tax assets 10,487 7,987
Other assets 698 711
------------ ---------------
Total assets $ 761,916 $ 655,321
============ ===============
Liabilities and Equity
Current liabilities:
Accounts payable $ 19,836 $ 9,614
Accounts payable - related parties 5,679 4,345
Lines of credit 7,126 3,554
Current portion of long-term debt 13,635 14,395
Operating lease liabilities,
current portion 2,103 2,080
Finance lease liabilities, current
portion 8,027 7,705
Accrued arbitration expenses 51,803 47,742
Accrued income tax expense 43,718 25,989
Accrued expenses and other current
liabilities 24,639 25,442
------------ ---------------
Total current liabilities 176,566 140,866
Long-term debt, net 21,733 22,466
Operating lease liabilities, net 30,350 30,617
Finance lease liabilities, net 258,387 259,479
------------ ---------------
Total liabilities 487,036 453,428
------------ ---------------
Commitments and contingencies
(Note 9)
Equity:
Common stock, $0.001 par value;
950,000,000 shares authorized;
5,528,448 and 5,511,452 shares
issued and outstanding as of
March 31, 2025 and
December 31, 2024, respectively 6 6
Additional paid-in capital 539,361 503,233
Accumulated deficit (342,259) (356,893)
------------ ---------------
Nutex Health Inc. equity 197,108 146,346
Noncontrolling interests 77,772 55,547
------------ ---------------
Total equity 274,880 201,893
------------ ---------------
Total liabilities and equity $ 761,916 $ 655,321
============ ===============
NUTEX HEALTH INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended March 31,
--------------------------------
(In thousands, except share and per
share amounts) 2025 2024
------------------------------------- ----------------- -------------
Revenue:
Hospital division $ 203,947 $ 60,029
Population health management division 7,842 7,424
------------- ------------
Total revenue 211,789 67,453
------------- ------------
Operating costs and expenses:
Payroll 34,860 27,003
Contract services 38,655 11,319
Medical supplies 3,801 5,322
Depreciation and amortization 5,092 4,186
Other 11,043 9,466
------------- ------------
Total operating costs and expenses 93,451 57,296
------------- ------------
Gross profit 118,338 10,157
------------- ------------
Corporate and other costs:
Stock-based compensation 36,094 49
General and administrative expenses 10,035 8,658
------------- ------------
Total corporate and other costs 46,129 8,707
------------- ------------
Operating income 72,209 1,450
Interest expense, net 6,120 4,444
Gain on warrant liability - (2,601)
Other (income) expense 3,325 (241)
------------- ------------
Income (loss) before taxes 62,764 (152)
Income tax expense 18,541 390
------------- ------------
Net income (loss) 44,223 (542)
Less: net income (loss) attributable
to noncontrolling interests 29,589 (178)
------------- ------------
Net income (loss) attributable to
Nutex Health Inc. $ 14,634 $ (364)
============= ============
Income (loss) per common share:
Basic $ 2.65 $ (0.08)
Diluted $ 2.56 $ (0.08)
NUTEX HEALTH INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
Three Months Ended March 31,
--------------------------------
(In thousands) 2025 2024
------------------------------------- ------------------ ------------
Cash flows from operating activities:
Net income (loss) $ 44,223 $ (542)
Adjustments to reconcile net income
(loss) to net cash from operating
activities:
Depreciation and amortization 5,092 4,186
Gain on warrant liability - (2,601)
Stock-based compensation expense 36,094 49
Deferred tax (benefit) expense (2,500) (95)
Debt accretion expense 253 365
Changes in operating assets and
liabilities, net of the effects of
acquisitions:
Accounts receivable (62,633) (2,909)
Accounts receivable - related party (656) (62)
Inventories (268) 415
Prepaid expenses and other current
assets (1,378) 796
Operating right-of-use assets 406 273
Accounts payable 10,222 (1,681)
Accounts payable - related party 1,334 475
Operating lease liabilities (245) (376)
Accrued arbitration expenses 4,061 -
Accrued income tax expense 17,729 -
Accrued expenses and other current
liabilities (769) 4,758
-------------- -----------
Net cash from operating activities 50,965 3,051
-------------- -----------
Cash flows from investing activities:
Acquisitions of property and
equipment (64) (733)
-------------- -----------
Net cash from investing activities (64) (733)
-------------- -----------
Cash flows from financing activities:
Proceeds from lines of credit 3,864 -
Proceeds from long-term debt 157 2,915
Repayments of lines of credit (292) $(595.SI)$
Repayments of long-term debt (1,810) (4,388)
Repayments of finance leases (1,367) (968)
Proceeds from common stock issuance,
net issuance costs - 9,203
Members' distributions (7,364) (481)
-------------- -----------
Net cash from financing activities (6,812) 5,686
-------------- -----------
Net change in cash, cash equivalents
and restricted cash 44,089 8,004
Cash, cash equivalents and restricted
cash - beginning of the period 43,581 22,002
-------------- -----------
Cash, cash equivalents and restricted
cash - end of the period $ 87,670 $ 30,006
============== ===========
Non-GAAP Financial Measures (Unaudited)
EBITDA and Adjusted EBITDA. EBITDA and Adjusted EBITDA are used as a supplemental non-GAAP financial measure by management and external users of our financial statements, such as industry analysts, investors, lenders and rating agencies. We believe EBITDA and Adjusted EBITDA are useful because it allows us to more effectively evaluate our operating performance.
We define EBITDA as net income (loss) attributable to Nutex Health Inc. plus interest expense, income taxes, depreciation and amortization.
We define Adjusted EBITDA as net income (loss) attributable to Nutex Health Inc. plus net interest expense, income taxes, depreciation and amortization, further adjusted for stock-based compensation, certain defined items of expense and any acquisition-related costs and impairments. Interest expense includes interest on lease liabilities, which is a component of total finance lease cost. A reconciliation of net income to Adjusted EBITDA is included below.
Beginning in the first quarter of 2025, we have updated our presentation of Adjusted EBITDA to separately disclose finance lease payments related to leases under ASC 842, which were previously included in interest expense, net and depreciation and amortization. We believe this change provides greater transparency into our operating performance.
Adjusted EBITDA is not intended to serve as an alternative to U.S. GAAP measures of performance and may not be comparable to similarly-titled measures presented by other companies.
Three Months Ended March 31,
---------------------------------------------
2025 2024
-------------------- -----------------------
Reconciliation
of net income
(loss)
attributable to
Nutex Health (Updated) (Prior) (Updated)
Inc. to Adjusted
EBITDA: (Prior)
---------- -------- ---------- -----------
Net income
(loss)
attributable to
Nutex Health
Inc. $ 14,634 $ 14,634 $ (364) $ (364)
Depreciation and
amortization 5,092 5,092 4,186 4,186
Interest
expense, net 6,120 6,120 4,444 4,444
Income tax
expense 18,541 18,541 390 390
Allocation to
noncontrolling
interests (1,297) (1,297) (1,544) (1,544)
--------- ------- --------- -------
EBITDA 43,090 43,090 7,112 7,112
Gain on warrant
liability - - (2,601) (2,601)
Finance lease
payments(1) (6,363) - (4,972) -
Stock-based
compensation 36,094 36,094 49 49
--------- ------- --------- -------
Adjusted EBITDA $ 72,821 $ 79,184 $ (412) $ 4,560
========= ======= ========= =======
(1) Finance lease payments consist of cash payments for financing leases under
ASC 842, which should be deducted from EBITDA. We believe this change is
useful to investors to evaluate the ongoing operating performance of our
business.
About Nutex Health Inc.
Headquartered in Houston, Texas and founded in 2011, Nutex Health Inc. (NASDAQ: NUTX) is a healthcare management and operations company with two divisions: a Hospital Division and a Population Health Management Division.
The Hospital Division owns, develops and operates innovative health care models, including micro-hospitals, specialty hospitals, and hospital outpatient departments (HOPDs). This division owns and operates 24 facilities in 11 states.
The Population Health Management division owns and operates provider networks such as Independent Physician Associations (IPAs). Through our Management Services Organization (MSO), we provide management, administrative and other support services to our affiliated hospitals and physician groups.
Forward-Looking Statements
Certain statements and information included in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Act of 1995. When used in this press release, the words or phrases "will", "will likely result," "expected to, " "will continue," "anticipated," "estimate," "projected," "intend," "goal," or similar expressions are intended to identify "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks, known and unknown, and uncertainties, many of which are beyond the control of the Company. Such uncertainties and risks include, but are not limited to, our ability to successfully execute our growth strategy, changes in laws or regulations, including the interim final and final rules implemented under the No Surprises Act , economic conditions, dependence on management, dilution to stockholders, lack of capital, the effects of rapid growth upon the Company and the ability of management to effectively respond to the growth and demand for products and services of the Company, newly developing technologies, the Company's ability to compete, conflicts of interest in related party transactions, regulatory matters, protection of technology, lack of industry standards, the effects of competition and the ability of the Company to obtain future financing. An extensive list of factors that can affect future results are discussed in the Annual Report on Form 10-K for the year ended December 31, 2024, and subsequent Quarterly Report on Form 10-Q for the three months ended March 31, 2025 under the heading "Risk Factors" in Part II, Item IA thereof, and other documents filed from time to time with the Securities and Exchange Commission. Such factors could materially adversely affect the Company's financial performance and could cause the Company's actual results for future periods to differ materially from any opinions or statements expressed within this press release.
View original content:https://www.prnewswire.com/news-releases/nutex-health-reports-first-quarter-2025-financial-results-302454547.html
SOURCE Nutex Health, Inc.
(END) Dow Jones Newswires
May 13, 2025 17:43 ET (21:43 GMT)
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