- TOTAL REVENUE OF $67.5
MILLION FOR FIRST QUARTER 2024 VS $56.3 MILLION IN 2023, AN INCREASE OF
20%
- HOSPITAL DIVISION VISITS OF 40,068 FOR THE FIRST QUARTER
2024 VS VISITS OF 33,085 IN 2023, AN INCREASE OF 21.1%
- HOSPITAL DIVISION OPERATING INCOME OF $10.5 MILLION FOR FIRST QUARTER 2024 VS
$4.8 MILLION IN 2023, AN INCREASE OF
119%
- NET CASH FROM OPERATING ACTIVITIES OF $3.1 MILLION FOR FIRST QUARTER 2024
- CONTINUED FOCUS ON INCREASED CASH FLOW THROUGH REDUCTION
IN OPERATING EXPENSES AND PORTFOLIO OPTIMIZATION
HOUSTON, May 8, 2024
/PRNewswire/ -- Nutex Health Inc. ("Nutex Health" or the "Company")
(NASDAQ: NUTX), a physician-led, technology-enabled integrated
healthcare delivery system comprised of 21 state-of-the-art micro
hospitals in nine states and primary care-centric, risk-bearing
physician networks, today announced first quarter 2024 financial
results for the three months ended March 31,
2024.
Financial Highlights for the Three Months Ended March 31, 2024:
- Total revenue of $67.5 million as
compared to total revenue of $56.3
million for the three months ended March 31, 2023, an increase of approximately 20%.
Of this revenue growth, mature hospitals, which are hospitals
opened prior to December 31, 2021,
increased by 6.7% in 2024 compared to 2023.
- Total visits from the Hospital Division were 40,068 for the
first quarter 2024 as compared to 33,085 for the first quarter
2023, an increase of 6,983 or 21.1%. Of this visit growth, mature
hospitals increased by 5.3% in 2024 compared to 2023.
- Net loss attributable to Nutex Health Inc. of $0.4 million as compared to net loss attributable
to Nutex Health Inc. of $5.1 million
for the three months ended March 31,
2023.
- EBITDA of $7.1 million as
compared to EBITDA of $0.3 million
for the three months ended March 31,
2023.
- Adjusted EBITDA of $4.6 million
as compared to Adjusted EBITDA of $2.4
million for the three months ended March 31, 2023, an increase of 92%.
- Net cash from operating activities of $3.1 million.
- As of March 31, 2024, the Company
had total assets of $404.3 million,
including cash and cash equivalents of $30.0
million and long-term debt of $26.3
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 pleased to report 20% revenue growth, Adjusted EBITDA of
$4.6 million and a 119% increase in
hospital division operating income to $10.5
million in 2024, with overall Nutex operating income of
$1.5 million as opposed to an
operating loss of $4.5 million in the
same period last year," stated Jon
Bates, Chief Financial Officer of Nutex Health.
"We had a solid First Quarter with strong year over year growth.
Volume continues to increase at both our mature hospitals as well
as the four hospitals that we opened in 2023. Our average payment
by insurers of patient claims increased, a trend we are optimistic
will persist as we continue to work the NSA claims through the
Independent Dispute Resolution process," stated Tom Vo, M.D., MBA, Chairman and Chief Executive
Officer of Nutex Health.
"Nutex Health has generated net cash from operations and has had
positive Adjusted EBITDA for multiple consecutive quarters while
growing organically with the opening of five new micro hospitals
and growing our population health division in the past 18 months.
We believe our balance sheet is strong, with $30.0 million in cash and only $26.3 million in long-term debt," stated
Warren Hosseinion, M.D., President
of Nutex Health.
For more details on the Company's First Quarter 2024 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.
|
|
CONDENSED
CONSOLIDATED BALANCE SHEETS
|
|
(Unaudited)
|
|
|
|
March 31, 2024
|
|
December 31, 2023
|
|
Assets
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
30,006,419
|
|
$
|
22,002,056
|
|
Accounts
receivable
|
|
|
61,533,245
|
|
|
58,624,301
|
|
Accounts receivable -
related parties
|
|
|
4,213,847
|
|
|
4,152,068
|
|
Inventories
|
|
|
2,975,486
|
|
|
3,390,584
|
|
Prepaid expenses and
other current assets
|
|
|
1,629,346
|
|
|
2,679,394
|
|
Total current
assets
|
|
|
100,358,343
|
|
|
90,848,403
|
|
Property and equipment,
net
|
|
|
80,570,705
|
|
|
81,387,649
|
|
Operating right-of-use
assets
|
|
|
11,580,253
|
|
|
11,853,082
|
|
Finance right-of-use
assets
|
|
|
173,920,659
|
|
|
176,146,329
|
|
Intangible assets,
net
|
|
|
20,102,371
|
|
|
20,512,636
|
|
Goodwill,
net
|
|
|
17,066,263
|
|
|
17,066,263
|
|
Other assets
|
|
|
685,260
|
|
|
431,135
|
|
|
|
|
|
|
|
|
Total assets
|
|
$
|
404,283,854
|
|
$
|
398,245,497
|
|
|
|
|
|
|
|
|
Liabilities and Equity
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
Accounts
payable
|
|
$
|
17,217,905
|
|
$
|
18,899,196
|
|
Accounts payable -
related parties
|
|
|
6,856,962
|
|
|
6,382,197
|
|
Lines of
credit
|
|
|
2,777,128
|
|
|
3,371,676
|
|
Current portion of
long-term debt
|
|
|
9,388,455
|
|
|
10,808,721
|
|
Operating lease
liabilities, current portion
|
|
|
1,586,904
|
|
|
1,579,987
|
|
Finance lease
liabilities, current portion
|
|
|
4,366,696
|
|
|
4,315,979
|
|
Accrued expenses and
other current liabilities
|
|
|
17,694,134
|
|
|
12,955,296
|
|
Total current
liabilities
|
|
|
59,888,184
|
|
|
58,313,052
|
|
Long-term debt,
net
|
|
|
26,308,017
|
|
|
26,314,733
|
|
Warrant
liability
|
|
|
5,060,810
|
|
|
-
|
|
Operating lease
liabilities, net
|
|
|
15,097,284
|
|
|
15,479,639
|
|
Finance lease
liabilities, net
|
|
|
212,867,062
|
|
|
213,886,213
|
|
Deferred tax
liabilities
|
|
|
5,050,347
|
|
|
5,145,754
|
|
Total
liabilities
|
|
|
324,271,704
|
|
|
319,139,391
|
|
|
|
|
|
|
|
|
Commitments and
contingencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity:
|
|
|
|
|
|
|
|
Common stock, $0.001
par value; 950,000,000 shares authorized; 49,719,375 and
45,111,994 shares issued and outstanding as of
March 31, 2024 and December 31, 2023,
respectively
|
|
|
49,719
|
|
|
45,112
|
|
Additional paid-in
capital
|
|
|
472,405,834
|
|
|
470,480,617
|
|
Accumulated
deficit
|
|
|
(409,436,614)
|
|
|
(409,072,539)
|
|
Nutex Health Inc.
equity
|
|
|
63,018,939
|
|
|
61,453,190
|
|
Noncontrolling
interests
|
|
|
16,993,211
|
|
|
17,652,916
|
|
Total equity
|
|
|
80,012,150
|
|
|
79,106,106
|
|
|
|
|
|
|
|
|
Total liabilities and
equity
|
|
$
|
404,283,854
|
|
$
|
398,245,497
|
|
NUTEX HEALTH
INC.
|
|
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS
|
|
(Unaudited)
|
|
|
|
Three Months Ended
March 31,
|
|
|
2024
|
|
2023
|
|
Revenue:
|
|
|
|
|
|
|
|
Hospital
division
|
|
$
|
60,029,369
|
|
$
|
49,288,164
|
|
Population health
management division
|
|
|
7,424,418
|
|
|
7,041,253
|
|
Total
revenue
|
|
|
67,453,787
|
|
|
56,329,417
|
|
|
|
|
|
|
|
|
Operating costs and
expenses:
|
|
|
|
|
|
|
|
Payroll and
benefits
|
|
|
27,003,144
|
|
|
25,836,673
|
|
Contract
services
|
|
|
11,319,454
|
|
|
9,189,331
|
|
Medical
supplies
|
|
|
5,321,842
|
|
|
4,023,882
|
|
Depreciation and
amortization
|
|
|
4,186,202
|
|
|
3,993,747
|
|
Other
|
|
|
9,465,967
|
|
|
8,438,061
|
|
Total operating
costs and expenses
|
|
|
57,296,609
|
|
|
51,481,694
|
|
|
|
|
|
|
|
|
Gross
profit
|
|
|
10,157,178
|
|
|
4,847,723
|
|
|
|
|
|
|
|
|
Corporate and other
costs:
|
|
|
|
|
|
|
|
Facilities closing
costs
|
|
|
-
|
|
|
217,266
|
|
Stock-based
compensation expense
|
|
|
49,167
|
|
|
1,900,000
|
|
General and
administrative expenses
|
|
|
8,658,410
|
|
|
7,175,544
|
|
Total corporate
and other costs
|
|
|
8,707,577
|
|
|
9,292,810
|
|
|
|
|
|
|
|
|
Operating
income (loss)
|
|
|
1,449,601
|
|
|
(4,445,087)
|
|
|
|
|
|
|
|
|
Interest expense,
net
|
|
|
4,444,362
|
|
|
3,140,089
|
|
Gain on warrant
liability
|
|
|
(2,600,747)
|
|
|
-
|
|
Other (income)
expense
|
|
|
(241,192)
|
|
|
247,455
|
|
Loss before
taxes
|
|
|
(152,822)
|
|
|
(7,832,631)
|
|
|
|
|
|
|
|
|
Income tax expense
(benefit)
|
|
|
389,665
|
|
|
(910,659)
|
|
|
|
|
|
|
|
|
Net loss
|
|
|
(542,487)
|
|
|
(6,921,972)
|
|
|
|
|
|
|
|
|
Less: net loss
attributable to noncontrolling interests
|
|
|
(178,412)
|
|
|
(1,774,693)
|
|
|
|
|
|
|
|
|
Net loss attributable
to Nutex Health Inc.
|
|
$
|
(364,075)
|
|
$
|
(5,147,279)
|
|
|
|
|
|
|
|
|
Loss per common
share:
|
|
|
|
|
|
|
|
Basic
|
|
$
|
(0.01)
|
|
$
|
(0.12)
|
|
Diluted
|
|
$
|
(0.01)
|
|
$
|
(0.12)
|
|
NUTEX HEALTH
INC.
|
|
CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|
(Unaudited)
|
|
|
|
Three Months Ended
March 31,
|
|
|
2024
|
|
2023
|
|
Cash flows from
operating activities:
|
|
|
|
|
|
|
|
Net loss
|
|
$
|
(542,487)
|
|
$
|
(6,921,972)
|
|
Adjustments to
reconcile net loss to net cash from operating
activities:
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
4,186,202
|
|
|
3,993,747
|
|
Gain on warrant
liability
|
|
|
(2,600,747)
|
|
|
-
|
|
Amortization of debt
issuance costs
|
|
|
-
|
|
|
6,738
|
|
Stock-based
compensation expense
|
|
|
49,167
|
|
|
1,900,000
|
|
Deferred tax
benefit
|
|
|
(95,407)
|
|
|
(910,659)
|
|
Debt accretion
expense
|
|
|
365,104
|
|
|
-
|
|
Loss on lease
termination
|
|
|
-
|
|
|
58,211
|
|
Non-cash lease expense
(income)
|
|
|
(102,609)
|
|
|
40,545
|
|
Changes in operating
assets and liabilities, net of the effects of
acquisitions:
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
(2,908,944)
|
|
|
6,620,249
|
|
Accounts
receivable - related party
|
|
|
(61,779)
|
|
|
(100)
|
|
Inventories
|
|
|
415,098
|
|
|
47,840
|
|
Prepaid
expenses and other current assets
|
|
|
795,923
|
|
|
1,040,753
|
|
Accounts
payable
|
|
|
(1,681,291)
|
|
|
(8,565,577)
|
|
Accounts
payable - related party
|
|
|
474,765
|
|
|
9,636
|
|
Accrued
expenses and other current liabilities
|
|
|
4,757,864
|
|
|
3,732,602
|
|
Net cash from
operating activities
|
|
|
3,050,859
|
|
|
1,052,013
|
|
|
|
|
|
|
|
|
Cash flows from
investing activities:
|
|
|
|
|
|
|
|
Acquisitions of
property and equipment
|
|
|
(733,323)
|
|
|
(4,376,983)
|
|
Cash related to
deconsolidation of Real Estate Entities
|
|
|
-
|
|
|
(1,039,157)
|
|
Net cash from
investing activities
|
|
|
(733,323)
|
|
|
(5,416,140)
|
|
|
|
|
|
|
|
|
Cash flows from
financing activities:
|
|
|
|
|
|
|
|
Proceeds from lines of
credit
|
|
|
-
|
|
|
49,414
|
|
Proceeds from notes
payable
|
|
|
2,915,000
|
|
|
7,551,506
|
|
Repayments of lines of
credit
|
|
|
(594,548)
|
|
|
-
|
|
Repayments of notes
payable
|
|
|
(4,386,398)
|
|
|
(2,209,678)
|
|
Repayments of finance
leases
|
|
|
(968,434)
|
|
|
(936,703)
|
|
Proceeds from common
stock issuance, net issuance costs
|
|
|
9,202,500
|
|
|
-
|
|
Members'
contributions
|
|
|
-
|
|
|
28,000
|
|
Members'
distributions
|
|
|
(481,293)
|
|
|
(1,537,141)
|
|
Net cash from
financing activities
|
|
|
5,686,827
|
|
|
2,945,398
|
|
Net change in cash and
cash equivalents
|
|
|
8,004,363
|
|
|
(1,418,729)
|
|
Cash and cash
equivalents - beginning of the period
|
|
|
22,002,056
|
|
|
34,255,264
|
|
Cash and cash
equivalents - end of the period
|
|
$
|
30,006,419
|
|
$
|
32,836,535
|
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, any
acquisition-related costs and impairments. A reconciliation of net
income to EBITDA and Adjusted EBITDA is included below. EBITDA and
Adjusted EBITDA are 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,
|
|
|
2024
|
|
2023
|
|
Reconciliation of net
loss attributable to Nutex Health Inc. to Adjusted
EBITDA:
|
|
|
|
|
|
|
|
Net loss attributable
to Nutex Health Inc.
|
|
$
|
(364,075)
|
|
$
|
(5,147,279)
|
|
Depreciation and
amortization
|
|
|
4,186,202
|
|
|
3,993,747
|
|
Interest expense,
net
|
|
|
4,444,362
|
|
|
3,140,089
|
|
Income tax expense
(benefit)
|
|
|
389,665
|
|
|
(910,659)
|
|
Allocation to
noncontrolling interests
|
|
|
(1,544,173)
|
|
|
(755,310)
|
|
EBITDA
|
|
|
7,111,981
|
|
|
320,588
|
|
Facilities closing
costs
|
|
|
-
|
|
|
217,266
|
|
Gain on warrant
liability
|
|
|
(2,600,747)
|
|
|
-
|
|
Stock-based
compensation expense
|
|
|
49,167
|
|
|
1,900,000
|
|
Adjusted
EBITDA
|
|
$
|
4,560,401
|
|
$
|
2,437,854
|
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 21 facilities in nine 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. Our
cloud-based proprietary technology platform aggregates clinical and
claims data across multiple settings, information systems and
sources to create a holistic view of patients and providers,
allowing us to deliver greater quality care more
efficiently.
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, 2023 under
the heading "Risk Factors" in Part I, 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.
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content:https://www.prnewswire.com/news-releases/nutex-health-reports-first-quarter-2024-financial-results-302140557.html
SOURCE Nutex Health, Inc.