NASDAQ$MODVQ

Modivcare Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Reported a slight revenue increase and a net loss, influenced by increased interest expenses and debt extinguishment costs.

Modivcare's Q3 2024 results showed a 2.2% increase in service revenue to $702.0 million. However, the company reported a net loss of $26.6 million, or negative $1.87 per diluted common share, due to increased interest expense and a loss on debt extinguishment. Adjusted EBITDA was $43.2 million, with adjusted EPS at $0.45. The company is focused on cost savings and growth in its personal care services and remote patient monitoring segments and has affirmed its 2024 guidance.

  • Service revenue increased by 2.2% year-over-year to $702.0 million.
  • Net loss was $26.6 million, or negative $1.87 per diluted common share.
  • Adjusted EBITDA was $43.2 million, with adjusted EPS at $0.45 per diluted common share.
  • The company proactively amended its credit agreement, securing temporary relief on debt covenants.

Headline financials

Total Revenue

$702M

Previous: $687M+2.2%
EPS

-$1.87

Previous: $1.44-229.9%
Adjusted EBITDA Margin

6.2%

No prior period
Capital Expenditures

-$22.3M

Previous: -$31.1M+28.5%
Free Cash Flow

-$58.7M

Previous: -$88.5M+33.6%
Net Income

-$26.6M

Previous: -$4.3M-518.4%
Operating Income

$5.26M

Previous: $12M-56.3%
Gross Profit

$104M

Previous: $108M-3.3%
Cash & Equivalents

$48.3M

Previous: $8.07M+499.0%
Total Assets

$1.65B

Previous: $1.76B-6.3%
Stock-Based Comp

$530K

Previous: $1.74M-69.6%

Revenue & EPS history

Modivcare · Revenue · Quarterly

$702M

Q3 2024+2.2%vs Q3 2023
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Forward guidance

Modivcare affirms its revenue guidance of $2.7 billion to $2.9 billion and adjusted EBITDA guidance of $170 million to $180 million for fiscal year 2024. The company anticipates Adjusted EBITDA growth in excess of 10% in 2025, based on current 2024 guidance.

Tailwinds

  • Revenue guidance affirmed between $2.7 billion and $2.9 billion.
  • Adjusted EBITDA guidance affirmed between $170 million and $180 million.
  • Expecting Adjusted EBITDA growth in excess of 10% in 2025.
  • Strategic initiatives are driving substantial cost savings in the NEMT segment.
  • Personal care services segment is steadily growing with improving margins.

Headwinds

  • Guidance excludes the effects of any future merger, acquisition or disposition activity.
  • Guidance is based on the current operating environment.
  • The broader healthcare market is experiencing shifts.
  • Company is working toward a long-term solution for debt covenants.
  • Company need to thoughtfully and strategically assess the best approach to de-lever the balance sheet and optimize value for stakeholders.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 6 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

+0.1%

Avg return

Earnings day

-10.6%

Avg return

5 days after

+29.9%

Avg return

30 days after

53%

33 / 62 earnings

Positive

+21.0%

Q1 2024

Best reaction

-41.0%

Q4 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2025
Q2 2025
Q1 2025-11.4%-26.5%+198.5%
Q4 2024-22.5%-35.9%-68.1%
Q3 2024+10.6%-0.7%+11.3%
Q2 2024+15.8%+18.8%+59.8%
Q1 2024+21.0%+18.5%+23.0%
Q4 2023-41.0%-37.7%-44.9%
Q3 2023+14.5%
Q2 2023-4.4%
Q1 2023-21.6%
Q4 2022-1.6%
Q3 2022-5.9%
Q2 2022+2.0%
Q1 2022-7.2%
Q4 2021+16.5%
Q3 2021-8.8%
Q2 2021-1.2%
Q1 2021+2.0%
Q4 2020-15.4%
Q3 2020+4.1%
Q2 2020+8.8%
Q1 2020+7.9%
Q4 2019-9.2%
Q3 2019+5.2%
Q2 2019+2.6%
Q1 2019+2.3%
Q4 2018+0.1%
Q3 2018+11.4%
Q2 2018-9.3%
Q1 2018-6.3%
Q4 2017+7.6%
Q3 2017+5.2%
Q2 2017+0.0%
Q1 2017+10.3%
Q4 2016+8.8%
Q3 2016-7.0%
Q2 2016-1.7%
Q1 2016-0.8%
Q4 2015+16.3%
Q3 2015-14.6%
Q2 2015-0.8%
Q1 2015+12.2%
Q4 2014+9.9%
Q3 2014-11.3%
Q2 2014+17.8%
Q1 2014-2.7%
Q4 2013-10.4%
Q3 2013-11.7%
Q2 2013+0.7%
Q1 2013+6.7%
Q4 2012+5.1%
Q3 2012+16.4%
Q2 2012-14.7%
Q1 2011-0.9%
Q1 2012+0.6%
Q4 2009-2.2%
Q4 2011-2.2%
Q3 2010-2.3%
Q3 2011-2.3%
Q2 2011+4.3%
Q2 2010+4.3%
Q4 2010+4.3%
Q1 2010+1.4%

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