NASDAQ$RDNT

Radnet Inc · Q1 2020 earnings

Q1 2020 earnings · · Investor relations

Briefing

RadNet reported financial results for the first quarter of 2020, demonstrating resilience through cost savings and cash conservation measures.

RadNet reported Q1 2020 financial results, including revenue of $281.6 million and a net loss of $16.4 million. The company implemented cost-saving measures, including facility rental restructuring, staff furloughs, and vendor payment adjustments, resulting in a strong liquidity position with approximately $50 million in cash as of April 30th and being undrawn on their revolving credit facility.

  • RadNet reported revenue of $281.6 million and a net loss of $16.4 million for the first quarter of 2020.
  • Aggressive cost-saving measures were implemented, including facility consolidation, staff furloughs, and vendor payment restructuring.
  • The company received almost $15 million under the CARES Act and almost $40 million of accelerated Medicare advance payments from CMS.
  • Procedural volumes experienced a low point in mid-April, down over 75% from the original 2020 budget, but have begun to increase as states permit non-emergent healthcare procedures.

Headline financials

Total Revenue

$282M

Previous: $272M+3.7%
EPS (adj)

-$0.33

Previous: -$0.08-312.5%
Imaging Centers Operated

335

No prior period
Capital Expenditures

-$55.8M

Previous: -$32.9M-69.5%
Free Cash Flow

-$72.2M

Previous: -$36.7M-96.9%
Net Income

-$16.4M

Previous: -$3.73M-338.2%
Operating Income

-$8.78M

Previous: $7.27M-220.7%
Gross Profit

$14.1M

Previous: $28.5M-50.3%
Cash & Equivalents

$94.3M

Previous: $10.4M+804.1%
Total Assets

$1.7B

Previous: $1.53B+11.4%
Stock-Based Comp

$6.62M

Previous: $4.54M+45.9%

Revenue & EPS history

Radnet · Revenue · Quarterly

$282M

Q1 2020+3.7%vs Q1 2019
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Forward guidance

RadNet anticipates little to no cash burn through the end of the second quarter and expects to be undrawn on their revolving credit facility with a strong cash balance at year-end, based on current volumes and projected recovery.

Tailwinds

  • Expense and cash conservation initiatives are expected to support financial stability.
  • The company anticipates little to no cash burn through the end of the second quarter.
  • Expectation to be undrawn on the revolving credit facility.
  • Strong cash balance is expected at year-end.
  • Potential M&A and expansion opportunities are emerging due to Covid-19 pressures.

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2020

Historical avgQ1 2020

+0.8%

Avg return

Earnings day

+0.3%

Avg return

5 days after

+4.8%

Avg return

30 days after

51%

33 / 65 earnings

Positive

+22.5%

Q4 2020

Best reaction

-17.3%

Q1 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-4.1%-10.1%-0.1%
Q4 2025+7.7%-13.1%-20.8%
Q3 2025+3.4%-4.0%-1.5%
Q1 2025+2.5%+9.7%+6.4%
Q4 2024-3.7%-7.8%-14.2%
Q3 2024+19.1%+9.7%+8.8%
Q2 2024+3.7%+3.6%+5.0%
Q1 2024+2.1%+6.2%+16.7%
Q4 2023+18.2%+26.4%+29.7%
Q3 2023+0.1%-2.1%+23.0%
Q2 2023+0.6%-0.3%-5.0%
Q1 2023-1.7%-6.2%+10.1%
Q4 2022+10.8%+19.1%+16.3%
Q3 2022-5.3%-4.6%+16.7%
Q2 2022+3.5%+5.4%-2.0%
Q1 2022-5.9%-5.9%+4.9%
Q4 2021-7.1%-7.6%-9.3%
Q3 2021-8.2%-9.0%-17.5%
Q2 2021-11.7%-19.9%-21.0%
Q1 2021+3.0%+1.1%+42.5%
Q4 2020+22.5%+26.2%+15.0%
Q3 2020+13.9%+11.0%+17.6%
Q2 2020-1.1%-2.8%-12.6%
Q1 2020+4.6%+3.7%+18.8%
Q4 2019-14.2%-46.9%-32.9%
Q3 2019-2.0%+11.5%+22.4%
Q2 2019+3.1%+3.6%-4.8%
Q1 2019+4.1%+4.3%-1.2%
Q4 2018+9.8%+2.4%-5.7%
Q3 2018-7.1%-14.2%-16.9%
Q2 2018+1.1%+1.1%-1.8%
Q1 2018-2.6%-2.6%-3.0%
Q4 2017+14.0%+22.2%+39.1%
Q3 2017-3.4%-5.3%-6.8%
Q2 2017-1.2%-1.2%+37.9%
Q1 2017+1.6%+8.7%+22.2%
Q4 2016-6.1%-1.7%+2.6%
Q3 2016-2.2%-2.9%-8.1%
Q2 2016+4.4%+5.2%+17.1%
Q1 2016-6.7%
Q4 2015-15.0%
Q3 2015-0.8%
Q2 2015+12.3%
Q1 2015-17.3%
Q4 2014-12.1%
Q3 2014-12.4%
Q2 2014+21.3%
Q1 2014+22.2%
Q4 2013+20.1%
Q3 2013-10.2%
Q2 2013-5.1%
Q1 2013-8.4%
Q4 2012+3.6%
Q3 2012-10.3%
Q2 2012+4.1%
Q1 2011+1.0%
Q1 2012+1.0%
Q4 2011-2.7%
Q4 2009-2.7%
Q3 2010-11.6%
Q3 2011-11.6%
Q4 2010+10.5%
Q2 2010+10.5%
Q2 2011+10.5%
Q1 2010-2.7%

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