Quipt Home Medical Reports First Quarter Fiscal Year 2025 Financial Results
Quipt Home Medical (NASDAQ: QIPT) reported Q1 2025 financial results with revenue of $61.4 million, down 2% from Q1 2024's $62.6 million. The company faced challenges including the discontinuation of Medicare 75/25 blended rate, withdrawal of Medicare Advantage members, and non-renewal of a disposable supply contract, with a cumulative annual impact of approximately $8.0 million.
Key metrics include: net loss improvement to ($1.1) million or ($0.03) per share, operating cash flow of $9.3 million, and Adjusted EBITDA of $14.0 million (22.8% of revenue). The company maintains strong recurring revenue at 77% of total revenue and serves approximately 157,000 unique patients, a 1% year-over-year increase.
The company completed 221,000 unique set-ups/deliveries in Q1 2025, up 3% from Q1 2024, with 124,000 respiratory resupply set-ups/deliveries. Quipt operates across 140+ locations with approximately 36,000 referring physicians.
Quipt Home Medical (NASDAQ: QIPT) ha riportato i risultati finanziari del primo trimestre del 2025 con ricavi di 61,4 milioni di dollari, in calo del 2% rispetto ai 62,6 milioni di dollari del primo trimestre del 2024. L'azienda ha affrontato sfide tra cui la cessazione della tariffa mista Medicare 75/25, il ritiro dei membri di Medicare Advantage e la mancata rinnovazione di un contratto per forniture monouso, con un impatto annuale cumulativo di circa 8,0 milioni di dollari.
I principali indicatori includono: miglioramento della perdita netta a ($1,1) milioni o ($0,03) per azione, flusso di cassa operativo di 9,3 milioni di dollari e EBITDA rettificato di 14,0 milioni di dollari (22,8% dei ricavi). L'azienda mantiene una forte entrata ricorrente pari al 77% del fatturato totale e serve circa 157.000 pazienti unici, con un incremento dell'1% rispetto all'anno precedente.
L'azienda ha completato 221.000 impegni/consegne uniche nel primo trimestre del 2025, in aumento del 3% rispetto al primo trimestre del 2024, con 124.000 impegni/consegne di rifornimento respiratorio. Quipt opera in oltre 140 località con circa 36.000 medici di riferimento.
Quipt Home Medical (NASDAQ: QIPT) reportó los resultados financieros del primer trimestre de 2025 con ingresos de $61.4 millones, una disminución del 2% en comparación con los $62.6 millones del primer trimestre de 2024. La empresa enfrentó desafíos que incluyen la descontinuación de la tarifa mixta de Medicare 75/25, la retirada de miembros de Medicare Advantage y la no renovación de un contrato de suministros desechables, con un impacto anual acumulativo de aproximadamente $8.0 millones.
Las métricas clave incluyen: mejora en la pérdida neta a ($1.1) millones o ($0.03) por acción, flujo de caja operativo de $9.3 millones y EBITDA ajustado de $14.0 millones (22.8% de los ingresos). La empresa mantiene un fuerte ingreso recurrente, representando el 77% de los ingresos totales y atiende a aproximadamente 157,000 pacientes únicos, un aumento del 1% interanual.
La empresa completó 221,000 instalaciones/entregas únicas en el primer trimestre de 2025, un aumento del 3% en comparación con el primer trimestre de 2024, con 124,000 instalaciones/entregas de reabastecimiento respiratorio. Quipt opera en más de 140 ubicaciones con aproximadamente 36,000 médicos referidores.
Quipt Home Medical (NASDAQ: QIPT)는 2025년 1분기 재무 실적을 발표했으며, 매출은 6140만 달러로 2024년 1분기 6260만 달러보다 2% 감소했습니다. 이 회사는 Medicare 75/25 혼합 요금의 중단, Medicare Advantage 회원의 탈퇴, 일회용 공급 계약의 미갱신 등 여러 어려움에 직면했으며, 연간 누적 영향은 약 800만 달러에 달합니다.
주요 지표로는 순손실 개선이 ($110만) 또는 주당 ($0.03)으로, 운영 현금 흐름이 930만 달러, 조정된 EBITDA가 1400만 달러 (매출의 22.8%)입니다. 팀사는 전체 매출의 77%에 달하는 강력한 반복 수익을 유지하며, 약 157,000명의 고유 환자를 제공하고 있습니다. 이는 전년 대비 1% 증가한 수치입니다.
회사는 2025년 1분기에 221,000개의 고유 설치/배송을 완료했으며, 이는 2024년 1분기보다 3% 증가한 수치로, 124,000개의 호흡기 재공급 설치/배송이 포함됩니다. Quipt는 약 36,000명의 의뢰 의사가 있는 140개 이상의 위치에서 운영되고 있습니다.
Quipt Home Medical (NASDAQ: QIPT) a annoncé les résultats financiers du premier trimestre 2025 avec des revenus de 61,4 millions de dollars, en baisse de 2% par rapport aux 62,6 millions de dollars du premier trimestre 2024. L'entreprise a rencontré des défis, notamment l'arrêt du taux mixte Medicare 75/25, le retrait des membres de Medicare Advantage et la non-renouvellement d'un contrat pour des fournitures jetables, avec un impact annuel cumulé d'environ 8 millions de dollars.
Les indicateurs clés comprennent : une amélioration de la perte nette à ($1,1) million ou ($0,03) par action, un flux de trésorerie d'exploitation de 9,3 millions de dollars et un EBITDA ajusté de 14 millions de dollars (22,8% des revenus). L'entreprise maintient un revenu récurrent solide représentant 77% du chiffre d'affaires total et sert environ 157 000 patients uniques, soit une augmentation de 1% par rapport à l'année précédente.
L'entreprise a réalisé 221 000 installations/livraisons uniques au premier trimestre 2025, en hausse de 3% par rapport au premier trimestre 2024, incluant 124 000 installations/livraisons de réapprovisionnement respiratoire. Quipt opère dans plus de 140 sites avec environ 36 000 médecins référents.
Quipt Home Medical (NASDAQ: QIPT) berichtete über die finanziellen Ergebnisse des ersten Quartals 2025 mit einem Umsatz von 61,4 Millionen Dollar, was einem Rückgang von 2% im Vergleich zu 62,6 Millionen Dollar im ersten Quartal 2024 entspricht. Das Unternehmen sah sich Herausforderungen gegenüber, darunter die Einstellung des Medicare 75/25 Mischsatzes, den Rückzug von Medicare Advantage-Mitgliedern und die Nichtverlängerung eines Vertrages für Einwegartikel, mit einem kumulierten jährlichen Einfluss von etwa 8,0 Millionen Dollar.
Zu den wichtigen Kennzahlen gehören: Verbesserung des Nettoverlusts auf ($1,1) Millionen oder ($0,03) pro Aktie, operativer Cashflow von 9,3 Millionen Dollar und bereinigtes EBITDA von 14,0 Millionen Dollar (22,8% des Umsatzes). Das Unternehmen hält eine starke wiederkehrende Einnahme von 77% des Gesamteinkommens und betreut etwa 157.000 einzigartige Patienten, was einem Anstieg von 1% im Vergleich zum Vorjahr entspricht.
Das Unternehmen hat im ersten Quartal 2025 insgesamt 221.000 einzigartige Aufstellungen/Lieferungen abgeschlossen, was einem Anstieg von 3% im Vergleich zum ersten Quartal 2024 entspricht, einschließlich 124.000 Aufstellungen/Lieferungen zur Atemgeräteversorgung. Quipt ist an über 140 Standorten mit etwa 36.000 überweisenden Ärzten tätig.
- Net loss improved to ($1.1M) from ($1.5M) in Q1 2024
- Strong operating cash flow of $9.3M
- Adjusted EBITDA increased 4.5% sequentially to $14.0M
- 3% increase in unique set-ups/deliveries to 221,000
- Conservative balance sheet with Net Debt to Adjusted EBITDA Leverage Ratio of 1.5
- Revenue decreased 2% year-over-year to $61.4M
- Discontinuation of Medicare 75/25 blended rate affecting revenue
- Loss of Medicare Advantage members in certain regions
- Non-renewal of disposable supply contract with $8.0M annual impact
- Adjusted EBITDA declined 8.7% year-over-year
Insights
The Q1 FY2025 results reveal a company navigating significant regulatory and operational challenges while maintaining financial stability. The $61.4M revenue represents a
The operational metrics tell a compelling story of resilience and efficiency. The
The company's financial position remains solid with
Key operational metrics show modest growth with a
Posts Strong Sequential Improvement in Adjusted EBITDA
CINCINNATI, Feb. 10, 2025 (GLOBE NEWSWIRE) -- Quipt Home Medical Corp. (“Quipt” or the “Company”) (NASDAQ: QIPT; TSX: QIPT), a U.S. based home medical equipment provider, focused on end-to-end respiratory care, today announced its first quarter fiscal year 2025 financial results and operational highlights. These results pertain to the three months ended December 31, 2024 and are reported in U.S. Dollars.
Conference Call
Quipt will host its Earnings Conference Call on Tuesday, February 11, 2025 at 10:00 a.m. (ET). Interested parties may participate in the call by dialing 1 (844) 763-8274 or 1 (647) 484-8814.
A live webcast of the call will be accessible via the Company’s website at https://quipthomemedical.com/investors/events-presentations/, which will be available on the Company’s website for at least the first year following the event.
Financial Highlights:
- Revenue for Q1 2025 was
$61.4 million compared to$62.6 million for Q1 2024, representing a2% decrease. Revenue for Q1 2025 was flat compared to Q4 2024.- The Medicare 75/25 blended rate, which had been providing rate relief for certain geographies, was discontinued as of January 1, 2024. Although this change is still under legislative review, and could return, its immediate cessation had a negative impact on our revenue and operating results. Moreover, in certain regions, we also experienced the withdrawal of Medicare Advantage members due to a capitated agreement engaged with other providers in the industry. In November 2024, a disposable supply contract was not renewed. The cumulative annual impact of these three events is estimated to be approximately
$8.0 million , with a reduction of approximately$1.5 million for the three months ended December 31, 2024 as compared to the three months ended December 31, 2023.
- The Medicare 75/25 blended rate, which had been providing rate relief for certain geographies, was discontinued as of January 1, 2024. Although this change is still under legislative review, and could return, its immediate cessation had a negative impact on our revenue and operating results. Moreover, in certain regions, we also experienced the withdrawal of Medicare Advantage members due to a capitated agreement engaged with other providers in the industry. In November 2024, a disposable supply contract was not renewed. The cumulative annual impact of these three events is estimated to be approximately
- Net income (loss) improved for Q1 2025 to (
$1.1) million , or ($0.03) per diluted share, compared to ($1.5) million , or ($0.04) per diluted share for Q1 2024. - Cash flow from operations was
$9.3 million for Q1 2025, compared to$10.6 million for Q1 2024. - The Company reported
$15.5 million of cash on hand as of December 31, 2024, compared to$16.2 million as of September 30, 2024. Total credit availability of$32.4 million as of December 31, 2024, with$11.4 million available towards a revolving credit facility and$21 million available pursuant to a delayed-draw term loan facility. - Recurring Revenue1 for Q1 2025 continues to be strong at
77% of total revenue. - Adjusted EBITDA1 for Q1 2025 was
$14.0 million (22.8% of revenue) compared to$15.3 million (24.5% of revenue) for Q1 2024, representing an8.7% decrease. Adjusted EBITDA1 sequentially increased by4.5% from Q4 2024, in which the Company reported Adjusted EBITDA1 of$13.4 million (21.8% of revenue). - The Company maintains a conservative balance sheet with Net Debt to Adjusted EBITDA Leverage Ratio1 of 1.5.
Operational Highlights:
- The Company’s customer base increased
1% year over year to approximately 157,000 unique patients served in Q1 2025 from approximately 155,000 unique patients in Q1 2024. - Compared to approximately 215,000 unique set-ups/deliveries in Q1 2024, the Company completed approximately 221,000 unique set-ups/deliveries in Q1 2025, an increase of
3% . This includes approximately 124,000 respiratory resupply set-ups/deliveries for Q1 2025, compared to approximately 123,000 for Q1 2024, an increase of1% , which the Company credits to its continued use of technology and centralized intake processes. - The Company’s resupply program is a major proponent of the
77% Recurring Revenue1 base as the Company has significantly scaled, now representing48% of the Recurring Revenue mix, driving higher margin revenue, and now consists of 174,000 patients for the twelve months ended December 31, 2024, compared to 172,000 patients for the twelve months ended September 30, 2024. - Consistent demand and referral patterns across all major product categories.
- The Company has approximately 36,000 referring physicians, and over 140 locations.
1 Non-GAAP financial measure or ratio. See “Non-GAAP Financial Measures” below for additional information.
Management Commentary
“Our fiscal first quarter results reflect the tangible progress we've made in strengthening our operations and positioning the business for long-term growth,” said Gregory Crawford, Chairman and Chief Executive Officer of Quipt. “Our priorities for the fiscal year ending September 30, 2025 and beyond are driving organic revenue growth, achieving operational net profit, generating positive cash flow, and expanding Adjusted EBITDA1. We are focused on expanding our presence in both existing and new markets and leveraging our scalable business platform to broaden our product offerings and service reach. To support these objectives, we continue to optimize our organizational structure, enhancing operational efficiencies by reducing redundancies, and centralizing back-office processes. These measures are streamlining operations, improving scalability, and positioning the business for sustainable long-term growth. Furthermore, we remain committed to exploring and pursing all avenues to drive shareholder value.”
“Our financial results highlight the operational enhancements we have made as we continue to optimize our cost structure,” said Hardik Mehta, Chief Financial Officer of Quipt. “These enhancements are enabling us to operate more efficiently while maintaining our commitment to high-quality patient care. As we continue to execute our strategic growth plans, we expect this operational discipline to support strong margin performance throughout the year. As we look ahead, our balance sheet flexibility and disciplined financial management position us to drive a return towards historical organic growth in calendar 2025 and build long-term shareholder value.”
ABOUT QUIPT HOME MEDICAL CORP.
The Company provides in-home monitoring and disease management services including end-to-end respiratory solutions for patients in the United States healthcare market. It seeks to continue to expand its offerings to include the management of several chronic disease states focusing on patients with heart or pulmonary disease, sleep disorders, reduced mobility, and other chronic health conditions. The primary business objective of the Company is to create shareholder value by offering a broader range of services to patients in need of in-home monitoring and chronic disease management. The Company’s organic growth strategy is to increase annual revenue per patient by offering multiple services to the same patient, consolidating the patient’s services, and making life easier for the patient.
Forward-Looking Statements
Certain statements contained in this press release constitute “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 or “forward-looking information” as such term is defined in applicable Canadian securities legislation (collectively, “forward-looking statements”). The words “may”, “would”, “could”, “should”, "potential”, "will”, "seek”, "intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect”, “outlook”, or the negatives thereof or variations of such words, and similar expressions as they relate to the Company, including: the Company anticipating strong margin performance throughout the year and a return to historical organic growth levels in calendar 2025; are intended to identify forward-looking information. All statements other than statements of historical fact, including those that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance are not historical facts and may be forward-looking statements and may involve estimates, assumptions and uncertainties that could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. Such statements reflect the Company's current views and intentions with respect to future events, and current information available to the Company, and are subject to certain risks, uncertainties and assumptions, including, without limitation: the Company successfully identifying, negotiating and completing additional acquisitions; operating and other financial metrics maintaining their current trajectories, the Company not being impacted by any further external and unique events like the Medicare 75/25 rate cut and the Change Healthcare cybersecurity incident for the remainder of the calendar year and in 2025; and the Company not being subject to a material change to it cost structure. Many factors could cause the actual results, performance or achievements that may be expressed or implied by such forward-looking statements to vary from those described herein should one or more of these risks or uncertainties materialize. Examples of such risk factors include, without limitation: risks related to credit, market (including equity, commodity, foreign exchange and interest rate), liquidity, operational (including technology and infrastructure), reputational, insurance, strategic, regulatory, legal, environmental, and capital adequacy; the general business and economic conditions in the regions in which the Company operates; the ability of the Company to execute on key priorities, including the successful completion of acquisitions, business retention, and strategic plans and to attract, develop and retain key executives; difficulty integrating newly acquired businesses; the ability to implement business strategies and pursue business opportunities; low profit market segments; disruptions in or attacks (including cyber-attacks) on the Company's information technology, internet, network access or other voice or data communications systems or services; the evolution of various types of fraud or other criminal behavior to which the Company is exposed; the failure of third parties to comply with their obligations to the Company or its affiliates; the impact of new and changes to, or application of, current laws and regulations; decline of reimbursement rates; dependence on few payors; possible new drug discoveries; a novel business model; dependence on key suppliers; granting of permits and licenses in a highly regulated business; legal proceedings and litigation, including as it relates to the civil investigative demand (“CID”) received from the Department of Justice; increased competition; changes in foreign currency rates; increased funding costs and market volatility due to market illiquidity and competition for funding; the availability of funds and resources to pursue operations; critical accounting estimates and changes to accounting standards, policies, and methods used by the Company; the Company’s status as an emerging growth company and a smaller reporting company; the occurrence of natural and unnatural catastrophic events or health epidemics or concerns; as well as those risk factors discussed or referred to in the Company’s disclosure documents filed with United States Securities and Exchange Commission and available at www.sec.gov, including the Company’s most recent Annual Report on Form 10-K, and with the securities regulatory authorities in certain provinces of Canada and available at www.sedarplus.com. Should any factor affect the Company in an unexpected manner, or should assumptions underlying the forward-looking statement prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward-looking statements are expressly qualified in their entirety by this cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or completeness of such forward-looking statements. The forward-looking statements included in this press release is made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking statements, other than as required by applicable law.
Non-GAAP Financial Measures
This press release refers to “Adjusted EBITDA”, “Recurring Revenue,” and “Net Debt to Adjusted EBITDA Leverage Ratio”, which are non-GAAP financial measures that do not have standardized meanings prescribed by generally accepted accounting principles in the United States (“GAAP”). The Company’s presentation of these financial measures may not be comparable to similarly titled measures used by other companies. These financial measures are intended to provide additional information to investors concerning the Company’s performance.
Adjusted EBITDA is calculated as net loss, and adding back depreciation and amortization, right-of-use operating lease amortization and interest, interest expense, net, provision (benefit) for income taxes, professional fees related to CID and loss of foreign private issuer status, stock-based compensation, acquisition-related costs, loss (gain) on foreign currency transactions, change in fair value of derivative liability – interest rate swaps, and share of loss in equity method investment. The following table shows our non-GAAP measure, Adjusted EBITDA, reconciled to our GAAP net loss for the following indicated periods (in $millions):
| For the three | For the three | ||||
| months ended | months ended | ||||
| December 31, 2024 | December 31, 2023 | ||||
| Net loss | $ | (1.1) | $ | (1.5) | |
| Add back: | |||||
| Depreciation and amortization | 11.0 | 11.2 | |||
| Right-of-use operating lease amortization and interest | 1.5 | 1.5 | |||
| Interest expense, net | 1.6 | 1.6 | |||
| Provision for income taxes | — | 0.2 | |||
| Professional fees related to CID | 0.4 | 0.4 | |||
| Professional fees related to loss of foreign private issuer status | 0.4 | — | |||
| Stock-based compensation | 0.2 | 1.0 | |||
| Acquisition-related costs | — | 0.2 | |||
| Change in fair value of derivative liability - interest rate swaps | (1.0) | 0.9 | |||
| Loss (gain) on foreign currency transactions | 0.9 | (0.3) | |||
| Share of loss in equity method investment | 0.1 | 0.1 | |||
| Adjusted EBITDA | $ | 14.0 | $ | 15.3 | |
Recurring Revenue for Q1 2025 is calculated as rentals of medical equipment of
Net Debt to Adjusted EBITDA Leverage Ratio is calculated as Net Debt, divided by (Adjusted EBITDA for Q4 times four), and is reconciled as follows (in $millions):
| As of and for the three months ended ended December 31, 2024 | ||
| Senior credit facility, principal | $ | 70.6 |
| Equipment loans | 12.4 | |
| Lease liabilities | 19.0 | |
| Cash | (15.5) | |
| Net Debt | 86.5 | |
| Adjusted EBITDA for Q4 times four | $ | 56.0 |
| Net Debt to Adjusted EBITDA Leverage Ratio | 1.5x | |
For further information please visit our website at www.Quipthomemedical.com, or contact:
Cole Stevens
VP of Corporate Development
Quipt Home Medical Corp.
859-300-6455
cole.stevens@myquipt.com
Gregory Crawford
Chief Executive Officer
Quipt Home Medical Corp.
859-300-6455
investorinfo@myquipt.com
FAQ
What was Quipt Home Medical's (QIPT) revenue in Q1 2025?
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