NUTX

HOUSTON, Aug. 31, 2026 /PRNewswire/ -- Nutex Health Inc. ("Nutex Health" or the "Company") (NASDAQ: NUTX), a physician-led, integrated healthcare delivery system comprised of 28 state-of-the-art micro hospitals and hospital outpatient departments in 12 states and primary care-centric, risk-bearing physician networks, today announced the awards and honors earned by its hospitals during the second quarter of 2026. Nutex Health hospitals have long served as trusted health care providers in their communities. The recognition reflects the organization's commitment to delivering high-quality, patient-centered care and exceptional service. Across the organization, patients remain at the center of every decision, process, and interaction. The awards were determined by members of the respective communities, demonstrating patient satisfaction and the exceptional service provided by our hospitals. Several Nutex Health facilities were recognized through local community choice and readers' choice award programs across multiple markets. Awards received in Q2 2026 include: Albuquerque ER & Hospital – Best ER in the Albuquerque Journal Readers' Choice Awards and Best Place to Work in Albuquerque Business First Green Bay ER & Hospital – Best Hospital Finalist in the Best of the Bay Community's Choice Awards Milwaukee ER & Hospital – Best Hospital Finalist in the Milwaukee Community's Choice Awards Royse City Emergency Hospital – Best Emergency Room in Rockwall and Rowlett in Living Magazine Topeka ER & Hospital – Best Hospital Finalist in the Topeka Community's Choice Awards West Plano Emergency Room – Best Emergency Room in Frisco and Plano in Living Magazine Wylie ER – Best ER in The Wylie News' Best of Wylie Readers' Choice Awards 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 three divisions: a Hospital Division, Population Health Management Division, and Real Estate Division The Hospital Division owns, develops, and operates innovative health care models, including micro-hospitals, specialty hospitals, and hospital outpatient departments. This division owns and operates 28 facilities in 12 states. The Population Health Management division owns and operates provider networks such as Independent Physician Associations. Through our Management Services Organization, we provide management, administrative and other support services to our affiliated hospitals and physician groups. The Real Estate division comprises of real estate entities along with activity related to the development and construction of hospital facilities. The real estate entities own the land and hospital buildings which are leased to our hospital entities. Forward-Looking Statements Certain statements and information included in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform 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, regulatory and litigation uncertainty under the No Surprises Act, lawsuits filed by health insurance providers against our third party provider in the arbitration process, sales of a substantial amount of our Common Stock by our stockholders, our obligation to issue additional shares of our common stock to former doctor owners of under construction hospitals, manipulative short seller reports, the impact of litigation and disputes, our ability to successfully execute our growth strategy, economic conditions, dependence on management, 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, 2025 and subsequent Quarterly Reports on Form 10-Q for the three months ended March 31, 2026 and the six months ended June 30, 2026, under the heading "Risk Factors" in Part II, Item IA thereof, and the risk factors and other cautionary statements contained in our 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-hospitals-earn-multiple-community-honors-in-second-quarter-2026-302863096.html

Nutex Health Inc. (NUTX) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company. The upward trend in estimate revisions for this company reflects growing optimism of analysts on its earnings prospects, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. Our stock rating tool -- the Zacks Rank -- has this insight at its core. The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008. For Nutex Health Inc., strong agreement among the covering analysts in revising earnings estimates upward has resulted in meaningful improvement in consensus estimates for the next quarter and full year. The chart below shows the evolution of forward 12-month Zacks Consensus EPS estimate: The company is expected to earn $6.81 per share for the current quarter, which represents a year-over-year change of -12.2%. Over the last 30 days, one estimate has moved higher for Nutex Health compared to no negative revisions. As a result, the Zacks Consensus Estimate has increased 27.29%. For the full year, the earnings estimate of $30.11 per share represents a change of +187.3% from the year-ago number. In terms of estimate revisions, the trend for the current year also appears quite encouraging for Nutex Health. Over the past month, one estimate has moved higher compared to no negative revisions, helping the consensus estimate increase 32.53%. The promising estimate revisions have helped Nutex Health earn a Zacks Rank #1 (Strong Buy). The Zacks Rank is a tried-and-tested rating tool that helps investors effectively harness the power of earnings estimate revisions and make the right investment decision.You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Our research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500. While strong estimate revisions for Nutex Health have attracted decent investments and pushed the stock 26.2% higher over the past four weeks, further upside may still be left in the stock. So, you may consider adding it to your portfolio right away. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Nutex Health Inc. (NUTX) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. Total Revenue (Q2 2026): $210.8 million, a 13.6% decrease from $244 million in Q2 2025. Total Revenue (H1 2026): $427.2 million, a 6% decrease from $455.8 million in H1 2025. Hospital Division Revenue (Q2 2026): $201.9 million, down 14.6% from $236.3 million in Q2 2025. Hospital Division Revenue (H1 2026): $409.4 million, down 7% from $440.2 million in H1 2025. Population Health Division Revenue (Q2 2026): $8.9 million, up 16% from $7.7 million in Q2 2025. Population Health Division Revenue (H1 2026): $17.8 million, up 15% from $15.5 million in H1 2025. Net Income (Q2 2026): $65.8 million, compared to a net loss of $17.7 million in Q2 2025. Net Income (H1 2026): $112.6 million, a 3,100% increase from $3.5 million in H1 2025. Adjusted EBITDA (Q2 2026): $90 million, up 25.7% from $71.6 million in Q2 2025. Adjusted EBITDA (H1 2026): $147.5 million, up 2% from $144.4 million in H1 2025. Gross Profit (Q2 2026): $141.3 million, or 67% of total revenue, compared to $124.9 million (51.2%) in Q2 2025. Gross Profit (H1 2026): $233 million, or 54.5% of total revenue, compared to $243.3 million (53.4%) in H1 2025. Operating Income (Q2 2026): $121.7 million, compared to $33.7 million in Q2 2025. Operating Income (H1 2026): $203 million, compared to $114.3 million in H1 2025. Total Patient Visits (Q2 2026): 49,962 visits, up 9.6% from 45,573 visits in Q2 2025. Total Patient Visits (H1 2026): 99,700 visits, up 6.2% from 93,800 visits in H1 2025. Same-Hospital Visits (Q2 2026): Grew 6.3% year-over-year. Same-Hospital Visits (H1 2026): Grew 3.4% year-over-year. Cash and Cash Equivalents: $205.2 million as of June 30, 2026, up from $185.6 million at December 31, 2025. Net Cash from Operating Activities (H1 2026): $109.7 million, a 40% increase from $78.2 million in H1 2025. Net Long-Term Debt: $31.1 million as of June 30, 2026, up from $29.2 million at December 31, 2025. Accounts Receivable: $351.7 million as of June 30, 2026, up from $319.4 million at December 31, 2025. Employee Turnover (H1 2026): 6.8%, significantly below industry benchmarks. Warning! GuruFocus has detected 6 Warning Signs with NUTX. Is NUTX fairly valued? Test your thesis with our free DCF calculator. Release Date: August 07, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Net income attributable to Nutex Health Inc (NASDAQ:NUTX) surged 3100% to $112.6 million in the first half of 2026, driven by lower earnout expenses and reduced arbitration costs. Adjusted EBITDA increased 2% to $147.5 million for the first half of 2026, with Q2 alone up 25.7% year-over-year to $90 million. Hospital patient visits grew 6.2% in the first half of 2026, with same-hospital visits up 6.3% in Q2, reflecting strong operational execution. The renegotiated HaloMD agreement and reduced CMS IDR fees are expected to lower arbitration-related costs by 25-30% in future periods. Cash on hand grew to $207.1 million, and net cash from operating activities increased 40% to $109.7 million, providing strong liquidity for growth. Favorable court rulings in multiple states and the final IDR rule support the integrity of the arbitration process, benefiting Nutex Health Inc (NASDAQ:NUTX)'s reimbursement outlook. The company is expanding its development pipeline with three new hospitals expected to open in 2026 and several more in 2027, including self-developed projects. Population Health Division revenue grew 15% in the first half of 2026, with most IPAs profitable and new IPAs in Dallas and San Antonio set to enroll patients in 2027. Operational efficiency improved, with facility-level costs as a percentage of revenue declining to 45.5% from 46.6% year-over-year. Patient satisfaction remains high with a 4.8-star Google rating, and employee turnover is low at 6.8%, supporting consistent care quality. Total revenue decreased 6.3% to $427.2 million in the first half of 2026, primarily due to timing differences in accrual-to-cash collections. Same-hospital revenue declined 6% in the first half of 2026, reflecting the normalization of revenue per visit after the initial IDR process boost in 2025. General and administrative expenses increased to 7.3% of revenue in the first half of 2026, up from 4.9% in the prior year period. The company still relies heavily on the IDR process, with 50-60% of claims submitted, and insurer behavior has not significantly improved despite favorable court rulings. In-network contract negotiations have shown only slight progress, with rates still below desired levels, limiting the potential for reduced reliance on arbitration. The Population Health Division's South Florida IPA remains slightly cash flow negative, indicating ongoing challenges in that market. The company faces execution risks with its accelerated development pipeline, including three hospital openings in the second half of 2026 and several more in 2027. Revenue per visit is expected to remain stable, but any significant fluctuations in collection rates or key metrics could impact future revenue recognition. The company's growth strategy involves self-financing real estate development, which could increase capital intensity and balance sheet risk. Despite lower IDR fees, the company still faces significant arbitration-related costs, and the pay-on-collection basis may delay cash flows from arbitration awards. Q: Previously, arbitration costs were expected to run about 25% of arbitration-related revenue. Excluding the credit, what did this look like in the second quarter, and how should we think about the new go-forward rate after the May IDR final ruling and the renegotiated HaloMD agreement? A: Jon Bates (CFO): The historical arbitration cost rate was in the mid-24% to 26% range. Moving forward, we expect that specific piece to be down into the high teens to low 20s. On the overall contract services rate, we anticipate a 25% to 30% decrease in historical normalized costs, assuming current IDR metrics continue. Q: Is the second quarter revenue per visit a fair steady-state run rate, or should this further normalize in the back half as the IDR catch-up rolls off the 2025 base? A: Jon Bates (CFO): The cumulative reimbursement since starting the IDR process has been in the $4,000 to $4,200 range, which is consistent with what we see now. While there will be some variability, particularly as we see more inpatient volume, the current range is a fair number to use for forward-looking estimates. Q: With the opening cadence for the next two years at the higher end of your historic range and the new self-financing strategy, should we expect an increase from the historic range of three to five hospital openings per year? A: Thomas Vo (CEO): No, we are still focusing on three to five hospitals per year. We receive requests to open new hospitals on a weekly basis and will continue to evaluate new locations, but we will reassess that target internally based on our financials. Q: With the recent court cases going in the right direction, do you see any change to insurer behavior with regards to collection rates? A: Thomas Vo (CEO): It is pretty much steady state from insurance company payments. We are seeing more submissions to go in-network with health insurance companies, and the rates are slowly creeping up, but they are still nowhere near where they should be. The QPA is still relatively low, which is why our submission rate remains around 60%. Q: With the lower $15 fee and newer HaloMD rate terms, do you see yourselves starting to challenge claims that may have previously been considered marginal? A: Jon Bates (CFO): The $100 difference per submission lowers the barrier for all providers. While there are a few claims we might now take through the process that we wouldn't have before due to risk, we will generally keep a similar cadence. We don't expect a material change for us, though it might be different for other providers. Q: Are you guys going to be proactively pursuing in-network agreements with payers, or will you focus on your business and wait for payers to come to the table? A: Thomas Vo (CEO): We are always looking to go in-network with insurance companies and continue to evaluate every contract that comes in. While rates have come up a little bit over the past quarter, they are still nowhere near where we need them to be. Our model allows us to stay out-of-network and still do well, as the No Surprises Act ensures we get paid at in-network rates for emergency services. Q: What drove the success in patient volume and acuity growth in the quarter, and how should we expect revenue per patient to trend as you add service lines? A: Thomas Vo (CEO) and Wesley Bamburg (COO): We have increased investment in internal processes, added business development personnel, and are using AI and the IPA network to increase volume. Our focus is on keeping patients in the hospital to increase inpatient volume, which pays better. As we add procedures like colonoscopies and expand service lines, revenue per patient should increase over time. Q: What drove the HaloMD renegotiation, and under what circumstances would you exercise the newly gained optionality to pursue arbitration claims in-house or use a third-party? A: Thomas Vo (CEO) and Jon Bates (CFO): When we signed the original contract in early 2024, the IDR process was in its infancy. Now, with more data and knowledge, it was a natural time to renegotiate. HaloMD is a great partner, and the amendment is a win-win that better aligns costs with revenue. It gives us flexibility to pivot and use third-party vendors or handle disputes in-house for select facilities if needed. Q: Has there been measurable movement on the percentage of claims going into negotiation versus arbitration, and has the percentage of in-network revenue changed? A: Jon Bates (CFO) and Thomas Vo (CEO): Every brief submitted includes a request for in-network negotiation, and we have daily communication with multiple payers. While there has been a slight improvement, it is not material. The percentage of in-network revenue has improved a little bit, but it is still a slight increase. We can stay out-of-network and still perform well under our model. Q: Patient visits were pretty flat sequentially. Can you remind us about the seasonality as we think about patient visits going forward? A: Thomas Vo (CEO): Typically, the second and third quarters are the lowest, while the fourth and first quarters are the highest due to the colder season and flu season. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Image source: The Motley Fool. Friday, Aug. 7, 2026 at 10:30 a.m. ET Chairman and Chief Executive Officer - Thomas Vo Chief Financial Officer - Jon Bates President - Warren Hosseinion Chief Operating Officer - Wesley Bamburg Corporate Director of Marketing - Vivian Sanders Operator: Greetings, and welcome to the Nutex Health's 2026 Second Quarter 10-Q Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce Vivian Sanders, Corporate Director of Marketing. Please go ahead. Vivian Sanders: Good morning, everyone, and welcome to Nutex Health, Inc.'s Second Quarter 2026 Earnings Call. My name is Vivian Sanders, and I'm happy to serve as your moderator today. We're truly grateful for your participation and your continued interest in our company as we share the highlights of another exceptional quarter. Please note that this call is being recorded for future reference. Joining me this morning are the key leaders driving Nutex Health forward. Our Chairman and CEO, Dr. Tom Vo; our Chief Financial Officer, Jon Bates; our President, Dr. Warren Hosseinion; and our Chief Operating Officer, Wes Bamburg. Together, they'll provide prepared remarks to give you a comprehensive view of our performance, strategies and vision, after which we'll open the floor for your questions. Before I turn things over to Dr. Vo, I'd like to take a moment to address a few important points. Today's discussion may include forward-looking statements, which reflect management's current expectations about our future performance. These statements are based on what we know today, but they are subject to risks, uncertainties and other factors that could cause our actual results to differ from what we'll share. For a deeper dive into these forward-looking statements and the factors that may influence them, I encourage you to review the press release and Form 10-Q filed earlier this week as well as our various SEC filings. You'll find all the details there. Additionally, we may reference non-GAAP financial measures such as adjusted EBITDA during the call. For those interested in how these metrics reconcile to GAAP standards, please refer to the press release and Form 10-Q, where that information is included. With those housekeeping items out of the way, it's my pleasure to hand the call over to Dr. Tom Vo, our Founder and Chief Executive Officer. Dr. Tom Vo, the floor is yours. Thomas Vo: Thank you, Vivian, and good morning, everyone. I am happy to join you today to review Nutex Health's second quarter 2026 results. It was an active quarter, marked by strong financial results, important reimbursement developments and continued progress on our growth pipeline, both internally with hospital volume and acuity as well as new pipeline developments. Let me begin with our first 6 months financial and operational performance. For the first 2 quarters of 2026, total revenue reached $427.2 million, a slight 6% decrease from $455.8 million for the same period in 2025. This is primarily due to timing from accrual to cash collections, as Jon will further explain. Net income attributable to Nutex increased to $112.6 million for the first 2 quarters of 2026, a 3,100% increase from $3.5 million for the same period in 2025. Adjusted EBITDA increased 2% from $144.4 million to $147.5 million for the first half of 2026. On the volume side, for the first 2 quarters of 2026, our hospitals recorded 99,700 total patient visits, up 6.2% from 93,800 during the same visit -- same period in 2025. Same hospital growth was 3.4% in the first 6 months of 2026. Notably, same-hospital visits grew 6.3% in the second quarter of 2026, reflecting strong operational execution and the impact of our internal investment over the past year. On the balance sheet, net long-term debt increased from $29.2 million at December 31, 2025, to $31.1 million at the end of Q2 2026, still very low relative to our revenue and expansion pace. Cash on hand grew to $207.1 million as of June 30, 2026, up from $185.9 million at year-end 2025. Net cash from operating activity was $109.7 million for the first 2 quarters of 2026 compared to $78.2 million in 2025, a 40% increase. Our strong first half performance was driven by several factors: continued growth in inpatient volume and acuity due to renewed internal initiatives and investments, lower earn-out expenses as most legacy facilities that were in development as of 2022 have vested. Reduced arbitration-related costs following a catch-up reconciliation and sustained collection strength from both our internal and external revenue cycle teams. In addition, we are seeing more stabilization of revenue this year compared to this time last year. Jon will also discuss these details in his report. On the reimbursement side, the quarter was highly active with important provider wins in federal courts as well as the final federal ruling improving the administration of the IDR process. So let us start on the legal side. During the first half of 2026, courts in California, Florida, Pennsylvania, Texas, Connecticut and Georgia all issued decisions reinforcing the finality of the IDR awards and limiting insurers' ability to challenge arbitration outcomes in court. The court further indicated that insurers objection to the high IDR loss rates are matters for Congress, not the federal courts. For Nutex, these rulings are important because they support the integrity of the IDR process and provide additional precedent for a fair federal dispute resolution system. In fact, in the Georgia ruling, the judge stated and I quote, "It is highly improbable to infer from these facts that there is a vast conspiracy of providers and IDREs that have conspired to defraud the plaintiff of millions of dollars in thousands of IDR NSA proceedings over many years." He further stated, "It is highly possible to infer that the plaintiff engages in a consistent practice of submitting lowball offers to out-of-network providers in an effort to maximize its profits." Insurers have largely executed this low provider payment strategy very successfully as reflected in the record profitability during the first half of 2026, where profits were in the billions. And while we are very happy for the financial successes of the insurance companies, our position is very simple. Nutex seeks fair market-based reimbursement for comparable care. Patients treated at our facilities should be reimbursed consistent with the cost of similar services delivered at comparable facilities. A functional IDR process promotes fair free market competition, protects access to high-quality care, and reduce unnecessary disputes. If insurers pay appropriate rates at the offset, fewer claims would need to proceed through the IDR process. On the regulatory side, on May 28 of this year, CMS and other federal agencies released the final IDR rules, which focuses on improving the efficiency and transparency of the IDR process without changing the core reimbursement framework. Key improvements include better disclosures from insurers to prevent and limit future ineligible charts, a more efficient electronic portal to encourage open negotiations, lower administrative fees from $115 to $15, expanded batching for certain claims and shorter cooling off period. Overall, we view the final rule as constructive for providers and for Nutex. Congress and the Centers for Medicare and Medicaid Services, or CMS, recognize that the independent dispute resolution process remains the only available meaningful mechanism through which providers may contest inadequate insurer reimbursement. In its absence and without the IDR process, insurers would have unchecked pricing authority and a monopoly position within the market. Lastly, the final rule reflects CMS' intent to create a more streamlined, user-friendly system that providers and payers can use effectively when needed. We believe that this underscores CMS view that the IDR process will remain in place for the foreseeable future. On the vendor front, earlier this month, we announced an amendment with HaloMD that shifts the fee structure to pay on a collective basis, retroactive to the original agreement. This helped reduce IDR costs in the quarter and gives us more flexibility to manage dispute resolution services going forward. Combine this with a lower CMS IDR cost, this amendment will result in lower total arbitration-related costs in the future. In addition, we now have additional options to utilize other arbitrator vendors going forward if necessary. Turning to growth. We remain very excited about our hospital development pipeline and opportunities ahead. We have started internalizing the real estate development capabilities, giving us better control over timelines, cost and scalability. Our strategy is not to be a long-term real estate owner. We plan to develop facilities, stabilize operations and then monetize the real estate through a sale-leaseback transactions upon hospital opening or stabilization. Looking ahead, our current pipeline in 2026 includes West Little Rock, Arkansas; San Antonio, Texas; and Jacksonville, Florida. All 3 are expected to open in the third and fourth quarter of 2026. For 2027, our pipeline includes new hospital developments in South and Central and East Florida as well as Oklahoma. Notably, 2 of these projects are expected to be initially owned and developed by Nutex. Beyond 2027, we have already approved additional Nutex owned and Nutex-led projects in Idaho, Florida, Pennsylvania, Ohio and Arkansas. As a public company, we are very fortunate to have the ability to continue growing through de novo hospital developments. Because building large-scale hospitals present significant challenges and costs, larger healthcare systems are often limited to volume growth as the primary expansion strategy. Nutex, on the other hand, can grow both internally as well as de novo by advancing a focused national pipeline of smaller, scalable facilities. Together, these 2 projects provide a clear road map for long-term growth and great shareholder value creation. Operationally, Wes will provide more details, but we remain focused on increasing volume, expanding service lines and growing appropriate observation and inpatient care within our hospitals. Patients often tell us they prefer to remain in our hospital rather than be transferred to another hospital for higher level of care. We also continue to invest in technology, diagnostic capabilities and differentiated patient service, which are key elements of the Nutex model. Patient satisfaction remains a key strength of our model as reflected in our continued recognition through multiple hospital awards as well as our reputation as a trusted hospital of choice for healthcare providers and their families in the communities we serve. So with that, I'll turn the call over to Jon Bates, our Chief Financial Officer, to walk through the financials in more detail. Jon? Jon Bates: Thanks, Tom. And good morning, everyone. Let me go through some of the details on the financials for Nutex Health's second quarter and first half of 2026. Another strong period where our earnings are strong and our cash flow continues to build as we plan for 3 future openings later this year and continue to prove out our growth model year-over-year. Now Tom has given you a little bit of the big picture, and I'll attempt to provide a little more detail. I'm going to start with the 3 months ended June 30, 2026, compared to the 3 months ended June 30, 2025. So total revenue for Q2 of '26 decreased 13.6% to $210.8 million compared to $244 million for the same period in '25. Of the total revenue decrease, hospital division revenue decreased 14.6% to $201.9 million from $236.3 million, while same hospitals decreased their revenue by 12.1% for the same -- for the second quarter of 2026 compared to the same period in 2025. Now the main reason for the revenue decrease period-over-period was due to the larger positive increase in revenue in the 2025 period as the IDR process began showing stronger realization of revenue in the first half of 2025 with us experiencing the early success with the IDR process. If you recall, the revenue per visit, which does include both the ER and the inpatient services back during the second quarter of 2025 was approximately $5,185 per visit. While the cumulative net revenue per visit from when we started the IDR process in July of 2024 through June of 2025 was closer to $4,200 a visit, which is much more in line with what we have continued to see since then and into 2026. Now revenue per visit in Q2 of '25 was positively impacted by adjustments to our collection percentage from 65% at the end of December 31, 2024, up to 75% by June 30, 2025. And this positive adjustment was a result of additional historical collection history as it was being recognized in early 2025. As the historical collection percentage leveled out to the current average of just over 80%, fewer adjustments have been recognized in 2026. Now this helps explain why current revenue per visit is more in line with the historical average measured from the start of the IDR process. And if there are no significant fluctuations in our collection percentage and other key metrics used to record revenue moving forward, we would expect the revenue per visit metric to remain similar. Hospital Division visits increased by 9.6% or 4,389 visits to 49,962 visits in quarter 2 of 2026 versus 45,573 visits in the same period in '25, with the same hospital visits growing at 6.3% over the same period, as Tom indicated earlier. With regard to the Population Health division, it had revenue growth of approximately 16% to $8.9 million for quarter 2 of '26 versus $7.7 million for the same period in 2025. Now in addition to the visit growth noted above, facility corporate level costs also showed improvement for the second quarter of '26 relative to the same period in '25. Total facility level operating costs and expenses decreased 49.6% -- sorry, $49.6 million during the period, representing 33% or $69.5 million of total revenue for Q2 of '26 versus 48.8% or $119.1 million for the same period in 2025. Now of the $49.6 million decrease for the period, approximately $52 million of the decrease was reflected within our contract services line and resulted from 2 major positive items that took place in the second quarter of 2026. The first item was the impact from the federal IDR operations final rule that was signed in May of 2026, which reduced the CMS nonrefundable administrative fee from $115 to $15 per party per dispute initiated on or after June 11, 2026. And this contributed to about $4.3 million of this total decrease. The other major item was the June 2026 amendment we negotiated to our original HaloMD contract that was signed in May of 2024. Among several other positive changes in this amendment, 2 of the larger items were, number one, it transitioned the applicable fee payment structure to a pay-on-collected basis rather than payment being due upon award determination with it being retroactive to the effective date of the original agreement in 2024, and this contributed about $38.4 million of that total decrease. Secondly, it favorably amended the service fee structure applicable to various federal and state net settlement amounts obtained on or after July 1, 2026. And this contributed around $9.6 million of the total decrease. One last thing was the contract renegotiation provided the company with the right to perform dispute resolution services either in-house or through the engagement of another third-party vendor or service provider with respect to certain future hospital facilities, which Tom indicated before. Now regarding the contract services, based upon current expectations, we anticipate the CMS fee rate reduction and the amendment to the Halo contract will lead to approximately 25% to 30% decrease in our historical normalized costs in future periods, assuming our current IDR metrics continue. Because the pay on collection basis is our new reality, we will not have to record 100% of the IDR costs on every potential legal determination win, as we will now be only accruing costs using a similar collection percentage that we use for our accrual of revenue. Plus, we were able to get this change done retroactive to when we signed the original agreement in 2024. So we believe we will better match our costs for this to the corresponding revenue we record, which should make the analysis much easier in the future periods. Now regarding arbitration-related revenue, we have continued to submit between 50% to 60% of our claims through the IDR process. And when an award determination is made, we currently prevail in over 85% of those determinations, and we currently have an average collection rate of over 80% of determination wins. Moving on, talk a little bit about stock-based compensation for the 3 months ended June 2026. It was $2.9 million compared to $78.7 million of expense for the same period in 2025, which was a $75.9 million decrease in Q2 of 2026. Currently, there are only 2 facilities that are part of the major expense that goes in this line item with both of them completing their earn-out period in the fourth quarter of 2026. Gross profit for the 3 months ended June 30, 2026, was $141.3 million or 67% of total revenue as compared to $124.9 million or 51.2% of total revenue in the same period in '25, a 15.8% increase for the 3 months ended June 30, 2026 versus 2025. From a corporate and other cost perspective, the general and administrative expenses as a percentage of total revenue for the 3 months ended June of '26 increased to 7.9% or $16.7 million from 5.1% or $12.5 million for the same period in 2025. Operating income for the 3 months ended June 30 of '26 was $121.7 million compared to $33.7 million for the same period in '25, which is an increase of $88 million. Net income attributable to Nutex Health was $65.8 million for 2026 compared to a net loss of $17.7 million for the 2025 period, which was an increase of $83.5 million. Adjusted EBITDA attributable to Nutex increased $18.4 million or 25.7% from $71.6 million in Q2 of '25 to $90 million in Q2 of '26. So now let's move on and talk a little bit about the 6-month period ended June 30 compared to the 6 months of June of '25. Total revenue for the first 6 months of '26 decreased 6.3% to $427.2 million compared to $455.8 million for the same period in '25. Of the revenue decrease, hospital division revenue decreased 7% to $409.4 million from $440.2 million, while same hospitals decreased their revenue by 6% for the first 6 months of '26 compared to the same period in '25. As discussed earlier in the second quarter explanation for the decrease in revenue for the period, the main reason for the revenue decrease period-over-period was due to the larger positive increase in revenue in the 2025 period as the IDR process began showing stronger realization of revenue in the first half of 2025, with us experiencing early success in the IDR process. From a hospital division visit perspective, it increased by 6.2% or 5,862 visits to 99,704 visits in the first 6 months of 2026 versus 93,842 visits in the same period in 2025, with same hospital visits growing at 3.4% over the same period. With regard to the Population Health division, had revenue growth of approximately 15% to $17.8 million for the first 6 months of '26 versus $15.5 million for the same period in '25. Now in addition to the visit growth noted above, and facility and corporate level costs also showed improvement for the first half of '26 relative to 2025. Total facility level operating expenses decreased $18.3 million during the period, representing 45.5% or $194.2 million of total revenue for the first 6 months of 2026 versus 46.6% or $212.5 million for the same period in '25. And as discussed, for the second quarter of 2026, similarly, the main reason for most of the overall decrease in this line was due to the contract services decrease during the period, primarily resulting from the reduction in the CMS fee and the impact from the amendment to the HaloMD contract that we signed in the second quarter of 2026. Moving on to the stock-based compensation. Again, for the 6 months ended June of '26, it was a $1 million gain compared to $106.4 million expense for the same period in 2025, which was $107.4 million decrease in costs comparably in 2026. Now we did finalize one earn-out at March 31, 2026, as we talked in our first quarter call, and we have 2 more facilities currently in their measurement periods with both of them completing their measurement period in the fourth quarter of 2026. The gross profit for the 6 months ended June 30, 2026, was $233 million or 54.5% of total revenue as compared to $243.3 million or 53.4% of total revenue for the same period in '25, a 1.2% increase for the 6 months ended June of '26. From a corporate and other cost perspective, the G&A expenses as a percentage of total revenue for the 6 months ended June of '26 increased to 7.3% or $31.1 million from 4.9% or $22.5 million for the same period in 2025. Operating income for the 6 months ended June 30, 2026, was $203 million compared to $114.3 million for the same period in 2025, which was an increase of $88.6 million. Net income attributable to Nutex Health, Inc. was $112 million for 2026 compared to only $3.5 million for 2025, an increase of $109.1 million. And adjusted EBITDA attributable to Nutex increased $3.1 million or 2.2% from $144.4 million for the 6 months ended June 30, '25 to $147.5 million for the same period in 2026. Now looking at our balance sheet continues to remain very strong with cash and cash equivalents at June 30, 2026 to $205.2 million, up $19.6 million or 10.6% from $185.6 million at December 31, 2025. Additionally, accounts receivable increased by $32 million to $351.7 million at June 30 of '26 from $319.4 million at December 31 of '25. We had another strong collection quarter, which provides us continued confidence in this increase. Regarding cash flow, net income from operating activities increased by $31.5 million for the 6 months ended June 26 to $109.7 million as compared to $78.2 million for the same period in '25. And Tom talked about this earlier, but on the liability side, our total bank and equipment type debt decreased by $3.6 million to $39.9 million at June 30, 2026, from $43.5 million at December 31, 2025, with the majority of this debt related to equipment loans at our hospitals for such items as MRIs, X-rays, ultrasounds and CT scans. With all that said, our balance sheet remains very solid, and we provided our company the flexibility to execute on our growth plan in 2026 and beyond. Now on to Warren Hosseinion, our President, for a population health update. Warren? Warren Hosseinion: Thank you, Jon, and good morning, everyone. It's great to be with you today to discuss how Nutex Health is advancing population health management. In the first half of 2026, we continue to make strides in this area. This morning, I would like to again focus on our strategy and our upcoming goals. Let's start with where we are today. Our Population Health Management division now oversees a diverse group of almost 40,000 patients across our platform, including a mix of Medicare Advantage, commercial and Medicaid managed care members. Revenue for the division was up 15% for the 6 months ended June 30, 2026, from the same period in 2025. Each of our IPAs in Southern California, Houston and Phoenix were profitable for the 6 months ended June 30, 2026, while our IPA in South Florida was slightly cash flow negative for the same period. Our new IPAs in Dallas and San Antonio are still contracting with primary care physicians and specialists and will begin enrolling patients in 2027. Our overarching strategy revolves around physician networks. Our IPAs, or independent physician associations are comprised of networks of contracted and credentialed primary care physicians and specialists located around our facilities. Building strong partnerships with local doctors is critical. By forming these IPAs, we are building awareness of our hospitals among the local community doctors and their patients. Why do physicians join our IPAs? We offer these physicians ownership in our IPAs. They can also participate in the Board and committees of the group. We offer them to get on the staff of our hospitals so they can admit and follow patients. We also incentivize the physicians to achieve high-quality metrics. We believe that over time, these relationships will not only increase the volume of both IPA and non-IPA patients to our hospitals, but also create a web of care that's seamless for patients. Our vision is that our hospitals and IPAs will work hand-in-hand to amplify our reach and effectiveness. We are fostering collaboration, sharing best practices and ensuring every provider is aligned with our patient-first culture. We're growing our IPA strategically, focusing on areas near our hospitals to leverage existing relationships and infrastructure. With that, I'll turn it over to Wes Bamburg, our Chief Operating Officer. Wesley Bamburg: Thank you, Warren, and good morning, everyone. I'll focus my comments on our operational performance during the second quarter, including patient volume growth, service line expansion and patient experience. Our hospitals continue to see demand across the markets we serve. As previously mentioned, during the quarter, we recorded nearly 50,000 patient visits, an increase of 9.6% compared to the prior year, while same hospital visits increased 6.3%. For the 6 months of 2026, total hospital visits increased 6.2% to nearly 100,000 patients served across the enterprise. These results reflect continued growth across both our newer and more mature facilities and demonstrate the ongoing strength of our model. We also continue to expand patient access and increase our ability to care for more patients within our hospitals. As facilities mature, we're able to offer a broader range of services, retain more patients locally and further strengthen our continuity of care within our communities. During the quarter, we also made progress on service line expansion, including the launch of endoscopy services. This will allow us to provide critically needed services to the communities we serve, such as colonoscopies and diagnostic EGDs. As we evaluate performance and demand, we see opportunities to expand additional service lines across our facilities over time. As Tom discussed earlier, we also remain focused on supporting growth across our development pipeline. With several facilities expected to open later this year, we continue to leverage the infrastructure, experience and the operating playbook developed across our existing network to efficiently ramp new hospitals and support consistent execution from day 1. Patient satisfaction remains a key strength during the quarter with our hospitals maintaining an average Google rating of 4.8 stars across more than 2,300 reviews. We believe those results reflect the commitment of our physicians, nurses and staff to delivering high-quality patient experience every day. Workforce stability also remains a competitive advantage. Employee turnover was just 6.8% during the first 6 months of 2026, significantly below published hospital industry benchmarks, supporting consistent execution and high-quality patient care across our network. From a cost management perspective, we remain disciplined as volumes grew, maintaining focus on staffing efficiency, resource utilization and operational standardization. We believe our ability to combine growth with operational discipline continues to be an important differentiator as we scale the organization. Overall, the second quarter reflected continued operational momentum across the enterprise. We delivered strong volume growth, expanded clinical capabilities, maintained excellent patient satisfaction and continue to position the organization for future growth through both service line expansion and our new hospital development. Thank you, everyone, and I'll turn the call back over to Vivian. Vivian Sanders: Thank you, Wes, and team for those updates. I will now turn it over to our operator, who will begin the Q&A portion of the call. Operator: [Operator Instructions] Our first question is from Anderson Schock with B. Riley Securities. Anderson Schock: So previously, the arbitration costs were expected to run about 25% of arbitration-related revenue. I guess excluding the credit, what did this look like in the second quarter? And how should we think about the new go-forward rate after the May IDR final ruling and the renegotiated HaloMD agreement? Jon Bates: Anderson, yes, great question. If you think about it from the standpoint of the way we look at it, first of all, we talk about contract services and how that looks. And you talked about that 25% in the past, if we're just talking about specifically arbitration. So normally, it was a range of in that mid-24% to 25%, 26% in the past. Now currently, as we move forward, you should expect that to be just that specific piece, probably down more into the high teens to low 20s, comparatively. So -- but on the overall contract services rate reduction, as we talked about, it should be more into the 25% to 30%. That's on overall contract services. But arbitration, you would see that correspondingly work its way down. Anderson Schock: Okay. Got it. And then is the second quarter revenue per visit a fair steady state run rate? Or should this further normalize in the back half as the IDR catch-up rolls off the 2025 base? Jon Bates: So as we talked about in the past, I mean, if you look back at -- I think you talked about it here, the cumulative rough estimate of where reimbursement has been since we started the process overall was really in that $4,000 to $4,200 range. And that's remained pretty consistent. So even for this period, yes, I think it's in line. There'll be some variability up and down. I know as we continue to have more inpatients, which I think that's one of the improvements we're starting to see, you'll see a little bit higher in that area. But I think in the range that we've seen cumulatively since we started the process through June of '26 and which is very similar to what we have in the quarter and first 6 months of '26, I think, is a fair number to be looking at as you move forward for now. Anderson Schock: Okay. Got it. And then with the opening cadence for the next 2 years kind of at the higher end of your historic range and your new self-financing strategy funding the opening of half these next year, should we expect an increase from the historic range of 3 to 5 hospitals openings per year in the future? Thomas Vo: Anderson, I could take that question. No, we're still basically focusing on 3 to 5 hospitals per year. That has not changed yet at this point. Obviously, we will continue to evaluate new locations. As you know, we get requests to open these hospitals on a weekly basis. And so as we discuss internally and in accordance with our financials, we will reevaluate that 3 to 5 hospitals per year. Operator: Our next question is from Ben Haynor with Lake Street Capital Markets. Benjamin Haynor: First off for me, with these recent court cases that have gone in the right direction for you guys, do you see any change to insurer behavior with regards to collection rates based upon those? Thomas Vo: Ben, I can take this and maybe Jon can chime in. So far, it's pretty much steady state from an insurance company payment. We are seeing more commissions to go in contract with health insurance company. The rates are slowly creeping up, but it's still nowhere near where we should be. Benjamin Haynor: Okay. So does that also imply that QPAs have come up a little bit and QPA multiples coming down or no? Thomas Vo: So far, we have not seen a drastic change at this point. QPA is still relatively low. Hence, our having -- hence our submission rate of roughly 60%. Benjamin Haynor: Okay. That makes sense. And then I guess on the submission rate, with the lower $15 fee, kind of the newer HaloMD rate and terms, I mean, do you see yourselves starting to challenge some of the ones that may have previously been considered marginal or maybe good enough? Jon Bates: Yes, I can talk about that. I mean, look, at the end of the day, $100 per submission is great, and it helps all providers and it does lower the barrier entry, I think, across the board for providers in general to hopefully get a better fair payment if they want -- if they choose to do it. We've looked at that, $100 difference on that piece. There are a few that might -- that we might now take through the process that risk-wise, we might not have before. But I think generally, we'll keep a similar cadence and then just watch for opportunities in those situations where, yes, maybe we'll go in on some that we haven't in the past. But I don't think it will be a material change for us. I think it might be for some other providers. Operator: Our next question is from Thomas McGovern with Maxim Group. Thomas McGovern: So a couple of my questions were already touched on, but I do want to piggyback off of the last question regarding the insurer behavior based on these court cases and the changing regulation around arbitration. So it sounds like maybe there's some progress on that front, but it's been pretty slow. I'm just curious from your strategic perspective, are you guys going to be proactively pursuing in-network agreements with payers? Or are you guys kind of say, hey, look, we're going to focus on our business and continue operating, and wait for payers to come to the table with you? Thomas Vo: Thomas, so the answer is we are always looking to go in network with the insurance company, always. And so we're still continuing to evaluate any contracts that comes in. And like I mentioned earlier, the rates have come up a little bit over the past quarter or so, but still nowhere near where we need to be. Thomas McGovern: Understood. And then looking at the patient volume and acuity growth that you guys commented on in your prepared remarks, I just want to understand a little bit better what drove that success in the quarter? And then how should we look at it as acuity, like as you are adding service line items and increasing in-house patient visits, how should we expect the revenue per patient to trend over time? Thomas Vo: Yes. So I could answer that. I think it's a 2-part question. So -- and maybe Wes could chime in also from an operational standpoint. But over the past couple of quarters, I think we have talked about increasing investment in our internal processes by getting more business development folks on the team using AI, talking with more physicians using the IPA network to increase volume. And then once we get patients through the door, then our focus is on keeping the patients in the hospital to increase inpatient volume. And as you know, inpatient pays a lot better than ER payments. And so if we continue to execute this, theoretically, the revenue per patient should increase because we would have more inpatient visits in the future. And then on top of that, as Wes mentioned, we are also starting to do more procedures. So for example, we're doing colonoscopy right now in one of our hospitals, and we're looking at essentially any potential procedures that we can do at our hospital just based on the needs of the community. Wes, do you have anything else to add? Wesley Bamburg: Tom, I think you covered it. As we continue to evolve, we are centralizing and focusing on our business development kind of as an enterprise level and looking across all of our hospitals to see where there's opportunities. And that may be different at different locations. But we're focusing on those opportunities, evaluating them and bringing them in-house when we can. And then secondarily, we continue to add the ability to take care of sicker patients. So that is increasing our inpatient volumes, which will have a positive net impact overall. Thomas Vo: So one more thing that I'd like to expand is that because of the flexibility of our hospital, you could think of our hospital as like a car. We could take that car and we could drive it in any direction we want as long as it's best for the community and meeting certain needs of the community. But the hospital, even though it's small, it's got most of the tools necessary to relieve a lot of pain points in each of the communities that we serve. Thomas McGovern: Understood. And then finally for me, I just want to unpack this HaloMD renegotiation of the amendment to your agreement just a bit. Just kind of high level, what drove that conversation? What made you guys come to the table with them and say, hey, look, we need to reevaluate these terms? And my second question to that would be, under what circumstances would you guys exercise your newly gained optionality in terms of pursuing arbitration claims in-house or using a third party for some of these newer facilities? Thomas Vo: Yes. Maybe I could start with the first part and then Jon may be able to answer the second part. So if you remember, we started arbitration back in July of 2024. But before that, we were investigating and researching whether or not arbitration would even work. And so going back 2 years to the beginning of 2024, if you remember, arbitration at that time was in its infancy stage. We did not have any of the beautiful portals or any of the system set up. We didn't have the final rules at that time. So at that time, it was a bit of a shot in the dark, so to speak. But just based on all the research that we did, at that time, we found that arbitration was potentially a very good way for us to get back at a reasonable rate. And at that time, HaloMD was, and they still are, I would say, the preeminent vendor in that space. And so when we signed the contract in, I would say, early 2024, we didn't have a lot of knowledge nor do we have a lot of data like we do now. And so fast forward to this year, obviously, what happened in mid-2024 was ancient history in terms of the evolution of the IDR process. And so it was just a normal time to renegotiate the contract based on what we know now versus what we knew back in beginning of 2024. Jon Bates: Yes. And I'll add to that, Tom. Yes, absolutely. First of all, HaloMD is a great partner. They've done a great job. I mean they are, as Tom indicated, the leader in this. And we've learned a ton over the last -- I can't believe it's been 2 years, 8 quarters since we really started this process. And they have as well. And the industry is improve across the board. There's a lot more groups out there. There's a lot more data out there. I think everyone is smarter, both on the government side and on the provider and for that matter, probably payer side. So I think we all realize as we've been going through this process that there's probably things that we can do or we really like done that makes sense for both us and even Halo as we move forward from the partnership perspective, and they were amenable to that. So going through and trying to better clarify kind of the original agreement and look for things that made sense for both sides. So at the end of the day, that was -- it was just a really good partnership decision to kind of go through that process. And yes, it gives us flexibility as we move forward, as we indicated earlier, to either use third party, do it ourselves, for some select few facilities as we move forward. So I think it's a win-win, and it puts us in a really good position as we move forward to be able to pivot if things do change one way or the other, which is one of the things I would say that as a company, we've done a fantastic job of -- if you look back 2, 2.5, 3 years ago, where we were and where we are now, we've done a lot of that in many different areas, not just on this piece of our business. Remember, we don't use IDR for every visit. So -- and I do believe that we'll be using it for fewer and fewer as we move forward because we are getting some contracts we talked about earlier, and there is some better paying happening by the payers, but it's just been a little slower than we would expect, and we're just watching the process and we submit to the process when we feel like we're not paid fairly and equitably, and that's exactly what it's set up for. So hopefully, that helps explain it, but great question. Operator: Our next question is from Bill Sutherland with the Benchmark Company. William Sutherland: Great progress. Jon, just to follow up on that question somewhat. Would you ballpark kind of the numbers or the percentage of things going in negotiation that are being handled in negotiation? I mean, I guess what I'm trying to ask is, has there been some movement on that, that's measurable, better... Jon Bates: Bill, say it again. What are you asking again? As we go into the process or what? William Sutherland: As I think about it the twofold, it's a 2-part question. One is, are you -- because you alluded to some progress with negotiated settlement. And also, I'm curious about the degree to which you're beginning to go in that work? Jon Bates: Okay. Well, first of all, and I think we talked about this earlier. And just to remind everybody, in the process of going through the IDR process, the submission side and communication that goes to the IDRE from our end always includes a discussion about to the payer, we would like to do an in-network negotiation. That's why we do have open negotiations and ultimately only go to the arbitration side if we're not able to settle. But there -- in every brief that's submitted, there is a request and an interest because we do have an interest in finding something that makes sense. So that piece of it is continual. And yes, we do -- I mean, every day, we have communication with multiple different payers out there that have expressed interest or we have also reached out to some as well in some of the local areas that we have access and knowledge of, and try to do the same. And we've had some scenarios where we've been successful. And I would say more than not, though, there's still a feeling that the payers don't necessarily really want to actively provide the fair and reasonable in some -- payment in some cases. So therefore, we leave it alone. But it's an active effort, and I think we will continue to get more and more of this and we hope to get them all done. William Sutherland: So -- sorry to interrupt. And so nothing's changed, really. I mean, as you said, you have the same kind of percentages on your side in terms of what's going to IDR. Jon Bates: Yes, that's fair. I think it definitely has improved, but it's a slight improvement. And as we watch some of these regulatory communications, I think we're starting to see more that support a reason for where we can come up with something that makes more sense and get agreements in place down the road. But it takes time in this industry, as we all know. William Sutherland: Well, there wasn't too much in that final rule that really focused on the open negotiation part other than make it streamlined, but didn't really encourage the 2 parties to really make it happen. And you would say your percentage of revenue that's in network hasn't changed either? Jon Bates: Percentage of revenue that's in-network as in our visits and our revenue related to in-network patient and inpatient? William Sutherland: Yes. Yes, in-network versus out-of... Jon Bates: Yes, it's -- I mean, we've had a few more, but yes, it's a slight increase in the in-network scenario, I think it's what you're asking, but yes, improved a little bit. Thomas Vo: Yes, it's definitely not material for sure. But Bill, I want to... William Sutherland: That's what I was trying to get at. Thomas Vo: Yes. But one of the things I wanted to reiterate and one of the things that I'd like to sort of, like, clarify for all the investors is that, yes, we are out-of-network. However, with our business model, we can stay out-of-network and still do well. So the No Surprises Act, basically states that if you have an emergency, you can go to any hospital, whether or not it's in-network or out-of-network. And still, we expect it to get paid at the in-network rates. And so that's essentially how we have been operating for the past 15 years or so. And so yes, the -- No Surprises Act encourages us to go in-network, which we are once again looking at every single contract that comes in and make strong consideration about whether or not we accept the contract or not. But even if the contract terms are not in line with what we would like, we can still stay out-of-network. And obviously, the IDR process is a tool for us to get that fair and reasonable rate. And then one more thing that I'd like to bring up is that just because you go in-network, it doesn't mean that all of your troubles are resolved. And in fact, and I'm sure you know this, but every single hospital system has an in-network disputes with the health insurance company, every single one. I mean every -- I would say, every quarter, you hear a big hospital system that goes out-of-network because of a big dispute with the health insurance company because of all the contractual obligations that they have in the in-network contract. And so my point is that just because you're in-network doesn't mean that everything is rosy. And so we're still going to take a look at every single submission for the insurance company, but the great thing about our model is that we can stay out-of-network if we need to. William Sutherland: And then one last one. Just thinking about quarterly cadence in terms of your hospital activity levels each quarter. I noticed patient visits were pretty flat sequentially. So remind us about the seasonality as we think about patient visits going forward. Thomas Vo: Typically, the second and third quarter are the lowest and the fourth quarter and the first quarter is the highest because of the colder season and the flu season. Operator: There are no further questions at this time. I'd like to hand the floor back over to Vivian Sanders for any closing comments. Vivian Sanders: Thank you all for those valuable questions and answers. For all of those joining us today, if you have more questions, e-mail us at [email protected], and we'll get back to you promptly. On behalf of the Nutex management team, thank you all for joining us for our second quarter 2026 earnings call. We've covered a lot growth, strategy, challenges and our vision, and we appreciate your time and interest. A recording of this call will be available on our website for a limited time. So feel free to revisit it. Take care, everyone, and we look forward to keeping you updated on our journey. Operator: This concludes today's conference call. You may disconnect your lines at this time. Thank you again for your participation. Before you buy stock in Nutex Health, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nutex Health wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $400,209!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,375,393!* Now, it’s worth noting Stock Advisor’s total average return is 964% — a market-crushing outperformance compared to 215% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. 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Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Net income increased by 3,100% year-over-year, primarily driven by lower earn-out expenses as legacy facilities vested and reduced arbitration-related costs. Total revenue saw a slight 6% decrease in the first half of 2026, which management attributed to timing differences between accrual and cash collections rather than operational decline. Same-hospital visit growth of 6.3% in Q2 reflects successful internal investments in business development, AI-driven physician outreach, and expanded IPA networks. Management highlighted a series of federal court rulings that reinforced the finality of Independent Dispute Resolution (IDR) awards, limiting insurers' ability to challenge arbitration outcomes. The company is internalizing real estate development capabilities to gain better control over timelines and costs, while maintaining a strategy to monetize assets through sale-leaseback transactions. Operational focus has shifted toward increasing patient acuity and inpatient volume, as inpatient services yield higher reimbursement rates than emergency room visits. Workforce stability remains a core differentiator, with turnover at 6.8% significantly outperforming industry benchmarks and supporting consistent patient care quality. Management expects a 25% to 30% decrease in historical normalized contract service costs due to the new CMS fee reduction and the renegotiated HaloMD agreement. The hospital development pipeline remains steady at 3 to 5 new openings per year, with three facilities scheduled to open in late 2026 across Arkansas, Texas, and Florida. Future revenue per visit is expected to remain in the $4,000 to $4,200 range, assuming stable collection percentages and continued IDR success rates. The company plans to expand clinical capabilities into specialized services like endoscopy to meet community needs and drive higher-margin procedural revenue. Nutex intends to remain strategically out-of-network where payer contracts are unfavorable, utilizing the IDR process as a primary tool for fair market-based reimbursement. A significant amendment to the HaloMD contract shifted fees to a 'pay-on-collected' basis retroactive to 2024, better aligning expenses with actual revenue realization. CMS reduced the nonrefundable IDR administrative fee from $115 to $15 per dispute, which contributed to a $4.3 million cost reduction in the quarter. Stock-based compensation expense dropped by $75.9 million in Q2 as the majority of legacy development earn-outs reached completion. The company maintains a strong liquidity position with $207.1 million in cash, providing flexibility to self-finance approximately half of the 2027 hospital pipeline. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Specific arbitration costs are expected to drop from the mid-20% range to the high teens or low 20% as a percentage of related revenue. The shift to a pay-on-collection model ensures the company no longer accrues 100% of IDR costs on every legal win before cash is received. Management noted that while legal wins support the IDR process, insurer behavior remains largely 'steady state' with only slight increases in offered rates. The company continues to submit approximately 60% of claims to IDR because Qualifying Payment Amounts (QPAs) remain relatively low. Nutex is open to in-network agreements but will only sign if rates are fair; management noted that even in-network hospitals face frequent payment disputes. The business model is designed to thrive out-of-network by leveraging the No Surprises Act to ensure patients receive emergency care at in-network cost-sharing levels. Growth is being driven by keeping patients in-house for inpatient care rather than transferring them, which significantly improves reimbursement. The 'small-scale' hospital model allows for rapid pivoting to offer specific community-needed procedures like colonoscopies.

Interested in Nutex Health Inc.? Here are five stocks we like better. Profitability improved sharply despite lower revenue: Second-quarter revenue fell 13.6% to $210.8 million, but net income rose to $65.8 million from a $17.7 million loss and adjusted EBITDA increased 25.7% to $90 million. Lower arbitration-related costs drove margin gains: A reduced CMS independent dispute resolution fee and revised HaloMD terms contributed substantially to lower expenses. Nutex expects normalized contract-services costs to decline 25% to 30% if current IDR trends continue. Patient volumes, cash flow and expansion remained positive: Hospital visits increased 9.6% year over year, first-half operating cash flow rose 40% to $109.7 million, and the company plans to open hospitals in Arkansas, Texas and Florida during the second half of 2026. Nutex Health (NASDAQ:NUTX) reported higher second-quarter profitability and adjusted EBITDA despite lower revenue, as the company benefited from reduced arbitration-related costs, lower stock-based compensation and continued patient-volume growth. For the three months ended June 30, Nutex reported revenue of $210.8 million, down 13.6% from $244 million a year earlier. Hospital division revenue declined 14.6% to $201.9 million, while population health revenue rose about 16% to $8.9 million. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth Net income attributable to Nutex was $65.8 million, compared with a net loss of $17.7 million in the prior-year quarter. Adjusted EBITDA rose 25.7% to $90 million. Operating income increased to $121.7 million from $33.7 million. Chief Financial Officer Jon Bates said the year-over-year revenue decline primarily reflected the comparison with the second quarter of 2025, when the company recognized a larger increase in collection assumptions as its experience with the independent dispute resolution, or IDR, process developed. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High Revenue per visit in the second quarter of 2025 was approximately $5,185, compared with a cumulative range closer to $4,000 to $4,200 per visit since Nutex began using IDR in July 2024, Bates said. The company had increased its collection percentage assumption from 65% at the end of 2024 to 75% by June 30, 2025, creating a favorable prior-year adjustment. The collection percentage has since leveled out at just over 80%, he said. Bates said management expects revenue per visit to remain generally consistent with the cumulative range, although increased inpatient activity could cause some variability. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling Hospital visits increased 9.6% to 49,962 in the second quarter, while same-hospital visits rose 6.3%. For the first six months of 2026, hospital visits rose 6.2% to 99,704, with same-hospital growth of 3.4%. Facility-level operating costs and expenses declined to $69.5 million, or 33% of second-quarter revenue, from $119.1 million, or 48.8% of revenue, in the prior-year period. Bates said the reduction was primarily driven by changes to arbitration-related costs. A federal IDR rule issued in May reduced the CMS non-refundable administrative fee to $15 from $115 per party per dispute for cases initiated on or after June 11. Nutex said the change contributed approximately $4.3 million to the quarterly decline in contract-services expense. The company also amended its agreement with HaloMD in June. The revised arrangement moved relevant fees to a pay-on-collected basis from payment upon award determination, retroactive to the original 2024 agreement. Bates said that change contributed about $38.4 million to the quarterly reduction in costs. Revised service fees for certain settlement amounts accounted for another approximately $9.6 million reduction. Nutex expects the CMS fee reduction and amended HaloMD agreement to reduce normalized contract-services costs by approximately 25% to 30%, assuming current IDR metrics continue. Arbitration-specific costs, previously in the mid-20% range of arbitration-related revenue, are expected to move to the high teens to low 20% range, Bates said. The company said it submits roughly 50% to 60% of claims through the IDR process, prevails in more than 85% of determinations, and collects more than 80% of determination wins on average. Chairman and Chief Executive Officer Dr. Tom Vo also highlighted court decisions in several states that he said reinforced the finality of IDR awards and limited insurers’ ability to challenge arbitration outcomes. Nutex characterized the federal IDR rule as constructive because it improves disclosures, electronic processing, claim batching and cooling-off periods without changing the core reimbursement framework. For the first half of 2026, revenue decreased 6.3% to $427.2 million from $455.8 million. Net income attributable to Nutex increased to about $112 million from $3.5 million a year earlier, while adjusted EBITDA rose 2.2% to $147.5 million. Stock-based compensation was a $1 million gain in the first half, compared with a $106.4 million expense in the prior-year period. Bates said one earn-out was finalized in the first quarter, while two remaining facilities are expected to complete their measurement periods in the fourth quarter. Cash and cash equivalents were $205.2 million at June 30, up from $185.6 million at the end of 2025, according to Bates. Net cash from operating activities increased 40% to $109.7 million for the first half. Total bank and equipment debt declined to $39.9 million from $43.5 million at year-end. Nutex said it expects to open hospitals in West Little Rock, Arkansas; San Antonio; and Jacksonville, Florida, during the third and fourth quarters of 2026. Its 2027 pipeline includes projects in South, Central and East Florida and Oklahoma. The company is internalizing real estate development capabilities and plans to monetize stabilized properties through sale-leaseback transactions rather than retain them as long-term real estate holdings. During the question-and-answer session, management said it remains focused on opening three to five hospitals annually, though it will continue to evaluate development opportunities. Chief Operating Officer Wes Bamburg said the company launched endoscopy services during the quarter, including colonoscopies and diagnostic EGDs, and plans to evaluate further service-line additions based on local demand. Management also said it is seeking to retain more higher-acuity patients in its hospitals, which could support inpatient volumes and revenue per patient over time. Nutex reported an average Google rating of 4.8 stars across more than 2,300 reviews and employee turnover of 6.8% during the first half of 2026. President Dr. Warren Hosseinion said the population health division manages nearly 40,000 patients across Medicare Advantage, commercial and Medicaid managed-care platforms. The company’s Southern California, Houston and Phoenix independent physician associations were profitable in the first half, while South Florida was slightly cash-flow negative. New physician associations in Dallas and San Antonio are contracting with physicians and are expected to begin enrolling patients in 2027. Nutex Health, Inc (NASDAQ: NUTX) is an integrated outpatient healthcare services company based in San Antonio, Texas. The company focuses on delivering a range of ambulatory care solutions, including urgent care, telemedicine, medical imaging, teleradiology, weight‐loss services and behavioral health support. By combining in‐person clinics with virtual care capabilities, Nutex Health aims to provide patients with accessible, cost‐effective treatment options outside traditional hospital settings. The company’s urgent care network operates through both standalone and retail‐anchored centers, offering treatment for non‐life‐threatening injuries and illnesses, preventive screenings and basic primary care. 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HOUSTON, Aug. 6, 2026 /PRNewswire/ -- Nutex Health Inc. ("Nutex Health" or the "Company") (NASDAQ: NUTX), today announced financial results for the three and six months ended June 30, 2026. Nutex Health is a physician-led, healthcare services and operations company with 27 hospital facilities in 12 states (hospital division), and a primary care-centric, risk-bearing physician network. Financial highlights for the three months ended June 30, 2026: Net income attributable to Nutex Health increased to $65.8 million, or diluted EPS of $9.38, compared to a loss of $17.7 million, or diluted EPS of $(2.95), for the three months ended June 30, 2025. EBITDA attributable to Nutex Health was $94.1 million and Adjusted EBITDA attributable to Nutex Health was $90.0 million, compared to $(0.5) million and $71.6 million, respectively, for the three months ended June 30, 2025. Total visits at the Hospital Division increased 9.6% year over year to 49,962, while visits at same hospitals, which are hospitals that were opened by December 31, 2024, increased 6.3%. Net cash provided by operating activities was $34.2 million for the three months ended June 30, 2026 as compared to $27.3 million for the same period in 2025. Financial highlights for the six months ended June 30, 2026: Net income attributable to Nutex Health increased to $112.6 million, or diluted EPS of $15.87, compared to $3.5 million, or diluted EPS of $0.55, for the six months ended June 30, 2025. EBITDA attributable to Nutex Health was $162.5 million and Adjusted EBITDA attributable to Nutex Health was $147.5 million, compared to $51.1 million and $144.4 million, respectively, for the six months ended June 30, 2025. Total visits at the Hospital Division increased 6.2% year over year to 99,704, while visits at same hospitals increased 3.4%. Net cash provided by operating activities was $109.7 million for the six months ended June 30, 2026 as compared to $78.2 million for the same period in 2025; and as of June 30, 2026, the Company had long-term debt, net of $31.1 million, slightly up from $29.2 million as of December 31, 2025. 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. Total revenue decreased 6.3% to $427.2 million for the six months ended June 30, 2026 compared to $455.8 million for the same period in 2025, while revenue at same hospitals decreased 6.0%. Total revenue decreased 13.6% to $210.8 million for the three months ended June 30, 2026 compared to $244.0 million for the same period in 2025, while revenue at same hospitals, decreased 12.1%. Most of the revenue decrease in 2026 compared to 2025 is due to the positive results from the early stage improvement in the IDR process that were realized in the first half of 2025. The Company has submitted between 50–60% of its claims through IDR; when an award determination is made, Nutex Health currently prevails in over 85% of those determinations and collects, on average, over 80% of the award amounts. Total arbitration-related costs decreased for both the three and six months ended June 30, 2026, reflected as a $52.3 million reduction to contract services expense. The reduction was driven primarily by the favorable June 30, 2026 retroactive amendment to the Company's agreement with HaloMD and the reduction in the CMS administrative fee. The HaloMD amendment transitioned certain fees to a pay-on-collected basis retroactive to our original contract date of May 1, 2024 and revised service fee terms for federal and state net settlement amounts obtained on or after July 1, 2026. The CMS administrative fee for the federal IDR process was decreased from $115 to $15 per party per dispute effective June 11, 2026. The cumulative impact from these two key changes directly reduced the contract services expenses for the second quarter and six months ended 2026 period by $52.3 million. Based on current expectations, we anticipate the impact of these favorable changes will lead to an approximate 25-30% reduction in our normalized historical contract services expenses prospectively. This impact is based on the current regulatory outlook and the Company's current expectations. Actual contract services expenses incurred in the future may differ significantly. One additional item within the HaloMD agreement is that the Company may perform dispute resolution services in-house or through the engagement of another third-party vendor or service provider with respect to certain future facilities. Total stock-based compensation for the six months ended June 30, 2026 was a gain of $1.0 million, compared to an expense of $106.4 million for the same period in 2025. Net income attributable to Nutex Health increased 3100% in the first six months of 2026 as compared to the same period in 2025, underscoring strong operating cash generation and execution of its planned growth strategy. "2026 is continuing to be a solid financial year, including total revenue of $427.2 million, net income attributable to Nutex of $112.6 million, diluted EPS of $15.87 per share and $109.7 million of operating cash flow in the first six months of 2026. We also delivered meaningful operating income improvement, with operating income increasing to $203.0 million for the first six months of 2026 from $114.3 million in the same period of 2025, supported by lower total operating costs and expenses of $194.2 million compared to $212.5 million in the prior-year period. Our balance sheet remains strong with a cash balance of $205.2 million and long-term debt of $31.1 million. We believe we are set up well for finishing the year strong as we continue to grow with the expected opening of three new hospital later this year," stated Jon Bates, Chief Financial Officer of Nutex Health. "We are pleased with our progress through the first half of 2026, as our teams continue to execute on initiatives designed to strengthen internal processes and initiatives, expand patient access, and drive both patient volumes and inpatient admissions. Our operating performance, revenue cycle management execution, new hospital openings and disciplined expense management all contributed to improved profitability, including net income attributable to Nutex Health of $112.6 million and diluted EPS of $15.87 for the first six months of 2026," stated Tom Vo, M.D., MBA, Chairman and Chief Executive Officer of Nutex Health. For more details on the Company's financial results for the three and six months ended June 30, 2026, please refer to our Quarterly Report on Form 10-Q filed with the U.S. Securities & Exchange Commission and accessible at www.sec.gov. Conference Call on Second Quarter 2026 Results The Company will host a conference call on Friday, August 7, 2026 at 9:30 a.m. CT to discuss its results for the first two quarters of 2026. Participant Listening: 1-877-407-9208 or 1-201-493-6784 Participant Link: https://callme.viavid.com/viavid/?callme=true&passcode=13746493&h=true&info=company&r=true&B=6 To access the call, please dial in approximately five minutes before start time. Those who are unable to attend the live conference call may access the recording on the Company's website. Non-GAAP Financial Measures EBITDA and Adjusted EBITDA. EBITDA and Adjusted EBITDA are used as supplemental non-GAAP financial measures 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 these measures allow us to more effectively evaluate our operating performance. We define EBITDA as net income attributable to Nutex Health Inc. plus interest expense, income taxes, depreciation and amortization. Interest expense includes interest on lease liabilities, which is a component of total finance lease cost. We define Adjusted EBITDA as net income attributable to Nutex Health Inc. plus net interest expense, income taxes, depreciation and amortization, further adjusted for stock-based compensation, finance lease payments related to leases under Accounting Standards Codification Topic 842: Leases ("ASC 842"), certain defined items of expense and any acquisition-related costs and impairments. A reconciliation of net income to EBITDA and 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. We believe this update provides greater transparency into our operating performance. EBITDA and Adjusted EBITDA are not intended to serve as alternatives to U.S. GAAP measures of performance and may not be comparable to similarly-titled measures presented by other companies. EBITDA and Adjusted EBITDA follow (in thousands): 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. This division owns and operates 27 hospital facilities in 12 states. The Population Health Management division owns and operates provider networks such as Independent Physician Associations. Through our Management Services Organization, 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 Reform 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, regulatory and litigation uncertainty under the No Surprises Act, lawsuits filed by health insurance providers against our third party provider in the arbitration process, sales of a substantial amount of our Common Stock by our stockholders, our obligation to issue additional shares of our common stock to former doctor owners of under construction hospitals, manipulative short seller reports, the impact of litigation and disputes, our ability to successfully execute our growth strategy, economic conditions, dependence on management, 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, 2025, and the Quarterly Report on Form 10-Q for the three months ended March 31, 2026, 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-second-quarter-2026-financial-results-302845502.html

HOUSTON, July 21, 2026 /PRNewswire/ — Nutex Health, Inc. (NASDAQ: NUTX), a physician-led, integrated healthcare delivery system comprised of 27 state-of-the-art micro hospitals and hospital outpatient departments in 12 states and primary care-centric, risk-bearing physician networks, today announced that it plans to file its Form 10-Q for the second fiscal quarter ended June 30, 2026, on Thursday, Aug. 6, 2026, after the market close. The Company will also issue a corresponding press release summarizing financial results on the same day. Nutex Health will host its earnings conference call on Friday, Aug. 7, 2026, at 9:30 a.m. CT to discuss the Company's financial performance and provide a business update. Conference Call Details Date: Friday, Aug. 7, 2026Time: 9:30 a.m. CTParticipant Listening: 1-877-407-9208 or 1-201-493-6784 Call me™: https://callme.viavid.com/viavid/?callme=true&passcode=13746493&h=true&info=company&r=true&B=6 Participants can use the guest dial-in numbers above to join the call through an operator or click the Call me™ link for immediate telephone access to the event. The Call me™ link will be made active 15 minutes prior to the scheduled start time. Following the event, a transcript and recording of the call will be available on the Company's website under the "Investor Materials" section. 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 three divisions: a Hospital Division, Population Health Management Division, and Real Estate Division The Hospital Division owns, develops, and operates innovative health care models, including micro-hospitals, specialty hospitals, and hospital outpatient departments. This division owns and operates 27 facilities in 12 states. The Population Health Management division owns and operates provider networks such as Independent Physician Associations. Through our Management Services Organization, we provide management, administrative and other support services to our affiliated hospitals and physician groups. The real estate division comprises of real estate entities along with activity related to the development and construction of hospital facilities. The real estate entities own the land and hospital buildings which are leased to our hospital entities. Forward-Looking Statements Certain statements and information included in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform 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, to remediate our material weaknesses in a timely manner, 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, 2025 and subsequent Quarterly Report on Form 10-Q for the three months ended March 31, 2026 under the heading "Risk Factors" in Part II, Item IA thereof, and the risk factors and other cautionary statements contained in our 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-schedules-2026-second-quarter-financial-results-release-and-conference-call-302830277.html

Image source: The Motley Fool. Friday, March 28, 2025 at 10:30 a.m. ET Chief Executive Officer — Tom Vo Chief Financial Officer — Jon Bates President, Population Health — Warren Hosseinion Chief Operating Officer — Josh DeTillio Vice President, Investor Relations — Jennifer Rodriguez Need a quote from a Motley Fool analyst? Email [email protected] Tom Vo: Thank you, Jennifer and good morning, everyone. I am pleased to resent Nutex Health results for the first quarter of 2025, which reflects continued progress following a strong 2024. Our mission of delivering accessibility with high-quality care and a patient-first approach has driven consistent growth and operational stability. Operationally, Q1 2025 show steady progress, with total patient visit reaching 48,269 patients, a 20.5% increase from 4,068 in Q1 2024. Mature hospitals achieved a 5.3% increase in visits, demonstrating sustained demand for our services. Financially, Q1 2025 delivered solid results. Total revenue reached $11.8 million, a 214% increase from $67.5 million in Q1 2024. Adjusted EBITDA was $72.8 million, up from a negative $400,000 from the same quarter last year. Net income attributable to Nutex Health, Inc. was $14.6 million or $2.65 per basic share compared to a negative $400 million loss or a negative $0.08 per basic share in Q1 2024. Our balance sheet remains stable with long-term debt actually slightly reduced from -- I'm sorry, reduced to $20.7 million from $22.5 million at year-end 2024 and cash in the bank at $87.7 million, up from $43.5 million from year-end 2024. Our net cash flow from operating activities in the first quarter of 2025 was $51 million compared to just $3.1 million in the same period in 2024 and surpassing the cash flow for the entire year of 2024. These impressive growth metrics reflect our company's efforts to enhance patient volume, increase inpatient admissions, cost streamlining and optimization and improved revenue per patient through effective revenue cycle management, particularly via the arbitration process. Every month, we are gathering more data collections and arbitration wins which help us refine our accruals, and we believe we are getting closer to a steady state. While there's a lot of work that needs to be done, we are very encouraged by the positive progress. Let me take a few moments to discuss the arbitration process that we first implemented in July of 2024. Overall, it is a small but very important part of our operation. In the first quarter of 2025, we submitted between 60% to 70% of billable visits through the arbitration portal. We achieved an 80% plus win rate of these emissions, resulting in facility collections increasing by between 20 -- I'm sorry, increasing by between 200% to 300% compared to the initial insurance payments. This means that an independent arbitrator has legally determined that the insurance companies are paying us initial payments that are much lower than fair and reasonable rates over 50% of the time. So far, even with these winning percentages, we have not seen any significant behavioral changes. We are constantly monitoring legislative and legal developments at both CMS and in Congress, to make sure we are on top of any potential changes. However, from all our research and discussions with subject matter experts, it appears that the No Surprises Act and the associated arbitration process is here to stay. One main reason for this is the fact that very few of the charts that are eligible for arbitration actually yet arbitrated. In fact, public data shows that only about 5% of eligible charts are actually arbitrated. The reasons for this include -- the reasons for this low level of arbitration participation include the high monetary cost as well as the extended time extended length of time to get paid once EHR [ph] goes through the arbitration process. In terms of the arbitration process itself, it is constantly getting more refined day by day. We are seeing some improvements to the arbitration process, including more IDREs or arbitrators being added to the list of available arbitrators as well as new guidelines to provide Safeguard to the integrity of the system. In fact, one legislative development that may be germane to our industry will be Bill-HR-9572, being introduced by representative Greg Murphy of North Carolina that proposes a penalty of 3 times the difference between the insurers' initial payments and the IDR award amount, less interest if the insurers do not pay in 30 days as required by rules in the No Surprises Act. This bill will only help us get paid faster in a more reasonable manner. Looking ahead, we are well positioned for 2025. We continue to expand our micro hospital model in high demand markets. There is no lack of demand for our innovative micro hospital model as we still receive requests to build these hospitals monthly from all over the country. For 2025, we have plans to open three additional hospitals. Our pipeline currently extends from 2025 to 2028, and has 10 less projects in various stages of development, targeting markets where our high-quality care is needed. Each facility is designed to reduce merchant, wait rooms, increase accessibility and provide tailored medical services. Our company growth strategy emphasizes four priorities: increasing patient volume, expanding services to provide care to more observation and inpatient emissions optimizing revenue through efficient revenue cycle management and arbitration, maintaining disciplined cost and aggressive debt management. We feel that as long as we receive fair and reasonable payments, from either the arbitration process or from changes in payer behavior, our lower cost model will be sustainable tangible. Because of our experience of having been through multiple cycles, and our ability to pivot and adapt to any market conditions and with the balance sheet and a clear pipeline, Nutex is well positioned for continued sustained growth. So now I'll turn the call over to Jon Bates, our CFO. John? Jon Bates: Thank [technical difficulty] financial performance for the first quarter of 2025 which reflects another solid quarter with consistent growth. I'll compare some key financial metrics for Q1 of 2025 versus the same period in '24, highlighting percentage changes across areas such as revenue, adjusted EBITDA, net income, EPS and other indicators as detailed in our Form 10-Q filed yesterday. Starting off with total revenue. So total revenue for Q1 of 2004 is Tom indicated did reach $211.8 million, a 214% increase from $67.5 million in quarter one of 2024. The hospitals revision drove most of this growth, generating $203.9 million, which is up 240% from $60 million in the first quarter of '24 with $105 million tied to arbitration efforts through the independent dispute resolution process. Of that $105 million in arbitration revenue, $60 million related to data service for the first quarter of '25, $26 million related to date of service for the fourth quarter and $12 million related to dates of service for the third quarter of '24 following the remaining $7 million relating to periods prior to the third quarter. Of the total hospital division revenue, mature hospitals, which are hospitals operational before December 31, 2022, it saw 186.5% revenue increase for the first quarter of '25 versus the same period in '24. And for the hospital division visits, we did see growth as well during the quarter as they increased by 20.5% or 8,201 visits up to 48,269 visits in the first quarter of '25 versus 40,068 visits in the same period in '24 with mature hospitals growing at 5.3%, as Tom indicated before, in the first quarter of '25 versus the same period in '24. Additionally, the Population Health division revenue did increase by roughly $400,000 or 5.4% up to $7.8 million in the first quarter of '25 from $7.4 million in the same period in 2024. Now let's discuss the overall facility and corporate costs and the continued improvement in that area. Total facility level operating costs and expenses increased $36.2 million during the period, but only represented 44.1% or $93.5 million of total revenue for the first quarter of '25 versus 84.9% or $57.3 million of total revenue for the same period of '24. Of the $36.2 million increase in these facility operating costs and expenses, $26.3 million related to arbitration costs for the additional arbitration revenue recorded during this period, which approximated 25% of that incremental addition of revenue I mentioned previously. As a result of the revenue and facility cost improvements, our 2025 first quarter gross profit was $118.3 million or 55.9% of total revenue as compared to $10.2 million or only 15.1% of total revenue in the same period of 2024, which represented 1,065% improvement. From a corporate and other cost perspective, the general and administrative expenses as a percentage of total revenue for the first quarter of '25 decreased down to 4.7% compared to 12.8% for the first quarter of '24, showing our continued focus on controlling costs while improving revenue. Additionally, on our first quarter 2025 income statement, you will see a line item for stock-based compensation and expense and it's been there this year and last year and before. But with the amount for the first quarter of 2025 being $36.1 million, most of that expense is explained in our first quarter 2025 10-Q within Note 10. But within that note, we explained that under the terms of four separate contribution agreements for hospitals that were deemed to be under development hospitals when Nutex went public back in April of 2024 at the point in which each of the hospitals have been open for two full years, they are eligible to receive a onetime additional is of company common stock based upon the earnings of the hospital in the second year of their operations, and that second year is which we denote to be the period of what the earnout period is. So with four of these hospitals in the earn-out period currently, we are accruing for the potential earn-out for each. And in the first quarter of 2025, that accrual amounted to $36 million that will be trued up each quarter until we get to the end of year two of each hospital after opening. And that a final calculation will be done and payment will be made 100% in common stock and recorded as noncash stock compensation expense in our financials, which is how it's presented currently. In the first quarter of 2025, one of these facilities did reach the end of the earn-out period, leaving the other 3 to complete their earn-out period by the early part of the third quarter of 2025. The good news is that after these limited number of legacy hospitals have matured, there will not be a significant noncash earnouts in the future. Now let's talk about operating income. Operating income, including the negative impact of the same $36.1 million in non-cash stock-based compensation expense for the first quarter '25, $72.2 million compared to $1.5 million in Q1 of 2024, representing a $70.7 million improvement quarter-over-quarter. Net income attributable to Nutex Health was $14.6 million for the first quarter of '25, again, also including the negative impact of that $36.1 million noncash stock-based compensation expense that we talked about previously. And the comparative net loss attributable to new tax was 40 for the first quarter of '24, showing a $15 million improvement period-over-period. From an earnings per share perspective, our diluted EPS for the first quarter of 2025 was $2.56 share compared to a loss of $0.08 per share in the first quarter of '24, showing at $2.64 share -- per share price increase period-over-period. Now adjusted EBITDA attributable to Nutex increased $73.2 million from a loss of $400,000 in the first quarter of 2024 to $72.8 million in the first quarter of 2025. One small change in our calculation of vested EBITDA this quarter, which we will continue using as we go forward, was that we now include in our calculation, the impact of cash rents paid that fall under our right-of-use asset financing treatment for our building leases for all periods presented. Our previous treatment of these rent payments within our calculation, the rent paid -- the cash rent paid impact was not being reflected as a reduction in this calculation, so we felt it appropriate to include it. Finally, our balance sheet remains very strong with cash and cash equivalents at March 31, 2025, at a record high of $87.7 million, up $44.1 million or 101.1% from $43.6 million as of December of 2024. Our continued success with the collection efforts related to the arbitration process is allowing us to get paid more fairly to the services we provide and was obviously a big part of this success. With regard to the accounts receivable, our balance at March 31, 2025, was $295 million, an increase of just under $63 million from $232 million at the end of the year of 2024. To give you some perspective of that $295 million ARR, $199.3 million or roughly 68% relates to visits in the arbitration process, which was similar to our position at the end of 2024. And during the first quarter of 2025, the company collected around $140.4 million in cash, of which $103.7 million or approximately 45% of that related to AR as of December 31, 2024. And regarding cash flow, Tom mentioned this earlier, but net cash from operating activities was very strong this quarter at $51 million which was an increase of $47.3 million from the same period in 2024. On the liability side, our total bank and equipment type debt increased by nearly $1.8 million to $43.2 million at March 31 of 2025 from $41.4 million at December 31, 2024. With the majority of this debt, as we talked about before, relating to equipment loans at our hospitals for such items as the MRIs, X-rays ultrasounds and items like CT machines. Outside of this normal $40 million plus of equipment type debt, the only other items of materiality that look like that on the balance sheet are the liabilities related to financing and operating lease liabilities, which are just the future lease payments due to our landlords on our hospitals. And we've discussed this in previous periods, but I just wanted to walk through again so that we remind people how this -- and what this really means because these are reflected on the balance sheet because the accounting rules require us to aggregate all lease payments that we pay the landlord for the entirety of each lease term, which might be 15 to 20 years of payments. And then present value that total lease payment back for each, all the way from inception of that lease and record both a right-of-use asset and a corresponding right use liability on the balance sheet for that result. As a result, on our balance sheet, at March 31, 2025, the net asset balance for the operating and financial right-of-use assets amounted to $243.7 million, which is about 32% of our total assets. And the net liability balance for the operating and financing rates liabilities amounted to $288.7 million, which is 61.2% of total liabilities. So I just wanted to provide some perspective as most investors and analysts don't view these right-of-use asset liabilities as real operating debt. So I wanted to kind of clarify that for you. With all this said, our balance sheet remains very solid, and we continue to strengthen it with our positive operating performance. Our current financial position has put us in a great position to execute on all of our initiatives in our 2025 operating plan, including the opening of three new hospitals later this year, as Tom mentioned earlier. With that, I'll now turn it over to Warren Hosseinion. Warren? Warren Hosseinion: Thank you, Jon, and good morning, everyone. Thank you all for joining us today. I'm pleased to provide an update on Nutex Health Population Health division which supports our commitment to value-based care. As a reminder, our overarching strategy at Nutex Health is to build an integrated health care delivery system combining hospitals and medical groups also referred to as IPA, Our IPAs are comprised of networks, as primary care physicians and specialists located around our facilities. The IPAs enroll patients from different health plans and are responsible for the total care of these patients. By combining hospitals and IPA, we believe we will be able to deliver care that is more coordinated, cost-effective and with better outcomes for our patients. Our IPA send patients to our hospitals and our hospitals deliver more efficient and cost-effective care, reducing the medical loss ratios in our IPAs. This is a long-term strategy that will take several years to bear fruit, but we are in this for the long run at Nutex Health. We are pleased to report a strong start to the year with first quarter results that reflect the continued momentum behind our strategy. We currently have over 40,000 patients enrolled in our IPA in various risk-based arrangements. Of note, I am happy to report that we now have almost 1,400 Medicare Advantage members in our Houston physician IPA. In Q1, our IPAs generated $7.8 million in revenue, a 5.4% increase from $7.4 million in Q1 2024. This is despite the fact that we divested two non-core assets in mid-2024 that were generating revenues but had operating losses. Operating income improved to $0.1 million from a $0.3 million loss in Q1 2024. Margins continue to be moderated by ongoing investments in new markets such as Houston, Phoenix and Dallas. With that, I will now turn it over to Josh DeTillio, our Chief Operating Officer. Josh DeTillio: Thank you, Warren, and good morning, everyone. I'm pleased to share Nutex Health's operational results for Q1 2025 which demonstrate our ability to deliver high-quality care while achieving steady growth and cost discipline. Our micro hospital model centered on patient needs continues to perform very well, and I'll discuss some volume trends, cost management, patient acuity, and advantages of our approach. Total patient visits, as Tom mentioned, reached 48,269 a 20.5% increase from the $4,068 in quarter one 2024 which reflects growth in both new and mature hospitals. Mature hospitals grew by 5.6% in the first quarter. This growth reflects our leadership team's efforts in community engagement, business development and adding specialists to manage more complex cases by increasing observation in inpatient space to meet the community need. Our capacity to provide observation inpatient is a key strength. Observation days help avoid unnecessary admissions while inpatient services ensure comprehensive care for appropriate cases. This approach improves outcomes and patient satisfaction by offering efficient high-quality care. Our model reduces emergency room wait times and provides personalized services positioning Nutex as a trusted provider in the communities we serve. Cost discipline for us remains a priority. Excluding arbitration costs, operating costs remained stable despite higher volumes and new hospitals this year. Labor costs increased 29% from $27 million to $34.9 million, which was comprised of increased payroll and benefits for opening four new hospitals or higher ER volumes and an increased volume of higher acuity observation and in patients. Overall labor costs continue to be a much smaller percentage of net revenue than most hospital companies at 16.4% for the first quarter, which exemplifies our lean, high-quality model, continue to be a very good story for us. Supply costs decreased 28% from $5.3 million to $3.8 million in the quarter due to our 2024 GPO and vendor realignment even while we opened four new hospitals in the year. We will continue to see supply cost savings throughout 2025, as stated in the third quarter 2024 earnings call. We're continuing to explore technology investments, including AI, for patient check-ins, staffing optimization, provider note writing and coding accuracy to improve productivity and efficiency. These tools will help further streamline operations care delivery and productivity this year and going forward. We continue to believe our micro hospital model is the future of health care. This model provides efficient access, high-quality concierge care, a lower cost structure in a more intimate and personalized setting versus the large general hospitals. We believe the micro hospital model will continue to grow rapidly over the next few years and in the industry. As we've seen in our existing hospitals when patients have a choice to prefer fast, high-quality personalized care with our model and profitability, we are well positioned to continue our growth and progress in the coming years. Back to you, Jen. Jennifer Rodriguez: Thank you, Josh, and thank you to Tom, Jon and Warren for those updates. We'll now move to the Q&A. Operator, please provide instructions. Operator: Thank you. [Operator Instructions]. And our first question comes from the line of Bill Sutherland with Benchmark Company. Please proceed with your question. Bill Sutherland: Thanks. Hey, everybody. Congrats on all the progress. So I guess, Jon, wanted to think about -- you said you're getting a lot more clarity on the arbitration process as far as how the cash comes in. And it looks like you're metrics are holding steady in terms of the submissions and the success rate. So should we think about 1Q as something that is essentially repeatable in the following quarters this year? I mean you do have a viewpoint here at the midpoint of 2Q? Thanks. Jon Bates: Yeah. No, great question. Obviously, we don't want we're still in the middle of the second quarter. I'm not going to speak much to that. But what I can tell you is, and I mentioned this at year-end when we went through this first discussion around what was going on with arbitration, it was sort of early stage. We felt like we had an understanding of the early on payments that were coming in, the realization of what was happening because we had a little more time to hold off as we're going through year-end, going into the early March time period to see how the true realization was happening. And so that's when we created the receivable we had at the end of the year. And I think what you can see from this, while it's going to take time to get to the point of normalizing. After one quarter, we're starting to see a little more of what we would expect. I think I mentioned then that I think it's really going to be two quarters until we're kind of really prove this out. But if you look at the raw numbers at -- think about how we talked about at the end of last year compared to now when we're looking at where the reimbursement rates were -- and you saw back then at the end of '24, if you look to the full year, it was in the $2,700 mark, but that was really only with six months of arbitration in it. So now we're moving forward, and you can kind of continue and think about, okay, for the quarter of 2025 where the reimbursement, as you looked at it kind of per visit was a little over $4,000 over $4,200. That's a guide, but I think you need to look back more, I believe, let's say, the last nine months from July through the first quarter. If you look at the nine-month number, it's in the $3,800 area. So I think when you're talking about normalization of revenue, it's starting to work its way down based on assuming similar acuity, certainly similar level of volume, which we've had some improvement there. So I think it's starting to work itself out, but to predict and say that this quarter is representative of what would happen in the next seasonality. And also, I think that we're still kind of getting the complete information now that we're -- we've been in this. We started in July, but really we didn't see activity until middle of the fourth quarter. So we've really only had about four, four and half months of cash coming in. So I think as we see the second quarter and add another quarter or two, and I think we'll really define that. But generally, it's trending in that direction, but I still think we're -- I don't think we're at a steady state yet. So we're going to have to watch that closely over the next quarter or so. Bill Sutherland: Well, yes, I was kind of thinking about it in terms of how it laid out with what you realized in terms of claims that were actually in this quarter and then what came in from fourth quarter and third quarter, et cetera, and whether that sort of pattern feels like it's something that is going to follow in other words. Jon Bates: Yeah. Bill Sutherland: Yeah. And so you can't say -- obviously, no one's looking for -- we understand the vagaries of all this. But that's kind of a pattern just in terms of the trail, if you will. Jon Bates: Yeah, absolutely. That's all I mean it's a good point. So the trending, as you mentioned about the pattern. What we can say is we put out numbers at the end of the year, just like we put out numbers here, I can tell you that the numbers at the end of the year, I feel like they were representative of what was happening and what is expected to happen and we've continued that into the first quarter. So barring major changes other than the other independent variables that affect revenue. I mean I think the trending is solid. And I mean this engine, the process that we go through has been in place since even before when we went public, we set up just the regular accrual process of our revenue. And all we did was add on this feature and the engine is there. And we're feeding, as we talked about 60% to 70% of our visits are rolling through this process, and it's on a consistent basis still happening in that fashion. And we're still seeing the same level of success over 80% or more so. Based on that, the trending has been solid and we hope to watch that continue as we move forward. Bill Sutherland: Great. And you did just reaffirm something I want to make sure I understood. The three remaining underdeveloped hospitals receiving income on their model. That is going to run through third quarter and then they'll be done? Jon Bates: Correct. Yeah. That’s the main three are finished by the early part of the third quarter. Bill Sutherland: Okay. And then with the cash growing the way it is. I'm just curious, as you guys think about your capital deployment plans and how you may be prioritizing going forward? Jon Bates: Yeah. That's a great question. And I know Tom can speak more to that too as well. But I mean cash has been strong. We actually have sort of an investment approach internally or in the short term as we look at the different opportunities that are out there, in particular. I mean, certainly, we're always looking for continued growth in opening up facilities, which does take -- as he's talked about, he's got several in the pipeline. So that's a big piece potentially opportunities for us, we could increase that rate if we wanted to. We also -- I know as Warren mentioned on the population health side, there's opportunities to invest in that side of the business as well as potentially even looking at other similar smaller hospitals that would fit our layout to basically potentially add existing businesses that maybe aren't performing as well and then adding the features or functionality that we have to it and getting off the ground a little bit quicker. So there's opportunities in kind of those three areas, Tom, you can talk more about others. Tom Vo: Yeah. No. Thank you, Bill. Thank you for following us. Thank you for covering us. But like Jon said, we're very fortunate to be in a position to have a lot of cash in the books. Obviously, we're going to be very conservative with that cash and use it to maximize shareholder value. And so we have a lot of options. The good news, though, is that opening one of these hospitals, as you know, is not that capital intensive. And so even if we open these three hospitals this year, we should still have a lot of cash left over. And so we're still discussing internally on how to best deploy that cash and to maximize shareholder value. Bill Sutherland: Great. I’ll jump back in queue and let other people to get in question. Thanks, guys. Tom Vo: Thanks, Bill. Operator Next questions from the line of Thomas McGovern with Maxim Group. Please proceed with your question. Thomas McGovern: Hey, guys. Congrats in the quarter, the strong performance, especially underscored by the collections in arbitration. So that's going be my first question is related to -- during the quarter, a little bit over 40% of the arbitration related revenue was related to dates of service. Prior to the first quarter, right? So if you look back between the fourth quarter and this quarter, you recognized around $95 million in 4Q. So what I'm getting at is how have you guys started to look at working through prior quarter dates of service revenue? Have you guys worked through most of what you recognize for the fourth quarter? And can we expect the first quarter to be similar to the fourth quarter as of the end of the second quarter? So you guys recognized $60 million -- sorry, to kind of clarify it. It's recognized $50 million from 1Q. Would it be reasonable for us to assume you guys will be able to recognize somewhere around another $35 million in the second quarter kind of consistent with what you did in 4Q? Jon Bates: I mean it's a great question, Thomas. The reality is, I'd say we don't know as we watch the process. I can tell you that as I mentioned before, I think the ironing out of the realization piece, assuming steady state is starting to become clearer and clearer, which allows us to, in the period that we're in, improve kind of the accuracy of the revenue that we're recording, right? So I think we've done a really, really good job. And quite frankly, even prior, as I mentioned before, prior to arbitration, this is the way we've captured revenue to the best recent historical data, assuming things remain consistent for similar acuity, similar insurance payer, similar location, right? We're doing it down to the granular level. So what happens is as we see things like, okay, maybe there was an additional amount in the current quarter or current month that may be related to a previous month or a previous quarter. What that does is it helps us update the model. And it could be up or down, in this case, there's clearly, it's a little bit higher. But I think it's helping us to better align, better identify and better predict really what's going to happen. I think we've done a really good job of to this point and we're continuing to get better and better. But a lot of it depends on the timing of cash coming in and each of the different payers, right, we have different situations with each one. Some might pay slightly quicker, some slower and there's all sorts of individual situations one by one. But on a consistent trend basis, I think that previous period component should continue to work its way down, but that's always going to be there. Because you're taking -- someone's walking in the door today. And potentially, if it goes through the arbitration process, it could be five months before you ultimately get final payments. So you're anticipating when you might get you get a piece of that in 30 to 45 days, which is how it works and then you go into the process and then you got to wait 4 months after that to potentially get paid. So it will just be watching that and managing that in each of the -- watching it closely with different payers and the different levels of acuity and also different locations in different states that we're in. So long answer to your short question is, I can't predict exactly what we'll be to expect, say, in the second and third quarter. But I can tell you that I feel like we're getting tighter and tighter on the realization based on the more data that now we're getting that we've now had a solid -- if you think about the first payment coming in September, October last year. Now we've got six, seven months of payments and by the time we close out second quarter, it will be up to close to nine months of payments on this process. So I think we'll have a much better feel for it. But I think you see the trending, and I think you have an idea of kind of where it's heading and I think you're on target with your thought process. Thomas McGovern: Understood. I appreciate that color. And how should we be looking at the addition of new eligible arbitrators? Do you think this could accelerate the arbitration process or any way shift your strategy for submitting claims? Jon Bates: Yeah, it's a great question. I believe ultimately that will only help us, right? Because I think one of the things that we've been made known and we've been a couple of different seminars speaking at some and listening to other groups, including a couple of these IDREs in particular, a couple of the larger ones, along with the government. And they all indicate that the most important thing that needs to happen is that they need to find some additional arbitrating groups that can be certified and come in and help with some of the backlog. Because there's no doubt that the backlog is there, and you can see it in industry data as well, we see it too. So they have been picking that pace up a little bit. Several of them have done a great job. There's a couple that have lagged and they're actually being communicated with to try to help them get resources and improve on that plus than they've added, potentially as you mentioned, adding a couple more. I think adding a couple more will only help the situation. And we'll have to watch their impact and their communication in the process as we start using them because each one is a little bit distinct and different. And so we have to kind of watch their approach to how they handle the information that we provide them when it comes to their resolution of who wins or who loses, but we think it will only be a positive as you move down the road as they add more and more of these. And they are getting better at it, which is good and most of them are adding resources as we speak. Thomas McGovern: Understood. Thanks for that. And last question, then I'll hop back in queue. Just looking at the acuity mix, one of the largest drivers of mature hospital growth as well as the increased inpatient and observation visits. So you guys have added specialists to kind of facilitate this and continue to drive growth in that regard. I'm just curious, do you think that you're now operating at kind of a steady run rate in terms of acuity mix and inpatient volume? Would you expect that to continue to ramp as we move through 2025? And if you do expect it to continue to ramp, maybe just touch on some of the key points that are going to -- that you expect to drive continued growth in the year at high-level acuities and inpatient and observation visits? Tom Vo: Yeah, hi Thomas, this is Tom. First of all, thank you for following us, and thank you for covering us. So I'll elaborate a little bit on that question, and then I'll pass it over to Josh. But the way to think about this is that we still have a very high capacity in our inpatient capacity. So in other words, as we ramp up these hospitals to be able to emit more patients, and that includes getting more specialist on, getting the proper equipment, getting the proper software technology, so on and so forth. We feel that there's room to grow, not just on the volume side on the ER side, but also on the inpatient side. So Josh, do you have anything else to add from that standpoint? Josh DeTillio: No, not much on -- well said. I would just add that, as Tom said, we do have bed capacity, and we are increasing our reputation as being prepared to take care of most patients but the specialist component is a big component, adding cardiologists, adding neurologists and other specialties has helped us take care of more patients, more observation and in patients. So we expect that to grow. We haven't put out guidance on that yet, but that will continue to grow over the next coming quarters. Thomas McGovern: Understood. I appreciate that clarity. I’ll hop back in queue. Operator: Thank you. Next question is from the line of Gene Mannheimer with Freedom Capital. Please proceed with your question. Gene Mannheimer: Hi, thanks, good morning. Congratulations, guys, another above average quarter. Appreciate it. Jon Bates: Thank you, Gene. Gene Mannheimer: You're welcome. The arbitration payments, right, that we've been discussing when you get those in a successful dispute. Is there a penalty payment that you are receiving in that, that you would not otherwise receive -- if the bill was paid right the first time? And I guess where I'm going with that question is, over time, right, as arbitration revenue moderates and perhaps it's offset by higher base reimbursement. Does that make year-over-year comps tougher when we get out to, say 2026? Jon Bates: Yeah. So Gene, great question. On the first piece, in the arbitration concept and how that process works, right? Right now, there is no penalty for them to pay, pay timely or not pay timely. I know Tom indicated one of the acts earlier, the Murphy act. And one of the components of that listed and has in there is somewhat penalty concept that I think is important and something that is if and when a gain that gets put in will significantly improve the timeliness of payments. So answer to your first question is it should not have in our numbers, it's basically us providing the support for each component of the visit itself, supporting the value of the services that we're providing. And that's what's going on to the arbitrator. Now there is the ability you'll see in the NSA, it specifically says this, you can include cost to collect because you have to go through this process and you have potential to have to get lawyers or just spend time and effort. So you are able to include some type of cost component in addition to the services that you have, which in a lot of cases, that is included in and the ultimate argument that ultimately goes to that arbitrator and part of the 80%-plus win that we do get. But there is no quote unquote penalty as you asked at this point for them not paying or not paying timely. So I guess the answer based on that, then you asked about how that would affect '26, I don't think there would be any necessarily impact in future periods based on that changing other than certainly, if they do put in place the action for a punitive measure to the -- for the payers if they don't pay time. Then they will -- that certainly will increase the ability to have additional revenue. But at this point, that is not the case in the way we do our current process. Gene Mannheimer: Great, thank you, Jon for that color. And my follow-on is really more in the core business, you cited a 5.3% increase in the mature hospital visits, which is strong I'm just wondering if there was any element of outsized seasonality there? In other words, was the flu season worse this Q1 than last Q1, and therefore, maybe played a bigger factor? Tom Vo: Yeah. Hi, gene. I can answer that, and maybe Josh can chime in. By the way, Gene, thank you once again for following us and covering us. So this year's flu season was quite interesting. So what we saw was that the flu season started later, I would say, mid-December and it progressed through February and maybe even early March. And it was not just the flu, but it was RSV that was, obviously, COVID also and some GI bugs that was also involved. So the point is that, yeah, this flu season was a little bit longer last year. But even then, if you compare it quarter-to-quarter like year-over-year, and that successive quarter, we still achieved a 5% increase. And so I think that's basically to Josh's point that the communities are more aware of our services. We still provide fantastic services to the community. I mean if you take a look at any of our, say, Google review, we consist in 4.5 to 5 stars which is very unusual in health care. And so as the further we continue to operate in each community, the more the word gets out of how greater hospitals are so that more patients continue to come. Josh, any more color on that? Josh DeTillio: Yes, Tom. Well said a couple of things. One, about year and half ago, we really -- and I have to give credit to our teams, really started with a big business development effort, which continues to bear fruit. Our challenge really is getting the word out on our hospitals. We feel that we have the best service in the industry. So once a patient comes in, they see how great it is, they get the concierge care they're going to come back, they're going to bring their family back. So we continue to try and get the word out to educate the community on all the services we provide, and I think that's why you're seeing the continued mature household growth as well as increased observation and in patients. Gene Mannheimer: Yeah. That's great. Congratulations on that progress. And if I could just squeeze one more in. The three new hospitals planned this year. Can you just share maybe the timing of when you think those will open? Thanks. Jon Bates: Yes, so I could elaborate on that. So all three hospitals this year will be third and fourth quarter. All three of them are going to be in Texas. One of them is going to be in Houston, where our corporate office is. So it's essentially our backyard. The second half of all is going to be in San Antonio. And the third hospital is going to be in Sherman, Texas, which is located in north of Dallas on the Texas and Oklahoma border. So all three are very fast-growing areas with very good job growth for each of the communities, and we think that we could make a difference by bringing our brand of medicine to all three of those areas this year. Gene Mannheimer: Well that’s great. Thanks everybody. And congrats again. Jon Bates: Thank you, Gene. Operator: Our next question is from the line of Joshua Cohen with Westbury Capital. Please proceed with your question. Joshua Cohen: Hi, good morning. Thanks for taking my questions and congrats on the strong quarter. Going back to the discussion around the excess cash, could you talk through the options you guys are considering and whether capital return could be in the cards? Jon Bates: Yeah. Absolutely. In addition to the things that we talked about earlier, thanks Josh for the question. We're always looking at whatever is going to make sense from a shareholder perspective to add value. So we have discussions about whether there'll be share buyback certainly happened. We've talked about things like dividends at some point down the road, whether that would happen year time soon. But certainly, along with those, as we mentioned earlier, certainly, the investments in or current hospitals and maybe growing that pipeline a little bit quicker, the population health side, which I think is a great opportunity there to take on some situations that will help us really add value quickly. So those are a couple of different areas, Tom, you can add to that. Tom Vo: Yeah. No, thank you, Josh, for following us. So to Jon's point, we have a lot of options. Obviously, we need to be very cautious with our cash and maximize shareholder value. But the way that I see it, I mean, obviously, we could talk about dividend share buyback and all those are on the table. But a more interesting way of looking at this is maybe to increase more in our development pipeline and increased growth. And so there's several levels for that. I mean the first lever is adding more de novo hospitals. But the problem with that is that it's all development and construction. So and what I mean is that even if you want to grow faster today, it still takes about two years to build these hospitals from ground up because these hospitals do not exist. We're the pioneer in the country in building these hospitals. And so unless we want to build a hospital, we can operate the hospital. And so you have to build it from the ground up. And so as you can tell, building these developing these is challenging. Not that we can't do it, it's just that there's only a certain amount that you could do even if you want to start now. And so the second question is, is there M&A activities? Or is there acquisition opportunities? Once again, from a hospital standpoint, there's just no hospital out there to be bought. So even if you want to buy a hospital, they don't exist unless you buy these very massive big traditional hospitals. But then a lot of these hospitals may have failed for a certain reason, and they don't have the same sort of model that we do with the smaller and less number of beds and more cost efficient. And so that's a little bit of a limitation. And so the third lever is to maybe increase our number of IPAs as to what Warren was talking about. But that is a possibility. And currently, we have four IPAs in Houston, Phoenix, Los Angeles and Miami, and we have 24 hospitals. And so the idea is that if we could put an IPA around each of the hospital that may be doable. But once again, we don't want to -- we need to be very prudent in our spending and only look at certain businesses that will have a good correlation as well as benefit our current hospital. And so the point is we look at all options at this point. Joshua Cohen: Okay. Yeah. Thanks for that. And just a follow-up. And I appreciate that you guys are only halfway through the quarter here. But on the accounts receivable, curious if you could provide any additional color on both the confidence for collection and then also the expectations for pacing manner. Jon Bates: Yeah. I mean as good question, Josh. As I kind of talked about earlier on one of the previous questions, when I think about AR and I think about where we were at the end of the year and doing based on early information on how realizability was happening through then? And then now watching it after first quarter, I'm pretty confident, much more confident in what we had at the year-end, which is fantastic, and then it's continuing into the first quarter because I think the trending has been pretty consistent. And as we watch it, of course, payers can change their behavior or situations can happen, but I think the time lines that it takes to collect in the current environment that we're in, somewhere on average, all in, it's four months, but you get the piece that doesn't go through arbitration coming in just like it did before, and that normally would come in, in the 60- to 70-day mark. If you remember back into 2023 or even early 2024, most of that -- our collection time period for a lot of it was in that 60 to 75 a day, but that was pre arbitration. And then now the arbitration clearly has extended that because it can take from date of walking in the door up to five-plus months for the final payment to come in. Do you still get the first payment after that 30 to 45 days, and then you just have to wait from there? So long answer to your short question is, the average of that comes to somewhere in the 120-day mark is what we're seeing overall blended. And we'll watch it closely with some of that coming in, in that normal 60 to 75-day period and a larger chunk of the arbitration coming on the back end between the four or five and sometimes slightly longer than five-month process to get paid from day one. So hopefully, that helps. But I think what we were anticipating at the end of the year, which we were sort of seeing that early on with limited numbers continued into the first quarter. And I think that substantiated kind of where we had finished the year, and I feel pretty confident that what we have sitting at the end of March is continuing on that run rate and barring any major changes that the time period that collects all of this will continue to stay on the kind of period time line that I described. Joshua Cohen: Got it. Thanks for that. And congrats again on the strong quarter. Jon Bates: Thanks, Josh. Tom Vo: Thank you, Josh. Operator: Thank you. This now concludes the question-and-answer session. I'd like to turn the floor back over to Jennifer Rodriguez for closing comments. Jennifer Rodriguez: Thank you all for those valuable questions and answers. All those joining us today, if you have more questions, please email us at [email protected], and we'll get back to you answered. On behalf of the Nutex management team, thank you all for joining us for our first quarter 2025 earnings call. We've covered a lot growth, strategy, challenges and our vision, and we appreciate your time and interest. A recording of this call will be available on our website for a limited time, so feel free to revisit it. Take care, everyone, and we look forward to keeping you updated on our journey. Operator: Ladies and gentlemen, thank you for your participation. This does conclude today's teleconference. 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Image source: The Motley Fool. Friday, Aug. 15, 2025 at 10:30 a.m. ET Chairman & Chief Executive Officer — Thomas T. Vo Chief Financial Officer — Jon C. Bates President — Warren Hosseinion Chief Medical Officer — Michael Chang Investor Relations — Vivian Sanders Thomas T. Vo: Thank you, Vivian, and good morning, everyone. I am thrilled to present Nutex Health's preliminary results for the second quarter of 2025, which builds on the strong momentum from our first quarter and reflects our continued execution of a patient-first, high-quality care model. Our micro hospital approach, combined with strong operational efficiency and effective revenue cycle management has driven continued robust growth. Let me first discuss our operational results. And Jon will update everyone with our progress on the audit and interim review of our financials with our new auditor. Operationally, Q2 2025 shows strong performance with total patient visits reaching 45,573, a 10.6% increase from Q2 of 2024. For the first half of 2025, total patient visits were 93,842, a 15.5% increase from the first half of 2024. Total revenue increased to $244 million for the three months ended June 30, 2025, as compared to total revenue of $76.1 million for the same period in 2024, an increase of 220%. Gross profit was $124.8 million or 51.1% of total revenue for the three months ended June 30, 2025, as compared to gross profit of $22.6 million or 29.7% of total revenue for the same period of 2024. Adjusted EBITDA attributed to Nutex Health was $73.3 million as compared to adjusted EBITDA attributed to Nutex Health of $6.8 million for the three months ended June 30, 2024. Net cash from operating activities was $78.2 million for the six months ended June 30, 2025, compared to $16.3 million for the same period in 2024. As of 6/30/2025, we had $96.7 million of cash in the bank. The strong performance was a testament to our strong fundamentals and dedication and collaboration from all of the team members here at Nutex as we strive to fulfill our core mission of providing better access to health care. One driver of our financial success in addition to strong volume growth and higher patient acuity is our arbitration strategy under the No Surprises Act independent dispute resolution process. Congress enacted the No Surprises Act "NSA" effective January 1, 2022, to protect patients from surprise medical bills incurred when they receive emergency medical services from out-of-network health care providers. Providers bill the insurers directly. And if the insurer doesn't pay or in view of the provider underpays for the medical services provided, the NSA creates the independent dispute resolution or IDR process for unresolved billing disputes between providers and insurers. The patient is not involved in this process, and payment is issued directly to the provider from the insurer. The IDR process safeguards providers by promoting fair reimbursement for payers, helping ensure their continued ability to deliver care. This process, though administratively intensive, is critical for securing fair compensation when insurers do not pay fair and reasonable awards as is evidenced by the recent governmental data, which shows that during the second half of 2024, 85% of arbitration awards are in favor of the higher offers submitted by the providers. Nutex undertakes extensive labor and cost-intensive efforts to comply with all applicable laws and regulations in each of the jurisdictions in which it operates, including the eligibility rules in effect at the time a claim is being submitted to federal arbitration. For more information on the NSA and IDR process, please go through our Form 8-K filed on August 22, 2025, under term 8.01 and cms.gov under independent dispute resolution. On July 1, 2024, we engaged HaloMD, a third-party expert to work with us in challenging underpaid out-of-network claims. HaloMD specializes in independent dispute resolution through the MSA and state regulation for out-of-network health care providers. Nutex Health determines which claims to submit to arbitration. Given the complexity of the federal arbitration process and its interaction with state surprise billing laws, it is crucial for providers like Nutex Health to seek tech-enabled expert assistance in the highly complex submission process. This third-party expertise, such as that provided by HaloMD is essential for navigating the complexity of submission of claims in bifurcated states where either state or federal law may apply, depending on the insurance coverage and services provided. As such, independent federal arbitration is now by necessity and an integral part of our revenue cycle management operating procedure. Next, I'd like to address a few items that were published in a recently highly misleading short seller report, revolving around mainly HaloMD and allegations made by large insurers and several lawsuits against HaloMD. We strongly disagree with the allegations in the short seller report. Further, we believe that the report misrepresents Nutex business, its claim process and its ability to collect revenue. Further, we believe the short seller completely misunderstands the regulatory framework underpinning the independent federal arbitration system implemented under the No Surprises Act. Nutex Health has not been named in any lawsuit filed by Blue Cross Anthem or any other insurer against HaloMD. And Nutex Health has no hospital locations in jurisdiction where HaloMD is subject to alleviation initiated by insurers. In a press release issued on June 4, 2025, with respect to the lawsuit filed by Blue Cross Blue Shield of Georgia, HaloMD states that it is prepared to vigorously defend itself in this litigation in a manner that will highlight the lawsuit's meritless nature. Patient eligibility seem to have been a large point of contention in lawsuit. So a few clarifying points related to our situation. Nutex Health undertakes extensive labor and cost-intensive effort to comply with all applicable laws and regulations in each of the jurisdiction in which it operates, including the eligibility rules in effect at the time a claim is being submitted to the federal arbitration. the claims process for operating network claims differ from state to state and is highly complex due to mainly the bifurcated nature of many states, which have their own surprise billing rules for fully insured claims and for certain types of providers. Further, there are different rules in each state governing the determination whether individual claims may be bundled or batched when submitting to the certified independent dispute resolution entity. The short seller extrapolating from the HaloMD lawsuit, which does not apply to Nutex Health, seeks to allege that Nutex Health participate in an intentional flooding of the arbitration system, fortunately obtains large payment and could be subject to revenue clawback. As we have outlined in detail in our Form 8-K filed on August 22, 2025, the eligibility determination for the submission of out-of- network claims to the federal arbitration process are complex. We believe we meticulously adhere to the existing rules underlying those eligibility criteria. As further detailed in our Form 8-K, according to the data published by CMS, Nutex is part of an industry- wide trend, resulting in a large increase in the number of claims submitted for arbitration. During the final 2 quarters of 2024, providers initiated 1.5 million disputes, which represents more than 70x the predicted annual case load. Of those, 85% were decided in favor of the provider, the higher offer, resulting in a median winning offer of over 4x the median in-network rate of each insurer. Contrary to the allegations contained in the short seller report, we believe that Nutex Health complies with the federal arbitration rules as currently in effect. With respect to revenue collection, the CMS has recently allowed the reopening of awards made prior to June 6, 2025, based purely on narrowly defined clerical, jurisdictional or procedural errors by the independent federal arbitration entity. Neither insurers nor providers may challenge prior awards based on their own errors or on substantial grounds. Further, to address the potential of nonpayment by insurers in violation of the No Surprises Act, the No Surprises Act Enforcement Act has been recently reintroduced in Congress and the Senate. In addition, almost all claims are for out-of-network services and the percentages of Medicare and Medicaid of our patients are less than 5%. Since our claims process and revenue cycle management team are all in-house, we believe we expend significant resources to review and determine which claims are set to the independent dispute resolution entity. Lastly, the short seller report also mentioned Neighbors Emergency Center bankruptcy in 2018. Neighbors Emergency Center was indeed co-founder by myself in 2008. However, I left Neighbors in 2011 to start Nutex Health. The 2 models are completely different. Neighbors with a freestanding ER model located only in Texas, whereas Nutex Health is a micro hospital model with facilities on a national level. Neighbors did eventually file for bankruptcy around 2018, 7 years after I left its management team. On the regulatory front, we are not seeing any significant legislative changes to either the NSA or the IDR process. We feel that Congress is currently content with NSA because it has done its job to protect the American public from surprise bills. Any changes to the NSA may potentially put the American public at risk. We expect the federal arbitration process for out-of-network services will continue to evolve and become more efficient and less complex. As an example, on July 1, 2025, the federal IDR portal was upgraded to streamline the arbitration process and enhance the quality of data submitted. We believe the proposed No Surprise Act Enforcement Act will also be beneficial to providers such as Nutex Health. It was reintroduced on July 23 by a bipartisan, bicameral group, including representative Greg Murphy of North Carolina, Raul Ruiz and Jimmy Panetta of California, John Joyce of Pennsylvania, Kim Schrier of Washington and Bob Onder of Missouri. A companion legislation was also introduced by Senators Roger Marshall of Kansas and Senator Michael Bennet of Colorado. If enacted, either version would offer significant benefit to providers participating in the NSA's IDR process. Importantly, both bills impose penalty for late or nonpayments with a nonprevailing party fails to make the required payment within 30 days of an IDR determination. The penalty imposed will be 3x the difference between the initial payment and the IDR determination per claim. Interest will also apply to late or nonpayments. The bills authorized the imposition of civil monetary penalties on health plans and insurers for violation of the NSA's balance billing provision. HHS would have discretion to assess penalties of up to $10,000 per violation, the same maximum penalty currently applicable to providers who violate these requirements. The bills also include the new HHS labor and treasury requirements aimed at better reporting transparencies for insurers and health plans. Please refer to our current report on Form 8-K dated August 20, 2025, for additional information. Our growth strategy remains robust with over 15 hospital projects in development, including 2 confirmed opening by the end of 2025 and a potential third. These projects target high-growth markets with strong demand for our micro hospital model as discussed in Q1. We are also advancing our Population Health Management Division, planning to launch 1 to 2 independent physician association, IPAs annually, particularly near our micro hospitals to enhance care coordination and synergies. To drive organic growth, we're investing in existing facilities by expanding clinical services and optimizing workflow, a strategy we find from Q1 feedback to boost performance. Our combination of organic growth, new market entries and strategic acquisitions position Nutex for sustained success. To further enhance shareholder value, on July 30, 2025, the Board of Directors has authorized a stock repurchase program of up to $25 million of a company's common stock over the next 6 months. In summary, Q2 2025 was a transformative quarter with strong volume growth, strong cash generation and a clear development pipeline. We remain committed to delivering value to patients and shareholders while navigating industry trends. I will now turn the call over to Jon Bates, our Chief Financial Officer. Jon C. Bates: Thank you, Tom, and good morning, everyone. I was going to go over a couple of different topics today, some Tom discussed and some others as well. And first of all, I want to provide some background and color on the recent delay in the filing of our second quarter 2025 10-Q and our time line for completing all the necessary filings. Then I'll follow up with some key financial data for the second quarter, June 2025 and the six months ended June 2025 period that we believe will be unaffected by the accounting issue that led to this delay, highlighting the continued positive trend the company has experienced since the fourth quarter of 2024 with no fundamental changes in our operational model. So let's first discuss the details around the delay in our second quarter 2025 10-Q filing that was noted in our current report on Form 8-K dated August 20, 2025. During the preparation of our financials to be included in the company's second quarter 10-Q filing, we reevaluated the accounting treatment of stock-based compensation obligations for certain under construction and ramping hospitals under U.S. GAAP accounting standards. In our go-public merger transaction with Clinigen back in April 2022, we entered into earn-out agreements with the former owners of those hospitals for payments of additional consideration after these facilities become operational. These obligations were recorded to equity and stock compensation expense. However, based on our reevaluation of the accounting treatment, we have determined that the obligation should be classified as liability and not equity along the way. We are also making changes in how the accounting recorded for those obligations are determined. But based upon this work, while the adjustments we are anticipating are noncash in nature, the quantitative impacts of these changes are material to the financial statements filed in our 10-Q for the quarter ended March 31, 2025, and filed in our Form 10-K for the year end December 31, 2024. So on August 24 of '25, we filed the Form 8-K stating that these SEC statements should not be relied upon until we complete corrections and make amended filings with the SEC. And we're working with the auditors on this restatement at present. But based on our preliminary calculations, just to give you some perspective, the estimated impact of the corrections is as follows: Total liabilities as of December 31, 2024, would increase by approximately a range of $10 million to $20 million with a corresponding decrease in reported equity on the balance sheet. And the total liabilities as of March 31, 2025, would increase by approximately a range of $20 million to $50 million with a corresponding decrease in reported equity in the balance sheet. And the net income for the three months ended March 31, 2025 is expected to increase by a range of between $2 million and $10 million as a result of this. And these obligations and expenses are noncash as they are exclusively for stock-based compensation. The corrections have no impact on previously reported amounts for key financial statement line items such as revenue, gross profit, liquidity, working capital, short- and long-term debt, operating cash flow, adjusted EBITDA or the number of patient visits, just to name a few. While adjusted EBITDA is a non-GAAP measure, we feel it highlights the important trend in our operating results by excluding significant noncash items reported in net income as required by GAAP. So we are working to address the corrections quickly while we continue to execute our company's operating and growth plans. Now as mentioned before, August 20, 2025, I mentioned now, the company did receive a notice from NASDAQ notifying the company that due to the company's failure to timely file its June 30, 2025, Form 10-Q with the SEC, the company has 60 calendar days or until October 20, 2025, from the date of the notice to file its June 30, 2025, Form 10-Q. The company plans to complete this process within this time line and will provide updates as necessary along the way if anything changes. Next, let's discuss some of the key financial data for the second quarter 2025 and then the six month ended June of 2025 period that we believe will be unaffected by the accounting issue that led to this delay. First of all, financial highlights for the three months ended June 30, 2025. As Tom mentioned earlier, total revenue was $244 million for the three months ended June of '25 as compared to total revenue of $76.1 million for the same period in 2024, an increase of 220%. The Hospital Division drove most of this growth, generating $236.3 million, up 350% from $76.1 million in the second quarter of 2024. Now of the $236 million in hospital revenue, $167.7 million related to the independent dispute resolution revenue, which amounts to approximately 71%. And revenue from mature hospitals, which are hospitals opened prior to December 31, 2021, increased by 203% in 2025 compared to 2024. Additionally, the Population Health Division revenue increased by $0.8 million or 9.2% to $7.7 million in the second quarter of '25 from $8.5 million in the same period in 2024. Now with regard to arbitration-related revenue, we have continued to submit between 60% to 70% of our business through the independent dispute resolution process. We have also won a legal determination on 85-plus percent of the claims submitted, and we currently have an average collection rate of 75-plus percent of the legal determination wins. And arbitration costs have remained relatively consistent, approximating between 26% to 28% of the arbitration revenue reflected. From a corporate cost perspective, the G&A expenses as a percentage of total revenue for the second quarter of 2025 decreased to 5.1% compared to 14% for the second quarter of 2024, showing our continued focus on controlling costs while improving revenue. Gross profit was $125 million for this time period or 51.1% of total revenue as compared to the gross profit of $22.6 million or 29.7% of total revenue for the same period in 2024. Regarding visits at the Hospital Division, they were 45,573 for the three months ended June of '25 as compared to 41,208 for the same period in '24, an increase of 4,365 visits or 10.6%. And visits at mature hospitals increased by 0.6% in the three months ended June as compared to the same period in 2024. And then for the three months ended June, the company did collect $175 million on hospital revenue, which was the highest collection amount for any quarter and $109 million or roughly 62% of the collections related to the arbitration revenue. Adjusted EBITDA was $71.6 million for the three months ended June of 2025 as compared to $6.8 million for the same period in 2024. And then operating cash flow was $27.1 million for the three months ended June as compared to $13.3 million for the same period in 2024. Now I'll move on to the -- some of the highlights for the six months ended June of 2025. Total revenue was $455.8 million for the 6 months as compared to total revenue of $143.5 million for the same period in 2024, an increase of 217.5%. Hospital Division drove most of this growth, generating $440.2 million, up 244.9% from $127.6 million in the first half of 2024. Of the $440.2 million in hospital revenue, $280.8 million related to IDR revenue, which amounts to approximately 64%. Revenue from the mature hospitals, which are hospitals opened prior to December 31 of '21, increased by 195.2% in '25 compared to '24. Additionally, the Population Health Division, its revenue decreased by $0.4 million or 2.4% to $15.5 million in the first half of '25 from $15.9 million in 2024. Related to arbitration costs, again, approximately 26% to 28% of the arbitration revenue was attributed to the cost of arbitration. Gross profit was a very strong $243.1 million or 53.3% of total revenue for the six months ended June of 2025 as compared to a gross profit of $32.7 million or $22.8 million of total revenue for the same period in 2024. From a corporate cost perspective, G&A again as a percentage of total revenue in the first half -- for the first half of 2025 decreased to 4.9% from 13.4% for the first half of 2024, again showing our continued focus on controlling costs and again, improving net revenue. Total revenue at the Hospital Division -- excuse me, total visits at the Hospital Division were 93,842 for the six months ended June '25 as compared to 81,276 for the same period in 2024, an increase of 12,566 visits or 15.5% and business at mature hospitals increased by 3% in the six months ended June '25 as compared to the same period in '24. For the 6 months ended June of '25, the company did collect $311 million in cash, the highest collection amount for the first 2 quarters of any year, $172 million or roughly 55% of the collections related to arbitration revenue. Adjusted EBITDA was $144.4 million for that 6-month period as compared to $6.4 million for the same period in '24. Operating cash flow was $78.1 million for the six months ended June of '25 as compared to $16.1 million for the same period in 2024. As of June 30, 2025, the company had total assets of just under $855 million, including cash of $96.4 million and accounts receivable of $349.2 million. During the 6-month period, we did have some larger tax payments made related to the 2024 tax year, along with our estimated payments for 2025 that amounted to around just under $51 million, along with other member distribution payments of around $18.8 million during the 6-month period, helping explain some of the larger outflows during the period. Current portion of long-term debt -- current portion of the long-term debt and the long-term debt itself was $15 million and $20.5 million, respectively, at June of 2025. Now as we look at some of these key financial data, we feel strong about the company and the direction it's headed with a very strong balance sheet, continued solid cash flow and limited true debt, which allows us to comfortably handle all the current needs, whether it is opening a hospital, supporting our existing hospitals, buying back shares, as Tom mentioned earlier in the discussion or looking for other accretive opportunities for our shareholders. Lastly, I wanted to provide a little more insight into the 21 named hospitals that had contribution agreements signed when the company went public back on 4/1/22 with certain owners of hospitals that were either determined to be what we call ramping hospitals, which there were 4 of them or under construction hospitals, which there were 17 of them, where once any of the hospitals were open for 2 years, the owners of each hospital would be eligible to receive a onetime additional issuance of company common stock based upon the earnings of the hospital in the second year of their operations, which we denote as the earn-out period. To give you a little more specifics on those. So as of June 30, 2025, we talked about there was 21 total. And then of those, there were 4 ramping hospitals at that point when we went public. Of those 4 ramping hospitals, all of them, of course, were opened, but none of them met the criteria for an earn-out shares. So they went through the process with no earn-out. So of the 17 under construction hospitals, 4 hospitals had their development plans abandoned, so obviously, no share dilution at all. So they're out of the picture. Of the remaining 13 under construction hospitals, 6 of those had measurement periods that ended on or before June 30, 2025. And 2 of those 6 did not meet the criteria for an earn-out share. One of the hospitals had a measurement period that ended on February 28, 2024. One of the hospitals had a measurement period on February -- the end of February in 2025 and then 2 other hospitals had a measurement period that ended on June 30, 2025. And so for the 3 hospitals that had measurement period ends in the first 6 months of 2025, their dilution approximates -- the number of shares of dilution approximates about 1 million shares, 1/3 of those shares vesting 6 months after issuance, 1/3 after 12 months of issuance and then the remaining 1/3 vesting after 18 months of issuance. So over 3 tranches of 1/3 each of 6-month periods. Of the remaining 7 under construction hospitals, 4 hospitals have measurement periods ending after June 30, 2025. One hospital has a measurement period ending in August of 2025, one has a measurement period ending in March of 2026 and then 2 hospitals have measurement periods ending in the fourth quarter of 2026. And all that leaves the remaining 3 named hospitals, each of which have not opened yet, with one scheduled to open later in 2025 and the 2 others potentially opening later in 2026. With that, I'm going to turn over the call to Warren Hosseinion, our President, to talk more about the population health side of the business. Warren? Warren Hosseinion: Thank you, Jon, and good morning, everyone. I'm pleased to update you on Nutex Health's Population Health Management Division, a key pillar of our value-based care strategy. Building on our Q1 discussion, we've refined our focus on growth and operational efficiency to drive long-term success. As outlined previously, our strategy integrates hospitals and Independent Physician Associations or IPAs, to deliver coordinated cost-effective care. Our IPA comprising primary care physicians and specialists near our facilities now manage over 41,000 patients in risk-based arrangements. In Q2 2025, the division generated $7.7 million, down slightly from $8.5 million in Q2 2024, reflecting the divestiture of 2 non-core assets in mid-2024. For the first half of 2025, revenue was $15.5 million compared to $15.9 million in 2024. Operating income for the first half improved to $0.1 million from $0.6 million loss in 2024. Our strategic focus remains on expanding our IPA network, targeting 1 to 2 new IPAs annually near our micro hospitals to leverage synergies as discussed in Q1. In 2025, we expanded and now have over 300 primary care physicians and over 900 specialists contracted in our network, supported by a team equipped to manage this larger network. The division is well positioned to capitalize on value-based care trends with growth driven by organic expansion, partnerships and potential acquisitions. In conclusion, our improved profitability and strategic investments position the division for growth. We're excited to expand our IPA network and enhance our value-based offerings. I'll now turn the call over to Dr. Michael Chang, our Chief Medical Officer. Michael Chang: Thank you, Warren, and good morning, everyone. I'm pleased to provide an update on Nutex Health's clinical quality and patient experience, which remain at the core of our mission to deliver high-quality patient-centric care. Building on our Q1 focus, we continue to prioritize clinical excellence and exceptional patient satisfaction, which sets us apart in the health care industry. Our commitment to clinical quality is reflected in our rigorous standards and outcomes. In Q2 2025, we maintained a patient satisfaction rate exceeding 96% across our facilities as measured by internal surveys. This is complemented by our outstanding Google ratings, which average about 4.7 out of 5 in every market with most facilities achieving 4.9 or 5.0. Such high satisfaction levels are nearly unheard of in health care today, underscoring the strength of our micro hospital model, which emphasizes personalized concierge-style care in a low wait time environment. These metrics reflect our dedication to meeting patient needs with efficiency and compassion, a priority we've consistently highlighted in our prior calls. And as Tom already mentioned, Nutex continues growing patient revenue -- patient volume. Q2 2025 total patient visits increased 10.6% to 45,573 compared to Q2 2024, which reflects growth in both new and mature hospitals. Mature hospitals grew by 0.6% in the second quarter. And for the six months ended June 30, 2025, total visits were 93,842 as compared to 81,276 for the same period in 2024, an increase of 15.5%. This continued growth reflects our leadership team's ongoing efforts in community engagement, business development and adding specialists and service lines to manage more complex cases. Our capacity to provide high-quality around-the-clock ER observation and inpatient stays is a key strength and positions Nutex as a trusted provider in the communities we serve. Cost discipline remains a priority. Excluding arbitration costs, operating costs remained stable despite higher volumes and new hospitals this year. Labor costs did increase 31% from $27 million to $34.9 million, which was comprised of increased payroll and benefits for opening 4 new hospitals in 2024 and staffing for higher ER volumes and an increased volume of higher acuity observation and inpatients. Overall, labor costs continue to be a much smaller percentage of net revenue than most hospital companies at 14.7% for the second quarter, which exemplifies our lean, high-quality model. Supply costs continue to be a very good story for us. Supply costs did increase 34% from $33.6 million to $4.8 million in the quarter, in part due to our anticipated opening of 2 more new hospitals in Q4 2025 as well as growth in the overall volume and services. Despite the uptick, our overall medical supply spend is actually lower by 3% year-to-date compared to the same period 2024. We will continue to see supply cost savings throughout 2025 as a result of our GPO and vendor realignment as previously stated in the third quarter 2024 earnings call. We're continuing to explore technology investments, including AI for patient check-ins, staffing optimization, provider note writing and coding. Our clinical and operational teams remain focused on delivering high-quality care while supporting a sustainable revenue cycle. By integrating clinical excellence with strategic revenue management, we ensure that our patient-first mission translates into both exceptional outcomes and financial stability. I will now turn the call back to Vivian for Q&A. Thank you. Vivian Sanders: Thank you, Tom, Jon, Warren and [Mike], for those updates. We'll move over to Q&A. Operator, please provide instructions for our analysts. Operator: [Operator Instructions]. Our first question comes from the line of Anthony Vendetti with Maxim. Anthony V. Vendetti: I was wondering in terms of the restatement process, do you have a time line for when you think you'll get the audited results and be able to file the amended '24 10-K and the first quarter '25 10-Q? Jon C. Bates: Yes, Anthony, I will speak. Thank you for the question. So we're working through it right now, right? Engagement has already begun in that process. And so I know we have, as I mentioned before, the 60 days to file the second quarter, which to do that, you got to -- you have to finish out 2024 and then make sure the first and second quarters of '25 are there. So we're working actively to try to get all of that done in that time period. And as things evolve and change, if that looks like it wouldn't happen for some reason, we will let everybody know. But our focus right now is all hands on deck to get that done, especially when our main focus, if you can talk about what that restatement is really for is really mostly reclassifications of equity to debt and just making sure that everything else remains consistent. So that's where we're at right now. We're working hard in the 60 days. And then as things change, we'll definitely let everyone be made aware if it's going to go outside of that. Anthony V. Vendetti: All right. Jon, yes, that's helpful. And I just want to make sure I have these numbers correct. So you mentioned 75% of the IDR awards have been collected. And I think in the second quarter, 62% or 64% of those awards have been collected. And I know there's a penalty if these insurers do not pay according to the current legislation. Is there any recourse for them to appeal the arbitration award? And how do you -- is there any other methodology to force them to pay other than a potential government penalty? So maybe just get into that. And then the revenue recognition, are you recognizing 100% of the award? Or are you recognizing the amount that has been paid? Jon C. Bates: Okay. Great questions. I'll start backwards. And then, of course, Tom and the rest of the team might jump in as well. But let me -- just as I'm reiterating kind of what we talked about, so it starts out with the number of claims ultimately going to the independent fee resolution. And we've been somewhat consistent since we started the process. It turns out that about 60% to 70% of the payments that we get from payers, we believe we are underpaid in a lot of cases, materially underpaid. So the 60% to 70% is the amount that's physically going through this process. And of those, we talked about -- when it goes to the arbitrator or a win or a loss, we've continued to see like the industry has shown a very, very high success rate on winning and getting a legal determination. So in this quarter and now collectively, we feel like we're up at around 85% plus of what we submit to the independent dispute resolution process that we're winning on. Then -- so you win 85- plus percent of the time, which is fantastic, we believe. And then you got to collect. And so that has continued to improve as well. I do think that's -- industry even shows that you'll get up to maybe 80%, 85%, 90%, and you're always going to fight for the last 10% to 15% with the payers. And so we've progressively improved and actually been able to get over 75% of those determinations in a timely fashion. And now we're still focusing hard on trying to get the rest of those. So we believe that will continue to improve. You also asked about -- so from an accrual perspective, so because we wanted to be conservative on the process, but it's fairly accurate, what we're seeing since we're seeing it, we're currently getting paid, collection rates have been around 75% or so. That's what we're accruing from a revenue perspective on a visit that walks in the door on average today. And so as that improves, obviously, that would change up or down as well. Obviously, it goes down, that it can adjust that way. But currently, we've seen sort of a steady uptick in that collection rate up to 75-plus percent, and we're going to continue to force trying to make sure we're getting 100% of that when the dust settles. So there are -- there's different approaches you can take. Obviously, we're working hard to get information back to CMS if there's an issue with a determination where they've come back and said, we've won, but we're not getting paid. So there's communication directly to some of the payers. And in some cases, it's just they have to be reminded and they turn around and make that payment. But I think there's always going to be a push-pull there until one of the enforcement items that Tom alluded to earlier was if and when that gets in place here, that will really help with this process. So we're watching it closely. We -- what can you do? You can always attempt to litigate. And -- but in a lot of cases, that doesn't necessarily have any sort of immediate impact. And so we look for opportunities where we can, if that makes sense. But generally, we're working just one-on-one back through our third-party provider, Halo plus the payers directly to try to get feedback and try to get those payments coming in a little bit quicker. So I don't know Tom might have some more information on that, but that's kind of our approach. Anthony V. Vendetti: Okay. Then if Tom, if you don't have anything to add there, just one last question and for the team maybe and so whoever wants to respond. So on the new hospital openings, any update there? Or is everything on track based on the schedule you've outlined? And then on the mature hospitals in terms of -- I know that's obviously based on patients that come in and that can vary quarter-to-quarter. But is there anything that you're doing internally to try to ensure that the mature hospitals continue to see growth in terms of patient visits? And then I'll hop back in the queue. Unidentified Company Representative: Yes, Anthony, thank you for the question, and thank you once again for covering us. But to answer to your first question, in terms of the opening schedule for this year, yes, we originally have 3 hospitals scheduled for this year, but it looks like 2 of them will be open for sure. The third one is suspect, and it's all 100% dependent on construction. So Sherman, Texas will probably open in October; Houston will probably open in November and then San Antonio, we're still working with the contractor to see if they could speed up the process and open in 2025. But if not, then probably first quarter of 2026. So that's basically the schedule. And then in 2026, we have probably 4 more hospitals that are opening, including Jacksonville, West Little Rock, and [Beach Blvd] and I think one more later in 2026. So the pipeline is very robust. And then on top of that, for 2027, we have 4 more, and then we're already working on 2028. So that's the pipeline. Now in terms of the mature hospitals, we market 24/7 to our own patients and the community that we serve. And obviously, the goal is to get higher volume. But like I mentioned last time, last quarter, we are doing everything we can to keep those patients that are in the hospital once they get to the ER. So in other words, instead of transferring people out to other hospitals, we do everything we can to keep patients in-house through either observation or inpatient. And so far, we're seeing good results. And so even though the mature hospital has only increased by about 0.5% quarter-over-quarter, the number of observation and admissions for the mature hospitals are going up quarterly. And so that -- you should see that in the year-over-year financial because, obviously, the reimbursement for inpatient is a lot higher than ER. And so that's one of the reasons why the revenue year-over-year is higher even though the patient increase may not be as dramatic. Operator: Our next question comes from the line of Gene Mannheimer with Freedom Capital. Gene Mannheimer: So as I look at your preliminary results, I think the implied EBITDA margin is about 30% for the quarter, and that's a little bit down from what we've seen in the last couple of quarters, though your gross margin was strong, 51%. So I'm just trying to reconcile that. What -- is there anything that was compressing EBITDA margins this quarter relative to the last couple of quarters, Jon? Jon C. Bates: Yes. I mean that's a great question, Gene. I mean there's obviously some more supplier payments. I know as we start to potentially look at opening some of the facility -- these newer facilities later in the year, you're going to have costs that are happening early on in that later first quarter, second quarter, we'll have some more in the third quarter as well as we get ready to open up. So some of that will come into play there. And then obviously, with the improvement in the arbitration side, there's certainly some more arbitration type costs period-to-period. So that's something that's in there. So it's -- there's nothing, I'd say, dramatic about that when it comes to, say, the EBITDA side. I know when you're talking about cash flow and the cash impact, we did have -- and you didn't ask about this, but we talked about it earlier, but for the year, when you have the buildup of the accrued tax amount at the end of last year and as we had started to make those payments more so into the second quarter, we had a pretty large tax amount paid, almost $50-some million in that first 6 months and mostly in the second half of this first 6 months. So that was one of the things that played in some of the cash draw, if you want to call it, but with incredible cash collections and continued trend, we're still very optimistic there. Gene Mannheimer: That's great color. And then as I look at the revenue per visit, thanks for giving us that arbitration contribution in the quarter. If I back that out from -- if I back out the IDR-related revenue this quarter and the prior year quarter, is it correct to say that revenue per visit was up low single digits from an organic perspective, if you will? Jon C. Bates: Yes, I think that's about right. As you think about it, that's probably true. And you have to look now over -- now we have a little bit longer time period, which is nice to see when we started the arbitration process. So now that we have roughly a year's worth of data, you can kind of see the overall reimbursement that's been in place. So now you're a little over $4,000, almost $4,200 over the time period since we started overall revenue divided by visits for that almost 12-month period. So that's -- people have asked before kind of where are you going to settle. It will depend on acuity and everything else around that. But we're starting, I think, to see kind of a better idea of what we would expect is as we look going forward. But I mean, I think your assumption is probably accurate as we go through this, and we'll more specifically watch that as we move forward too, Gene, but thank you for the cutting insight. Operator: Our next question comes from the line of Bradford Seagraves with Northbank Capital. Bradford Seagraves: Just a couple of quick ones. One, we're halfway through Q3. Can you provide any commentary to the market on how Q3 to date is going specifically on kind of the free cash flow side? Jon C. Bates: Well, we haven't reported on the Q3, so I'll hold back a little bit, but I can tell you that what we've seen since fourth quarter of '24, first quarter of '25, second quarter of '25 and what we've talked about in each of sort of these calls, I think you can see where we feel things are headed in that respect. And I think things have remained very, very consistent and very, very strong in relation to that is how I would answer that question. Bradford Seagraves: Okay. And then also, are you going to be able to provide to the market, are you going to be able to publish unaudited financial statements for Q2? Because you mentioned the tax payment, but still would be curious to see the rest of the cash flow statement. Jon C. Bates: Yes. So I mean the answer is anything even in a quarter is unaudited, but I know what you're asking to be able to put all the specific information out there. And we'll look and see how much more we can provide. We wanted to be sensitive to the fact that we were going back and going through that review process and looking back at 2024 as well. So we're pretty happy that this information very comfortably should not be changing and it gives some perspective. So we'll look and see how much more we can provide. But really, the focus of what we were trying to communicate here is most of what you have related to the delay in the review -- around that delay is more of the noncash items around the stock-based comp expense. So the rest of the fundamentals are not -- we have not seen any sort of changes -- material changes in the operations. Operator: We have reached the end of the question-and-answer session. Ms. Sanders, I'd like to turn the floor back over to you for closing comments. Vivian Sanders: Thank you all for your valuable questions and answers. For those joining us today, if you have additional questions, e-mail us at [email protected], and we'll respond promptly. On behalf of the Nutex management team, thank you for joining our Q2 2025 company update call. We've covered growth, strategy, clinical quality and our vision, and we appreciate your interest. A recording of this call will be available on our website for a limited time. Take care, and we look forward to keeping you updated. Operator: Ladies and gentlemen, this does conclude today's teleconference. You may disconnect your lines at this time. Thank you for your participation, and have a wonderful day. 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This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has positions in and recommends Nutex Health. The Motley Fool has a disclosure policy. Nutex Health NUTX Q2 2025 Earnings Transcript was originally published by The Motley Fool

Make better investment decisions with Simply Wall St's easy, visual tools that give you a competitive edge. Nutex Health (NUTX) stock is in focus after first quarter 2026 earnings, where revenue reached US$216.5 million and net income rose to US$46.8 million, with diluted EPS at US$6.52. See our latest analysis for Nutex Health. Following the earnings release and plans for three new hospitals plus a fresh repurchase program, Nutex Health’s 1 day share price return of 17.1% and 7 day share price return of 28.9% suggest short term momentum is picking up. However, the 90 day share price return of 13.4% and year to date share price return of 5.8% are weaker than the 1 year total shareholder return of 21.8% and 3 year total shareholder return of about 7x, which points to a mixed but still constructive longer term picture. If strong earnings have you reassessing healthcare exposure, it could be a good moment to broaden your watchlist with 33 healthcare AI stocks With earnings beating expectations, insider buying, and a new repurchase program alongside plans for more hospitals, the stock’s sharp move has raised a key question: is Nutex Health still undervalued, or is the market already pricing in future growth? At a last close of $139.57 against a narrative fair value of $165.64, Nutex Health is framed as undervalued, with that gap tied directly to earnings and cash flow expectations rather than just recent price moves. Read the complete narrative. According to mstock, this narrative leans heavily on strong profit margins, rapid earnings expansion and a valuation multiple that assumes those trends keep working in Nutex Health's favor. Want to see which earnings and cash flow assumptions sit underneath that fair value and how they connect to management's confidence and insider ownership signals? Result: Fair Value of $165.64 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, this narrative could be challenged if legal or regulatory issues around billing escalate, or if recurring reporting delays continue to raise questions about governance quality. Find out about the key risks to this Nutex Health narrative. While the popular narrative points to a fair value of $165.64 and frames Nutex Health as 15.7% undervalued, the SWS DCF model gives a very different signal. At a last close of $139.57 versus a DCF value of $16.75, it flags the stock as expensive and raises the question of which set of assumptions you trust more. Look into how the SWS DCF model arrives at its fair value. Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Nutex Health for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 51 high quality undervalued stocks. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity. With such a split narrative on value and risk, this is the moment to look at the numbers yourself and decide where you stand, then weigh both sides with 4 key rewards and 3 important warning signs. If this Nutex Health update has sharpened your thinking, do not stop here. Use the same structured approach to widen your opportunity set across other stocks. Spot potential bargains early and compare them against Nutex Health by scanning a focused list of 51 high quality undervalued stocks. Build a sturdier core to your portfolio by checking out companies highlighted in the solid balance sheet and fundamentals stocks screener (44 results). Add some under-the-radar potential by reviewing the screener containing 25 high quality undiscovered gems before others catch on. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NUTX. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]