VMD

Image source: The Motley Fool. Aug. 4, 2026 at 11 a.m. ET Chief Executive Officer - Casey Hoyt Chief Financial Officer - Trae Fitzgerald Operator: Greetings. Welcome to the Viemed Healthcare Second Quarter 2026 Earnings Conference Call. [Operator Instructions] Please note, this conference is being recorded. I will now turn the conference over to Trae Fitzgerald, CFO. Thank you, Trae. You may begin. Trae Fitzgerald: Thank you, and good morning, everyone. Please note that our remarks in this conference call may include forward-looking statements under the U.S. federal securities laws or forward-looking information under applicable Canadian securities legislation, which we collectively refer to as forward-looking statements. Such statements reflect the company's current views and intentions with respect to future results or events and are subject to certain risks and uncertainties, which could cause actual results or events to vary from those indicated in forward-looking statements. Examples of such risks and uncertainties are discussed in our disclosure documents filed with the SEC or the security regulatory authorities in certain provinces of Canada. Because of these risks and uncertainties, investors should not produce undue reliance on forward-looking statements. The forward-looking statements made in this conference call are made as of today, and the company undertakes no obligations to update or revise any forward-looking statements, except as required by law. The second quarter financial supplement and financial news release as well as the related financial statements are available on the SEC's website. With that, I'll now turn the call over to our Chief Executive Officer, Casey Hoyt. Casey Hoyt: Okay. Thank you, Trae. Good morning, everyone, and thank you for joining us. I want to begin by recognizing the people responsible for our impressive Q2 results. As of June 30, we've got 1,453 employees that made up the Viemed team. Each day, our folks care for our patients, support our referral partners and improve how we operate. I appreciate their work, compassion and dedication they bring to serving our patients and our mission here at Viemed. The second quarter combined renewed growth in ventilation with continued expansion across the broader business. We ended June with the highest active ventilator patient count in our history, set new records in other service lines and generated record quarterly revenue. Ventilation remains the clinical and economic foundation for Viemed. For investors who are newer to the company, our vent patients live with complex chronic respiratory conditions and benefit from receiving high acuity care in the home. We combined respiratory therapy, ongoing clinical engagement and connected technology to help physicians manage those patients outside the hospital while improving their quality of life. We added 546 ventilator patients during the quarter and ended June with 12,635 active patients. The active patient count increased in each month of the quarter before accelerating in June, producing sequential growth of approximately 4.5%. Q2 produced the second highest quarterly ventilator setup volume in our history and usage compliance improved by more than 25% compared with last June. Higher setup activity brought more patients into the base and our compliance initiatives helped more patients remain on therapy. The results reinforce what we have communicated through the implementation of the new CMS national coverage determination for home mechanical ventilation. The underlying clinical need and referral demand remains substantial. Our teams have adapted to the new qualification, documentation and utilization standards, and the second quarter results show that we can grow under the new coverage framework. Several quarters under the new framework have brought greater clarity across the care continuum. Physicians and referral sources better understand the documentation required to qualify a patient and patients and caregivers receive clear education about the utilization expectations associated with therapy. We continue to refine our qualification, documentation support, patient education and compliance processes as the framework matures. The addressable clinical need for at-home ventilation remains much larger than the population receiving treatment today. Growth during the quarter extended well beyond ventilation. Q2 was a record quarter for PAP setups. Sleep therapy patients increased approximately 5% from the first quarter and 44% from the prior year. Resupply patients increased approximately 10% sequentially and 47% year-over-year. Each new PAP patient also expands the population that can develop into a recurring resupply relationship over time. Maternal health also reached a new quarterly high for breast pump deliveries with activity through legacy Viemed markets increasing approximately 9% sequentially. The early expansion illustrates the strategy behind the Lehan acquisition, connect the proven capability to the payer relationships, referral channels and operating infrastructure already in place across the Viemed platform to accelerate growth. Our service lines reach different patient populations, but they rely on many of the same core capabilities, including payer relationships, intake, reimbursement expertise, clinical support and fulfillment. During the quarter, we continued expanding the technology and fulfillment capacity supporting maternal health with the goal of extending those services into additional markets around the country. We also spent a lot of time during the quarter enhancing our sales organization. This effort led to defining and refining of more leadership roles, divisional expansion, market coverage and further clinical support. We took the time to reset on the Viemed culture and paint a clear picture of how folks advance through our organization. While these sales reorgs come with a heavy operational lift, they are always constantly evolving and necessary for setting the stage to achieve the next level of growth. Developments across the broader industry continue to reinforce the value of secure and stable technology and scalable technology, disciplined payer relationships, a focused portfolio, prudent capital allocation and a balance sheet that preserves strategic flexibility. These have been long-standing priorities for Viemed, and they remain central to how we are building the company. At the midpoint of the year, Viemed is larger and more diversified than ever. Ventilation is growing under the new coverage framework, sleep and resupply continue to expand and maternal health is beginning to benefit from our broader platform. We are investing in the capabilities needed to support that demand with clear expectations for productivity and returns. We entered the second half with multiple sources of growth, a larger patient base and the financial capacity to continue investing in the business. Todd will now review our financial performance, capital allocation and outlook for the balance of this year. Todd Zehnder: Thank you. All right. Thanks, Casey, and good morning, everyone. All figures today are in U.S. dollars, and our full results have been filed with the SEC. And I'll refer to information included in the quarterly financial supplement, which is also available on our Investor Relations website. The second quarter was another record quarter for Viemed. Revenue reached $78.1 million, increasing approximately 24% from the prior year and approximately 4% from the first quarter. Ventilator rental revenue was $36.4 million, an increase of approximately 8% from the prior year quarter. Other rental revenue increased approximately 19% to $16.4 million. Impressively, equipment sales nearly doubled to $19 million with growth across sleep resupply and the maternal health business lines and service revenue increased approximately 7% to $6.3 million. Ventilator rental revenue represented approximately 47% of total revenue compared with approximately 54% in the prior year quarter. Total rental revenue represented approximately 68% of second quarter revenue compared with approximately 76% a year ago. The change reflects faster growth in resupply and maternal health, not a contraction of the rental base, which increased approximately 11% year-over-year. The growing contribution from product and service revenue creates a different margin and capital profile for the company. These offerings generally carry lower adjusted EBITDA margins than our rental business, but they also require substantially less capital. We evaluate that mix based on its combined contribution to the revenue growth, cash generation and capital efficiency. Gross profit was $45 million or approximately 57.7% of revenue compared with 58.3% in the prior year quarter. Gross margin improved from 56.8% in the first quarter. The year-over-year comparison primarily reflected the revenue mix and temporary distribution and inventory costs in our maternal health business as we manage record volume and transition supply arrangements. Our team maintained service levels throughout that growth, and we expect the new arrangements to provide a more efficient foundation as the business scales. SG&A increased as we added the capabilities required to support a substantially larger company. The primary drivers included compensation associated with higher patient setup activity, phantom stock revaluations resulting from the appreciation in our share price, technology and implementation work, additional operating capacity and temporary duplication as we bring portions of our sleep and resupply operations in-house. These were deliberate decisions to support continued organic growth, which remains our first priority for capital deployment. We are in a growth phase, and we are investing accordingly. We are expanding our product and service offerings and adding the technology, talent, operating capacity and sales capabilities needed to reach more patients and enter new markets. We are already seeing how these capabilities can increase productivity and support additional volume. With the implementation of our new intake workflow partner, Tenor, we reduced the time from receipt of a PAP order to qualification review from days to less than an hour and shortened the time incomplete orders remain in the pipeline by several days. During the quarter, we increased PAP setups by approximately 16% sequentially without a corresponding increase in fulfillment infrastructure. These are early examples of how better systems can expand capacity and improve efficiency as volume grows. We have just completed the integration of this system into our complex respiratory business, which will have a positive impact on our ability to effectively onboard patients and also gives a meaningful ability to scale the business in the future. Net income attributable to Viemed was $2.8 million or $0.07 per diluted share. Adjusted EBITDA was $13.7 million, representing a margin of approximately 17.6% compared with 22.7% in the prior year quarter. The year-over-year adjusted EBITDA comparison included an approximately $1.2 million swing in equipment disposal activity, driven primarily by the nonrecurring gains from the ventilator return program in the prior year's quarters. Excluding that prior year gain, adjusted EBITDA increased year-over-year. For the quarter, operating cash flow was $15.9 million, free cash flow was $8.6 million and net CapEx was $7.3 million or approximately 9.3% of revenue. For the first 6 months of 2026, operating cash flow increased to $24 million from $15.1 million last year, and free cash flow increased to $11.2 million from $4.9 million. On a trailing 12-month basis, free cash flow was $34.4 million or approximately 11.4% of revenue. Our capital allocation priorities remain consistent. Organic growth comes first. Acquisitions must fit the operating platform and meet our return requirements. Share repurchases remain an option when we believe the price warrants an attractive use of capital, and we will always have the ability to pay down the limited debt we carry on the balance sheet. During the quarter, we repaid approximately $2.2 million of debt and repurchased and canceled approximately 531,000 shares for $5.1 million. We ended June with $10.7 million of cash, more cash than total debt and substantial unused capacity under our credit facilities. Turning to our outlook. First half performance and operating trends across the ventilation and broader platform increased our confidence in the full year revenue result. We are raising the low end of our net revenue guidance and now expect full year revenue of $314 million to $320 million compared with the previous range of $312 million to $320 million. The outlook contemplates continued sequential growth through the second half. We are also revising our full year adjusted EBITDA guidance to a range of $64 million to $68 million compared with the previous range of $65 million to $69 million. At the same time, we are lowering our net CapEx outlook to between 8.5% and 10% of revenue compared with the previous range of 9% to 10.5%. The revised guidance reflects the growing contribution from less capital-intensive product and service revenue. Across the current guidance ranges, we expect to deliver a full year adjusted EBITDA margin of at least 20% while generating solid free cash flow and funding continued growth. We intend to sustain the renewed growth in ventilation, continue expanding sleep in the broader platform, complete the operation transitions already underway and generate greater productivity from the capabilities we have added. We feel very good about where the business is headed. Viemed has a strong financial foundation, a broader platform and a team that has demonstrated it can execute. We are proud of the growth our team is producing and confident in our ability to build on it. That completes our prepared remarks, operator, and we would like to open it up for questions. Operator: [Operator Instructions] Our first question comes from Dave Storms with Stonegate. David Storms: Just maybe I want to start at the top there. I think you mentioned that you've kind of done a revamp of the sales organization. I was hoping you spend maybe a little bit more time below the leadership roles, maybe the boots on the ground. What are you seeing in terms of getting people in the door, their time to ramp? I'm sure there's a learning curve once you guys get them in the door. Just anything of that nature? Todd Zehnder: Yes. So we -- the big change is that we added a fourth division. We had the way that we were currently structured before, we had 3 sales directors and underneath them, they have, just call it, roughly 12 managers spread out throughout different regions throughout the country. Those managers are responsible for leadership, coaching, mentoring, field rides, things of that nature. So we advanced one of our teams, as we call them into a sales directorship, and then that created a lot more room for growth, if you will, from a geographic standpoint for expansion into different markets and really all of the territories throughout the country. So we're setting up for growth is number one. Number two, it becomes training the next level of leadership and making sure these folks are delivering the right message. A lot of these guys are also tasked with recruiting and finding talent throughout the country. So we want to make sure that they're finding the right folks and so on and so forth. But ultimately, at the end of the day, just take a step back, I mean we went through a big reorg last year. We intend to probably go through another one next year just because of the way that we're growing. It's something that's always happening and always evolving. And it also creates a corporate ladder for growth for our people down the bottom, so they can see that they can make it to different levels throughout the organization and advance within as we grow. David Storms: That's great commentary. I appreciate that. And then maybe just turning that into some of the strong growth that you've seen on a patient level. How much of that can be attributed to some of this revamp that you've done? Or is this all organic and we can maybe expect that to take another leg as this revamp really starts to take hold? Todd Zehnder: Yes. It's all organic in terms of the complex respiratory growth with NIV. I mean -- and really sleep as well. But it's twofold. It's finding new reps. It's making sure that these reps are trained properly and up to speed a whole lot sooner rather than later. We've got a heck of a training program that really works now, and it's been revamped over the last 2 years, but it's clicking on all cylinders. So we're getting a lot of newbies that are cranking up sooner rather than later. Then on the other piece of it is compliance. Our RTs out in the field have been heavily focused as a result of the new NCD and all the regulations to keep folks on therapy and make sure that they're using the therapy, and that really translates into the retention of patients. And so we keep patients billing for longer and so on and so forth. So both of those things are contributing to our ventilator growth and will continue to contribute in the future. We're not done yet with our NCD overhaul and measuring compliance and getting better at what we do in the field, lots of our RT managers spending time with ride along and doing their coaching the same way that the sales managers are doing coaching with their people. So we still got some green shoots and passes to be even better. But we do know and we think we are best-in-class as it relates to keeping patients on therapy and finding them and so on and so forth. And there's a lot more room to even get better. David Storms: That's great commentary. If I could sneak maybe just one more in. You mentioned in your guidance, right, a lot of the adjustments seem to be largely driven by the growth in the sales and service revenue, right, and the margin profile that's associated with them. As we're thinking about that growth maybe between resupply versus maternal, do you see either one of them having more outsized growth that may be driving the guidance adjustment? Or I guess, how should we compare those 2 end markets for you? Todd Zehnder: Yes. Clearly, from a percentage basis, maternal is expected to grow at a faster percentage than the sleep resupply, but that's not discounting how much the resupply growth has outpaced the core ventilator rental revenue. We expect both of those lines to continue to grow. We don't have an exact percentage. I'm not sure if it's fair to give a product line growth yet. But the maternal business is new to us still. We're 1 year in. We're taking it throughout the country to other contracts where Viemed is set up, and we have good payer relationships. And in the commentary, you will hear as we have really been setting the organization up to be able to scale that business. And that's everything from processes in the back office to how we fulfill these products around the country. So there's been a lot of, what I would call, disruption that is planned to get ready for the continued massive growth in that. And then just to dovetail into the sleep resupply, in the commentary you may have heard us, we brought the resupply call center in-house to where we now manage that day-to-day in our own offices, which was another big change, and we needed to do that to be able to continue to drive the scalability that we want to see in those business lines. So both of them will have significant growth. It's fair to say maternal likely outpaces, but we're extremely excited about growing both of those product lines and what that does to our financial profile. Operator: Our next question comes from Ilya Zubkov with Freedom Brokers. Ilya Zubkov: So my first is related to the ventilator patient count. I see that it has recovered in Q2 with more than 500 net additions during the quarter. I'm just wondering, was the increase partially related to the insurers approving patients who had previously been denied following the NCD changes? Todd Zehnder: Yes, that makes a part of it. Obviously, I would say if you think about how I like to rank these, just the new orders coming through makes up the largest piece. And undoubtedly, having formulary rules has given us the ability to onboard more patients within the MA plans or the private insurance companies now that we actually have those rules. So that definitely is a help. The new sales structure can obviously -- and just having salespeople be effective out there is a big part of it. The compliance piece that Casey mentioned is a big part of it. And in the second quarter, we're coming through -- we're coming out of what we would call insurance change season. So we have more patients billing, less patients on billing holds. So all of those things combined give you the ability to have that growth. I would say that's about as good of a quarter as we may have ever seen from an active patient growth count, and we're excited to keep that momentum going into the second half of the year. Ilya Zubkov: Great. And one more question on the respiratory therapist headcount. It increased meaningfully in Q2 after declining through much of last year. And I assume this partially reflects the needs of a growing patient base. But could you elaborate on whether the revised NCD requirements have changed the effective capacity of your respiratory therapist workforce? Todd Zehnder: It's early to say that we're going to have a new patient per RT count. I would say right now, we're probably assuring -- throwing everything we can at it to make sure patients are properly educated, seen very often and give them all the opportunities to get the education from our RTs. I don't see a meaningful patient for RT change in the future. We'll probably have to look at it. Some of that could be as a result of the sleep business growing dramatically and the remote setup that some of the RTs use in that. So those aren't all ventilation RT service providers. But it's something we're definitely keeping an eye on. And if it flexes up to where we need a few more RTs to keep these patients compliant, that's our dedication to patient care, and we would be okay with that. Casey Hoyt: And I'll just add to that. I mean, anecdotally, some of our heavier patient count RTs are also some of the best performers in compliance. And so we are keeping a watchful eye on that, using them as champions, and they're also helping others kind of teach them what they're doing, how their systems are working and so on and so forth. So we just kind of stay tuned to that. But it's -- like Todd said, it's a little too early to tell if that's going to move too much. Ilya Zubkov: Okay. And the last one on the EBITDA margin. It remains under pressure in the first half of 2026, while SG&A grew faster than revenue in Q2. Could you just discuss the main source of operating leverage you expect in the second half of the year that could move adjusted EBITDA margin towards the guided 20% level? Todd Zehnder: Yes. I mean just in general, what I would say is if you look at last year, the back half of the year carried probably 20%, 30% EBITDA margin. And if we're looking ahead, we would expect probably the back half of this year to be somewhat in line with that. The first half always carries a lower margin just due to the patient holds and just the cost structure, it's the way it works through. With that said, we are clearly diversifying the company and changing the revenue composition of the company, and we are perfectly okay with that in that if it has a structurally lower EBITDA margin with no CapEx coming from sleep resupply and maternal business lines, net income margins are going to ultimately expand as a result of that. But as operating levers that we can pull, the distribution capabilities that I talked about earlier, we are signing -- we have signed up with a new national distributor for the maternal health business. It's going to translate into other business lines. That's a scalable process. The new intake workflows is going to help us scale that process and ultimately not have to hire as many back-office personnel to increase the order count. We have the additional -- the ability that we've brought in the call center from the sleep resupply, which is going to be much more scalable to drive the revenue in that business line. And there are others that come along with it. So we're not concerned about the short-term pressure that we saw under EBITDA. And if you look at it first 6 months of this year versus 6 months of last year, excluding those Trilogy gains, we're really in line with where we need to be and truthfully just very excited about the diversification that we have proven out over the last few years. And you also had some duplicity with cost in Q2 while we were transitioning into these new investments, some of the old processes were still in place, and that led to some duplication of costs. So you'll see some of that kind of ease up in the back half of the year as well as we realize the investments that we made in Q2. Operator: We have reached the end of the question-and-answer session. I would like to turn the floor back over to management for closing comments. Casey Hoyt: Okay. Thanks, everyone, for your trust in Viemed. We appreciate all the new investors and look forward to continue to add value and make smart decisions over here. We're here if you need us. Take care. Operator: This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation. Before you buy stock in Viemed Healthcare, 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 Viemed Healthcare wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. 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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 Viemed Healthcare. The Motley Fool has a disclosure policy. Viemed (VMD) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

This article first appeared on GuruFocus. Revenue: Record quarterly revenue of $78.1 million, up approximately 24% year-over-year and 4% sequentially. Ventilator Rental Revenue: $36.4 million, an increase of approximately 8% from the prior year quarter. Other Rental Revenue: Increased approximately 19% to $16.4 million. Equipment Sales: Nearly doubled to $19 million, with growth across sleep resupply and maternal health business lines. Service Revenue: Increased approximately 7% to $6.3 million. Gross Profit: $45 million, or approximately 57.7% of revenue, compared with 58.3% in the prior year quarter. Net Income: $2.8 million, or $0.07 per diluted share. Adjusted EBITDA: $13.7 million, representing a margin of approximately 17.6% compared with 22.7% in the prior year quarter. Operating Cash Flow: $15.9 million for the quarter; $24 million for the first six months of 2026, up from $15.1 million last year. Free Cash Flow: $8.6 million for the quarter; $11.2 million for the first six months, up from $4.9 million. Net CapEx: $7.3 million, or approximately 9.3% of revenue. Active Ventilator Patients: Added 546 patients during the quarter, ending June with 12,635 active patients, a sequential growth of approximately 4.5%. Sleep Therapy Patients: Increased approximately 5% from the first quarter and 44% from the prior year. Resupply Patients Served: Increased approximately 10% sequentially and 47% year-over-year. Maternal Health: Reached a new quarterly high for breast pump deliveries, with activity through legacy VieMed markets increasing approximately 9% sequentially. Debt Repayment: Repaid approximately $2.2 million of debt during the quarter. Share Repurchases: Repurchased and canceled approximately 531,000 shares for $5.1 million. Cash Position: Ended June with $10.7 million of cash, more cash than total debt. Full-Year Revenue Guidance: Raised to $314 million to $320 million, from the previous range of $312 million to $320 million. Full-Year Adjusted EBITDA Guidance: Revised to $64 million to $68 million, from the previous range of $65 million to $69 million. Full-Year Net CapEx Guidance: Lowered to between 8.5% and 10% of revenue, from the previous range of 9% to 10.5%. Warning! GuruFocus has detected 7 Warning Signs with VMD. Is VMD fairly valued? Test your thesis with our free DCF calculator. Release Date: August 04, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Record quarterly revenue of $78.1 million, up 24% year-over-year, driven by growth across ventilation, sleep, resupply, and maternal health. Highest active ventilator patient count in company history, with 546 net additions in Q2 and sequential growth of approximately 4.5%. Strong growth in non-ventilator segments: PAP setups up 16% sequentially, sleep therapy patients up 44% year-over-year, and resupply patients up 47% year-over-year. Improved operational efficiency with new intake workflow partner Tenor, reducing PAP order processing time from days to under an hour. Raised full-year revenue guidance to $314-$320 million, reflecting increased confidence in continued growth. Strong cash flow generation: operating cash flow of $15.9 million in Q2 and $24 million for H1 2026, up from $15.1 million in H1 2025. Balance sheet remains strong with $10.7 million cash, more cash than total debt, and substantial unused credit capacity. Adjusted EBITDA margin declined to 17.6% in Q2 from 22.7% in the prior year quarter, impacted by revenue mix and temporary costs. SG&A expenses increased due to compensation, phantom stock revaluations, technology investments, and temporary duplication of costs during operational transitions. Gross margin slightly decreased year-over-year to 57.7% from 58.3%, due to revenue mix and temporary distribution costs in maternal health. Lowered full-year adjusted EBITDA guidance to $64-$68 million from $65-$69 million, reflecting margin pressure from product and service revenue growth. Sales organization reorganization caused operational disruption, though expected to support future growth. Maternal health business faced temporary distribution and inventory costs as it scaled, impacting margins. Q: Can you elaborate on the main sources of operating leverage expected in the second half of 2026 that could move adjusted EBITDA margin toward the guided 20% level?A: W. Todd Zehnder (COO) explained that the first half of the year typically carries lower margins due to patient holds and cost structure, while the back half of last year carried roughly a 23% EBITDA margin. He highlighted several operating levers, including a new national distributor for the maternal health business that will scale across other lines, new intake workflows that reduce the need for back-office hires, and bringing the sleep resupply call center in-house for greater scalability. Casey Hoyt (CEO) added that Q2 included temporary duplication of costs during transitions, which should ease in the back half as investments are realized. Q: Was the strong ventilator patient growth in Q2 partially related to insurers approving patients who had previously been denied following the NCD changes?A: W. Todd Zehnder (COO) confirmed that new orders made up the largest piece of the growth, but having formulary rules has enabled onboarding more patients within Medicare Advantage plans and private insurers. He also credited the new sales structure, compliance initiatives, and the exit from insurance change season, which reduced billing holds. He noted it was "about as good of a quarter as we may have ever seen" for active patient growth. Q: How should we compare the growth outlook between the resupply and maternal health business lines?A: W. Todd Zehnder (COO) stated that maternal health is expected to grow at a faster percentage than sleep resupply, though both are expected to significantly outpace core ventilator rental revenue. He noted the maternal business is still newabout one year inand the company has been setting up the organization to scale it nationally, including back-office processes and fulfillment capabilities. The resupply call center was brought in-house to drive scalability in that line as well. Q: Can you provide more detail on the sales organization revamp and what you are seeing in terms of new rep ramp-up time?A: Casey Hoyt (CEO) explained that the company added a fourth sales division, promoting one of its managers to sales director, which created more room for geographic expansion and leadership development. He emphasized that the revamped training program is getting new reps productive "a whole lot sooner rather than later." He also noted that sales reorganizations are an ongoing, evolving process as the company grows, and they create a corporate ladder for advancement. Q: How much of the strong patient-level growth can be attributed to the sales revamp versus organic factors?A: Casey Hoyt (CEO) clarified that all complex respiratory and sleep growth is organic. He attributed the growth to two main factors: finding and training new reps effectively, and compliance efforts by respiratory therapists in the field who are keeping patients on therapy longer under the new NCD framework. He noted the company is "not done yet" with its NCD overhaul and sees more room to improve compliance and retention. Q: Has the revised NCD changed the effective capacity of the respiratory therapist workforce?A: W. Todd Zehnder (COO) said it is too early to determine a new patient-per-RT ratio, as the company is focused on ensuring patients are properly educated and seen frequently. He noted that some RTs also support the rapidly growing sleep business with remote setups, so not all are ventilation-focused. Casey Hoyt (CEO) added that some of the highest patient-count RTs are also the best compliance performers, and they are being used as champions to teach others. Q: What drove the guidance adjustments, and how should we think about the margin profile of the growing product and service revenue?A: W. Todd Zehnder (COO) explained that the company raised the low end of revenue guidance to $314M-$320M while revising adjusted EBITDA guidance to $64M-$68M, reflecting the growing contribution from less capital-intensive product and service revenue. He noted these lines carry structurally lower EBITDA margins but require substantially less capital, which should ultimately expand net income margins. Net CapEx guidance was also lowered to 8.5%-10% of revenue. Q: Can you discuss the year-over-year adjusted EBITDA margin decline and the impact of equipment disposal activity?A: W. Todd Zehnder (COO) explained that the year-over-year adjusted EBITDA comparison included an approximately $1.2 million swing in equipment disposal activity, driven primarily by non-recurring gains from the ventilator return program in the prior year quarter. Excluding that prior year gain, adjusted EBITDA increased year-over-year. He emphasized that the company is not concerned about short-term margin pressure given the diversification of the business. Q: What is the outlook for ventilator growth under the new NCD framework, and how is the company adapting?A: Casey Hoyt (CEO) stated that the second quarter results demonstrate the company can grow under the new coverage framework. Physicians and referral sources better understand documentation requirements, and patients receive clearer education on utilization expectations. He noted the addressable clinical need for at-home ventilation remains much larger than the population currently receiving treatment, and the company continues to refine qualification, documentation support, and compliance processes. Q: How is the company managing the transition of bringing portions of sleep and resupply operations in-house?A: W. Todd Zehnder (COO) explained that bringing the resupply call center in-house was a deliberate decision to drive scalability in that business line. He noted the company is also transitioning supply arrangements in maternal health, which caused temporary distribution and inventory costs in Q2. These transitions are expected to provide a more efficient foundation as the business scales, with new arrangements in place for the back half of the year. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Viemed Healthcare, Inc.? Here are five stocks we like better. Record Q2 performance: Viemed’s revenue rose 24% year over year to $78.1 million, with net income of $2.8 million and adjusted EBITDA of $13.7 million. Active ventilator patients reached a record 12,635 as growth resumed under updated Medicare coverage rules. Broad-based expansion: PAP, resupply and maternal-health services posted strong growth, helping equipment sales nearly double to $19 million and reducing the company’s reliance on ventilator rental revenue. Guidance and cash flow: Viemed raised the low end of its full-year revenue outlook to $314 million–$320 million and lowered expected capital expenditures. First-half operating cash flow improved to $24 million, while the company repaid debt and repurchased approximately 531,000 shares. 3 Undervalued Small-Cap Stocks for Your Labor Day Watchlist Viemed Healthcare (NASDAQ:VMD) reported record second-quarter revenue as growth in its ventilator business resumed under the updated Medicare coverage framework and newer service lines expanded. Revenue for the quarter reached $78.1 million, up approximately 24% from a year earlier and 4% sequentially. Net income attributable to Viemed was $2.8 million, or $0.07 per diluted share, while adjusted EBITDA was $13.7 million, representing a 17.6% margin. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control Chief Executive Officer Casey Hoyt said the company ended June with its highest active ventilator patient count on record. Viemed added 546 ventilator patients during the quarter, finishing with 12,635 active patients, a sequential increase of approximately 4.5%. The quarter also produced the company’s second-highest quarterly ventilator setup volume, while patient usage compliance improved more than 25% from June 2025. Viemed’s ventilation operations remain the company’s clinical and economic foundation, according to Hoyt. The company provides in-home respiratory therapy, clinical support and connected technology to patients with chronic respiratory conditions. → Financials Hit Record Highs as the AI Trade Unravels—Can They Keep Leading? Hoyt said the results demonstrate that Viemed can grow under the new Centers for Medicare & Medicaid Services National Coverage Determination for home mechanical ventilation. The company has worked to adapt its qualification, documentation, patient education and compliance processes to the revised standards. During the question-and-answer session, Chief Operating Officer Todd Zehnder said the improvement in ventilator patient growth reflected several factors, including new orders, clearer formulary rules for Medicare Advantage and private insurance plans, sales-force effectiveness, patient compliance efforts and fewer patient billing holds following the insurance-change season. → Why Rare Earth Processing Could Be the Real 2027 Opportunity Management said it continues to monitor respiratory therapist staffing and patient capacity as the patient base grows. Zehnder said the company is prioritizing patient education and therapy compliance, adding that it is too early to determine whether the revised coverage requirements will produce a lasting change in the number of patients supported per respiratory therapist. Growth extended beyond the ventilation segment. Viemed reported a record quarter for positive airway pressure, or PAP, setups. Sleep therapy patients increased approximately 5% sequentially and 44% year over year. The number of resupply patients served increased about 10% from the first quarter and 47% from the prior-year period. Maternal health also reached a quarterly high for breast-pump deliveries. Activity in legacy Viemed markets increased approximately 9% sequentially, which management said reflects the strategy behind its Lehan acquisition: using Viemed’s payer relationships, referral channels and operating infrastructure to broaden maternal health services. Equipment sales nearly doubled year over year to $19 million, driven by growth across sleep, resupply and maternal health. Other rental revenue rose approximately 19% to $16.4 million, while service revenue increased approximately 7% to $6.3 million. Ventilator rental revenue increased approximately 8% to $36.4 million. Ventilator rental revenue accounted for approximately 47% of total revenue, down from about 54% a year earlier. Total rental revenue represented 68% of revenue, compared with 76% in the prior-year quarter. Zehnder said the mix change reflected faster expansion in resupply and maternal health rather than a shrinking rental base, which grew approximately 11% year over year. Gross profit was $45 million, or 57.7% of revenue, compared with 58.3% in the prior-year quarter. The company said the year-over-year margin change reflected its revenue mix as well as temporary maternal-health distribution and inventory costs during a transition in supply arrangements. Adjusted EBITDA margin declined from 22.7% a year earlier. Zehnder said the comparison included an approximately $1.2 million swing in equipment disposal activity, primarily because the prior-year period included nonrecurring gains from a ventilator return program. Excluding that prior-year gain, adjusted EBITDA increased year over year, he said. Selling, general and administrative expenses increased as Viemed added sales, technology, operating and fulfillment capacity. The company also cited higher setup-related compensation, phantom stock revaluations tied to its share-price appreciation, implementation work and temporary cost duplication while portions of sleep and resupply operations are moved in-house. Viemed said its new intake workflow partner, Tennr, reduced the time from receipt of a PAP order to qualification review from days to less than an hour. PAP setups increased approximately 16% sequentially without a corresponding increase in fulfillment infrastructure, according to management. For the full year, Viemed raised the low end of its revenue outlook and now expects net revenue of $314 million to $320 million, compared with prior guidance of $312 million to $320 million. The company expects continued sequential growth in the second half. It revised adjusted EBITDA guidance to $64 million to $68 million, from a prior range of $65 million to $69 million, while lowering its projected net capital expenditures to 8.5% to 10% of revenue from 9% to 10.5%. Management said the change reflects the larger contribution from less capital-intensive product and service revenue. Operating cash flow was $15.9 million in the second quarter, free cash flow was $8.6 million and net capital expenditures were $7.3 million. For the first half, operating cash flow rose to $24 million from $15.1 million a year earlier, while free cash flow increased to $11.2 million from $4.9 million. During the quarter, Viemed repaid approximately $2.2 million of debt and repurchased and canceled about 531,000 shares for $5.1 million. It ended June with $10.7 million in cash, exceeding total debt, along with unused borrowing capacity under its credit facilities. Viemed Healthcare, Inc (NASDAQ: VMD) is a provider of home-based respiratory therapy services, specializing in the management of patients requiring long-term mechanical ventilation and pulmonary support. The company’s offerings encompass invasive and noninvasive ventilation, airway clearance therapies, cough assist devices, and supplemental oxygen. Viemed combines durable medical equipment with clinical care, delivering tailored respiratory treatment plans that are overseen by licensed respiratory therapists and registered nurses. Founded in the early 2010s and headquartered in Birmingham, Alabama, Viemed has grown its footprint to serve patients across multiple states in the United States. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Viemed Healthcare Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

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. Achieved record quarterly revenue of $78.1 million, driven by the highest active ventilator patient count in company history and accelerated growth in sleep therapy and maternal health. Successfully adapted to the new CMS national coverage determination (NCD) for home mechanical ventilation, with Q2 producing the second-highest quarterly ventilator setup volume ever. Improved ventilator usage compliance by more than 25% year-over-year through enhanced clinical engagement and respiratory therapist (RT) field initiatives. Diversified the revenue mix, with ventilator rental revenue decreasing to 47% of total revenue as resupply and maternal health lines grew at a faster relative pace. Implemented a sales organization restructuring, adding a fourth division to enhance leadership coaching, geographic expansion, and recruitment capacity. Integrated 'Tenor,' a new intake workflow partner, which reduced PAP order qualification review times from days to less than an hour, significantly increasing fulfillment capacity. Strategic acquisition of Lehan's maternal health business is beginning to scale by leveraging Viemed's existing payer relationships and fulfillment infrastructure. Raised the low end of full year revenue guidance to $314 million–$320 million, anticipating continued sequential growth through the second half of 2026. Revised full year adjusted EBITDA guidance to $64 million–$68 million, reflecting the shift toward lower-margin but less capital-intensive product and service revenue. Lowered net CapEx outlook to 8.5%–10% of revenue, citing the growing contribution from business lines that require substantially less capital than the core rental base. Expects to deliver a full year adjusted EBITDA margin of at least 20% as temporary duplication costs from operational transitions ease in the second half. Plans to sustain ventilation growth while aggressively expanding maternal health services into additional markets using a new national distribution partnership. SG&A increased due to deliberate investments in technology, phantom stock revaluations from share price appreciation, and temporary cost duplication during operational insourcing. Transitioned sleep resupply call center operations in-house to improve long-term scalability and control over the patient experience. Gross margin was impacted by temporary distribution and inventory costs in the maternal health business while managing record volumes and transitioning supply arrangements. Adjusted EBITDA comparison was affected by a $1.2 million year-over-year swing related to non-recurring gains from a ventilator return program in the prior year. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management explained the addition of a fourth division creates a 'corporate ladder' for internal advancement and provides the leadership bandwidth needed for geographic expansion. The revamp has already improved training efficiency, allowing new sales representatives to become productive sooner than in previous cycles. Growth was attributed to a combination of new orders, clearer formulary rules from private insurers following the NCD changes, and the end of the 'insurance change season' which reduced billing holds. Management noted that June saw an acceleration in patient additions, providing strong momentum heading into the second half of the year. Management expects margins to improve as temporary duplication costs from Q2 transitions (like the call center insourcing) subside. New automated intake workflows and national distribution agreements are expected to allow the company to scale volume without a linear increase in back-office headcount.

Viemed Healthcare, Inc. (VMD) came out with quarterly earnings of $0.07 per share, missing the Zacks Consensus Estimate of $0.1 per share. This compares to earnings of $0.08 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -30.00%. A quarter ago, it was expected that this company would post earnings of $0.09 per share when it actually produced earnings of $0.06, delivering a surprise of -33.33%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Viemed Healthcare, which belongs to the Zacks Medical - Products industry, posted revenues of $78.1 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.38%. This compares to year-ago revenues of $63.06 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Viemed Healthcare shares have added about 57.1% since the beginning of the year versus the S&P 500's gain of 9.4%. While Viemed Healthcare has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Viemed Healthcare was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.13 on $80.5 million in revenues for the coming quarter and $0.44 on $316.6 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Products is currently in the bottom 40% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. ResMed (RMD), another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 6. This maker of medical products for respiratory disorders is expected to post quarterly earnings of $2.90 per share in its upcoming report, which represents a year-over-year change of +13.7%. The consensus EPS estimate for the quarter has been revised 0.2% lower over the last 30 days to the current level. ResMed's revenues are expected to be $1.46 billion, up 8.4% from the year-ago quarter. 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 Viemed Healthcare, Inc. (VMD) : Free Stock Analysis Report ResMed Inc. (RMD) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

LAFAYETTE, LA / ACCESS Newswire / August 3, 2026 / Viemed Healthcare, Inc. (the "Company" or "Viemed") (NASDAQ:VMD), a national provider of technology-enabled, home-based healthcare solutions and chronic disease management, announced today that it has reported its financial results for the three and six months ended June 30, 2026, and updated guidance for the full year ending December 31, 2026. Operational highlights (all dollar amounts are USD): Net revenues for the quarter ended June 30, 2026 were $78.1 million, setting a Company record, representing an increase of $15.0 million, or 23.9%, compared with the prior-year quarter and an increase of approximately 3.6% sequentially. Net income attributable to Viemed for the quarter ended June 30, 2026 totaled $2.8 million, or $0.07 per diluted share. Adjusted EBITDA for the quarter ended June 30, 2026 totaled $13.7 million, a 4.0% decrease as compared to the quarter ended June 30, 2025. The prior year period included a $1.0 million non-recurring gain on disposal of property and equipment related to the ventilator return program, which benefited net income and concluded during 2025. Net cash provided by operating activities totaled $15.9 million for the quarter and $60.8 million for the trailing twelve months ended June 30, 2026. Free cash flow totaled $8.6 million for the quarter and $34.4 million for the trailing twelve months ended June 30, 2026. During the second quarter of 2026, the Company repurchased and cancelled 530,802 common shares under its share repurchase program at a cost of $5.1 million (excluding taxes), representing an average buyback price of $9.65 per share. The Company ended the second quarter of 2026 with a record 12,635 ventilator patients, an increase of 4.0% over June 30, 2025, and a 4.5% sequential increase from March 31, 2026. The Company increased its PAP therapy patient count to 37,825 as of June 30, 2026, an increase of 44.0% over June 30, 2025, and a 5.3% sequential increase from March 31, 2026. The Company's sleep resupply patient count was 37,035 as of June 30, 2026, up 46.7% year over year and 10.0% sequentially. As of June 30, 2026, the Company maintained a cash balance of $10.7 million and an overall working capital balance of $6.1 million. The Company repaid $2.2 million of its term loan during the quarter ended June 30, 2026. Long-term debt totaled $6.4 million and the Company has $46 million available under existing credit facilities. Updated Full Year 2026 Guidance (all dollar amounts are USD): Based on first-half performance and favorable operating trends across ventilation and the broader platform, the Company is raising the low end and narrowing the range of its full-year net revenue guidance. The Company is also revising its Adjusted EBITDA guidance and net capital expenditure outlook. The revised guidance reflects the growing contribution from less capital-intensive product and service revenue. Net revenue is now expected to be in the range of $314 million to $320 million, compared with the previous range of $312 million to $320 million. Adjusted EBITDA is now expected to range from $64 million to $68 million, compared with the previous range of $65 million to $69 million. Net capital expenditures are now expected to range from 8.5% to 10.0% of net revenue, compared with the previous range of 9.0% to 10.5%. See "Use of Non-GAAP Financial Information and Financial Guidance" below for further information about non-GAAP financial measures and non-GAAP financial guidance. Casey Hoyt, Viemed's CEO, noted, "Viemed delivered another record quarter, with revenue reaching $78.1 million and our ventilator patient census rising to the highest level in company history. Strong ventilator setup activity, improving patient compliance, record PAP volume, and continued expansion in resupply and maternal health demonstrate the momentum building across our entire platform." "The strength of these results reflects the durable and increasingly diversified company we have built. Viemed has multiple growth engines, strong cash generation, a solid balance sheet, and the financial flexibility to continue investing in our people, technology, and patient care capabilities. We are making those investments deliberately to support the patient growth already entering the platform, and we enter the second half of 2026 confident in Viemed's ability to deliver consistent and increasingly predictable growth." Conference Call Details The Company will host a conference call to discuss second quarter results on Tuesday, August 4, 2026, at 11:00 a.m. ET. Interested parties may participate in the call by dialing: 877-407-6176 (US Toll-Free)+1 201-689-8451 (International) Live Audio Webcast: https://event.choruscall.com/mediaframe/webcast.html?webcastid=peVp8cbE Following the conclusion of the call, an audio recording and transcript of the call can be accessed on the Company's website. ABOUT VIEMED HEALTHCARE, INC. Viemed is a provider of home medical equipment and post-acute healthcare services in the United States, with a focus on respiratory, chronic care, and women's health products and services. Viemed's model emphasizes efficient, high-quality care delivered in the home through a combination of high-touch clinical support and technology-enabled services, including therapy, education, and counseling provided by our clinical practitioners. For more information, visit our website at www.viemed.com. For further information, please contact: Investor [email protected] Trae FitzgeraldChief Financial Officer337-504-3802 Forward-Looking Statements Certain statements contained in this press release may constitute "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 or "forward-looking information" as such term is defined in applicable Canadian securities legislation (collectively, "forward-looking statements"). Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "potential", "scheduled", "estimates", "forecasts", "intends", "anticipates", "believes", "projects", or the negatives thereof or variations of such words and phrases or statements that certain actions, events or results "will", "should", "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative of these terms or comparable terminology. All statements other than statements of historical fact, including those that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance, including the Company's 2026 net revenue, Adjusted EBITDA and net capital expenditure guidance, anticipated patient and revenue growth, expected operating leverage, technology and personnel investments, capital allocation priorities, share repurchases and future cash generation, are not historical facts and may be forward-looking statements and may involve estimates, assumptions and uncertainties that could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. Such statements reflect the Company's current views and intentions with respect to future events, and current information available to the Company, and are subject to certain risks, uncertainties and assumptions. Many factors could cause the actual results, performance or achievements that may be expressed or implied by such forward-looking statements to vary from those described herein should one or more of these risks or uncertainties materialize. These factors include, without limitation: the general business, market and economic conditions in the regions in which we operate; significant capital requirements and operating risks that we may be subject to; our ability to implement business strategies and pursue business opportunities; volatility in the market price of our common shares; the state of the capital markets; the availability of funds and resources to pursue operations; inflation; reductions in reimbursement rates and audits of reimbursement claims by various governmental and private payor entities; dependence on few payors; possible new drug discoveries; dependence on key suppliers; changes in U.S. trade policies and retaliatory responses from other countries, including tariffs; granting of permits and licenses in a highly regulated business; competition; disruptions in or attacks (including cyber-attacks) on our information technology, internet, network access or other voice or data communications systems or services; the evolution of various types of fraud or other criminal behavior to which we are exposed; difficulty integrating newly acquired businesses; the impact of new and changes to, or application of, current laws and regulations; the overall difficult litigation and regulatory environment; increased competition; increased funding costs and market volatility due to market illiquidity and competition for funding; critical accounting estimates and changes to accounting standards, policies, and methods used by us; the occurrence of natural and unnatural catastrophic events or health epidemics or concerns, and claims resulting from such events or concerns; the use of artificial intelligence technologies; as well as other general economic, market and business conditions; and other factors beyond our control; as well as those risk factors discussed or referred to in the Company's disclosure documents filed with the U.S. Securities and Exchange Commission (the "SEC") available on the SEC's website at www.sec.gov, including the Company's most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q, and with the securities regulatory authorities in certain provinces of Canada available at www.sedarplus.ca. Should any factor affect the Company in an unexpected manner, or should assumptions underlying the forward-looking statements prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward-looking statements are expressly qualified in their entirety by this cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or completeness of such forward-looking statements. The forward-looking statements included in this press release are made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking statements, other than as required by applicable law. Use of Non-GAAP Financial Information and Financial Guidance This press release includes references to financial measures that are calculated and presented using methodologies other than those in accordance with generally accepted accounting principles in the United States ("GAAP"), including Adjusted EBITDA and free cash flow. Any non-GAAP financial measures presented herein are intended to supplement, and not to be considered superior to or as a substitute for, the Company's consolidated financial statements prepared in accordance with GAAP. These non-GAAP financial measures exclude significant expense and income items required by GAAP, and are subject to inherent limitations, including the exercise of judgment by management regarding which items to exclude or include. Non-GAAP measures presented herein may not be comparable to similarly titled measures presented by other companies. The reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are included in the tables accompanying this release. This press release contains non-GAAP financial guidance. There is no reliable or reasonably estimable comparable GAAP measure for the Company's non-GAAP financial guidance because the Company is not able to reliably predict the impact of certain items that typically have one or more of the following characteristics: highly variable, difficult to project, unusual in nature, significant to the results of a particular period or not indicative of future operating results. Similar charges or gains were recognized in prior periods and will likely reoccur in future periods. As a result, reconciliation of the non-GAAP financial guidance to the most directly comparable GAAP measure is not available without unreasonable effort. In addition, the Company believes such a reconciliation would imply a degree of precision and certainty that could be confusing to investors. The variability of the specified items may have a significant and unpredictable impact on the Company's future GAAP results. The Company's financial guidance in this press release excludes the impact of potential future strategic acquisitions and any items that have not yet been identified or quantified. This guidance is subject to risks and uncertainties inherent in all forward-looking statements, as outlined above.   VIEMED HEALTHCARE, INC.CONDENSED CONSOLIDATED BALANCE SHEETS(Expressed in thousands of U.S. Dollars, except share amounts)(Unaudited)   VIEMED HEALTHCARE, INC.CONDENSED CONSOLIDATED STATEMENTS OF INCOME(Expressed in thousands of U.S. Dollars, except outstanding shares and per share amounts)(Unaudited)   VIEMED HEALTHCARE, INC.CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS(Expressed in thousands of U.S. Dollars)(Unaudited) Reconciliation from GAAP Net Income to Non-GAAP Adjusted EBITDA This press release refers to "Adjusted EBITDA", which is a financial measure that is not prepared in accordance with generally accepted accounting principles in the United States ("GAAP"). Adjusted EBITDA should be considered in addition to, not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. Management believes Adjusted EBITDA provides helpful information with respect to the Company's operating performance as viewed by management, including a view of the Company's business that is not dependent on the impact of the Company's capitalization structure and items that are not part of the Company's day-to-day operations. Management uses Adjusted EBITDA (i) to compare the Company's operating performance on a consistent basis, (ii) to calculate incentive compensation for the Company's employees, (iii) for planning purposes, including the preparation of the Company's internal annual operating budget, and (iv) to evaluate the performance and effectiveness of the Company's operational strategies. Accordingly, management believes that Adjusted EBITDA provides useful information in understanding and evaluating the Company's operating performance in the same manner as management. Adjusted EBITDA is not a measurement of the Company's financial performance under GAAP and should not be considered as an alternative to revenue or net income, as applicable, or any other performance measures derived in accordance with GAAP. Adjusted EBITDA has limitations as an analytical tool and you should not consider it in isolation or as a substitute for analysis of the Company's operating results as reported under GAAP. Adjusted EBITDA does not reflect the impact of certain cash charges resulting from matters the Company considers not to be indicative of ongoing operations; and other companies in the Company's industry may calculate Adjusted EBITDA differently than we do, limiting its usefulness as a comparative measure. In calculating Adjusted EBITDA, certain items (mostly non-cash) are excluded from net income attributable to Viemed Healthcare, Inc., including depreciation and amortization of capitalized assets, net interest expense, stock based compensation, transaction costs, impairment of assets, and taxes. The following unaudited table is a reconciliation of net income attributable to Viemed Healthcare, Inc., the most directly comparable GAAP measure, to Adjusted EBITDA, on a historical basis for the periods indicated: (Expressed in thousands of U.S. Dollars) (a) Represents non-cash, equity-based compensation expense associated with option and RSU awards.(b) Represents transaction costs and expenses related to acquisition and integration efforts associated with recently announced or completed acquisitions.(c) Represents impairments of the fair value of investment and litigation-related assets. Reconciliation from GAAP Net Cash Provided by Operating Activities to Non-GAAP Free Cash Flow This press release refers to "free cash flow" which is a non-GAAP financial measure that does not have a standardized meaning prescribed by GAAP. Free cash flow is defined as net cash provided by operating activities less net capital expenditures ("Net CAPEX"). Net CAPEX is calculated as purchases of property and equipment minus proceeds from the sale of property and equipment. The Company's presentation of this financial measure may not be comparable to similarly titled measures used by other companies. The Company presents free cash flow for the current quarter and trailing twelve months (TTM) as a supplemental liquidity measure. Management believes free cash flow provides investors with useful insight into the Company's ability to generate cash, fund growth initiatives, and return capital to shareholders. The following table is a reconciliation of net cash provided by operating activities, the most directly comparable GAAP measure, to free cash flow, on a historical basis for the periods indicated: (Expressed in thousands of U.S. Dollars; unaudited) SOURCE: Viemed Healthcare, Inc. View the original press release on ACCESS Newswire

Interested in Viemed Healthcare, Inc.? Here are five stocks we like better. Revenue rose 28% to $75.4 million, driven by strong expansion in sleep (PAP patients up 57% YoY to ~36,000) and resupply (+47% YoY) and by early, faster-than-expected scaling of maternal health (≈4,000 new maternal patients). Ventilator rentals grew about 10% YoY to $35.4 million with accelerating new-patient starts, but new NCD compliance evaluations have increased turnover and created near-term pressure on the ventilator census (12,089), even as active-patient compliance has improved ~20% since the NCD. Cash flow and guidance improved: free cash flow turned positive to $2.6 million (vs. -$5.7M a year ago) with trailing 12‑month FCF of $36.3M; management reaffirmed Adjusted EBITDA guidance of $65–$69M and narrowed net revenue guidance to $312–$320M while executing buybacks and reducing long-term debt to $8.3M. 3 Undervalued Small-Cap Stocks for Your Labor Day Watchlist Viemed Healthcare (NASDAQ:VMD) reported first-quarter results that executives said reflected “consistent execution” across its platform, led by continued growth in sleep therapy, early momentum in maternal health expansion, and improving operational trends in its ventilation business. The company also highlighted a year-over-year improvement in free cash flow and updates to its 2026 outlook. Chief Executive Officer Casey Hoyt said first-quarter revenue was $75.4 million, up 28% from the prior year, and that the quarter matched the company’s record fourth quarter performance despite what he described as a “predictable seasonal pattern” in Q1. Todd Zehnder, the company’s Chief Operating Officer, said revenue was essentially flat sequentially versus $76.2 million in the fourth quarter of 2025, which he said aligned with the company’s expectations for seasonal moderation. → Berkshire Hathaway’s Record Cash Hoard: Why and What's Next? Zehnder broke down revenue into several key categories: Ventilator rentals: $35.4 million, up about 10% year-over-year. Other home medical equipment rentals: $16.2 million, up 25% year-over-year, driven by patient growth across PAP, oxygen, and airway clearance. Equipment and supply sales: $17.5 million, more than doubling from $7.5 million in the prior-year period, driven by sleep resupply growth and maternal health offerings. Zehnder noted that ventilator rentals represented about 47% of total revenue in the first quarter of 2026, down from 54% a year earlier, describing the mix shift as intentional diversification. He also said Medicare represented 35% of revenue, down from 41% in the year-ago quarter, as commercial payers became a larger part of the mix with growth in sleep and maternal health. → A Prada Payday: Is AMC Back in Style? Hoyt said sleep continued to be one of the company’s strongest growth drivers, with PAP therapy patients up 57% year-over-year. The company ended the quarter with “nearly 36,000” PAP patients, and Zehnder provided the quarter-end figure of 35,938 patients, up 4% sequentially. Hoyt emphasized that recent setup activity has translated into a larger base of resupply patients, which he said increases visibility into future revenue. He added that quarterly resupply patient counts were down modestly from the fourth quarter due to typical seasonal dynamics as deductibles reset, but said resupply patients were still up 47% year-over-year. → Insider Sales: Top AST SpaceMobile Insider Cuts Postion Over 30% Hoyt also pointed to what he described as strong long-term demand drivers for sleep, including underdiagnosis of obstructive sleep apnea and a broader focus on metabolic health, including increased adoption of GLP-1 therapies. Hoyt said maternal health performance was ahead of plan, and that Lehan “continued to perform well,” with a smooth integration that has been accretive “since day one.” He highlighted early signs of scaling maternal health through Viemed’s existing infrastructure, stating that during the first quarter the company serviced “just under 4,000 new maternal health patients” under Viemed contracts in markets where Lehan previously had no presence. Hoyt described the result as an indicator that the company can extend maternal health into additional Viemed markets, citing the ability to leverage existing payer relationships, intake and billing infrastructure, and compliance capabilities. He said the company expects to continue expanding maternal health into more markets as it moves through 2026. In the Q&A session, Zehnder addressed operational constraints in maternal health, saying sales capacity is not the primary limiter. “It’s really back office and fulfillment that we’re staffing up on,” he said, adding that the company is “hiring as fast as we can and fulfilling as fast as we can,” and that growth is driven “more [by] digital marketing than anything.” On ventilation, Hoyt said the company is seeing stronger-than-expected momentum in new patient starts as referral sources become more comfortable with updated criteria and the documentation process matures. He called the trend “the inflection point we’ve been working towards,” and said it was arriving ahead of schedule. Hoyt cited March as a particularly strong month for ventilator setups, with 759 starts compared to 692 a year earlier. Hoyt also said the company’s “100% ALJ success rate on Medicare Advantage denials” continued to validate patient appropriateness, and that more denials are being resolved earlier in the process. At the same time, Hoyt said that patients set up under the new NCD criteria are now reaching required compliance evaluation points, and that turnover for those patients is higher than before the NCD, creating near-term pressure on the net patient census. The ventilator patient census ended the quarter at 12,089 patients. Hoyt said the pressure is “not a demand issue” or “a competitive issue,” but rather a “compliance dynamic” inherent in the new rules. He added that compliance among active ventilator patients has improved by nearly 20% since the NCD went into effect, which he said supports the company’s view that its “high touch, high tech model” can drive further improvement as the NCD matures. Hoyt also said the company is advocating for policy changes, arguing that patients who experience temporary non-compliance episodes can lose access to ventilators even though their clinical need may remain. Hoyt addressed other regulatory topics, stating that CMS competitive bidding categories in the upcoming round do not include Viemed’s current product offerings, and that the company does not expect a material impact. He also said a CMS enrollment moratorium had “no impact on Viemed’s operations whatsoever,” adding that it restricts new entrants and could make the competitive landscape “more rational over time.” Zehnder reported gross profit of $42.8 million, with a gross margin of 56.8%, slightly higher than 56.3% in the first quarter of 2025 but down sequentially from 57.9% in the fourth quarter, which he attributed largely to normal Q1 volume effects and relatively fixed labor components in cost of goods sold. Adjusted EBITDA was $14.3 million, or 19% of revenue, compared with $12.8 million, or 21.6% of revenue, in the year-ago quarter. Zehnder noted that the first quarter of 2025 included a $2.7 million non-recurring gain related to the Philips ventilator buyback program, which has concluded. Excluding that gain, he said first-quarter 2025 Adjusted EBITDA margin would have been about 17%, implying about 200 basis points of year-over-year expansion on a comparable basis. He reiterated expectations for full-year 2026 Adjusted EBITDA margin of roughly 21% to 22%. SG&A as a percentage of revenue improved to 46.1% from 48.1% a year earlier. Zehnder said headcount-related costs increased in absolute dollars to support growth, including staffing added to Lehan, and that the company ended the quarter with 1,387 employees, up from 1,222 a year ago. Net income attributable to Viemed was $2.6 million, or $0.06 per diluted share, essentially flat year-over-year, with Zehnder again noting the prior-year period’s non-recurring disposal gain. Free cash flow was $2.6 million, compared with negative $5.7 million in the first quarter of 2025, an $8.3 million improvement. Cash flow from operations rose to $8.1 million from $2.9 million, while net CapEx fell to $5.5 million from $8.5 million, which Zehnder linked to a greater mix of less capital-intensive lines such as sleep resupply and maternal health. He said trailing 12-month free cash flow increased to $36.3 million as of the call, up from $23.3 million through the third quarter of 2025 and $11.6 million at the end of 2024. During the quarter, the company repurchased and canceled 150,000 shares at an average price of $9.29 per share for a total cost of $1.4 million. Viemed also made $3.2 million in principal payments, reducing long-term debt to $8.3 million as of March 31, 2026. The company ended the quarter with $9.8 million in cash and $46 million available under its credit facilities. Zehnder said the company was “effectively at net zero debt” and maintained capacity for potential acquisitions, while emphasizing discipline on return thresholds and strategic fit. For guidance, Zehnder said the company narrowed and raised the low end of its full-year 2026 net revenue outlook to $312 million to $320 million (from $310 million to $320 million), reaffirmed Adjusted EBITDA guidance of $65 million to $69 million, and lowered its net CapEx outlook to 9% to 10.5% of net revenue (from 10% to 11.5%). He added that the company expects sequential revenue growth of 3% to 5% per quarter through the remainder of the year. In response to an analyst question about potential upside to guidance, Zehnder said all product lines could contribute, highlighting ventilation new patient start momentum, rapid maternal health growth as operations scale, and sleep performance that “continues to outperform what we ever thought it would do a few years ago.” Viemed Healthcare, Inc (NASDAQ: VMD) is a provider of home-based respiratory therapy services, specializing in the management of patients requiring long-term mechanical ventilation and pulmonary support. The company’s offerings encompass invasive and noninvasive ventilation, airway clearance therapies, cough assist devices, and supplemental oxygen. Viemed combines durable medical equipment with clinical care, delivering tailored respiratory treatment plans that are overseen by licensed respiratory therapists and registered nurses. Founded in the early 2010s and headquartered in Birmingham, Alabama, Viemed has grown its footprint to serve patients across multiple states in the United States. The article "Viemed Healthcare Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

LAFAYETTE, LA / ACCESS Newswire / May 5, 2026 / Viemed Healthcare, Inc. (the "Company" or "Viemed") (NASDAQ:VMD), a national provider of technology-enabled, home-based healthcare solutions and chronic disease management, announced today that it has reported its financial results for the three months ended March 31, 2026, and updated guidance for the full year ending December 31, 2026. Operational highlights (all dollar amounts are USD): Net revenues for the quarter ended March 31, 2026 were $75.4 million, representing an increase of $16.3 million, or 28%, over net revenues reported for the comparable quarter ended March 31, 2025. Net income attributable to Viemed for the quarter ended March 31, 2026 totaled $2.6 million, or $0.06 per diluted share. Adjusted EBITDA for the quarter ended March 31, 2026 totaled $14.3 million, a 12% increase as compared to the quarter ended March 31, 2025. The prior year period benefited from a $2.7 million non-recurring gain on disposal of property and equipment related to the ventilator return program, which concluded during 2025. Net cash provided by operating activities totaled $8.1 million for the quarter and $57.1 million for the trailing twelve months ended March 31, 2026. Free cash flow totaled $2.6 million for the quarter and $36.3 million for the trailing twelve months ended March 31, 2026. During the first quarter of 2026, the Company repurchased and cancelled 150,000 common shares under its share repurchase program at a cost of $1.4 million (excluding taxes), representing an average buyback price of $9.29 per share. The Company's ventilator patient count totaled 12,089 as of March 31, 2026, an increase of 2% over March 31, 2025. The Company increased its PAP therapy patient count to 35,938 as of March 31, 2026, an increase of 57% over March 31, 2025, and a 4% sequential increase from December 31, 2025. The Company's sleep resupply patient count was 33,661 as of March 31, 2026, an increase of 47% over March 31, 2025, and an 8% sequential decrease from December 31, 2025. As of March 31, 2026, the Company maintained a cash balance of $9.8 million, and an overall working capital balance of $9.1 million. The Company repaid $3.2 million of its term loan during the quarter ended March 31, 2026. Long-term debt totaled $8.3 million and the Company had $46 million available under existing credit facilities. Updated Full Year 2026 Guidance (all dollar amounts are USD): The Company is updating its full-year 2026 guidance to reflect increased forecasting precision and favorable trends in new patient starts, which support a narrowing of the revenue range. The Company is also updating its net capital expenditure outlook to reflect the continued shift in revenue mix toward less capital-intensive service lines, which is producing a structurally lower level of capital intensity than originally anticipated. Adjusted EBITDA guidance is reaffirmed. Net revenue is now expected to be in the range of $312 million to $320 million, narrowed and raised from the prior range of $310 million to $320 million. Adjusted EBITDA is expected to be in the range of $65 million to $69 million. Net capital expenditures are now expected to be in the range of 9% to 10.5% of net revenue, updated from the prior range of 10% to 11.5%. See "Use of Non-GAAP Financial Information and Financial Guidance" below for further information about non-GAAP financial measures and non-GAAP financial guidance. Casey Hoyt, Viemed's Chief Executive Officer, commented, "The first quarter showed clearly that the work we have put into diversifying and scaling this platform is paying off. Sleep and maternal health are growing rapidly, our ventilator business is showing the momentum we have been working toward, and the combination of strong revenue growth and a more capital-efficient business mix is producing free cash flow results that look fundamentally different than they did a year ago. We believe that trajectory will become an increasingly important part of how investors understand and value Viemed. We are executing the plan we communicated, the forward indicators across the business are pointing in the right direction, and we enter the second quarter with real confidence in where this year is headed." Conference Call Details The Company will host a conference call to discuss its first quarter results, as well as its 2026 guidance, on Wednesday, May 6, 2026, at 11:00 a.m. ET. Interested parties may participate in the call by dialing: 877-407-6176 (US Toll-Free) +1 201-689-8451 (International) Live Audio Webcast: https://event.choruscall.com/mediaframe/webcast.html?webcastid=MWjE55eM Following the conclusion of the call, an audio recording and transcript of the call can be accessed on the Company's website. ABOUT VIEMED HEALTHCARE, INC. Viemed is a provider of home medical equipment and post-acute healthcare services in the United States, with a focus on respiratory, chronic care, and women's health products and services. Viemed's model emphasizes efficient, high-quality care delivered in the home through a combination of high-touch clinical support and technology-enabled services, including therapy, education, and counseling provided by our clinical practitioners. For more information, visit our website at www.viemed.com. For further information, please contact: Investor Relations [email protected] Trae Fitzgerald Chief Financial Officer 337-504-3802 Forward-Looking Statements Certain statements contained in this press release may constitute "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 or "forward-looking information" as such term is defined in applicable Canadian securities legislation (collectively, "forward-looking statements"). Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "potential", "scheduled", "estimates", "forecasts", "intends", "anticipates", "believes", "projects", or the negatives thereof or variations of such words and phrases or statements that certain actions, events or results "will", "should", "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative of these terms or comparable terminology. All statements other than statements of historical fact, including those that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance, including the Company's net revenue, Adjusted EBITDA and capital expenditures guidance for 2026 and capital allocation priorities, including share repurchases and free cash flow generation, are not historical facts and may be forward-looking statements and may involve estimates, assumptions and uncertainties that could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. Such statements reflect the Company's current views and intentions with respect to future events, and current information available to the Company, and are subject to certain risks, uncertainties and assumptions. Many factors could cause the actual results, performance or achievements that may be expressed or implied by such forward-looking statements to vary from those described herein should one or more of these risks or uncertainties materialize. These factors include, without limitation: the general business, market and economic conditions in the regions in which we operate; significant capital requirements and operating risks that we may be subject to; our ability to implement business strategies and pursue business opportunities; volatility in the market price of our common shares; the state of the capital markets; the availability of funds and resources to pursue operations; inflation; reductions in reimbursement rates and audits of reimbursement claims by various governmental and private payor entities; dependence on few payors; possible new drug discoveries; dependence on key suppliers; changes in U.S. trade policies and retaliatory responses from other countries, including tariffs; granting of permits and licenses in a highly regulated business; competition; disruptions in or attacks (including cyber-attacks) on our information technology, internet, network access or other voice or data communications systems or services; the evolution of various types of fraud or other criminal behavior to which we are exposed; difficulty integrating newly acquired businesses; the impact of new and changes to, or application of, current laws and regulations; the overall difficult litigation and regulatory environment; increased competition; increased funding costs and market volatility due to market illiquidity and competition for funding; critical accounting estimates and changes to accounting standards, policies, and methods used by us; the occurrence of natural and unnatural catastrophic events or health epidemics or concerns, and claims resulting from such events or concerns; and the use of artificial intelligence technologies; as well as other general economic, market and business conditions; and other factors beyond our control; as well as those risk factors discussed or referred to in the Company's disclosure documents filed with the U.S. Securities and Exchange Commission (the "SEC") available on the SEC's website at www.sec.gov, including the Company's most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q, and with the securities regulatory authorities in certain provinces of Canada available at www.sedarplus.ca. Should any factor affect the Company in an unexpected manner, or should assumptions underlying the forward-looking statements prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward-looking statements are expressly qualified in their entirety by this cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or completeness of such forward-looking statements. The forward-looking statements included in this press release are made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking statements, other than as required by applicable law. Use of Non-GAAP Financial Information and Financial Guidance This press release includes references to financial measures that are calculated and presented using methodologies other than those in accordance with generally accepted accounting principles in the United States ("GAAP"), including Adjusted EBITDA and free cash flow. Any non-GAAP financial measures presented herein are intended to supplement, and not to be considered superior to or as a substitute for, the Company's consolidated financial statements prepared in accordance with GAAP. These non-GAAP financial measures exclude significant expense and income items required by GAAP, and are subject to inherent limitations, including the exercise of judgment by management regarding which items to exclude or include. Non-GAAP measures presented herein may not be comparable to similarly titled measures presented by other companies. The reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are included in the tables accompanying this release. This press release contains non-GAAP financial guidance. There is no reliable or reasonably estimable comparable GAAP measure for the Company's non-GAAP financial guidance because the Company is not able to reliably predict the impact of certain items that typically have one or more of the following characteristics: highly variable, difficult to project, unusual in nature, significant to the results of a particular period or not indicative of future operating results. Similar charges or gains were recognized in prior periods and will likely reoccur in future periods. As a result, reconciliation of the non-GAAP financial guidance to the most directly comparable GAAP measure is not available without unreasonable effort. In addition, the Company believes such a reconciliation would imply a degree of precision and certainty that could be confusing to investors. The variability of the specified items may have a significant and unpredictable impact on the Company's future GAAP results. The Company's financial guidance in this press release excludes the impact of potential future strategic acquisitions and any items that have not yet been identified or quantified. This guidance is subject to risks and uncertainties inherent in all forward-looking statements, as outlined above. VIEMED HEALTHCARE, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (Expressed in thousands of U.S. Dollars, except share amounts) (Unaudited) VIEMED HEALTHCARE, INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Expressed in thousands of U.S. Dollars, except outstanding shares and per share amounts) (Unaudited) VIEMED HEALTHCARE, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Expressed in thousands of U.S. Dollars) (Unaudited) Reconciliation from GAAP Net Income to Non-GAAP Adjusted EBITDA This press release refers to "Adjusted EBITDA", which is a financial measure that is not prepared in accordance with generally accepted accounting principles in the United States ("GAAP"). Adjusted EBITDA should be considered in addition to, not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. Management believes Adjusted EBITDA provides helpful information with respect to the Company's operating performance as viewed by management, including a view of the Company's business that is not dependent on the impact of the Company's capitalization structure and items that are not part of the Company's day-to-day operations. Management uses Adjusted EBITDA (i) to compare the Company's operating performance on a consistent basis, (ii) to calculate incentive compensation for the Company's employees, (iii) for planning purposes, including the preparation of the Company's internal annual operating budget, and (iv) to evaluate the performance and effectiveness of the Company's operational strategies. Accordingly, management believes that Adjusted EBITDA provides useful information in understanding and evaluating the Company's operating performance in the same manner as management. Adjusted EBITDA is not a measurement of the Company's financial performance under GAAP and should not be considered as an alternative to revenue or net income, as applicable, or any other performance measures derived in accordance with GAAP. Adjusted EBITDA has limitations as an analytical tool and you should not consider it in isolation or as a substitute for analysis of the Company's operating results as reported under GAAP. Adjusted EBITDA does not reflect the impact of certain cash charges resulting from matters the Company considers not to be indicative of ongoing operations; and other companies in the Company's industry may calculate Adjusted EBITDA differently than we do, limiting its usefulness as a comparative measure. In calculating Adjusted EBITDA, certain items (mostly non-cash) are excluded from net income attributable to Viemed Healthcare, Inc., including depreciation and amortization of capitalized assets, net interest expense, stock based compensation, transaction costs, impairment of assets, and taxes. The following unaudited table is a reconciliation of net income attributable to Viemed Healthcare, Inc., the most directly comparable GAAP measure, to Adjusted EBITDA, on a historical basis for the periods indicated: (Expressed in thousands of U.S. Dollars) (a) Represents non-cash, equity-based compensation expense associated with option and RSU awards. (b) Represents transaction costs and expenses related to acquisition and integration efforts associated with recently announced or completed acquisitions. (c) Represents impairments of the fair value of investment and litigation-related assets. Reconciliation from GAAP Net Cash Provided by Operating Activities to Non-GAAP Free Cash Flow This press release refers to "free cash flow" which is a non-GAAP financial measure that does not have a standardized meaning prescribed by GAAP. Free cash flow is defined as net cash provided by operating activities less net capital expenditures ("Net CAPEX"). Net CAPEX is calculated as purchases of property and equipment minus proceeds from the sale of property and equipment. The Company's presentation of this financial measure may not be comparable to similarly titled measures used by other companies. The Company presents free cash flow for the current quarter and trailing twelve months (TTM) as a supplemental liquidity measure. Management believes free cash flow provides investors with useful insight into the Company's ability to generate cash, fund growth initiatives, and return capital to shareholders. The following table is a reconciliation of net cash provided by operating activities, the most directly comparable GAAP measure, to free cash flow, on a historical basis for the periods indicated: (Expressed in thousands of U.S. Dollars; unaudited) SOURCE: Viemed Healthcare, Inc. View the original press release on ACCESS Newswire

Revenue growth of 28% was driven by a deliberate shift toward a more balanced product mix, reducing reliance on ventilation while scaling sleep and maternal health segments. The sleep business reached a milestone of nearly 36,000 PAP patients, creating a predictable, recurring resupply revenue stream that compounds as the base expands. Maternal health integration is exceeding expectations, with the company successfully servicing 4,000 new patients in markets where the acquired Lehan business previously had no presence. Ventilation momentum is building as referral sources adapt to new National Coverage Determination (NCD) criteria, leading to a record 759 setups in March. Management noted that while new NCD compliance standards have increased patient turnover, active patient compliance has improved by nearly 20% since the policy took effect. The company is leveraging its national infrastructure and existing payer contracts to scale new product offerings with minimal incremental capital requirements. A CMS enrollment moratorium on new Medicare providers is viewed as a competitive advantage that makes the landscape more rational for established national players. Management expects sequential revenue growth of 3% to 5% per quarter through the remainder of 2026, supported by building momentum in ventilation and maternal health. Full-year adjusted EBITDA margin is targeted at 21% to 22%, predicated on realizing SG&A operating leverage as the revenue base scales. The net CapEx outlook was lowered to 9% to 10.5% of revenue, reflecting a structural shift toward service lines that require less capital per dollar of revenue. The company intends to continue opportunistic share repurchases under its 2026 program, viewing the buyback as accretive to long-term shareholder value. Strategic advocacy will focus on evolving NCD compliance rules to ensure patients with chronic conditions do not lose access to life-sustaining therapy due to temporary interruptions. Year-over-year margin comparisons are impacted by a $2.7 million recurring gain from a Philips ventilator buyback program in 2025 that has now concluded. Seasonal patterns in Q1 typically result in flat sequential revenue and modest margin compression due to the reset of patient insurance deductibles. The company maintains a strong balance sheet with effectively net zero debt and $46 million in available credit for disciplined M&A opportunities. Increased patient turnover under new NCD criteria is creating near-term pressure on the net patient census despite strong new setup activity. 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. Management identified all three core product lines as having upside potential, with ventilation setups currently exceeding original internal projections. Maternal health is cited as having a high likelihood of outperformance as the company continues to operationalize and scale the business nationally. Sales personnel are not the primary constraint; instead, the focus is on rapidly scaling back-office fulfillment and digital marketing to meet demand. The company is leveraging its role as an educator on new NCD rules to drive referral spikes from physician offices seeking guidance on the regulatory landscape. Efficiency gains are being driven by the implementation of AI and machine learning in intake and logistics to reduce labor per order. Management highlighted a 200 basis point improvement in SG&A over the past year, noting that corporate G&A does not need to grow in lockstep with revenue. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here.

Viemed Healthcare, Inc. (VMD) came out with quarterly earnings of $0.06 per share, missing the Zacks Consensus Estimate of $0.09 per share. This compares to earnings of $0.06 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -33.33%. A quarter ago, it was expected that this company would post earnings of $0.12 per share when it actually produced earnings of $0.14, delivering a surprise of +16.67%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Viemed Healthcare, which belongs to the Zacks Medical - Products industry, posted revenues of $75.41 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 0.55%. This compares to year-ago revenues of $59.13 million. The company has topped consensus revenue estimates just once over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Viemed Healthcare shares have added about 27.6% since the beginning of the year versus the S&P 500's gain of 5.2%. While Viemed Healthcare has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Viemed Healthcare was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.11 on $78 million in revenues for the coming quarter and $0.46 on $315.9 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Products is currently in the bottom 36% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, OrganiGram (OGI), is yet to report results for the quarter ended March 2026. This cannabis producer is expected to post quarterly loss of $0.01 per share in its upcoming report, which represents a year-over-year change of +80%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. OrganiGram's revenues are expected to be $52.06 million, up 13.9% from the year-ago quarter. 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 Viemed Healthcare, Inc. (VMD) : Free Stock Analysis Report Organigram Global Inc. (OGI) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research