RadNet Inc. witnessed a ‘considerable’ rebound in its financial health during its third quarter, as revenues soared up as high as 53% compared to the past three months, as per official reports.
RadNet Inc. is an imaging giant based in Los Angeles. The company recorded almost $292 million in revenue during its third quarter (Q3) that also signifies an increase of 0.3% from the third quarter of 2019. Business leaders credited aggressive measures of cost containment, partially, together with temporary salary cuts, furloughing employees, renegotiation of leases of imaging centers, etc. for such a rosy picture.
Howard Berger, MD & CEO was quoted saying, “Covid-19 has critically necessitated the evaluation of every unit of the business in order to curb expenses and make the best attempt to conserve cash. We made some adjustments over the last crucial six months, which materially improved our service delivery while increasing operating margins substantially.” He also noted that all these changes would also contribute significantly in the forthcoming quarters since procedural volumes rebound back.
In totality, RadNet Inc. recorded $45.8 million revenue (before interest and tax, amortization, and depreciation) in straight three months, which came to an end on September 30, 2020. This also denotes a sequential rise of 102.8% revenue from its last quarter and year-over-year of 11.7%. 15.7% is the EBITDA margin in 2020 compared to the figure of 2019 at 14%, according to official reports.
The coronavirus pandemic that hit the world, did not spare RadNet Inc. and allied 334 outpatient imaging care centers. In mid-April 2020, at its lowest point, visits reduced by 75% compared to the original projections of 2020. Although the financials improved significantly in Q3, operators of the imaging center did report significant signs of sluggishness in the business, with the volume of MRI sinking to 6.1% year-after-year, PET/CT at 0.4%, and CT completely flat. Overall, volumes of imaging, including ultrasound, mammography, and x-ray, were down by 5.7% when compared to 2019 figures in the same months.
Berger recently reported that the imaging giant RadNet started bringing its employees back from furlough and restore wages to its staff who had taken pay cuts, completing this process on October 1, 2020. The business also inked two joint ventures with hospitals during the third quarter namely Dignity and Adventist Health.
Expecting precise imaging and quick results during this pandemic? Trust sepstream® for its ultimate imaging solution. Using the most advanced imaging equipment and software, qualified professionals deliver impeccable and faultless results quickly. Professionals are trained to utilize high-end algorithms that provide quick results to patients and ensures accuracy.