NUTEX HEALTH REPORTS FIRST QUARTER 2024 FINANCIAL RESULTS

• TOTAL REVENUE OF $67.5 MILLION FOR FIRST QUARTER 2024 VS $56.3 MILLION IN 2023, AN INCREASE OF 20%
• HOSPITAL DIVISION VISITS OF 40,068 FOR THE FIRST QUARTER 2024 VS VISITS OF 33,085 IN 2023, AN INCREASE OF 21.1%
• HOSPITAL DIVISION OPERATING INCOME OF $10.5 MILLION FOR FIRST QUARTER 2024 VS $4.8 MILLION IN 2023, AN INCREASE OF 119%
• NET CASH FROM OPERATING ACTIVITIES OF $3.1 MILLION FOR FIRST QUARTER 2024
• CONTINUED FOCUS ON INCREASED CASH FLOW THROUGH REDUCTION IN OPERATING EXPENSES AND PORTFOLIO OPTIMIZATION

HOUSTON, May 8, 2024 /PRNewswire/ -- Nutex Health Inc. ("Nutex Health" or the "Company") (NASDAQ: NUTX), a physician-led, technology-enabled integrated healthcare delivery system comprised of 21 state-of-the-art micro hospitals in nine states and primary care-centric, risk-bearing physician networks, today announced first quarter 2024 financial results for the three months ended March 31, 2024.

Financial Highlights for the Three Months Ended March 31, 2024:

• Total revenue of $67.5 million as compared to total revenue of $56.3 million for the three months ended March 31, 2023, an increase of approximately 20%. Of this revenue growth, mature hospitals, which are hospitals opened prior to December 31, 2021, increased by 6.7% in 2024 compared to 2023.
• Total visits from the Hospital Division were 40,068 for the first quarter 2024 as compared to 33,085 for the first quarter 2023, an increase of 6,983 or 21.1%. Of this visit growth, mature hospitals increased by 5.3% in 2024 compared to 2023.
• Net loss attributable to Nutex Health Inc. of $0.4 million as compared to net loss attributable to Nutex Health Inc. of $5.1 million for the three months ended March 31, 2023.
• EBITDA of $7.1 million as compared to EBITDA of $0.3 million for the three months ended March 31, 2023.
• Adjusted EBITDA of $4.6 million as compared to Adjusted EBITDA of $2.4 million for the three months ended March 31, 2023, an increase of 92%.
• Net cash from operating activities of $3.1 million.
• As of March 31, 2024, the Company had total assets of $404.3 million, including cash and cash equivalents of $30.0 million and long-term debt of $26.3 million.

Note:  EBITDA and Adjusted EBITDA are non-GAAP financial metrics.  A reconciliation of non-GAAP to GAAP measures is included below in this earnings release.

"We are pleased to report 20% revenue growth, Adjusted EBITDA of $4.6 million and a 119% increase in hospital division operating income to $10.5 million in 2024, with overall Nutex operating income of $1.5 million as opposed to an operating loss of $4.5 million in the same period last year," stated Jon Bates, Chief Financial Officer of Nutex Health.

"We had a solid First Quarter with strong year over year growth. Volume continues to increase at both our mature hospitals as well as the four hospitals that we opened in 2023. Our average payment by insurers of patient claims increased, a trend we are optimistic will persist as we continue to work the NSA claims through the Independent Dispute Resolution process," stated Tom Vo, M.D., MBA, Chairman and Chief Executive Officer of Nutex Health.

"Nutex Health has generated net cash from operations and has had positive Adjusted EBITDA for multiple consecutive quarters while growing organically with the opening of five new micro hospitals and growing our population health division in the past 18 months. We believe our balance sheet is strong, with $30.0 million in cash and only $26.3 million in long-term debt," stated Warren Hosseinion, M.D., President of Nutex Health.

For more details on the Company's First Quarter 2024 financial results, please refer to our Quarterly Report on Form 10-Q filed with the U.S. Securities & Exchange Commission and accessible at www.sec.gov.

Non-GAAP Financial Measures (Unaudited)

EBITDA and Adjusted EBITDA. EBITDA and Adjusted EBITDA are used as a supplemental non-GAAP financial measure by management and external users of our financial statements, such as industry analysts, investors, lenders and rating agencies. We believe EBITDA and Adjusted EBITDA are useful because it allows us to more effectively evaluate our operating performance.

We define EBITDA as net income (loss) attributable to Nutex Health Inc. plus interest expense, income taxes, depreciation and amortization.

We define Adjusted EBITDA as net income (loss) attributable to Nutex Health Inc. plus net interest expense, income taxes, depreciation and amortization, further adjusted for stock-based compensation, certain defined items of expense, any acquisition-related costs and impairments. A reconciliation of net income to EBITDA and Adjusted EBITDA is included below. EBITDA and Adjusted EBITDA are not intended to serve as an alternative to U.S. GAAP measures of performance and may not be comparable to similarly-titled measures presented by other companies.

About Nutex Health Inc.

Headquartered in Houston, Texas and founded in 2011, Nutex Health Inc. (NASDAQ: NUTX) is a healthcare management and operations company with two divisions: a Hospital Division and a Population Health Management Division.

The Hospital Division owns, develops and operates innovative health care models, including micro-hospitals, specialty hospitals, and hospital outpatient departments (HOPDs). This division owns and operates 21 facilities in nine states.

The Population Health Management division owns and operates provider networks such as Independent Physician Associations (IPAs). Through our Management Services Organization (MSO), we provide management, administrative and other support services to our affiliated hospitals and physician groups.  Our cloud-based proprietary technology platform aggregates clinical and claims data across multiple settings, information systems and sources to create a holistic view of patients and providers, allowing us to deliver greater quality care more efficiently. 

Forward-Looking Statements

Certain statements and information included in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Act of 1995. When used in this press release, the words or phrases "will", "will likely result," "expected to," "will continue," "anticipated," "estimate," "projected," "intend," "goal," or similar expressions are intended to identify "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks, known and unknown, and uncertainties, many of which are beyond the control of the Company.  Such uncertainties and risks include, but are not limited to, our ability to successfully execute our growth strategy, changes in laws or regulations, including the interim final and final rules implemented under the No Surprises Act, economic conditions, dependence on management, dilution to stockholders, lack of capital, the effects of rapid growth upon the Company and the ability of management to effectively respond to the growth and demand for products and services of the Company, newly developing technologies, the Company's ability to compete, conflicts of interest in related party transactions, regulatory matters, protection of technology, lack of industry standards, the effects of competition and the ability of the Company to obtain future financing. An extensive list of factors that can affect future results are discussed in the Annual Report on Form 10-K for the year ended December 31, 2023 under the heading "Risk Factors" in Part I, Item IA thereof, and other documents filed from time to time with the Securities and Exchange Commission. Such factors could materially adversely affect the Company's financial performance and could cause the Company's actual results for future periods to differ materially from any opinions or statements expressed within this press release.

SOURCE Nutex Health, Inc.