RadNet beats Q3 adjusted EPS estimates, lifts 2026 outlook
Overview
U.S. imaging services provider's Q3 revenue rose 22% yr/yr
Adjusted EPS for Q3 beat analyst expectations
Company raised full-year 2026 revenue, adjusted EBITDA, and free cash flow guidance
Outlook
RadNet raises 2026 Imaging Center revenue guidance to $2.385-$2.435 bln
Company now expects 2026 Imaging Center Adjusted EBITDA of $350-$363 mln
RadNet increases 2026 Imaging Center Free Cash Flow guidance to $120-$130 mln
Result Drivers
VOLUME AND SERVICE MIX - Co cited higher advanced imaging volumes, new center openings, increased capacity utilization, and a greater share of advanced imaging procedures as key drivers
ADVANCED IMAGING GROWTH - Advanced imaging volumes and business mix increased, contributing to overall revenue growth
REIMBURSEMENT AND DIGITAL HEALTH - Improved commercial payor reimbursement and Digital Health segment revenue growth supported results
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Adjusted EPS | Beat | $0.30 | $0.21 (8 Analysts) |
Q3 EPS | $0.05 | ||
Q3 Net Income | $19.15 mln | ||
Q3 Income from operations | $30.26 mln | ||
Q3 Operating Expenses | $608 mln | ||
Q3 Pretax Profit | $27.51 mln | ||
Q3 Total Service Revenue | $638.26 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the healthcare facilities & services peer group is "buy"
Wall Street's median 12-month price target for RadNet, Inc. is $95.50, about 25.7% above its November 6 closing price of $76.00
The stock recently traded at 97 times the next 12-month earnings vs. a P/E of 90 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)