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Dec 31, 2022

Modivcare Q4 2022 Earnings Report

Reported strong financial results with revenue growth, solidifying position as a leading supportive care solutions provider.

Key Takeaways

Modivcare reported a revenue of $653.9 million, a 14% increase compared to Q4 2021. The company experienced a net loss of $6.9 million, but adjusted EPS reached $2.11. The results reflect growth in revenue and membership, alongside strategic efforts to consolidate operations and drive efficiencies.

Service revenue increased by 14% to $653.9 million compared to Q4 2021.

Net loss was $6.9 million, or $0.49 per diluted common share.

Adjusted EBITDA reached $59.7 million, with adjusted EPS at $2.11.

The company's personal care business grew by 12%.

Total Revenue
$654M
Previous year: $576M
+13.6%
EPS
$2.11
Previous year: $2.11
+0.0%
Gross Profit
$120M
Previous year: $131M
-8.2%
Cash and Equivalents
$14.5M
Previous year: $133M
-89.1%
Free Cash Flow
-$63.5M
Previous year: $4.68M
-1455.3%
Total Assets
$1.94B
Previous year: $2.03B
-4.1%

Modivcare

Modivcare

Forward Guidance

Modivcare anticipates revenue between $2.575 billion and $2.600 billion and adjusted EBITDA between $225 million and $235 million for 2023.

Positive Outlook

  • Revenue is expected to be between $2,575 million and $2,600 million.
  • Adjusted EBITDA is projected to be between $225 million and $235 million.
  • Guidance affirms confidence in continued growth this year.
  • Focus on building for scale and driving efficiencies.
  • Supportive care services are uniquely positioned to provide the highest quality.

Challenges Ahead

  • Guidance excludes effects of future merger or acquisition activity.
  • Guidance is based on the current operating environment.
  • Potential risks related to government or private insurance program funding reductions.
  • Inability to control reimbursement rates received for services.
  • Effects of public health emergencies.