RadNet (RDNT) investor relations material

Executive summary

• Q3 revenue reached a record $638.3 million, up 22.1% YoY; Adjusted EBITDA was a record $105.0 million, up 23.8% YoY.

• Adjusted EBITDA margin expanded 23 bps to 16.5%; growth reflected higher imaging volumes, advanced-imaging mix, capacity initiatives, acquisitions, partnerships and Digital Health expansion.

• Imaging Center revenue, Adjusted EBITDA and Free Cash Flow guidance increased; Digital Health Adjusted EBITDA guidance also rose.

Financial highlights

• Q3 revenue was $638.3 million versus $522.9 million YoY; Adjusted EBITDA was $105.0 million versus $84.9 million.

• GAAP net income attributable to common stockholders was $4.2 million versus $5.4 million, with diluted EPS of $0.05 versus $0.07; Adjusted EPS was $0.30 versus $0.24.

• Nine-month revenue was $1.837 billion, up 23.1%, and Adjusted EBITDA was $268.0 million, up 26.1%; net loss attributable to common stockholders was $21.8 million.

• Q3 operating income was $30.3 million versus $27.4 million; consolidated net income was $19.2 million versus $13.9 million.

• Q3 operating expenses rose 19.8% YoY to $564.3 million; nine-month operating expenses rose 19.7% to $1.68 billion.

Outlook and guidance

• FY26 Imaging Center revenue guidance rose to $2.385-$2.435 billion and Adjusted EBITDA guidance to $350-$363 million.

• FY26 Imaging Center Free Cash Flow guidance increased to $120-$130 million; CapEx guidance rose to $170-$180 million and cash interest expense guidance is $48-$53 million.

• FY26 Digital Health revenue guidance was reaffirmed at $135-$145 million; Adjusted EBITDA before non-capitalized R&D rose to $11-$13 million.

• Digital Health expects year-end ARR above $140 million and Q4 revenue growth of ~20% sequentially, with Q4 revenue well above $40 million.

• ONRAD is expected to close in Q1 2027; in its first year after closing, it is expected to add $190-$200 million revenue and $60-$65 million Adjusted EBITDA.