Lumexa Imaging (LMRI) Wells Fargo 21st Annual Healthcare Conference summary

Business overview and growth strategy

• Operates 190 outpatient imaging centers in high-growth markets, focusing on both acquisitions and de novo expansion, with a record nine new centers opened last year and a target of 8–10 for the current year.

• About half of sites are joint ventures with major health systems, leveraging partnerships for rate strategy and network utilization.

• Outpatient imaging is a $33B market growing at 7% CAGR, driven by aging demographics and migration to lower-cost care sites.

• Advanced imaging (MRI, CT, PET) now comprises 37.4% of total volume, up 111 basis points YoY, and delivers a 3x revenue premium over routine imaging.

• Organic revenue growth baseline is 6–7%, with two-thirds from volume and one-third from price/mix, and de novo ramping expected to accelerate growth.

Advanced imaging and technology initiatives

• PET expansion is a focus, with three new machines added to the existing eight, and new radiotracers introduced for breast cancer diagnostics.

• Operational improvements include fast scan MRI, increasing machine capacity by up to 40%, and virtual MRI to maintain uptime without on-site techs.

• AI strategy centers on best-of-breed partnerships, supporting operational efficiency, cost reduction, and radiologist productivity.

• AI applications include workflow automation, coding, call agents, and clinical support, with rapid democratization of available models.

Joint ventures and market positioning

• Joint ventures address hospital needs for patient access and retention, offering a proven, capital-efficient model with 51/49 ownership favoring health systems.

• Recent partnerships include HSS and UPMC, with new sites planned in the NYC metro area, though regulatory hurdles may delay financial impact.

• JV centers tend to have higher margins due to better contracting and focus on advanced modalities, but ramp-up to maturity takes several years.

• Site neutrality policy proposals are expected to drive more hospital interest in outpatient partnerships, validating the business model.