Nutex Health — Third Quarter 2026 Earnings Summary

Financial Performance:

• Net income attributable to Nutex Health for the nine months ended September 30, 2026, was $152.9 million ($21.50 diluted EPS), an increase from $59.0 million ($8.87 diluted EPS) in the same period of 2025.
• Net income attributable to Nutex Health for the three months ended September 30, 2026, was $40.2 million ($5.71 diluted EPS), a decrease from $55.4 million ($7.76 diluted EPS) in the same period of 2025.
• Total revenue for the nine months ended September 30, 2026, was $644.9 million, a 10.9% decrease from $723.6 million in 2025; hospital division revenue at same hospitals decreased 11.2%.
• Total revenue for the three months ended September 30, 2026, was $217.6 million, an 18.7% decrease from $267.8 million in 2025; hospital division revenue at same hospitals decreased 20.1%.
• EBITDA for the nine months ended September 30, 2026, was $225.8 million compared to $142.9 million in 2025; Adjusted EBITDA was $211.4 million compared to $243.0 million in 2025.
• EBITDA for the three months ended September 30, 2026, was $63.3 million compared to $91.8 million in 2025; Adjusted EBITDA was $63.9 million compared to $98.5 million in 2025.
• Operating income for the nine months ended September 30, 2026, increased to $280.1 million from $244.7 million in the same period of 2025.
• Net cash provided by operating activities for the nine months ended September 30, 2026, was $188.1 million, up from $177.7 million in 2025; for the three months ended September 30, 2026, it was $78.3 million, down from $99.5 million in 2025.
• Total assets were $1.0 billion as of September 30, 2026, compared to $918.5 million as of December 31, 2025; cash and cash equivalents were $249.9 million compared to $185.6 million.
• Long-term debt, net, was $34.2 million as of September 30, 2026, compared to $29.2 million as of December 31, 2025.
• Total cost of arbitration was $61.4 million for the nine months ended September 30, 2026, down from $116.2 million in 2025; for the three months ended September 30, 2026, it was $27.8 million, down from $41.9 million.
• Stock-based compensation expense for the nine months ended September 30, 2026, was $6.4 million, a significant decrease from $119.6 million in 2025.
• A $52.3 million non-cash reduction to contract services expense, resulting from a change in estimate related to the HaloMD agreement amendment and a reduction in the CMS administrative fee, increased net income by $25.0 million ($4.83 per diluted share) for the nine months ended September 30, 2026.

Guidance and Future Outlook:

• Management expects to finish the year strong, anticipating the opening of two new hospitals in the fourth quarter.
• The de novo hospital development pipeline is described as robust with exciting growth opportunities ahead.
• Patient volumes are reported to be growing across both existing hospitals and the overall network.

Business Segments and Product Lines:

• The Hospital Division reported total visits of 54,622 for the three months ended September 30, 2026, an 18.1% year-over-year increase; visits at same hospitals increased 12.4%.
• The Hospital Division reported total visits of 154,326 for the nine months ended September 30, 2026, a 10.2% year-over-year increase; visits at same hospitals increased 6.3%.
• The company operates 28 hospital facilities across 12 states within its Hospital Division.
• Approximately 50-60% of billable visits are submitted through the Independent Dispute Resolution (IDR) process.
• 40-50% of all billable visits result in an award determination, with Nutex Health prevailing in over 80% of those determinations over the last nine months.
• The company collects, on average, over 80% of award amounts as calculated on awards from inception through March 2026.

Market and Competitive Landscape:

• The decrease in revenue is attributed to factors favorably impacting 2025 revenue, including the availability of additional collection data supporting higher estimates for 2024 services and the reconciliation of ineligible charts from mid-2024 through the first nine months of 2025.
• The company faces regulatory and litigation uncertainty under the No Surprises Act.

Risks and Challenges:

• Risks include regulatory and litigation uncertainty under the No Surprises Act, lawsuits filed by health insurance providers against third-party providers in the arbitration process, and manipulative short seller reports.
• Potential risks involve the impact of litigation and disputes, including pending earn-out disputes, securities class actions, derivative actions, and class actions related to a recent cybersecurity incident.
• Risks also include the ability to successfully execute the growth strategy, timing of new hospital openings, dependence on management, lack of capital, and the effects of rapid growth.
• The company faces risks related to the sales of a substantial amount of Common Stock by stockholders and the obligation to issue additional shares to former doctor owners of under-construction hospitals.

Management Commentary and Tone:

• Jon Bates, CFO, stated that 2026 is continuing to be a solid financial year, highlighting strong operating income improvement and a strong balance sheet with $249.9 million in cash and $34.2 million in long-term debt.
• Tom Vo, Chairman and CEO, expressed pleasure with progress in the first nine months, noting growing patient volumes, strong cash collections, and a robust development pipeline.

Other Key Points:

• Cash related to stock repurchases and retirements was $50.689 million for the nine months ended September 30, 2026.
• Proceeds from the exercise of warrants were $250,000 for the nine months ended September 30, 2026.
• The company has a Real Estate Division comprising real estate entities that own land and hospital buildings leased to hospital entities.
• The Population Health Management Division operates provider networks such as Independent Physician Associations and provides management services through a Management Services Organization.
• A conference call to discuss the results was scheduled for November 6, 2026, at 9:30 a.m. CT.