AdaptHealth Reports 7.7% Increase in Revenue

By Bobby Samwell • Tuesday, February 27 15:19 • Permanent Link

AdaptHealth Corp. has released its financial results for the fourth quarter and full-year 2023, along with its initial outlook for 2024. Here are the key highlights:

Full Year 2023 Results: Net revenue increased to $3,200.2 million from $2,970.6 million, representing a 7.7% increase. The company reported a net loss attributable to AdaptHealth Corp. of $678.9 million, compared to a net income of $69.3 million in the previous year. Adjusted EBITDA increased to $670.8 million from $593.8 million, indicating a 13.0% increase. Cash flow from operations rose to $480.7 million from $373.9 million, marking a 28.6% increase. * Free cash flow improved to $143.2 million from $(17.6) million.

Fourth Quarter 2023 Results: Net revenue for the quarter was $858.2 million, up from $780.3 million in the same period the previous year, representing a 10.0% increase. The net loss attributable to AdaptHealth Corp. in the fourth quarter was $254.5 million, compared to a net loss of $2.6 million in the same period the previous year. Adjusted EBITDA for the quarter increased to $204.6 million from $146.0 million, showing a 40.2% increase. Cash flow from operations for the quarter increased to $155.3 million from $96.9 million, marking a 60.2% increase. * Free cash flow for the quarter was $66.6 million, compared to $(46.0) million in the same period the previous year.

Guidance for Fiscal Year 2024: The company provided its initial financial guidance for fiscal year 2024, with a projected net revenue of $3.25 billion to $3.35 billion. The adjusted EBITDA for 2024 is estimated to be between $650 million and $710 million. * Free cash flow for 2024 is expected to range from $150 million to $180 million.

Management's Comments: Richard Barasch, Chairman and Interim CEO of AdaptHealth, highlighted the company's strong performance in the fourth quarter, with record revenue of $3.2 billion for the full year. He also emphasized the increase in cash flow from operations and free cash flow, expressing satisfaction with the decline in the leverage ratio.

Overall, AdaptHealth Corp. has demonstrated growth in net revenue, adjusted EBITDA, cash flow from operations, and free cash flow compared to the previous periods, positioning the company for continued success in 2024. The market has reacted to these announcements by moving the company's shares 31.0% to a price of $9.99. Check out the company's full 8-K submission here.

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