[PART I - FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%20-%20FINANCIAL%20INFORMATION) This section presents the company's financial statements, management's discussion and analysis, market risk disclosures, and controls and procedures [Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) The company experienced a significant revenue decline and a shift to net loss in Q1 2025, with decreased assets and equity, while operating cash flow turned positive Condensed Consolidated Balance Sheet Highlights | Metric | March 31, 2025 (Unaudited) ($) | December 31, 2024 (Audited) ($) | | :--- | :--- | :--- | | **Total Current Assets** | 262,531,431 | 304,486,263 | | **Total Assets** | 430,792,998 | 455,621,132 | | **Total Current Liabilities** | 107,571,098 | 121,806,577 | | **Total Liabilities** | 128,868,195 | 140,442,002 | | **Total Stockholders' Equity** | 301,924,803 | 315,179,130 | Condensed Consolidated Statements of Operations Highlights | Metric | Three Months Ended March 31, 2025 ($) | Three Months Ended March 31, 2024 ($) | | :--- | :--- | :--- | | **Revenues, net** | 96,033,055 | 192,087,529 | | **(Loss) income from operations** | (13,997,438) | 15,875,367 | | **Net (loss) income** | (11,079,300) | 10,603,379 | | **Net (loss) income per share - Diluted** | (0.09) | 0.10 | Condensed Consolidated Statements of Cash Flows Highlights | Metric | Three Months Ended March 31, 2025 ($) | Three Months Ended March 31, 2024 ($) | | :--- | :--- | :--- | | **Net cash provided by (used in) operating activities** | 9,655,467 | (10,639,744) | | **Net cash used in investing activities** | (5,733,052) | (1,699,741) | | **Net cash used in financing activities** | (8,518,416) | (881,579) | | **Net decrease in cash and restricted cash** | (4,278,263) | (13,324,123) | [Notes to Unaudited Condensed Consolidated Financial Statements](index=13&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section details the company's segment operations, customer concentration, recent acquisition, and ongoing legal proceedings, alongside key accounting policies - The company operates in three segments: Mobile Health Services, Transportation Services, and Corporate. The Corporate segment handles shared services and does not generate revenue[28](index=28&type=chunk) - The company has significant customer concentration, with one customer accounting for **47% of revenues** and **45% of net accounts receivable** for the three months ended March 31, 2025[43](index=43&type=chunk) - On February 10, 2025, the Company acquired **100% of Professional Technicians, LLC (PTI)** for **$4.0 million** in cash consideration and up to **$1.5 million** in contingent consideration[128](index=128&type=chunk) - The company is involved in several legal proceedings, including California Labor Actions, a Stockholder Action, and a Cybersecurity Action, with some reaching settlement in principle[231](index=231&type=chunk)[234](index=234&type=chunk)[237](index=237&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=48&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Result%20of%20Operations) Management discusses a 50% revenue decrease in Q1 2025, primarily from the Mobile Health segment, leading to an operating loss, while Transportation Services showed modest growth Q1 2025 vs Q1 2024 Results of Operations ($ in Millions) | Metric | Q1 2025 ($ in Millions) | Q1 2024 ($ in Millions) | Change ($ in Millions) | Change % | | :--- | :--- | :--- | :--- | :--- | | **Revenues, net** | 96.0 | 192.1 | (96.1) | (50.0)% | | **Cost of revenues** | 65.2 | 124.8 | (59.6) | (47.8)% | | **(Loss) income from operations** | (14.0) | 15.9 | (29.9) | (188.1)% | | **Net (loss) income** | (11.1) | 10.6 | (21.7) | (204.7)% | - Mobile Health Services revenue decreased by **$98.7 million (68.6%)** YoY, primarily due to the ongoing wind-down of migrant-related services in New York[280](index=280&type=chunk) - Transportation Services revenue increased by **$2.6 million (5.4%)** YoY, driven by a **5.9% increase in trip volumes**, although the average trip price decreased from **$400 to $378**[281](index=281&type=chunk) - The company generated **$9.6 million** in cash from operations in Q1 2025, a significant improvement from a **$10.6 million** use of cash in Q1 2024, mainly due to a **$31.4 million decrease in accounts receivable**[302](index=302&type=chunk)[303](index=303&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=66&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company faces market risks from interest rates and significant customer concentration, with limited foreign exchange exposure, and does not use hedging instruments - The company is subject to interest rate risk on its Revolving Facility, with **$30 million** outstanding as of March 31, 2025, where a hypothetical **10% change** would have had a neutral net impact on financial statements for the quarter[339](index=339&type=chunk) - Foreign exchange risk from U.K. operations is considered limited, with a hypothetical **10% change** in the exchange rate in Q1 2025 changing total revenues by approximately **1.1%**[340](index=340&type=chunk) - Significant customer concentration risk exists, with one customer accounting for **47% of revenues** and **45% of net accounts receivable** in Q1 2025, compared to two customers accounting for **39% and 32% of revenues** respectively in Q1 2024[342](index=342&type=chunk) [Controls and Procedures](index=67&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of March 31, 2025, with no material changes to internal control over financial reporting - The principal executive officer and principal financial officer concluded that the company's disclosure controls and procedures were **effective** as of the end of the period covered by the report[343](index=343&type=chunk) - No changes occurred in the company's internal control over financial reporting during the quarter ended March 31, 2025, that have materially affected, or are reasonably likely to materially affect, internal controls[344](index=344&type=chunk) [PART II - OTHER INFORMATION](index=69&type=section&id=PART%20II%20-%20OTHER%20INFORMATION) This section covers legal proceedings, risk factors, equity security sales, and other required disclosures [Legal Proceedings](index=69&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in several legal actions, including resolved California Labor Actions, ongoing Stockholder Action, and a settled Cybersecurity Action - The company is subject to legal proceedings arising in the ordinary course of business, as detailed in Note 19 of the financial statements[348](index=348&type=chunk) [Risk Factors](index=69&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K for the year ended December 31, 2024 - No material changes have been made to the risk factors disclosed in the **2024 Annual Report on Form 10-K**[350](index=350&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=69&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company actively repurchased shares under its program in Q1 2025, with approximately **$16.3 million** remaining for future repurchases Share Repurchases in Q1 2025 | Month | Total Number of Shares Purchased | Average Price Paid per Share ($) | Approximate Dollar Value of Shares that May Yet be Purchased ($) | | :--- | :--- | :--- | :--- | | January 2025 | — | — | 22,045,655 | | February 2025 | — | — | 22,045,655 | | March 2025 | 1,953,169 | 2.92 | 16,332,764 | | **Total** | **1,953,169** | **2.92** | **16,332,764** | - The Board authorized a new share repurchase program for up to **$26 million**, which expires on **June 30, 2025**[352](index=352&type=chunk) [Defaults Upon Senior Securities](index=70&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) None [Mine Safety Disclosures](index=70&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) Not applicable [Other Information](index=70&type=section&id=Item%205.%20Other%20Information) No directors or officers adopted, modified, or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during the quarter - No directors or officers adopted, modified, or terminated a Rule 10b5-1 trading arrangement or non-Rule 105b-1 trading arrangement during the quarter[361](index=361&type=chunk) [Exhibits](index=70&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including the company's certificate of incorporation, bylaws, and officer certifications, as well as Inline XBRL data files

[Overall Performance and Outlook](index=1&type=section&id=Overall%20Performance%20and%20Outlook) [Q1 2025 Performance Summary](index=1&type=section&id=Q1%202025%20Performance%20Summary) In the first quarter of 2025, DocGo's performance was significantly impacted by policy changes and uncertainty in its Government Population Health vertical, leading to a strategic decision to remove non-migrant government revenue from its 2025 forecast, resulting in a sharp year-over-year decline in total revenue and a shift from net income to a net loss, though core Medical Transportation and Payer & Provider businesses performed in line with expectations, with management now focused on aggressive cost-cutting, anticipating positive cash flow for the remainder of the year, and leveraging its strong balance sheet for growth opportunities | Financial Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Total Revenue | $96.0 million | $192.1 million | | Net (Loss) Income | ($11.1 million) | $10.6 million | | Adjusted EBITDA | ($3.9 million) | $24.1 million | | GAAP Gross Margin | 28.2% | 32.8% | - The company has decided to remove **all non-migrant Government Population Health revenue** from its 2025 guidance due to substantial uncertainty created by policy changes and adjustments in public spending[1](index=1&type=chunk) - Management plans to **aggressively cut SG&A expenses** and anticipates **positive cash flow** through the rest of the year, driven by collections of outstanding migrant-related receivables[2](index=2&type=chunk) | Revenue Segment | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Mobile Health Services | $45.2 million | $143.9 million | | Transportation Services | $50.8 million | $48.2 million | [Full-Year 2025 Guidance](index=1&type=section&id=Full-Year%202025%20Guidance) DocGo has significantly revised its full-year 2025 guidance downwards, a direct result of the company's decision to exclude projections for non-migrant municipal population health revenue due to market uncertainty, while revenue expectations for Medical Transportation, Payer & Provider businesses, and remaining migrant services work are unchanged | Guidance Metric | New 2025 Estimate | Previous 2025 Estimate | | :--- | :--- | :--- | | Full-Year Revenue | $300 - $330 million | $410 - $450 million | | Full-Year Adjusted EBITDA | ($20) - ($30) million loss | 5% margin | - The guidance revision is explicitly driven by the **removal of non-migrant Government Population Health revenue**; other business verticals continue to perform in line with expectations[1](index=1&type=chunk)[4](index=4&type=chunk) [Business & Operational Highlights](index=2&type=section&id=Business%20%26%20Operational%20Highlights) Despite financial headwinds from its government services segment, DocGo achieved several operational successes in Q1 2025, including a record quarter for medical transportation revenue and trip volume, alongside expanded service contracts with a major New York health plan, a national health system in Texas, and a California cardiology group - The company's medical transportation segment experienced a **record quarter** in terms of both revenue and trip volume[9](index=9&type=chunk) - Key contract wins include: - A major New York health plan for in-home DocGo Primary Care services - A two-year contract with a national health system's North Texas division for medical transportation - An expanded one-year contract with a California-based cardiology group for virtual care management[9](index=9&type=chunk) - The company surpassed **900,000 patients** assigned by payer and provider partners for care gap closure services, with visit volumes approaching **three times the rate** of the previous year[1](index=1&type=chunk)[9](index=9&type=chunk) [Financial Statements](index=4&type=section&id=Financial%20Statements) [Consolidated Statements of Operations](index=5&type=section&id=UNAUDITED%20CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS) For the first quarter of 2025, DocGo reported total revenues of $96.0 million, a 50% decrease from $192.1 million in the same period of 2024, primarily due to the wind-down of migrant-related programs, leading to an operating loss of $14.0 million and a net loss of $11.1 million, compared to an operating income of $15.9 million and net income of $10.6 million in Q1 2024, with diluted loss per share at $(0.09), a reversal from $0.10 in the prior year | Line Item (in millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Revenues, net | $96.0 | $192.1 | | (Loss) income from operations | ($14.0) | $15.9 | | Net (loss) income | ($11.1) | $10.6 | | Diluted (loss) income per share | ($0.09) | $0.10 | [Consolidated Balance Sheets](index=4&type=section&id=UNAUDITED%20CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) As of March 31, 2025, DocGo's balance sheet showed total assets of $430.8 million and total liabilities of $128.9 million, with cash and cash equivalents at $79.0 million and restricted cash at $24.1 million, while total stockholders' equity decreased to $301.9 million from $315.2 million at the end of 2024, partly due to share repurchases and the net loss for the quarter | Balance Sheet Item (in millions) | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $79.0 | $89.2 | | Total current assets | $262.5 | $304.5 | | Total assets | $430.8 | $455.6 | | Total current liabilities | $107.6 | $121.8 | | Total liabilities | $128.9 | $140.4 | | Total stockholders' equity | $301.9 | $315.2 | - During Q1 2025, the company repurchased **1.95 million shares** of common stock for a total cost of approximately **$5.8 million**[9](index=9&type=chunk) [Consolidated Statements of Cash Flows](index=6&type=section&id=UNAUDITED%20CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20CASH%20FLOWS) In Q1 2025, DocGo generated $9.7 million in net cash from operating activities, a significant turnaround from the $10.6 million used in operations in Q1 2024, largely driven by a $31.4 million positive change from accounts receivable, with net cash used in investing activities at $5.7 million and financing activities at $8.5 million, mainly for share repurchases, resulting in a $4.3 million decrease in total cash and restricted cash to $103.1 million at quarter-end | Cash Flow Activity (in millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | $9.7 | ($10.6) | | Net cash used in investing activities | ($5.7) | ($1.7) | | Net cash used in financing activities | ($8.5) | ($0.9) | | Net decrease in cash and restricted cash | ($4.3) | ($13.3) | - The **positive operating cash flow** was primarily driven by a **significant inflow from the collection of accounts receivable**[23](index=23&type=chunk) [Non-GAAP Financial Measures & Reconciliations](index=7&type=section&id=Non-GAAP%20Financial%20Measures%20%26%20Reconciliations) [Explanation of Non-GAAP Measures](index=7&type=section&id=Explanation%20of%20Non-GAAP%20Measures) DocGo utilizes non-GAAP financial measures, including Adjusted Gross Margin and Adjusted EBITDA, to provide investors with a view of what management considers its core operating performance, with Adjusted Gross Margin excluding non-cash depreciation and amortization from the cost of revenue, and Adjusted EBITDA calculated by adjusting net income for interest, taxes, depreciation, amortization, stock-based compensation, and other non-recurring expenses - **Adjusted Gross Margin** is used to evaluate operating performance by **excluding non-cash depreciation and amortization charges** from the cost of revenue[26](index=26&type=chunk)[27](index=27&type=chunk) - **Adjusted EBITDA** is used to assess core operating performance by **generally eliminating the effects of financing, income taxes, capital spending, acquisitions, and other non-recurring or non-cash items**[29](index=29&type=chunk)[30](index=30&type=chunk)[31](index=31&type=chunk) [Reconciliation of GAAP to Non-GAAP Measures](index=8&type=section&id=Reconciliation%20of%20Non-GAAP%20Measures) For Q1 2025, DocGo's Adjusted Gross Margin was 32.1%, down from 35.0% in Q1 2024, and the company reported an Adjusted EBITDA loss of $3.9 million, a stark contrast to the $24.1 million in positive Adjusted EBITDA from the prior-year quarter, with the reconciliation showing that the GAAP net loss of $11.1 million was adjusted for items including income tax benefit, D&A, and non-cash stock compensation to arrive at the Adjusted EBITDA figure | Margin Reconciliation | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | GAAP gross margin | 28.2% | 32.8% | | Adjusted gross margin | 32.1% | 35.0% | | EBITDA Reconciliation (in millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net (loss) income (GAAP) | ($11.1) | $10.6 | | (+) Depreciation and amortization | $3.8 | $4.2 | | (+) Non-cash stock compensation | $4.8 | $4.0 | | Adjusted EBITDA | ($3.9) | $24.1 |

Core Insights - Kahn Swick & Foti, LLC (KSF) is investigating DocGo Inc. following allegations of misrepresentation regarding its contracts and executive conduct [1][2] - DocGo's contract with U.S. Customs and Border Protection (CBP) was reported to be worth under $2 billion, contrary to the company's claim of $4 billion [2] - The CEO of DocGo resigned due to fabricated elements of his educational background [2] - A securities class action lawsuit has been filed against DocGo and its executives for failing to disclose material information and violating federal securities laws [3] - The court has denied DocGo's motion to dismiss the lawsuit, allowing it to proceed [3] - KSF's investigation is focused on potential breaches of fiduciary duties by DocGo's officers and directors [3] Company Overview - DocGo is a healthcare company that provides medical transportation and mobile health services in the U.S. and the U.K. [2] - The company is currently facing legal challenges due to allegations of corporate misconduct [3] Legal Context - KSF is a prominent securities litigation law firm, ranked among the top 10 firms nationally based on total settlement value [4] - The firm is seeking information from individuals who may assist in the investigation or have been long-term holders of DocGo shares [4]

Group 1 - DocGo (DCGO) reported Q4 '24 results on February 28th, leading to a share price decline of over 20%, with a total drop of more than 45% from its peak in mid-February of this year [1] - The company has faced scrutiny regarding its corporate governance and compliance practices, which may have contributed to the negative market reaction [1] Group 2 - The analysis emphasizes the importance of understanding regulatory governance and corporate compliance in evaluating the company's performance and potential investment opportunities [1]

Core Viewpoint - DocGo Inc. (DCGO) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive trend in earnings estimates which is a significant factor influencing stock prices [1][10]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Institutional investors often rely on earnings estimates to determine the fair value of stocks, leading to price movements based on their buying or selling actions [4]. Motion Acquisition's Earnings Outlook - The upgrade for Motion Acquisition reflects an improvement in its earnings outlook, which could positively affect its stock price [3][5]. - For the fiscal year ending December 2025, Motion Acquisition is expected to earn $0.10 per share, representing a 60% decrease from the previous year, but the Zacks Consensus Estimate has increased by 18.8% over the past three months [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks which have averaged a +25% annual return since 1988 [7]. - The upgrade of Motion Acquisition to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10].

Financial Data and Key Metrics Changes - Total revenue for Q4 2024 was $120.8 million, a 39% decrease from $199.2 million in Q4 2023 [32] - For the full year, revenues were $616.6 million in 2024, down 1% from 2023 [34] - Net loss for Q4 2024 was $7.6 million, compared to net income of $8 million in Q4 2023 [35] - Adjusted EBITDA for Q4 2024 was $1.1 million, down from $22.6 million in the previous year [35] - Adjusted EBITDA for the full year was $60.3 million, a 12% increase from $54 million in 2023 [36] Business Line Data and Key Metrics Changes - Mobile Health revenue for Q4 2024 was $71.8 million, down 52% from Q4 2023 [34] - Medical transportation revenue increased to $49.1 million in Q4 2024, up about 1% from Q4 2023 [34] - Transportation revenues for 2024 were 7% higher than in 2023, with a compound annual growth rate of 32% over the past three years [34] Market Data and Key Metrics Changes - The company provided services across 31 states in the U.S. and the UK, facilitating over 1.5 million patient interactions in 2024 [13] - The company was recognized as one of the top innovators in healthcare, receiving over 40,000 job applications from healthcare clinicians and corporate staff [14] Company Strategy and Development Direction - The company aims to build a 100-year company that transforms healthcare delivery and provides high-quality, accessible care [10] - Investments are being made in technology, experienced operators, and sales personnel to support growth [11] - The company acquired PTI Health, a mobile phlebotomy company, to expand its service capabilities [20] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a near-term impact on profitability due to aggressive investments but sees strong growth potential in the future [10] - The company anticipates a significant cash flow tailwind from accounts receivable related to migrant programs, expected to be fully paid by mid-2025 [22] - Management expressed confidence in achieving a 15% annual revenue growth expectation for 2025 and beyond [34] Other Important Information - SG&A as a percentage of total revenues was 39.7% in Q4 2024, up from 27.6% in Q4 2023 [38] - The company generated $70.3 million in cash flow from operations in 2024, a significant turnaround from a negative cash flow in 2023 [42] Q&A Session Summary Question: What is the 2025 revenue guidance considering the migrant revenue situation? - Management indicated that the migrant revenue could be less than the previously expected $50 million, but they are transitioning personnel to growing base business revenues [51][113] Question: Can you provide details on the $3.2 million of unanticipated expenses? - Management explained that being self-insured introduces uncertainty in expenses, but they are working on better reserving practices to mitigate future fluctuations [72][75] Question: What is the status of the municipal business and Project Prime initiative? - Management confirmed that Project Prime is progressing well, with contracts signed to provide services for existing contractors to municipal entities [121]

Financial Data and Key Metrics Changes - Total revenue for Q4 2024 was $120.8 million, a 39% decrease from $199.2 million in Q4 2023 [32] - For the full year, revenues were $616.6 million in 2024, down 1% from 2023 [34] - Net loss for Q4 2024 was $7.6 million, compared to net income of $8 million in Q4 2023 [35] - Adjusted EBITDA for Q4 2024 was $1.1 million, down from $22.6 million in Q4 2023 [35] - Adjusted EBITDA margin for the full year of 2024 was 9.8%, up from 8.6% in 2023 [36] Business Line Data and Key Metrics Changes - Mobile Health revenue for Q4 2024 was $71.8 million, down 52% from Q4 2023 [34] - Medical transportation revenue increased to $49.1 million in Q4 2024, up about 1% from Q4 2023 [34] - Transportation revenues for 2024 were 7% higher than in 2023, with a compound annual growth rate of 32% over the past three years [34] Market Data and Key Metrics Changes - The company provided services across 31 states in the U.S. and the UK, with significant expansions in New York and California [13] - The company anticipates a significant cash flow tailwind through mid-2025 from accounts receivable totaling approximately $150 million related to migrant programs [22] Company Strategy and Development Direction - The company aims to build a 100-year company that transforms healthcare delivery and brings high-quality, accessible care to all [10] - Investments are being made in technology, personnel, and infrastructure to support growth in customer verticals [11][39] - The company acquired PTI Health, a mobile phlebotomy company, to expand its service offerings [20] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a near-term impact on profitability due to aggressive investments but remains optimistic about future growth opportunities [10][27] - The company expects to maintain gross margins while anticipating EBITDA margins in the mid-single digits for 2025 [46] - Management noted a robust pipeline of deals, with expectations for significant revenue growth in the base business [54][100] Other Important Information - The company received over 40,000 job applications from healthcare clinicians and corporate staff in the past year, indicating strong interest in its mission [14] - The company’s net promoter score for its care gap closure program was above 86, indicating high customer satisfaction [14] Q&A Session Summary Question: What is the 2025 revenue guidance? - Management indicated that the base business is expected to grow faster in 2025, with potential for migrant-related revenues to be below the previously estimated $50 million [50][51] Question: What are the details of the $17 million investments? - Investments are focused on technology, personnel training, and business development to support growth in the care gap closure business [58][60] Question: What was the migrant revenue in Q4 and the full year? - Migrant revenues in Q4 were approximately $55 million, with total annual revenues around $370 million [84] Question: How will the company manage unanticipated expenses? - Management noted that being self-insured introduces some uncertainty, but they are working to improve reserving practices to mitigate future fluctuations [72][75] Question: What is the outlook for the municipal business? - The company is progressing with its Project Prime initiative and expects to see contracts with existing service providers for municipal entities [121]

分组1 - DocGo Inc. reported quarterly earnings of $0.05 per share, exceeding the Zacks Consensus Estimate of $0.04 per share, but down from $0.06 per share a year ago, representing a 25% earnings surprise [1] - Over the last four quarters, Motion Acquisition has surpassed consensus EPS estimates two times, with revenues of $120.83 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 6.02% [2] - The stock of Motion Acquisition has declined approximately 4.3% since the beginning of the year, while the S&P 500 has gained 1.3% [3] 分组2 - The earnings outlook for Motion Acquisition is mixed, with a current consensus EPS estimate of $0.01 on $107.89 million in revenues for the coming quarter and $0.08 on $407.34 million in revenues for the current fiscal year [7] - The Medical Services industry, which includes Motion Acquisition, is currently ranked in the top 34% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Another company in the same industry, Surgery Partners, is expected to report quarterly earnings of $0.38 per share, reflecting a year-over-year decline of 13.6%, with revenues projected to be $828.84 million, up 12.7% from the previous year [9][10]

Financial Performance - For the year ended December 31, 2024, the company recorded net income of $13.4 million, compared to $10.0 million in 2023 and $30.7 million in 2022[344]. - Total revenues for the year ended December 31, 2024, were $616.6 million, a decrease of $7.7 million, or 1.2%, from 2023[362]. - Mobile Health Services revenues decreased by $19.7 million, or 4.4%, to $423.1 million, primarily due to the wind-down of migrant-related services[363]. - Transportation Services revenues increased by $12.0 million, or 6.6%, to $193.5 million, driven by a 13.7% increase in trip volumes[364]. - The company recorded a net income of $13.4 million, an increase of $3.4 million, or 34.0%, compared to $10.0 million in 2023[361]. - The provision for income taxes increased to $14.4 million in 2024 from $6.2 million in 2023, primarily due to higher pretax income[380]. Revenue Segments - The company derives revenue primarily from two segments: Mobile Health Services and Transportation Services[351]. - Mobile Health Services revenues increased to $442.8 million, up $116.9 million, or 35.9%, primarily due to service expansion in the government customer sector[386]. - Transportation Services revenues reached $181.5 million, an increase of $66.9 million, or 58.3%, driven by a 15.8% increase in trip volumes[387]. Expenses and Costs - Total cost of revenues decreased by $25.9 million, or 6.0%, to $403.0 million, with cost of revenues as a percentage of revenues decreasing to 65.4% from 68.7%[365][366]. - Operating expenses increased by $4.6 million, or 2.6%, to $184.9 million, with operating expenses as a percentage of revenues rising to 30.0% from 28.9%[369]. - The company focuses on managing working capital and operating expenses, with significant costs in labor, medical supplies, and vehicle-related expenses[336]. Acquisitions and Investments - The company completed three acquisitions in 2023 for an aggregate purchase price of $34.2 million, while no acquisitions were completed in 2024[342]. - The company plans to invest in research and development to enhance customer experience and introduce innovative new software services and mobile applications[345]. Cash Flow and Working Capital - As of December 31, 2024, available cash totaled $89.2 million, reflecting an increase of $30.0 million compared to December 31, 2023[413]. - For the year ended December 31, 2024, cash provided by operating activities was $70.3 million, a significant increase of $134.5 million compared to cash used of $64.2 million in 2023[415]. - The Company’s total working capital as of December 31, 2024, was $182.7 million, an increase of $13.9 million or 8.2% compared to $168.8 million in 2023[413]. Market Conditions and Risks - The company operates in a competitive environment influenced by macroeconomic conditions, including interest rates and inflation[332]. - The company expects general and administrative expenses to increase as it scales its business and complies with SEC regulations[353]. - The company anticipates that revenues from migrant-related projects will be significantly lower in 2025 compared to 2024 and the second half of 2023[348]. Customer Concentration - One customer accounted for approximately 38% of revenues and 39% of net accounts receivable for the year ended December 31, 2024[458]. - Another customer accounted for approximately 28% of revenues and 37% of net accounts receivable for the same period[458]. Credit and Interest Rate Risk - The Company does not believe it is exposed to significant credit risk due to the financial strength of the depository institutions[457]. - The Company has not utilized interest rate hedging or other strategies to mitigate interest rate risk[454]. - A hypothetical 10% change in interest rates during the year ended December 31, 2024, would have had a neutral net impact on the Consolidated Financial Statements[454].

Revenue Performance - Full-year 2024 revenue was $616.6 million, a decrease of 1.1% from $624.2 million in 2023[5] - Total revenue for Q4 2024 was $120.8 million, down 39.2% from $199.2 million in Q4 2023, primarily due to the wind-down of migrant-related programs[5] - Total revenues for the year ended December 31, 2024, were $616.56 million, a decrease of 1.2% from $624.29 million in 2023[20] - Revenue for Q4 2024 was $120.83 million, a decrease of 39.3% compared to $199.25 million in Q4 2023[39] Net Income and Loss - Full-year 2024 net income increased to $13.4 million, up from $10.0 million in 2023[5] - Q4 2024 net loss was $7.6 million, compared to net income of $8.0 million in Q4 2023[5] - Net income attributable to stockholders of DocGo Inc. for 2024 was $19.99 million, significantly up from $6.86 million in 2023[20] - Net loss attributable to stockholders for Q4 2024 was $3.26 million, compared to a net income of $7.57 million in Q4 2023[27] - Net income (GAAP) for Q4 2024 was a loss of $7.6 million, compared to a profit of $8.0 million in Q4 2023[40] Cash Flow and Assets - Cash flows from operating activities for 2024 were $70.34 million, a significant recovery from a cash outflow of $64.22 million in 2023[23] - Cash and restricted cash at the end of Q4 2024 was $107.34 million, an increase from $72.22 million at the end of Q4 2023[30] - Net cash provided by operating activities for Q4 2024 was $12.89 million, compared to a net cash used of $5.92 million in Q4 2023[30] Expenses and Margins - Total expenses for Q4 2024 were $128.31 million, down from $187.57 million in Q4 2023, resulting in a loss from operations of $7.47 million[27] - Adjusted EBITDA for the twelve months ended December 31, 2024, was $60.3 million, up from $54.0 million in 2023[40] - Adjusted EBITDA margin for the twelve months ended December 31, 2024, was 9.8%, an increase from 8.6% in 2023[40] - GAAP gross profit for the twelve months ended December 31, 2024, was $197.69 million, an increase of 10.4% from $178.95 million in 2023[39] - GAAP gross margin for Q4 2024 was 30.8%, a slight decrease from 31.2% in Q4 2023[40] Assets and Liabilities - Total current assets decreased to $304.49 million in 2024 from $338.87 million in 2023, primarily due to a reduction in accounts receivable[18] - Total liabilities decreased to $140.44 million in 2024 from $185.28 million in 2023, reflecting a reduction in accrued liabilities and contingent consideration[18] - The total stockholders' equity attributable to DocGo Inc. increased to $320.92 million in 2024 from $300.79 million in 2023[18] Strategic Developments - The company signed a two-year contract with a major hospital system in Fort Worth, TX for medical transportation services[8] - DocGo acquired PTI Health to expand its portfolio with mobile phlebotomy services[8] - Investments in the company's tech stack resulted in a 9% reduction in average booking time compared to the previous quarter[8] - The company plans to continue focusing on technology and development, with expenses in this area increasing to $11.59 million in 2024 from $10.86 million in 2023[20] Tax and Other Financial Metrics - The company reported a significant increase in cash paid for income taxes, totaling $7.25 million in Q4 2024, compared to $4.25 million in Q4 2023[29] - The company reported a bad debt expense of $5.24 million in 2024, up from $3.60 million in 2023, indicating increased credit risk[23] - The company incurred a finite-lived intangible asset impairment of $8.31 million in 2024, which was not present in 2023[20] - The company experienced a loss on equity method investments of $86,121 in Q4 2024, compared to a loss of $41,974 in Q4 2023[27] - The company reported a foreign currency translation adjustment loss of $1.09 million in Q4 2024, compared to a gain of $676,734 in Q4 2023[27] Shareholder Information - The weighted-average shares outstanding for basic net income per share were 102.40 million in 2024, down from 103.51 million in 2023[20] - The company repurchased common stock worth $2.68 million in Q4 2024, with no repurchases reported in Q4 2023[30]