Bragar Eagel & Squire, P.C. Litigation Partner Brandon Walker Encourages Investors Who Suffered Losses In Nutex (NUTX) To Contact Him Directly To Discuss Their Options If you purchased or acquired securities in Nutex between August 8, 2024 and August 14, 2025and would like to discuss your legal rights, call Bragar Eagel & Squire partner Brandon Walker or Marion Passmore directly at (212) 355-4648. NEW YORK, Aug. 25, 2025 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized stockholder ri ...

Core Viewpoint - A class action lawsuit has been filed against Nutex Health Inc. for alleged misleading statements and fraudulent activities related to its third-party vendor HaloMD, which reportedly engaged in a scheme to defraud insurance companies [1][5]. Group 1: Events Leading to the Lawsuit - On July 22, 2025, Blue Orca Capital released a report claiming that HaloMD was involved in fraudulent activities, leading to a significant drop in Nutex's share price by approximately 10.05%, from $111.19 to $100.01 per share [3]. - On August 14, 2025, Nutex announced a delay in filing its quarterly report with the SEC due to accounting adjustments, resulting in a further decline in share price by about 16.39%, closing at $92.91 per share on August 15, 2025 [4]. Group 2: Allegations in the Lawsuit - The lawsuit alleges that Nutex made false or misleading statements regarding HaloMD's operations and the sustainability of its revenues [5]. - It is claimed that Nutex overstated its ability to remediate internal control weaknesses and improperly classified stock-based compensation obligations, increasing the risk of delayed financial reporting [5].

Core Viewpoint - A class action lawsuit has been filed against Nutex Health Inc. and certain officers for alleged violations of federal securities laws during the class period from August 8, 2024, to August 14, 2025 [1][2]. Summary by Sections Class Definition - The lawsuit aims to recover damages for all individuals and entities that purchased or acquired Nutex securities within the specified class period [2]. Case Details - The Complaint alleges that Defendants made materially false and misleading statements, including: - HaloMD was involved in a scheme to defraud insurance companies, generating unsustainable revenues for Nutex [3]. - Nutex overstated its remediation of internal control weaknesses and misclassified stock-based compensation obligations [3]. - The Company faced increased risks of failing to file timely financial reports with the SEC, leading to an overstatement of its business and financial prospects [3]. Next Steps - Interested parties can review the Complaint and have until October 21, 2025, to request appointment as lead plaintiff [4]. Legal Representation - The law firm operates on a contingency fee basis, meaning they will only collect fees if successful in recovering funds for investors [5]. Firm Background - Bronstein, Gewirtz & Grossman, LLC is recognized for representing investors in securities fraud class actions and has recovered hundreds of millions for clients [6].

Core Viewpoint - Rosen Law Firm has announced a class action lawsuit on behalf of purchasers of Nutex Health Inc. securities during the specified Class Period, indicating potential legal issues surrounding the company's financial disclosures and practices [1][5]. Group 1: Class Action Details - The class action lawsuit is filed for securities purchased between August 8, 2024, and August 14, 2025, inclusive [1]. - Investors who purchased Nutex securities during this period may be entitled to compensation without any out-of-pocket fees through a contingency fee arrangement [2]. - Interested parties can join the class action by submitting a form or contacting the law firm directly [3][6]. Group 2: Allegations Against Nutex Health Inc. - The lawsuit alleges that Nutex made false and misleading statements regarding its financial practices, particularly concerning its relationship with HaloMD, a third-party vendor [5]. - Specific claims include that Nutex engaged in a scheme to defraud insurance companies, leading to unsustainable revenue from its arbitration results [5]. - The company is accused of overstating its ability to remediate weaknesses in its internal controls over financial reporting, which affected its accounting for stock-based compensation obligations [5]. - As a result of these alleged misrepresentations, Nutex's business and financial prospects were overstated, leading to investor damages when the truth was revealed [5]. Group 3: Rosen Law Firm's Credentials - Rosen Law Firm has a strong track record in securities class actions, having achieved significant settlements, including the largest securities class action settlement against a Chinese company at the time [4]. - The firm has been consistently ranked among the top firms for securities class action settlements and has recovered hundreds of millions of dollars for investors [4]. - In 2019, the firm secured over $438 million for investors, showcasing its effectiveness in representing investor rights [4].

Core Viewpoint - A class-action lawsuit has been filed against Nutex, alleging fraudulent activities in collaboration with a third-party billing firm, leading to significant investor losses and a decline in stock price [1][2][3]. Group 1: Allegations and Lawsuit Details - The lawsuit claims that Nutex and its partner HaloMD engaged in a scheme to defraud insurance companies by submitting ineligible claims, which inflated Nutex's reported revenues [2][3]. - Blue Orca Capital's report highlighted that HaloMD's operations were based on fraudulent practices, warning that Nutex's stock could revert to penny stock status without unsustainable reimbursement rates [3]. - The class action seeks damages for investors who purchased Nutex securities during the specified class period, asserting that public statements made by the defendants were materially false and misleading [7]. Group 2: Financial Reporting Issues - Nutex is accused of overstating its progress in addressing weaknesses in financial reporting controls, leading to improper accounting of stock-based compensation as equity instead of liabilities [4][6]. - The company's delay in filing its Form 10-Q and failure to adequately respond to allegations contributed to a further decline in stock price, with shares dropping 16.39% to close at $92.91 on August 15, 2025 [5]. Group 3: Company Response and Investigation - Following the allegations, Nutex's Audit Committee concluded that prior financial statements needed restatement due to improper treatment of non-cash obligations [6]. - Hagens Berman is investigating whether Nutex's business model was based on fraudulent practices and whether its financial controls misled investors [8].

Financial Data and Key Metrics Changes - Total revenue for Q2 2025 reached $244 million, a 220% increase from $76.1 million in Q2 2024 [7][30] - Gross profit was $124.8 million, representing 51.1% of total revenue, compared to $22.6 million or 29.7% in Q2 2024 [7][33] - Adjusted EBITDA for Q2 2025 was $73.3 million, up from $6.8 million in Q2 2024 [8][34] - Net cash from operating activities for the first half of 2025 was $78.2 million, compared to $16.3 million in the same period of 2024 [9][37] Business Line Data and Key Metrics Changes - The hospital division generated $236.3 million in revenue for Q2 2025, a 350% increase from $76.1 million in Q2 2024 [31] - Revenue from mature hospitals increased by 203% in 2025 compared to 2024 [31] - Population health division revenue increased by 9.2% to $7.7 million in Q2 2025 from $8.5 million in Q2 2024 [32][44] Market Data and Key Metrics Changes - Total patient visits reached 45,573 in Q2 2025, a 10.6% increase from 41,208 in Q2 2024 [7][49] - For the first half of 2025, total patient visits were 93,842, a 15.5% increase from 81,276 in the same period of 2024 [9][49] Company Strategy and Development Direction - The company is focused on expanding its micro hospital model, with over 15 hospital projects in development [21] - Plans to launch one to two independent physician associations (IPAs) annually to enhance care coordination [22][44] - A stock repurchase program of up to $25 million has been authorized to enhance shareholder value [23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the continued evolution and efficiency of the federal arbitration process [19] - The company is navigating industry trends while remaining committed to delivering value to patients and shareholders [23] - Management highlighted the importance of compliance with the No Surprises Act and the independent dispute resolution process [10][16] Other Important Information - The company is addressing a delay in filing its Q2 2025 10-Q due to reevaluation of stock-based compensation accounting [25][26] - Adjustments to liabilities are expected to increase by $10 to $50 million, with a corresponding decrease in reported equity [28] - The company has a strong balance sheet with total assets of just under $855 million as of June 30, 2025 [37] Q&A Session Summary Question: Timeline for restatement process and filing amended reports - Management is actively working on the restatement and aims to complete it within the 60-day timeline set by Nasdaq [55][56] Question: Collection rates for arbitration awards and recourse for insurers - Approximately 75% of IDR awards have been collected, with ongoing efforts to improve collection rates [58][63] Question: Update on new hospital openings and strategies for mature hospitals - Two new hospitals are expected to open in late 2025, with ongoing marketing efforts to increase patient volume in mature hospitals [70][73] Question: EBITDA margin compression and revenue per visit - EBITDA margins have been affected by increased supplier payments and arbitration costs, but overall cash collections remain strong [79][82]

Financial Data and Key Metrics Changes - Total patient visits increased to 45,573 in Q2 2025, a 10.6% increase from 2024, and total patient visits for the first half of 2025 reached 93,842, a 15.5% increase from 2024 [7][36] - Total revenue for Q2 2025 was $244,000,000, up 220% from $76,100,000 in Q2 2024, with gross profit at $124,800,000 or 51.1% of total revenue compared to $22,600,000 or 29.7% in the same period of 2024 [7][30] - Adjusted EBITDA for Q2 2025 was $73,300,000, compared to $6,800,000 in Q2 2024, indicating significant operational improvement [7][34] - Net cash from operating activities for the first half of 2025 was $78,200,000, compared to $16,300,000 in the same period of 2024 [8] Business Line Data and Key Metrics Changes - The hospital division generated $236,300,000 in revenue for Q2 2025, a 350% increase from $76,100,000 in Q2 2024, with independent dispute resolution revenue accounting for approximately 71% of this [30] - Revenue from mature hospitals increased by 203% in 2025 compared to 2024 [30] - The population health division revenue increased by 9.2% to $7,700,000 in Q2 2025 from $8,500,000 in Q2 2024 [31][44] Market Data and Key Metrics Changes - Total visits at the hospital division for the first half of 2025 were 93,842, an increase of 15.5% from 81,276 in the same period of 2024 [36] - The company collected $311,000,000 in cash for the first half of 2025, with approximately 55% related to arbitration revenue [36] Company Strategy and Development Direction - The company is focused on expanding its micro hospital model, with over 15 hospital projects in development, including two confirmed openings by the end of 2025 [22] - The strategy includes launching one to two independent physician associations (IPAs) annually to enhance care coordination [22][43] - A stock repurchase program of up to $25,000,000 has been authorized to enhance shareholder value [22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the continued evolution and efficiency of the federal arbitration process, which is critical for revenue cycle management [19] - The company is navigating industry trends while remaining committed to delivering value to patients and shareholders [22] - Management highlighted the importance of compliance with the No Surprises Act and the independent dispute resolution process to secure fair compensation [9][12] Other Important Information - The company is addressing a delay in filing its Q2 2025 10-Q due to reevaluation of accounting treatment for stock-based compensation obligations [25][26] - The estimated impact of corrections on total liabilities is projected to increase by approximately $10 to $50 million, with a corresponding decrease in reported equity [28] Q&A Session Summary Question: Timeline for restatement process and filing amended reports - Management is actively working on the restatement and aims to complete the necessary filings within the 60-day timeline provided by Nasdaq [55][56] Question: Collection rates and recourse for arbitration awards - The company has collected over 75% of arbitration awards and is working to improve collection rates further, with various approaches to ensure timely payments from insurers [58][63] Question: Updates on new hospital openings and strategies for mature hospitals - Two new hospitals are expected to open in late 2025, while efforts are being made to retain patients in mature hospitals to increase revenue [69][72] Question: EBITDA margin and factors affecting it - The EBITDA margin has been affected by increased supplier payments and arbitration costs, but overall cash collections remain strong [77][80] Question: Revenue per visit and organic growth - Revenue per visit has seen low single-digit growth from an organic perspective, with ongoing monitoring of reimbursement trends [81][82]

Core Points - A shareholder class action lawsuit has been filed against Nutex Health Inc. alleging materially false and misleading statements regarding its business and operations [1] - The lawsuit claims that Nutex's engagement with HaloMD involved a scheme to defraud insurance companies, leading to unsustainable revenue [1] - Allegations include overstating the remediation of internal control weaknesses and improper accounting of stock-based compensation obligations [1] - The lawsuit suggests that these issues increased the risk of Nutex failing to file timely financial reports with the SEC, thereby overstating its business and financial prospects [1] Legal Context - Shareholders who purchased Nutex shares between August 8, 2024, and August 14, 2025, and experienced significant losses are encouraged to discuss their legal rights [2] - The deadline to request lead plaintiff status in the lawsuit is October 21, 2025 [3] - Holzer & Holzer, LLC is representing shareholders and has a history of recovering significant amounts for victims of corporate misconduct [3]

Core Viewpoint - A securities class action lawsuit has been filed against Nutex Health Inc. for allegedly making false and misleading statements regarding its financial practices and internal controls [1][2]. Group 1: Lawsuit Details - The lawsuit is filed in the United States District Court for the Southern District of Texas on behalf of individuals or entities that purchased Nutex Health shares between August 8, 2024, and August 14, 2025 [1]. - The complaint alleges that Nutex Health engaged in fraudulent activities through its partnership with HaloMD, which resulted in unsustainable revenue [2]. Group 2: Allegations Against Nutex Health - Defendants are accused of failing to disclose that HaloMD was involved in a scheme to defraud insurance companies [2]. - The company allegedly overstated its ability to remediate material weaknesses in its internal controls over financial reporting [2]. - Nutex Health is claimed to have improperly classified stock-based compensation obligations as equity instead of liabilities, increasing the risk of delayed financial report filings with the SEC [2]. - The overall business and financial prospects of Nutex Health were reportedly overstated, leading to materially false and misleading public statements [2]. Group 3: Investor Information - Investors who acquired shares of Nutex Health are encouraged to contact the law firm Gainey McKenna & Egleston before the lead plaintiff motion deadline on October 21, 2025 [3].

Group 1 - The article highlights the expertise of Moz Farooque, a market analyst known for uncovering under-the-radar stock and crypto opportunities through investigative financial journalism and robust modeling [1] - Moz Farooque is a Fellow Member of ACCA and holds a BSc in Applied Accounting and Finance from Oxford Brookes University, indicating a strong educational background in finance [1] Group 2 - The article does not provide any specific company or industry analysis, focusing instead on the credentials and approach of the analyst [2][3]