LAFAYETTE, La., April 22, 2025 (GLOBE NEWSWIRE) -- Viemed Healthcare, Inc. (the "Company" or "Viemed") (NASDAQ:VMD), a national leader in respiratory care and technology-enabled home medical equipment services, today announced that it will host its First Quarter 2025 Earnings Conference Call on Thursday, May 8, 2025, at 11:00 a.m. EDT. Interested parties may participate in the call by dialing: (866) 682-6100 (US Toll-Free) +1 (862) 298-0702 (International) Live Audio Webcast: https://event.choruscall.com/me ...

Core Viewpoint - Viemed Healthcare, Inc. (NASDAQ: VMD) is a US-based provider of home medical respiratory equipment, which has been identified as an undervalued stock with strong fundamentals and potential for income generation through investment strategies [1]. Company Summary - The stock was trading at approximately $7.35 per share over seven months ago when the bullish stance was initiated [1]. - The company focuses on acquiring undervalued profitable stocks with strong balance sheets and minimal debt, indicating a solid financial position [1]. Investment Strategy - The investment approach includes writing calls against positions to generate additional income when opportunities arise [1]. - Risk management is emphasized through position sizing and the use of trailing stop losses over time, showcasing a disciplined investment strategy [1].

Financial Data and Key Metrics Changes - The company reported a 20% year-over-year increase in revenue for Q4 and a 23% increase for the full year 2024, achieving record revenue levels [28] - Adjusted EBITDA grew 11% for the quarter to $14.2 million and 19% for the full year, with adjusted EBITDA margins at 23.5% for Q4 and 22.8% for the full year [34][43] - Free cash flow was $11.6 million in 2024, representing 5.2% of revenue, compared to $21.7 million or 11.9% of revenue in 2023 [40] Business Line Data and Key Metrics Changes - The vent business accounted for 55% of revenue in Q4 and 56% for the year, with a 4.4% sequential increase in vent revenue [30][19] - The sleep business saw a nearly 10% sequential increase in sleep therapy patients, leading to a 43% increase in 2024 compared to 2023 [22] - Staffing and oxygen businesses each contributed roughly 10% to both Q4 and full year revenue [31] Market Data and Key Metrics Changes - The company identified a significant underserved patient population in complex respiratory care, with 25 million patients suffering from COPD in the US [9] - The market penetration for respiratory care is currently in the high single digits, indicating substantial growth potential [10] Company Strategy and Development Direction - The company aims to focus on organic growth while exploring potential inorganic growth opportunities, particularly in behavioral health [25] - The strategic goal for 2025 includes aggressively increasing the sales force and capitalizing on unique positioning in behavioral health [25][43] - The company is positioned to help hospitals manage length of stay and improve patient outcomes, especially under financial strain [16][17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth outlook for 2025, projecting net revenue between $254 million and $265 million, implying a 16% growth at the midpoint [43] - The company is optimistic about the potential for M&A activity, noting increased interest and a more favorable environment compared to previous years [60] Other Important Information - The company has a strong balance sheet with no net debt and significant cash available for future investments [41][42] - The introduction of a behavioral health offering is seen as a key growth area, with staffing needs driven largely by behavioral health services [12][73] Q&A Session Summary Question: Anticipated impact from new administration tariffs - Management has not seen any impact from potential tariffs yet, as most products are sourced domestically [51] Question: Competitive bidding environment - No whispers of competitive bidding have been heard, and it is unlikely to be a concern until at least 2027 [56][57] Question: M&A environment - The company sees a more target-rich environment for M&A compared to previous years, with increased interest and options available [60] Question: Joint venture performance - The joint venture with East Alabama Medical has been profitable and successful, but future ventures will need to be of substantial size to justify the effort [66][68] Question: Cash flow acceleration - Management expects cash flow to increase as the business grows, despite recent CapEx needs due to vent growth [78][80]

Financial Performance - For the year ended December 31, 2024, the company generated revenues of $224.3 million, a 22.5% increase from $183.0 million in 2023, with net income rising to $11.4 million from $10.2 million[177]. - For the year ended December 31, 2024, total revenue was $224.3 million, an increase of $41.2 million (22.5%) compared to 2023[194]. - Net income for 2024 was $11.4 million, an increase of $1.2 million (11.4%) from the previous year, with a net income margin decrease to 5.1%[204]. - The company reported a net income of $11.4 million for 2024, up 11.5% from $10.2 million in 2023[241]. - The company’s operating income for 2024 was $17.9 million, up from $14.3 million in 2023, representing a 25.5% increase[241]. - Adjusted EBITDA for the year ended December 31, 2024, was $14.2 million, reflecting the company's operating performance[206]. - Basic earnings per share for 2024 was $0.29, compared to $0.27 in 2023 and $0.16 in 2022[358]. Revenue Breakdown - Revenue from the rental and sale of home medical equipment accounted for 91.0% of total revenue in 2024, compared to 94.2% in 2023[177]. - Ventilator rental revenue increased by $16.3 million (15.1%) due to higher patient volumes, while rental revenue from other home medical equipment rose by $10.3 million (27.0%)[194]. - Rental revenue from ventilator rentals increased to $124.6 million in 2024, compared to $108.3 million in 2023, representing a growth of 15.1%[277]. - Revenue from other home medical equipment rentals rose to $48.7 million in 2024, a 27.0% increase from $38.3 million in 2023[277]. - The company recorded $30.9 million in equipment and supply sales for 2024, up 19.3% from $25.8 million in 2023[277]. - Medicare revenues accounted for 41% of the company's traditional revenue streams in 2024, down from 44% in 2023 and 47% in 2022[277]. Expenses and Profitability - Selling, general and administrative expenses totaled $106.2 million, an increase of $18.3 million (20.8%), but as a percentage of revenue improved to 47.4%[197]. - Research and development costs increased to $3.1 million, reflecting a rise of $0.3 million (10.3%) from 2023[198]. - The company's gross profit for 2024 was $133.2 million, representing a gross margin of 59.4% compared to 61.7% in 2023[241]. - Gross profit margin for the quarter ended December 31, 2024, was 60%, consistent with the previous quarter[188]. - The provision for income taxes was $4.8 million, compared to $4.1 million in 2023, with an estimated effective tax rate of 29.4%[203]. Cash Flow and Liquidity - Cash and cash equivalents increased to $17.5 million as of December 31, 2024, up from $12.8 million in 2023, indicating improved liquidity[208]. - Net cash provided by operating activities for the year ended December 31, 2024 was $39.1 million, a decrease from $45.2 million in 2023[210][212]. - Net cash used in investing activities was $30.7 million in 2024, which included $27.5 million for capital expenditures, representing a 17% increase year-over-year[213]. - Net cash used in financing activities was $3.7 million in 2024, with principal payments on the 2022 Revolving Credit Facility totaling $5.0 million[215]. Assets and Liabilities - Total current assets rose to $52.9 million at December 31, 2024, from $38.4 million at December 31, 2023, marking a 37.9% increase[239]. - Total assets grew to $177.1 million at December 31, 2024, compared to $154.9 million at December 31, 2023, a 14.3% increase[239]. - Shareholders' equity increased to $133.3 million at December 31, 2024, from $113.9 million at December 31, 2023, reflecting a 17.0% growth[239]. - The Company’s long-term debt decreased from $6.002 million in 2023 to $3.589 million in 2024, while the current portion of debt also reduced significantly[307]. - Total accrued liabilities rose to $20.157 million in 2024 from $17.578 million in 2023, with accrued bonuses payable decreasing to $6.589 million[306]. Market Outlook and Growth - The company anticipates a Compound Annual Growth Rate (CAGR) of approximately 6% for respiratory devices and 8% for Obstructive Sleep Apnea (OSA) devices, indicating a robust growth trajectory in the home medical equipment market[179]. - U.S. home healthcare spending is projected to reach $250 billion by 2031, with a CAGR of approximately 7%[181]. - The company expects continued growth in its active ventilator patient base and other home medical offerings as it expands geographically[195]. - The company is positioned to benefit from the transition to value-based healthcare, which emphasizes home care over acute care settings[181]. Acquisitions and Investments - The company acquired East Alabama HomeMed, LLC for $3.0 million during 2024, contributing to the total cash used in investing activities[213]. - The Company acquired a controlling 60% equity interest in East Alabama HomeMed, LLC for a total goodwill of $3.2 million and a trade name valued at $0.4 million[300]. - The acquisition of Home Medical Products, Inc. was completed for approximately $29 million in cash, resulting in a goodwill of $29.765 million due to synergies and cost savings[301][302]. Stock and Compensation - Stock-based compensation expenses rose to $6.3 million, an increase of $0.4 million (7.5%) from 2023[199]. - The Company had outstanding options of 3,917,000 and restricted stock units (RSUs) of 1,514,000 as of December 31, 2024[335]. - The Company issued 915,043 RSUs during the year ended December 31, 2024, with a fair value between $7.05 and $8.39 per share[341]. - The total liability associated with PSUs at December 31, 2024, is $2,546,000, with $1,700,000 included in current accrued liabilities and $846,000 in long-term accrued liabilities[343].

Financial Performance - Net revenues for Q4 2024 reached a record $60.7 million, an increase of $10.0 million, or 20%, compared to Q4 2023[4] - Total net revenues for the year 2024 were $224.3 million, an increase of $41.2 million, or 23%, over 2023[4] - Net income for Q4 2024 was $4.3 million, or $0.10 per diluted share, a 24% increase from Q4 2023[4] - Net income attributable to Viemed Healthcare, Inc. for the year ended December 31, 2024, was $11,265 thousand, representing a 9.9% increase from $10,243 thousand in 2023[13] - Basic net income per share for the year ended December 31, 2024, was $0.29, up from $0.27 in 2023[13] EBITDA and Cash Flow - Adjusted EBITDA for the year 2024 was a record $51.1 million[4] - Adjusted EBITDA for the year ended December 31, 2024, was $51,107 thousand, compared to $43,064 thousand in 2023, reflecting an 18.7% increase[18] - Free Cash Flow for 2024 totaled $11.6 million, down from $21.7 million in 2023[4] - Cash flows from operating activities for the year ended December 31, 2024, were $39,089 thousand, down from $45,212 thousand in 2023[15] - Net cash provided by operating activities decreased to $39,089,000 in 2024 from $45,212,000 in 2023, a decline of 13.5%[22] - Free Cash Flow for 2024 was $11,639,000, down from $21,707,000 in 2023, representing a decrease of 46.3%[22] Revenue Breakdown - Revenue for the year ended December 31, 2024, increased to $224,257 thousand, a 22.6% increase from $183,008 thousand in 2023[13] - Revenue from ventilator rentals (non-invasive and invasive) rose by 15.1% to $124,577,000, accounting for 55.6% of total revenue in 2024[22] - Other home medical equipment rentals saw a significant increase of 27.0%, reaching $48,651,000 in 2024[22] - Equipment and supply sales grew by 19.9% to $30,896,000, representing 13.7% of total revenue in 2024[22] - Service revenues surged by 88.8%, totaling $20,133,000 in 2024, up from $10,665,000 in 2023[22] Patient Count and Market Expansion - The ventilator patient count increased to 11,795, a 14% increase year-over-year[4] - The PAP therapy patient count rose to 21,338, a 43% increase year-over-year[4] - The company plans to ramp up its sales force to penetrate the underserved market for non-invasive ventilation and complementary services[5] Future Projections - The company expects net revenue for 2025 to be in the range of $254 million to $265 million[4] - Adjusted EBITDA for 2025 is expected to be between $54 million and $58 million[4] Investment and Cash Management - Net cash used in investing activities for the year ended December 31, 2024, was $(30,699) thousand, compared to $(52,113) thousand in 2023, indicating improved cash management[15] - The company reported a net increase in cash and cash equivalents of $4,701 thousand for the year ended December 31, 2024, compared to a decrease of $(4,075) thousand in 2023[15] - The company invested $37,771 thousand in property and equipment during the year ended December 31, 2024, compared to $26,093 thousand in 2023, indicating ongoing expansion efforts[15] Shareholder Information - The weighted average number of diluted shares outstanding increased to 40,805,085 for the year ended December 31, 2024, from 40,378,922 in 2023[13]

Core Viewpoint - Viemed Healthcare, Inc. reported strong financial results for the year ended December 31, 2024, with significant growth in revenues and net income, and provided optimistic guidance for 2025, emphasizing its role in respiratory care and technology-enabled home medical equipment services [1][3]. Financial Performance - Net revenues for Q4 2024 reached a record $60.7 million, an increase of $10.0 million, or 20%, compared to Q4 2023 [4]. - Total net revenues for the year 2024 were $224.3 million, up $41.2 million, or 23%, from 2023 [4]. - Net income for Q4 2024 was $4.3 million, or $0.10 per diluted share, reflecting a 24% increase from Q4 2023 [4]. - For the full year 2024, net income totaled $11.3 million, or $0.28 per diluted share, a 10% increase from 2023 [4]. Operational Highlights - The company increased its ventilator patient count to 11,795, a 14% increase year-over-year [4]. - The PAP therapy patient count rose to 21,338, marking a 43% increase from the previous year [4]. - The sleep resupply patient count reached 24,478, up 29% year-over-year [4]. Guidance for 2025 - Viemed expects net revenue for the year ending December 31, 2025, to be in the range of $254 million to $265 million [4]. - Adjusted EBITDA for 2025 is projected to be between $54 million and $58 million [4]. Strategic Focus - The company plans to enhance its sales force and expand into underserved markets for non-invasive ventilation, sleep, staffing, and complementary services [3]. - Viemed aims to leverage its existing payer relationships to create new partnership opportunities and explore inorganic growth [3]. Cash Flow and Balance Sheet - Net cash provided by operating activities for 2024 was $39.1 million, compared to $45.2 million in 2023 [4]. - Free Cash Flow for 2024 was $11.6 million, down from $21.7 million in 2023 [4]. - As of December 31, 2024, the company had a cash balance of $17.5 million and long-term debt of $3.6 million [4]. Revenue Breakdown - For the year ended December 31, 2024, net revenue from ventilator rentals was $124.6 million, accounting for 55.6% of total revenue [20]. - Other home medical equipment rentals generated $48.7 million, representing 21.7% of total revenue [20]. - Service revenues increased significantly to $20.1 million, up 88.8% from the previous year [20].

Core Viewpoint - Viemed Healthcare, Inc. will host its Year End 2024 earnings conference call on March 11, 2025, at 11:00 a.m. EDT, indicating the company's commitment to transparency and communication with investors [1]. Company Overview - Viemed Healthcare, Inc. is a national leader in respiratory care and technology-enabled home medical equipment services in the United States [1]. - The company specializes in in-home clinical care for post-acute respiratory healthcare, offering services such as non-invasive ventilators (NIV), sleep therapy, and staffing, along with complementary products [3]. - Viemed emphasizes efficient and effective in-home treatment, utilizing clinical practitioners to provide therapy, education, and counseling to patients through high-touch and high-tech services [3]. Participation Details - Interested parties can join the earnings call by dialing a toll-free number for the US or an international number, and a live audio webcast will also be available [2]. - A replay of the call will be accessible in the Investor Relations section of the company's website after the live event [2]. Contact Information - For further inquiries, contact details for Tripp Sullivan from SCR Partners, LLC, and Todd Zehnder, Chief Operating Officer of Viemed, are provided [4].

Financial Data and Key Metrics Changes - The third quarter net revenue reached a record of $58 million, exceeding guidance and reflecting strong year-over-year and sequential growth [8][29] - Revenue increased by 17% year-over-year and 6% sequentially, with organic growth accounting for the majority of the increase [29] - EBITDA margin improved to 24.1%, up from 23.3% in the previous quarter and comparable to 24.5% a year ago [32] Business Line Data and Key Metrics Changes - The core vent business accounted for 55% of total revenue, while the sleep business contributed 17% [30] - Active vent patients increased by 4.3% sequentially, indicating positive future growth [17] - Sleep therapy patient count rose by 11% sequentially to 19,478, with resupply orders increasing by 9.7% to 22,143 [51] Market Data and Key Metrics Changes - The company noted that despite the rise of GLP-1 therapies for weight loss, rates of obesity and sleep apnea continue to climb, suggesting a growing market for sleep-related treatments [20][21] - Real-world data indicates that patients prescribed GLP-1 medications are more likely to start PAP therapy, enhancing the potential for growth in the sleep business [22] Company Strategy and Development Direction - The company is focused on maintaining organic growth through operational improvements and strategic investments in technology and training [12][25] - There is a robust M&A pipeline aimed at adding complementary services to expand core businesses [25] - The company is actively advocating for regulatory changes that could stabilize the business environment and enhance reimbursement policies [13][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving a strong finish to 2024, with expectations for continued growth in vent and sleep businesses [26][40] - The company anticipates net revenue in Q4 to be between $59.7 million and $60.9 million, reflecting sequential growth and year-over-year increases [40] Other Important Information - The company invested approximately $11 million in capital expenditures during the quarter, primarily for respiratory equipment [35] - The balance sheet remains strong, with cash increasing to $11.3 million and a reduction in line of credit [38] Q&A Session Summary Question: Inquiry about regulatory changes and reimbursement - Management clarified that the 75-25 reimbursement relief is being reconsidered, which could positively impact financial performance [44][45] Question: Clarification on sleep business disclosures - Management explained that sleep therapy patients and resupply orders are mutually exclusive, with a total of approximately 42,000 patients served during the quarter [52][53] Question: Discussion on vent program growth - Management attributed the increase in vent patients to a restructured sales force and improved training programs [58][60] Question: Insights on M&A pipeline - Management indicated that the M&A pipeline includes opportunities beyond respiratory, with a focus on complementary services [62] Question: Inquiry about EBITDA margin expansion - Management confirmed that EBITDA margins are expected to improve due to economies of scale and operational efficiencies [64]

Revenue and Growth - Revenue for the quarter ended September 30, 2024, was $58.0 million, an increase of $8.6 million (or 17.4%) compared to $49.4 million in the same period of 2023[136] - For the nine months ended September 30, 2024, total revenue was $163.6 million, an increase of $31.3 million (or 23.7%) compared to the same period in 2023[148] - Ventilator rental revenue increased by $3.5 million (or 12.2%) due to higher patient volumes, contributing significantly to overall revenue growth[137] - Service revenues saw a notable increase of $3.1 million (or 140.3%) primarily due to the expansion of healthcare staffing services[137] - The company anticipates growth through expansion in existing service areas and new territories, focusing on cost-efficient launches[122] - The company anticipates continued growth in its active ventilator patient base and other respiratory offerings as it expands geographically[138] Profitability and Expenses - Gross profit for the quarter was $34.4 million, with a gross profit margin of 59.3%, down from 61.9% in the prior year[136] - Net income for the quarter was $3.9 million, an increase of $986,000 (or 33.8%) from $2.9 million in the same quarter of 2023[136] - Selling, general, and administrative expenses totaled $26.7 million, an increase of $3.0 million (or 12.8%) from the prior year, but improved as a percentage of revenue to 46.0%[139] - Research and development expenses totaled $0.8 million, reflecting a $0.2 million increase from the comparable period in 2023[140] - Stock-based compensation increased by 17.8% to $1.7 million, with expectations of further increases as the workforce expands[141] - Gross profit for the nine months ended September 30, 2024, was $97.1 million, with a gross profit percentage of 59.3%, down from 61.0% in the same period in 2023[149] - Selling, general, and administrative expenses totaled $78.0 million for the nine months ended September 30, 2024, an increase of $14.0 million (or 21.9%) from the prior year[150] - Research and development expenses for the nine months ended September 30, 2024, totaled $2.3 million, reflecting a slight increase of $0.1 million from the previous year[151] - Stock-based compensation for the nine months ended September 30, 2024, was $4.8 million, an increase of 10.4% from the comparable period in 2023[152] Market Trends and Projections - The home medical equipment market is projected to grow at a CAGR of approximately 6% for respiratory devices and 8% for Obstructive Sleep Apnea (OSA) devices[125] - U.S. home healthcare spending is expected to reach $250 billion by 2031, with a CAGR of approximately 7%[127] - The aging population and rising incidence of chronic diseases are significant drivers for the home medical equipment industry[126] - The transition to value-based healthcare is expected to benefit home medical equipment providers[127] Financial Position and Cash Flow - Total assets as of September 30, 2024, were $169.5 million, up from $163.9 million as of June 30, 2024[136] - Cash and cash equivalents as of September 30, 2024, were $11.3 million, down from $12.8 million at December 31, 2023[162] - Net cash provided by operating activities for the nine months ended September 30, 2024, was $24.1 million, a decrease from $31.9 million in the same period of 2023[164][165] - Net cash used in investing activities during the nine months ended September 30, 2024, was $21.5 million, which included $18.5 million for capital expenditures, a 15.4% increase year-over-year[166] - The company acquired HomeMed for $3.0 million during the nine months ended September 30, 2024[166] Debt and Financing - The 2022 Senior Credit Facilities provide for an up to $30.0 million revolving credit facility and an up to $30.0 million delayed draw term loan facility, both maturing in November 2027[171] - As of September 30, 2024, outstanding borrowings under the 2022 Term Loan Facility were $4.7 million, with no outstanding borrowings under the 2022 Revolving Credit Facility[172] - Total debt obligations amount to $2,172 million within 12 months and $7,132 million beyond 12 months[178] - Interest rates for the 2022 Senior Credit Facilities range from 2.625% to 3.375% based on Term SOFR, or from 1.625% to 2.375% based on the Base Rate[189] - The company anticipates that operating cash flows will satisfy material cash requirements for the 12 months after September 30, 2024[178] - The company may need to raise additional funds for contractual obligations and investing activities beyond the 12-month period, which may not be available on acceptable terms[178] Compliance and Risk Management - The company experienced a temporary reduction in operating cash flow due to delays in submitting patient claims caused by a cybersecurity incident at Change Healthcare[163] - The company was in compliance with all covenants under the 2022 Senior Credit Facilities as of September 30, 2024[176] - The company has no material undisclosed off-balance sheet arrangements that could affect its financial condition[181] - An immediate 100 basis point change in interest rates would not have a material effect on the company's net income based on outstanding borrowings[189] - The company follows accounting principles generally accepted in the United States, with critical accounting estimates that may impact financial condition or results of operations[183] Employee and Employer Contributions - The company employed 398 licensed Respiratory Therapists (RTs) as of September 30, 2024, accounting for approximately 35% of the total employee count[122] - Employer contributions to the 401(k) retirement plan totaled $358,000 for Q3 2024, up from $316,000 in Q3 2023, and $1,230,000 for the nine months ended September 30, 2024, compared to $1,050,000 for the same period in 2023[180] - Matching employer contributions to the 401(k) plan increased by approximately 13.3% for Q3 2024 compared to Q3 2023[180]

Core Viewpoint - Viemed Healthcare, Inc. reported strong financial results for the third quarter of 2024, with significant increases in net revenues, net income, and operational metrics, indicating robust growth in the respiratory care and home medical equipment services sector. Financial Performance - Net revenues for the quarter ended September 30, 2024, increased by 17.4% to $58.0 million compared to the same period in 2023, setting a new company record [1] - Net income rose by 33% to $3.9 million, translating to $0.10 per diluted share [2] - Adjusted EBITDA for the quarter increased by 15.5% to $14.0 million [2] Operational Highlights - The number of ventilator patients increased by 11.0% to 11,374 as of September 30, 2024, with a sequential increase of 4.3% from June 30, 2024 [3] - Sleep therapy patient count also rose by 11.0% sequentially to 19,478, and sleep resupply orders increased by 9.7% to 22,143 [3] Cash and Debt Position - As of September 30, 2024, the company maintained a strong cash balance of $11.3 million and an overall working capital balance of $11.3 million [4] - Long-term debt amounted to $3.7 million, with $55.3 million available under existing credit facilities [4] Future Outlook - The company exceeded its previously projected net revenue range for Q3 2024 and anticipates generating net revenues of approximately $59.7 million to $60.9 million in Q4 2024 [5] - CEO Casey Hoyt emphasized the company's commitment to enhancing patient satisfaction and operational efficiencies, which are expected to drive organic revenue growth and market penetration [6][7] Revenue Breakdown - Revenue from ventilator rentals (non-invasive and invasive) was $31.8 million for Q3 2024, up from $28.3 million in Q3 2023 [18] - Other home medical equipment rentals generated $12.5 million, compared to $11.1 million in the same period last year [18] - Total revenues for the nine months ended September 30, 2024, reached $163.6 million, up from $132.3 million in 2023 [18]