Fonar(FONR) - 2025 Q3 - Quarterly Report

Financial Performance - Total revenues for the three months ended March 31, 2025, were $27.165 million, an increase of 5.7$25.718 million for the same period in 2024[19] - Consolidated net income attributable to FONAR for the three months ended March 31, 2025, was $2.506 million, representing a 33.9$1.872 million in the prior year[19] - Basic net income per common share available to common stockholders increased to $0.38 for the three months ended March 31, 2025, compared to$0.28 for the same period in 2024[19] - Total revenues for the nine months ended March 31, 2025, were $77,075 million, a slight increase from$76,941 million in the same period in 2024, representing a growth of 0.2%[21] - Consolidated net income for the nine months ended March 31, 2025, was $9,329 million, down from$12,463 million, a decrease of 25.5%[21] - Basic net income per common share available to common stockholders was $1.14, compared to$1.42 in the prior year, a decline of 19.7%[21] Assets and Liabilities - Total current assets as of March 31, 2025, were $141.101 million, slightly up from$140.324 million as of June 30, 2024[10] - Total assets increased to $214.923 million as of March 31, 2025, compared to$214.246 million as of June 30, 2024[16] - Total liabilities decreased to $54.664 million as of March 31, 2025, from$57.458 million as of June 30, 2024[13] - The company reported a total equity of $160.259 million as of March 31, 2025, up from$156.788 million as of June 30, 2024[16] Expenses - Total costs and expenses for the nine months ended March 31, 2025, were $66,371 million, up from$61,739 million, indicating an increase of 7.5%[21] - Selling, general, and administrative expenses rose to $20,055 million from$18,046 million, an increase of 11.1%[21] - Research and development expenses for the three months ended March 31, 2025, were $441 thousand, compared to$414 thousand in the same period of 2024[19] - The company reported an interest expense of $21 million, down from$67 million, indicating a decrease of 68.7%[21] Cash Flow - The company had cash and cash equivalents of $54.257 million as of March 31, 2025, compared to$56.341 million as of June 30, 2024[10] - The net cash provided by operating activities for the nine months ended March 31, 2025, was $7,045,000, compared to$9,496,000 in 2024, reflecting a decrease of approximately 25.9%[35] - The company reported a net cash used in investing activities of $3,157,000 for the nine months ended March 31, 2025, compared to$501,000 in 2024[35] Shareholder Information - The weighted average diluted shares outstanding decreased to 6,372 million from 6,538 million[21] - The company repurchased 115 shares at a cost of $1,806 during the nine months ended March 31, 2025, compared to 116 shares at a cost of$1,885 in the same period of 2024[92] - The total net carrying amount of other intangible assets as of March 31, 2025, was $3,230, an increase from$2,870 as of June 30, 2024[80] Revenue Sources - Patient fee revenue decreased to $24,284 million from$25,511 million, reflecting a decline of 4.8% year-over-year[21] - Management and other fees increased to $37,447 million from$36,585 million, showing a growth of 2.4%[21] - Approximately 58.8% of net revenues for the three months ended March 31, 2025, were derived from no-fault and personal injury protection claims, up from 56.3% for the same period in 2024[68] Accounting and Compliance - The company identified three immaterial errors in its financial statements, resulting in an out-of-period charge to expenses of $116,000 for the nine months ended March 31, 2025[53] - The company is evaluating the impact of new accounting standards issued by FASB, which may affect disclosures in future financial statements[54][55] - The company has established a current expected credit loss (CECL) model to address credit risk associated with accounts receivable[60] Taxation - The company recorded an income tax expense of$3,018 for the nine months ended March 31, 2025, down from $4,884 in the same period of 2024, a decrease of 38.2$132,000 during the nine months ended March 31, 2025[38] - The company recorded $39,000 in investment income from a promissory note during the nine months ended March 31, 2025, with a total sales price of$577,000 for an MRI scanner sold to a related party[105]