Cross ntry Healthcare(CCRN) - 2025 Q2 - Quarterly Report

FORM 10-Q Filing Information This section provides filing details for Cross Country Healthcare, Inc.'s Q2 2025 Form 10-Q, identifying it as an accelerated filer on Nasdaq - The report is a Quarterly Report on Form 10-Q for the period ended June 30, 2025[2] Registrant Information | Detail | Value | | :--- | :--- | | Registrant Name | CROSS COUNTRY HEALTHCARE, INC. | | State of Incorporation | Delaware | | Commission File Number | 0-33169 | | Trading Symbol | CCRN | | Exchange Registered | The Nasdaq Stock Market | | Filer Status | Accelerated filer | | Common Stock Outstanding (as of July 18, 2025) | 32,761,995 shares | Information Relating to Forward-Looking Statements Forward-Looking Statements and Risk Factors This section outlines forward-looking statements and key risks, including the proposed Aya Merger and macroeconomic factors - Forward-looking statements are predictive and subject to known and unknown risks, including those related to the proposed Aya Merger[7] - Key risks associated with the proposed Aya Merger include: * Timing and closing conditions (e.g., regulatory approval from FTC) * Diversion of management time and disruption to business operations * Adverse effects on stock price, customer retention, and key personnel * Potential litigation and unexpected costs - General risk factors include the overall macroeconomic environment (inflation, interest rates), demand for healthcare services, ability to attract and retain personnel, cybersecurity risks, and government regulation[7] Part I. Financial Information Item 1. Condensed Consolidated Financial Statements This section presents unaudited condensed consolidated financial statements, including balance sheets, operations, equity, cash flows, and notes Condensed Consolidated Balance Sheets (Unaudited) The Condensed Consolidated Balance Sheets provide a snapshot of the company's financial position at June 30, 2025, and December 31, 2024 Condensed Consolidated Balance Sheet Highlights (Amounts in thousands) | Item | June 30, 2025 | December 31, 2024 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Total Assets | $553,818 | $589,251 | $(35,433) | -6.0% | | Total Liabilities | $141,576 | $170,292 | $(28,716) | -16.9% | | Total Stockholders' Equity | $412,242 | $418,959 | $(6,717) | -1.6% | | Cash and cash equivalents | $81,193 | $81,633 | $(440) | -0.5% | | Accounts receivable, net | $201,694 | $223,238 | $(21,544) | -9.6% | | Total current assets | $309,056 | $335,000 | $(25,944) | -7.7% | | Total current liabilities | $96,165 | $120,402 | $(24,237) | -20.1% | Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) The Condensed Consolidated Statements of Operations and Comprehensive Loss show decreased revenue and reduced net loss for Q2 2025, driven by lower operating expenses Key Financial Performance Indicators (Amounts in thousands, except per share data) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Revenue from services | $274,072 | $339,771 | $(65,699) | -19.3% | | Total operating expenses | $279,931 | $358,977 | $(79,046) | -22.0% | | Loss from operations | $(5,859) | $(19,206) | $13,347 | 69.5% | | Net loss attributable to common stockholders | $(6,659) | $(16,050) | $9,391 | 58.5% | | Basic Net loss per share | $(0.20) | $(0.47) | $0.27 | 57.4% | | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Revenue from services | $567,480 | $718,945 | $(151,465) | -21.1% | | Total operating expenses | $574,316 | $735,230 | $(160,914) | -21.9% | | Loss from operations | $(6,836) | $(16,285) | $9,449 | 58.0% | | Net loss attributable to common stockholders | $(7,149) | $(13,358) | $6,209 | 46.5% | | Basic Net loss per share | $(0.22) | $(0.39) | $0.17 | 43.6% | - Acquisition and integration-related costs significantly increased to $5.995 million for the three months ended June 30, 2025, from $3 thousand in the prior year, primarily due to fees associated with the pending Aya Merger[14] - Credit loss expense decreased substantially to $30 thousand for the three months ended June 30, 2025, from $18.858 million in the prior year[14] Condensed Consolidated Statements of Stockholders' Equity (Unaudited) The Condensed Consolidated Statements of Stockholders' Equity detail changes for Q2 2025 and 2024, reflecting net losses, equity compensation, and prior year stock repurchases Changes in Stockholders' Equity (Three Months Ended June 30, Amounts in thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Balances at March 31 | $418,210 | $462,448 | | Vesting of restricted stock | $(174) | $(247) | | Equity compensation | $870 | $2,259 | | Stock repurchase and retirement | — | $(14,946) | | Stock repurchase excise tax | — | $(143) | | Foreign currency translation adjustment, net of taxes | $(5) | $(1) | | Net loss | $(6,659) | $(16,050) | | Balances at June 30 | $412,242 | $433,320 | Changes in Stockholders' Equity (Six Months Ended June 30, Amounts in thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Balances at December 31 | $418,959 | $467,651 | | Vesting of restricted stock | $(1,756) | $(2,953) | | Equity compensation | $2,188 | $3,457 | | Stock repurchase and retirement | — | $(21,314) | | Stock repurchase excise tax | — | $(159) | | Foreign currency translation adjustment, net of taxes | — | $(4) | | Net loss | $(7,149) | $(13,358) | | Balances at June 30 | $412,242 | $433,320 | Condensed Consolidated Statements of Cash Flows (Unaudited) The Condensed Consolidated Statements of Cash Flows show a significant decrease in operating cash flow for H1 2025, with stable investing and reduced financing cash outflows Cash Flow Summary (Six Months Ended June 30, Amounts in thousands) | Cash Flow Activity | 2025 | 2024 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Net cash provided by operating activities | $9,898 | $88,412 | $(78,514) | -88.8% | | Net cash used in investing activities | $(3,853) | $(5,059) | $1,206 | -23.8% | | Net cash used in financing activities | $(6,481) | $(30,846) | $24,365 | 79.0% | | Change in cash and cash equivalents | $(440) | $52,507 | $(52,947) | -100.8% | | Cash and cash equivalents at end of period | $81,193 | $69,601 | $11,592 | 16.7% | - The decrease in net cash from operating activities was primarily driven by changes in accounts receivable and accounts payable and accrued expenses[20] - Cash used in financing activities decreased significantly due to no share repurchases in 2025, compared to