DocGo (DCGO) - 2025 Q3 - Quarterly Results

Financial Performance - Total revenue for Q3 2025 was $70.8 million, down from $138.7 million in Q3 2024, primarily due to the wind-down of migrant-related programs[4] - Excluding migrant-related revenue, revenue increased by 8% to $62.4 million in Q3 2025 from $58.0 million in Q3 2024[4] - Net loss for Q3 2025 was $29.7 million, compared to net income of $4.5 million in Q3 2024, including $16.7 million of non-cash impairments[4] - Adjusted EBITDA loss was $7.2 million for Q3 2025, compared to adjusted EBITDA of $17.9 million for Q3 2024[4] - Mobile Health Services revenue decreased to $20.7 million in Q3 2025 from $90.7 million in Q3 2024, but increased by 23% excluding migrant-related programs[4] - Total revenues for the three months ended September 30, 2025, were $70,809,635, a decrease of 48.9% compared to $138,684,814 for the same period in 2024[19] - Net loss for Q3 2025 was $29.66 million compared to a net income of $4.55 million in Q3 2024, representing a significant decline[20] - GAAP gross margin for Q3 2025 was 20.0%, down from 33.0% in Q3 2024, while adjusted gross margin was 33.0% compared to 36.0% in the same period[30] - Adjusted EBITDA for Q3 2025 was $(7.2) million, significantly lower than $17.9 million in Q3 2024[31] - The adjusted EBITDA margin for Q3 2025 was (10.2)%, compared to 12.9% in Q3 2024[31] - The company reported a pretax income margin of (61.0)% for Q3 2025, compared to 6.5% in Q3 2024[31] Revenue Guidance - Full-year 2025 revenue is expected to be between $315 million and $320 million, including $68 million to $70 million of migrant-related revenue[7] - Full-year 2026 revenue guidance is projected to be between $280 million and $300 million, with no migrant-related revenue included[7] - The company expects a base business revenue increase of 12%-20% for 2026, which does not include potential acquisitions or new contracts[6] Asset and Liability Management - Total current assets decreased to $190,226,013 as of September 30, 2025, down 37.5% from $304,486,263 as of December 31, 2024[17] - Total liabilities decreased to $93,120,992 as of September 30, 2025, down 33.7% from $140,442,002 as of December 31, 2024[17] - The accumulated deficit increased to $(49,731,114) as of September 30, 2025, compared to $(1,402,167) as of December 31, 2024[18] - Total stockholders' equity attributable to DocGo Inc. decreased to $270,532,470 as of September 30, 2025, down 15.7% from $320,917,476 as of December 31, 2024[18] Cash Flow and Financing Activities - Operating cash flow for the nine months ended September 30, 2025, was $44.92 million, down from $57.40 million in the same period of 2024, a decrease of approximately 21.7%[20] - Cash and cash equivalents decreased to $73,355,638 as of September 30, 2025, down 17.8% from $89,241,695 as of December 31, 2024[17] - Cash used in financing activities for the nine months ended September 30, 2025, was $48.95 million, compared to $16.30 million in the same period of 2024, indicating increased financial strain[22] - Total cash and cash equivalents at the end of Q3 2025 were $77.61 million, down from $108.58 million at the end of Q3 2024, a decrease of about 28.6%[22] Impairments and Expenses - The company incurred a finite-lived intangible asset impairment of $8,020,343 for the three months ended September 30, 2025[19] - The company reported a significant impairment charge of $8.72 million related to goodwill in Q3 2025, reflecting challenges in asset valuation[20] - Stock-based compensation expenses increased to $14.31 million for the nine months ended September 30, 2025, compared to $9.76 million in the same period of 2024, an increase of approximately 46.1%[20] - Non-recurring expenses included in adjusted EBITDA for Q3 2025 amounted to $26.1 million, compared to $0.4 million in Q3 2024[31] Strategic Initiatives - The company entered into an agreement to acquire virtual care platform SteadyMD, expanding telehealth services across all 50 states[7] - The company made a significant purchase of restricted investments totaling $24.74 million during the nine months ended September 30, 2025[20]