Core Viewpoint - FONAR Corporation has experienced a significant decline in its financial performance for the quarter ended December 31, 2024, with notable drops in revenue, income, and net income, leading to a decrease in stock value compared to the S&P 500 Index. Financial Performance - Total revenues for Q2 fiscal 2025 decreased by 1.7% to 24.9millionfrom25.4 million year-over-year [2] - For the six-month period, revenues fell by 2.6% to 49.9millionfrom51.2 million [2] - Income from operations dropped 50.2% to 2.4millionforthequarterfrom4.9 million [3] - For the six-month period, income from operations declined 38.5% to 7millionfrom11.5 million [3] - Net income decreased by 52.3% to 2.2millionforthequarterfrom4.6 million [4] - Over the six-month period, net income fell 37.8% to 6.2millionfrom9.9 million [4] - Diluted net income per share declined 46.3% to 0.29forthequarterand33.90.74 for the six-month period [4] Segment Performance - The Health Management Company of America (HMCA) remains the primary revenue driver, with MRI scan volume at HMCA-managed sites increasing by 7.4% to 79,207 scans [5] - Scan volume at HMCA-owned sites decreased by 4.4% to 26,961 scans [5] - Revenues from management and other fees were 12.2millionforthequarter,down112.3 million year-over-year [6] - Patient fee revenues declined by 3.4% to 7.9millionfrom8.2 million [6] Other Key Business Metrics - Operating expenses increased, with SG&A costs rising 23.9% to 6.9millionforthequarter[7]−Totalliabilitiesdecreasedto49 million as of December 31, 2024, from 57.5million[8]−Totalstockholders′equityroseto158.9 million from 156.8million[8]ManagementCommentary−ThecompanyreportedstablescanvolumeatHMCA−managedMRIcenters,witha3.65.6 million under its $9 million buyback plan [12] - The company completed the installation of a new scanner in Naples, FL, during the first quarter of fiscal 2025 [12]
Fonar(FONR) ZACKS·2025-02-21 16:40