Latest news with #Modivcare
Associated Press
04-06-2025
- Business
- Associated Press
Modivcare Recognizes DAB Transport for Compassionate Care and Commitment to Community Health
DUBLIN, Ga.--(BUSINESS WIRE)--Jun 4, 2025-- Modivcare Inc. (the 'Company' or 'Modivcare') (Nasdaq: MODV), a technology-enabled healthcare services company that provides a platform of integrated supportive care solutions focused on improving health outcomes, proudly recognizes DAB Transport's outstanding commitment to service central Georgia with compassion and flexibility. Founded in 2020 by Regina Mcrae, a licensed professional counselor with nearly two decades of experience in mental health care, DAB Transport was born out of a desire to continue helping people in a way that best served their needs. What began with two drivers and two vehicles has rapidly grown into a trusted operation with 15 drivers serving 5–6 counties and managing up to 600 non-emergency medical transportation (NEMT) trips per week. Named after her three children – Derick, Arianna, and Breonna – DAB Transport remains a small but mighty provider known for its personal approach and deeply involved service model. One powerful example is the company's work transporting young adults involved in a Laurens County program supporting young adults with mental health needs. One passenger, who once mentioned wanting to work during her rides, later pursued employment, crediting Mcrae's encouragement and support for helping her take that step. 'I started DAB Transport as a way to continue making a difference after experiencing burnout from high-intensity mental health crisis work,' said Mcrae. 'Whether it's dialysis patients whose families we come to know personally, or young people on the path to independence, we know we're more than just a ride.' DAB Transport has partnered with Modivcare from the start, relying on the relationship to fuel steady growth in ride volumes while maintaining a flexible, member-centric approach. 'Regina and the DAB Transport team exemplify what it means to go beyond transportation,' said Rodney Taylor, Modivcare's Senior Director - Transportation Operations for Georgia. 'Their ability to adapt and deliver personalized care in the form of safe, timely rides is essential to our mission. They are a shining example of how NEMT can serve as a powerful link in a member's care journey.' DAB Transport's success is built on strong hiring, operational flexibility, and a shared understanding that every trip can change a life. Mcrae notes that she and her team are always ready to fill gaps, and there have been several instances where she has stepped behind the wheel herself when needed. Life-sustaining care is not optional, so if a driver is sick and can't come to work, the team prides themselves on being able to pivot and still deliver rides even when unpredictable circumstances occur. To learn more about Modivcare, visit Georgia | Modivcare. About Modivcare Modivcare Inc. ('Modivcare' or the 'Company') is a technology-enabled healthcare services company that provides a suite of integrated supportive care solutions for public and private payors and their members. Modivcare's value-based solutions address the social determinants of health (SDoH) by connecting members to essential care services. By doing so, Modivcare helps health plans manage risks, reduce costs, and improve health outcomes. Modivcare serves as a provider of non-emergency medical transportation (NEMT), personal care services (PCS), and in-home monitoring solutions (Monitoring). To learn more about Modivcare, please visit View source version on [email protected] KEYWORD: UNITED STATES NORTH AMERICA GEORGIA INDUSTRY KEYWORD: OTHER TRANSPORT PUBLIC TRANSPORT TRANSPORT HEALTH TECHNOLOGY HEALTH INSURANCE TRANSPORTATION MANAGED CARE HEALTH TRAVEL SOURCE: Modivcare Inc. Copyright Business Wire 2025. PUB: 06/04/2025 07:00 AM/DISC: 06/04/2025 06:58 AM
Business Wire
04-06-2025
- Business
- Business Wire
Modivcare Recognizes DAB Transport for Compassionate Care and Commitment to Community Health
DUBLIN, Ga.--(BUSINESS WIRE)-- Modivcare Inc. (the 'Company' or 'Modivcare') (Nasdaq: MODV), a technology-enabled healthcare services company that provides a platform of integrated supportive care solutions focused on improving health outcomes, proudly recognizes DAB Transport's outstanding commitment to service central Georgia with compassion and flexibility. Founded in 2020 by Regina Mcrae, a licensed professional counselor with nearly two decades of experience in mental health care, DAB Transport was born out of a desire to continue helping people in a way that best served their needs. What began with two drivers and two vehicles has rapidly grown into a trusted operation with 15 drivers serving 5–6 counties and managing up to 600 non-emergency medical transportation (NEMT) trips per week. Named after her three children – Derick, Arianna, and Breonna – DAB Transport remains a small but mighty provider known for its personal approach and deeply involved service model. One powerful example is the company's work transporting young adults involved in a Laurens County program supporting young adults with mental health needs. One passenger, who once mentioned wanting to work during her rides, later pursued employment, crediting Mcrae's encouragement and support for helping her take that step. 'I started DAB Transport as a way to continue making a difference after experiencing burnout from high-intensity mental health crisis work,' said Mcrae. 'Whether it's dialysis patients whose families we come to know personally, or young people on the path to independence, we know we're more than just a ride.' DAB Transport has partnered with Modivcare from the start, relying on the relationship to fuel steady growth in ride volumes while maintaining a flexible, member-centric approach. 'Regina and the DAB Transport team exemplify what it means to go beyond transportation,' said Rodney Taylor, Modivcare's Senior Director - Transportation Operations for Georgia. 'Their ability to adapt and deliver personalized care in the form of safe, timely rides is essential to our mission. They are a shining example of how NEMT can serve as a powerful link in a member's care journey.' DAB Transport's success is built on strong hiring, operational flexibility, and a shared understanding that every trip can change a life. Mcrae notes that she and her team are always ready to fill gaps, and there have been several instances where she has stepped behind the wheel herself when needed. Life-sustaining care is not optional, so if a driver is sick and can't come to work, the team prides themselves on being able to pivot and still deliver rides even when unpredictable circumstances occur. To learn more about Modivcare, visit Georgia | Modivcare. About Modivcare Modivcare Inc. ("Modivcare" or the "Company") is a technology-enabled healthcare services company that provides a suite of integrated supportive care solutions for public and private payors and their members. Modivcare's value-based solutions address the social determinants of health (SDoH) by connecting members to essential care services. By doing so, Modivcare helps health plans manage risks, reduce costs, and improve health outcomes. Modivcare serves as a provider of non-emergency medical transportation (NEMT), personal care services (PCS), and in-home monitoring solutions (Monitoring). To learn more about Modivcare, please visit
Yahoo
21-05-2025
- Health
- Yahoo
Modivcare Commends New Jersey NEMT Provider for Heroic Response During Medical Emergency
During a routine transport, New Jersey driver supported a pregnant passenger who went into labor EDISON, N.J., May 21, 2025--(BUSINESS WIRE)--Modivcare Inc. (the "Company" or "Modivcare") (Nasdaq: MODV), a technology-enabled healthcare services company that provides a platform of integrated supportive care solutions focused on improving health outcomes, is proud to recognize New Jersey transportation provider, Joyful Medical Transportation, LLC, for its dedication to serving its members. In October 2024, Joyful Medical Transportation went above and beyond to care for a member who went into labor during a scheduled routine non-emergency medical transportation (NEMT) ride. Once alerted, driver Brandon Gaston took action to quickly redirect to the nearest hospital, arriving at the facility in time for hospital staff to assist in a safe and successful delivery. This trip showcases the provider's outstanding dedication to ensuring Modivcare members can access the care they need, even in an unpredictable circumstance. "We commend Brandon for his quick thinking and calm demeanor that helped display our team's unwavering commitment to care," said Moses Adedeji, owner of Joyful Medical Transportation. "His actions are a powerful example of the dedication our team brings to serving our New Jersey members every day as not just transportation providers, but as trusted partners in their care journey." Joyful Medical Transportation has served its community in partnership with Modivcare since 2023, operating with four vehicles to facilitate transportation for underserved populations. Modivcare serves more than 2 million New Jersey residents with its NEMT services and has managed the program for the state since 2009. "This scenario speaks volumes about the attentiveness of a driver during a routine ride that turned emergent," said Leroy Boone, Modivcare's Senior Director of Transportation Operations, New Jersey. "Joyful Medical Transportation's swift, safe, and compassionate action ensured both the mother and baby received the critical care they needed in time. We're proud to have a team that prioritizes the well-being of every member and embodies our mission to connect people with the care they need." To learn more about Modivcare in New Jersey, please visit New Jersey | Modivcare. About Modivcare Modivcare Inc. ("Modivcare" or the "Company") is a technology-enabled healthcare services company that provides a suite of integrated supportive care solutions for public and private payors and their members. Modivcare's value-based solutions address the social determinants of health (SDoH) by connecting members to essential care services. By doing so, Modivcare helps health plans manage risks, reduce costs, and improve health outcomes. Modivcare serves as a provider of non-emergency medical transportation (NEMT), personal care services (PCS), and in-home monitoring solutions (Monitoring). To learn more about Modivcare, please visit View source version on Contacts Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Wire
08-05-2025
- Business
- Business Wire
Modivcare Reports First Quarter 2025 Financial Results
DENVER--(BUSINESS WIRE)--Modivcare Inc. (the 'Company' or 'Modivcare') (Nasdaq: MODV), a technology-enabled healthcare services company that provides a platform of integrated supportive care solutions focused on improving health outcomes, today reported financial results for the three months ended March 31, 2025. "In Q1, we continued to advance our strategic objectives and operational initiatives,' said L. Heath Sampson, President and CEO. 'Company-wide alignment on key initiatives—securing new contracts, laying the groundwork for scalable automation, reducing G&A, strengthening our working-capital discipline, and progressing toward divestiture readiness—positions us to deliver enhanced performance and long-term value. We are making steady progress that reflects the team's focus on these priorities. We look forward to maintaining this positive momentum and building a stronger, more connected Modivcare." First Quarter 2025 Summary: Service revenue of $650.7 million, down 4.9% year-over-year Net loss of $50.4 million, or negative $3.52 per diluted common share; adjusted net loss (1) of $24.5 million and adjusted loss per share (1) of $1.71 per diluted common share Adjusted EBITDA (1) of $32.6 million, representing 5.0% of service revenue $105.0 million in new financing executed in Q1 to support ongoing transformation efforts Targeted cost reduction actions expected to generate greater than $20.0 million in annualized G&A savings First Quarter 2025 Results Revenue was $650.7 million, compared to $684.5 million in the prior-year period, primarily reflecting contract attrition in the NEMT segment and lower volumes in PCS and Monitoring. Net loss and Adjusted EBITDA (1) were $50.4 million and $32.6 million, compared to $22.3 million and $32.1 million in Q1 2024, respectively. By segment: NEMT revenue was $449.0 million, down 6.3% year-over-year, a 3.9% net income margin and a 6.2% Adjusted EBITDA margin (1) — up 50 basis points. PCS revenue was $181.8 million, down 1.0%, with net income of $2.4 million and an Adjusted EBITDA (1) of $12.2 million — up 8.5% year-over-year. Monitoring revenue was $18.1 million, down 9.8%, a 6.0% net loss margin and a 28.8% Adjusted EBITDA margin (1). Net contract receivables increased to $108.5 million, up from $95.2 million last quarter, primarily due to higher utilization on shared risk contracts. Modivcare ended the quarter with $116.0 million in cash and remained fully drawn on its revolver. Operating cash flow was a use of $82.1 million and Free cash flow (2) was negative $86.2 million, reflecting working capital build and higher interest expense. The Company has taken targeted actions to accelerate collections and improve working capital efficiency. Conference Call Information Modivcare will host a conference call today, May 8, 2025, at 5:00 p.m. ET to discuss its financial results. Participants may access the call via: A replay will be available on the Company's investor relations website following the conclusion of the call. About Modivcare Modivcare Inc. ("Modivcare" or the "Company") is a technology-enabled healthcare services company that provides a suite of integrated supportive care solutions for public and private payors and their members. Modivcare's value-based solutions address the social determinants of health (SDoH) by connecting members to essential care services. By doing so, Modivcare helps health plans manage risks, reduce costs, and improve health outcomes. Modivcare serves as a provider of non-emergency medical transportation (NEMT), personal care services (PCS), and in-home monitoring solutions (Monitoring). To learn more about Modivcare, please visit Non-GAAP Financial Measures and Adjustments In addition to the financial measures prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP"), the information contained herein may include presentations for the Company and its segments (as noted and applicable) of: (1) EBITDA, Adjusted EBITDA, Adjusted G&A expense, Adjusted EBITDA margin, Adjusted Net Income (Loss), and Adjusted Earnings (Loss) Per Share, all of which are non-GAAP financial measures considered by management to be performance measures; and (2) free cash flow, which is a non-GAAP financial measure considered by management to be a liquidity measure. EBITDA is defined as net income (loss) before: (1) interest expense, net; (2) provision (benefit) for income taxes; and (3) depreciation and amortization. Adjusted EBITDA is calculated as EBITDA before (as applicable): (1) restructuring and related costs; (2) transaction and integration costs; (3) settlement related costs; (4) stock-based compensation; and (5) equity in net (income) loss of investee, net of tax. Adjusted EBITDA margin is calculated as Adjusted EBITDA divided by service revenue, net. Adjusted Net Income (Loss) is calculated as net income (loss) before (as applicable): (1) restructuring and related costs; (2) transaction and integration costs; (3) settlement related costs; (4) stock-based compensation; (5) equity in net (income) loss of investee, net of tax; (6) intangible asset amortization expense; and (7) the income tax impact of such adjustments. Adjusted Earnings (Loss) Per Share is calculated as Adjusted Net Income (Loss) divided by the diluted weighted-average number of common shares outstanding as calculated for Adjusted Net Income (Loss). Adjusted G&A expense is calculated as G&A expense before (as applicable): (1) restructuring and related costs; (2) transaction and integration costs; (3) settlement related costs; and (4) stock-based compensation. Free cash flow is calculated as cash flow from operations less our applicable capital expenditures included in our purchase of property and equipment line in our Consolidated Statements of Cash Flows. Reconciliations of the non-GAAP financial measures used herein to their most directly comparable GAAP financial measures that are not included in the discussion above are included below. Our non-GAAP performance measures exclude expenses and amounts that are not driven by our core operating results and may be one time in nature. Excluding these expenses makes comparisons with prior periods as well as to other companies in our industry more meaningful. We believe such measures allow investors to gain a better understanding of the factors and trends affecting the ongoing operations of our business. We consider our core operations to be the ongoing activities to provide services from which we earn revenue, including direct operating costs and indirect costs to support these activities. As a result, our net income or loss in equity investee is excluded from these measures, as we do not have the ability to manage the venture, allocate resources within the venture, or directly control its operations or performance. Our free cash flow presentation (as applicable) reflects an additional way of viewing our liquidity that, when viewed together with our GAAP results, provides management, investors, and other users of our financial information with a more complete understanding of factors and trends affecting our cash flows. Our use of the term free cash flow is not intended to imply, and no inference should be made, however, that any reported amounts are free to be used without restriction for discretionary expenditures, as our use of these funds may be restricted by the terms of our outstanding indebtedness, including our credit facility, and otherwise earmarked for other non-discretionary expenditures. Our non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies in our industry, as other companies in our industry may calculate non-GAAP financial measures differently. In addition, there are limitations in using non-GAAP financial measures because they are not prepared in accordance with GAAP, may be different from non-GAAP financial measures used by other companies, and exclude expenses that may have a material impact on our reported financial results. The presentation of non-GAAP financial measures is not intended to be considered in isolation from or as a substitute for the most directly comparable financial measures prepared in accordance with GAAP. We urge you to review the reconciliations of our non-GAAP financial measures to their most directly comparable GAAP financial measures included below, and not to rely on any single financial measure to evaluate our business. Forward-Looking Statements Certain statements contained in this press release constitute 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are predictive in nature and are frequently identified by the use of terms such as 'may,' 'will,' 'should,' 'expect,' 'believe,' 'estimate,' 'intend,' and similar words indicating possible future expectations, events or actions. The updated guidance discussed herein constitutes forward-looking statements. Such forward-looking statements are based on current expectations, assumptions, estimates and projections about our business and our industry, and are not guarantees of our future performance. These statements are subject to a number of known and unknown risks, uncertainties and other factors, many of which are beyond our ability to control or predict, which may cause actual results to be materially different from those expressed or implied herein, including but not limited to: government or private insurance program funding reductions or limitations; implementation of alternative payment models or the transition of Medicaid and Medicare beneficiaries to Managed Care Organizations; our inability to control reimbursement rates received for our services; cost containment initiatives undertaken by private third-party payors and an inability to maintain or reduce our cost of services below rates set forth by our payors; the effects of a public health emergency; inadequacies in, or security breaches of, our information technology systems; changes in the funding, financial viability or our relationships with our payors; pandemics and other infectious diseases; delays in collection, or non-collection, of our accounts receivable; any impairment of our goodwill and long-lived assets; any failure to maintain or to develop reliable, efficient and secure information technology systems; any inability to attract and retain qualified employees; any disruptions from acquisition or acquisition integration efforts; estimated income taxes being different from income taxes that we ultimately pay; weakening of general economic conditions, including the impact of inflationary pressures, rising interest rates, labor shortages, higher labor costs and supply chain challenges; any failure to successfully implement our business plan, including planned strategic divestitures of certain assets; historical operating losses and negative cash flow and any failure to improve our financial condition; significant turnover of our senior management team and across our organization; ongoing negotiations related to new capital investments may require a substantial portion of time from our management; our contracts not surviving until the end of their stated terms, or not being renewed or extended; our failure to compete effectively in the marketplace; our not being awarded contracts through the government's requests for proposals process, or our awarded contracts not being profitable; any failure to satisfy our contractual obligations or to maintain existing pledged performance and payment bonds; any failure to estimate accurately the cost of performing our contracts; the extended collection periods and uncertainty concerning the timing of the collection of outstanding contract receivables; any misclassification of the drivers we engage as independent contractors rather than as employees; significant interruptions in our communication and data services; not successfully executing on our strategies in the face of our competition; any inability to maintain relationships with existing patient referral sources; certificates of need laws or other regulatory and licensure obligations that may adversely affect our personal care integration efforts and expansion into new markets; any failure to obtain the consent of the New York Department of Health to manage the day to day operations of our licensed in-home personal care services agency business; changes in the case-mix of our personal care patients, or changes in payor mix or payment methodologies; our loss of existing favorable managed care contracts; our experiencing labor shortages in qualified employees and management; labor disputes or disruptions, in particular in New York; becoming subject to malpractice, professional negligence or other similar claims; our operating in the competitive in-home patient monitoring industry, and failing to develop and enhance related technology applications; any failure to innovate and provide services that are useful to customers and to achieve and maintain market acceptance; our lack of sole decision-making authority with respect to our minority investment in Matrix and any failure by Matrix to achieve positive financial position and results of operations; any legal challenges to the relationships or arrangements between our virtual clinical care management services and the unaffiliated physician-owned professional corporation through which such services are provided; any failure to comply with applicable data interoperability and information blocking rules; the lapse of temporary telehealth flexibilities currently permitted under the Consolidated Appropriations Act of 2023; the cost of our compliance with laws; changes to the regulatory landscape applicable to our businesses; changes in budgetary priorities of the government entities or private insurance programs that fund our services; regulations relating to privacy and security of patient and service user information; actions for false claims or recoupment of funds; civil penalties or loss of business for failing to comply with bribery, corruption and other regulations governing business with public organizations; increasing scrutiny and changing expectations with respect to environmental, social and governance matters; changes to, or violations of, licensing regulations; our contracts being subject to audit and modification by the payors with whom we contract; a loss of Medicaid coverage by Medicaid beneficiaries as a result of any state Medicaid eligibility determination processes; our existing debt agreements containing restrictions, financial covenants and cross-default provisions that limit our flexibility in operating our business; our substantial indebtedness and ability to generate sufficient cash to service our indebtedness; the expiration of our existing credit agreement or any loss of available financing alternatives; our ability to incur substantial additional indebtedness or to issue additional equity; our substantial doubt about our ability to meet our obligations as they come due within one year from the date of issuance of the financial statements for fiscal year 2024; any failure to successfully remediate any control deficiency or material weakness in our internal control over financial reporting; our dependence on our subsidiaries to fund our operations and expenses; anti-takeover provisions discouraging a change of control; and any stock price volatility. The Company has provided additional information about the foregoing and other risks facing our business in our annual report on Form 10-K and subsequent periodic and current reports filed with the Securities and Exchange Commission that could impact future performance. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date the statement was made and are expressly qualified in their entirety by the cautionary statements set forth herein and in our filings with the Securities and Exchange Commission, which you should read in their entirety before making an investment decision with respect to our securities. We undertake no obligation to update or revise any forward-looking statements contained in this release, whether as a result of new information, future events or otherwise, except as required by applicable law. Modivcare Inc. Unaudited Condensed Consolidated Balance Sheets (in thousands) March 31, 2025 December 31, 2024 Assets Current assets: Cash and cash equivalents $ 115,963 $ 112,581 Accounts receivable, net 239,545 222,317 Contract receivables 124,359 117,795 Other current assets (1) 53,562 42,686 Total current assets 533,429 495,379 Property and equipment, net 79,038 82,409 Long-term contract receivables 10,989 — Goodwill 680,252 680,252 Intangible assets, net 266,232 282,320 Equity investment 27,899 31,427 Operating lease right-of-use assets 33,390 36,597 Other long-term assets 45,934 45,948 Total assets $ 1,677,163 $ 1,654,332 Liabilities and stockholders' equity (deficit) Current liabilities: Accounts payable $ 57,659 $ 83,068 Accrued contract payables 26,854 22,639 Accrued expenses and other current liabilities 153,452 139,176 Accrued transportation costs 76,855 96,745 Current portion of operating lease liabilities 8,281 8,616 Revolving credit facility 270,661 269,000 Short-term debt 73,889 5,250 Total current liabilities 667,651 624,494 Long-term debt, net of deferred financing costs 1,016,889 986,436 Operating lease liabilities, less current portion 31,053 32,905 Other long-term liabilities (2) 49,203 48,971 Total liabilities 1,764,796 1,692,806 Stockholders' equity (deficit) Stockholders' equity (deficit) (87,633 ) (38,474 ) Total liabilities and stockholders' equity (deficit) $ 1,677,163 $ 1,654,332 Expand (1) Includes other receivables, prepaid expenses and other current assets and short-term restricted cash. (2) Includes other long-term liabilities and deferred tax liabilities. Expand Modivcare Inc. Unaudited Condensed Consolidated Statements of Cash Flows (in thousands) Three months ended March 31, 2025 2024 Operating activities Net loss $ (50,377 ) $ (22,300 ) Depreciation and amortization 23,519 27,103 Stock-based compensation 1,244 2,010 Equity in net loss of investee 3,295 1,056 Deferred income taxes (85 ) (3,778 ) Reduction of right-of-use asset 3,385 2,947 Other non-cash items (1) 5,288 1,407 Changes in operating assets and liabilities: Contract receivables (6,563 ) 9,280 Contract payables 4,215 10,910 Long-term contract receivables (10,989 ) (19,598 ) Other changes in operating assets and liabilities (2) (55,023 ) 523 Net cash provided by (used in) operating activities (82,091 ) 9,560 Investing activities Purchase of property and equipment (4,061 ) (7,856 ) Net cash used in investing activities (4,061 ) (7,856 ) Financing activities Net proceeds from short-term debt — 7,200 Issuance of long-term debt 30,000 — Issuance of short-term debt 75,000 — Repayment of long-term debt (1,313 ) — Payments of debt issuance costs (10,711 ) (756 ) Other financing activities (26 ) (64 ) Net cash provided by financing activities 92,950 6,380 Net change in cash, cash equivalents and restricted cash 6,798 8,084 Cash, cash equivalents and restricted cash at beginning of period 113,116 2,782 Cash, cash equivalents and restricted cash at end of period $ 119,914 $ 10,866 Expand (1) Includes amortization of deferred financing costs and debt discount. (2) Includes accounts receivable and other receivables, prepaid expenses and other current assets, accounts payable and accrued expenses, accrued transportation costs and other changes in operating assets and liabilities. Expand Modivcare Inc. Unaudited Reconciliation of Non-GAAP Financial Measures Segment Information and Adjusted EBITDA (in thousands) Three months ended March 31, 2025 Service revenue, net $ 449,007 $ 181,787 $ 18,125 $ 1,735 $ 650,654 Operating expenses: Service expense 396,014 147,518 7,673 1,783 552,988 General and administrative expense 27,784 22,584 5,408 22,813 78,589 Depreciation and amortization 7,556 9,434 6,050 479 23,519 Total operating expenses 431,354 179,536 19,131 25,075 655,096 Operating income (loss) 17,653 2,251 (1,006 ) (23,340 ) (4,442 ) Interest expense, net — — — 38,837 38,837 Income (loss) before income taxes and equity method investment 17,653 2,251 (1,006 ) (62,177 ) (43,279 ) Income tax benefit (provision) 1,117 173 (77 ) (4,760 ) (3,547 ) Equity in net income (loss) of investee, net of tax (1,063 ) — — (2,488 ) (3,551 ) Net income (loss) 17,707 2,424 (1,083 ) (69,425 ) (50,377 ) Interest expense, net — — — 38,837 38,837 Income tax provision (benefit) (1,117 ) (173 ) 77 4,760 3,547 Depreciation and amortization 7,556 9,434 6,050 479 23,519 EBITDA 24,146 11,685 5,044 (25,349 ) 15,526 Restructuring and related costs (1) 2,331 409 168 6,547 9,455 Transaction and integration costs 264 — — 521 785 Settlement related costs — 134 — 1,971 2,105 Stock-based compensation — — — 1,174 1,174 Equity in net (income) loss of investee, net of tax 1,063 — — 2,488 3,551 Adjusted EBITDA $ 27,804 $ 12,228 $ 5,212 $ (12,648 ) $ 32,596 Expand (1) Restructuring and related costs include professional fees for strategic initiatives, organizational consolidation costs and severance, as well as professional services fees and legal fees related to various debt transactions during the period. Expand Modivcare Inc. Unaudited Reconciliation of Non-GAAP Financial Measures Segment Information and Adjusted EBITDA (in thousands) Three months ended March 31, 2024 Service revenue, net $ 479,306 $ 183,568 $ 20,102 $ 1,475 $ 684,451 Operating expenses: Service expense 423,657 149,438 8,363 2,108 583,566 General and administrative expense 31,820 24,432 5,440 15,485 77,177 Depreciation and amortization 7,359 12,795 6,674 275 27,103 Total operating expenses 462,836 186,665 20,477 17,868 687,846 Operating income (loss) 16,470 (3,097 ) (375 ) (16,393 ) (3,395 ) Interest expense, net — — — 18,686 18,686 Income (loss) before income taxes and equity method investment 16,470 (3,097 ) (375 ) (35,079 ) (22,081 ) Income tax benefit (provision) (4,274 ) 823 67 3,927 543 Equity in net income (loss) of investee, net of tax (28 ) — — (734 ) (762 ) Net income (loss) 12,168 (2,274 ) (308 ) (31,886 ) (22,300 ) Interest expense, net — — — 18,686 18,686 Income tax provision (benefit) 4,274 (823 ) (67 ) (3,927 ) (543 ) Depreciation and amortization 7,359 12,795 6,674 275 27,103 EBITDA 23,801 9,698 6,299 (16,852 ) 22,946 Restructuring and related costs (1) 3,239 127 10 1,729 5,105 Transaction and integration costs 52 1,446 — 45 1,543 Stock-based compensation — — — 1,781 1,781 Equity in net (income) loss of investee, net of tax 28 — — 734 762 Adjusted EBITDA $ 27,120 $ 11,271 $ 6,309 $ (12,563 ) $ 32,137 Expand (1) Restructuring and related costs include professional fees for strategic initiatives, organizational consolidation costs, severance and other professional fees. Expand (1) Restructuring and related costs include professional fees for strategic initiatives, organizational consolidation costs, severance and other professional fees. Expand N/M - Not Meaningful. Certain figures in the tables above do not provide meaningful percentage comparison, thus, the percentage has been removed. Expand Modivcare Inc. Unaudited Key Statistical and Financial Data (in thousands, except for statistical data) PCS Segment Service revenue, net $ 181,787 $ 183,568 (1.0 )% $ 186,603 (2.6 )% Service expense 147,518 149,438 (1.3 )% 148,209 (0.5 )% Gross profit $ 34,269 $ 34,130 0.4 % $ 38,394 (10.7 )% Gross margin 18.9 % 18.6 % 20.6 % G&A expense $ 22,584 $ 24,432 (7.6 )% $ 20,586 9.7 % G&A expense adjustments Restructuring and related costs 409 127 222.0 % 268 52.6 % Transaction and integration costs — 1,446 (100.0 )% (582 ) (100.0 )% Settlement related costs 134 — N/M — N/M Adjusted G&A expense $ 22,041 $ 22,859 (3.6 )% $ 20,900 5.5 % Adjusted G&A expense % of revenue 12.1 % 12.5 % 11.2 % Net income (loss) $ 2,424 $ (2,274 ) N/M $ 5,062 (52.1 )% Net income (loss) margin 1.3 % (1.2 )% 2.7 % Adjusted EBITDA $ 12,228 $ 11,271 8.5 % $ 17,494 (30.1 )% Adjusted EBITDA margin 6.7 % 6.1 % 9.4 % Total hours (thousands) 6,818 6,965 (2.1 )% 7,042 (3.2 )% Revenue per hour $ 26.66 $ 26.36 1.1 % $ 26.50 0.6 % Service expense per hour $ 21.64 $ 21.46 0.8 % $ 21.05 2.8 % Expand N/M - Not Meaningful. Certain figures in the tables above do not provide meaningful percentage comparison, thus, the percentage has been removed. Expand Modivcare Inc. Unaudited Key Statistical and Financial Data (in thousands, except for statistical data) Monitoring Segment Service revenue, net $ 18,125 $ 20,102 (9.8 )% $ 19,164 (5.4 )% Service expense 7,673 8,363 (8.3 )% 7,728 (0.7 )% Gross profit $ 10,452 $ 11,739 (11.0 )% $ 11,436 (8.6 )% Gross margin 57.7 % 58.4 % 59.7 % G&A expense $ 5,408 $ 5,440 (0.6 )% $ 4,659 16.1 % G&A expense adjustments Restructuring and related costs 168 10 N/M — N/M Adjusted G&A expense $ 5,240 $ 5,430 (3.5 )% $ 4,659 12.5 % Adjusted G&A expense % of revenue 28.9 % 27.0 % 24.3 % Net income (loss) $ (1,083 ) $ (308 ) 251.6 % $ 823 (231.6 )% Net income (loss) margin (6.0 )% (1.5 )% 4.3 % Adjusted EBITDA $ 5,212 $ 6,309 (17.4 )% $ 6,777 (23.1 )% Adjusted EBITDA margin 28.8 % 31.4 % 35.4 % Average monthly members (thousands) 231 249 (7.2 )% 249 (7.2 )% Revenue per member per month $ 26.15 $ 26.91 (2.8 )% $ 25.65 1.9 % Service expense per member per month $ 11.07 $ 11.20 (1.2 )% $ 10.35 7.0 % Expand N/M - Not Meaningful. Certain figures in the tables above do not provide meaningful percentage comparison, thus, the percentage has been removed. Expand Three months ended Three months ended Consolidated Modivcare Inc. G&A expense $ 78,589 $ 77,177 1.8 % $ 74,246 5.8 % G&A expense adjustments Restructuring and related costs 9,455 5,105 85.2 % 7,509 25.9 % Transaction and integration costs 785 1,543 (49.1 )% 163 381.6 % Settlement related costs 2,105 — N/M — N/M Stock-based compensation 1,174 1,781 (34.1 )% 1,744 (32.7 )% Adjusted G&A expense $ 65,070 $ 68,748 (5.3 )% $ 64,830 0.4 % Adjusted G&A expense % of consolidated revenue 10.0 % 10.0 % 9.2 % Expand N/M - Not Meaningful. Certain figures in the tables above do not provide meaningful percentage comparison, thus, the percentage has been removed. Expand
Business Wire
05-05-2025
- Business
- Business Wire
Modivcare Announces Executive Leadership Transitions as Part of Strategic Business Model Evolution
DENVER--(BUSINESS WIRE)--Modivcare Inc. (Nasdaq: MODV), a technology-enabled healthcare services company that provides supportive care solutions to address the social determinants of health, today announced the planned departures of two members of its executive leadership team as the company continues to align its structure with its evolving business model and modernization strategy. Barb Gutierrez, Chief Financial Officer, and Jessica Kral, Chief Information Officer, will be departing the company following a period of transition. Barb's and Jessica's departures come as Modivcare evolves its organizational structure in an effort to support the next phase of its modernization strategy—built on the financial and technology foundations they helped establish during their time with the company. 'We are grateful to Barb and Jessica for their leadership, dedication, and contributions to Modivcare,' said Heath Sampson, Chief Executive Officer of Modivcare. 'Barb played a critical role in strengthening our financial strategy and capital structure amidst ongoing macroeconomic uncertainty, while Jessica's leadership has been instrumental in the continuing modernization of the technology infrastructure that serves as the backbone of our operations. Both Barb and Jessica leave behind strong teams and we believe their efforts will have a lasting impact on the company.' As Modivcare strives to advance its cost reduction and technology-driven integration efforts, the company has determined that it will not be replacing the CFO or CIO roles at this time. The company is confident that the experienced and capable teams already in place under both functions are well-positioned to support the next phase of Modivcare's growth and modernization strategy. 'These decisions are part of a broader, structural shift in how we operate,' added Sampson. 'We are working to flatten the organization and unlock greater speed and accountability as we embed automation, intelligent systems, and financial discipline across the business. We thank Barb and Jessica for their service and wish them continued success in their future endeavors.' Cautionary Statement Regarding Forward-Looking Statements Statements contained in this announcement constitute 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are predictive in nature and are identified generally by the use of the terms 'intended', 'expected', 'will', and 'anticipates', and similar words or expressions indicating possible future expectations, events or actions. Statements concerning the intentions of the Company concerning the proposed adjournment of the special meeting are forward-looking. Forward-looking statements are based on current expectations, assumptions, estimates and projections about the Company's intentions, business and its industry, and are not guarantees of future performance. These statements are subject to a number of known and unknown risks, uncertainties and other factors, many of which are beyond the Company's ability to control or predict, which may cause actual events to be materially different from those expressed or implied herein. The Company has provided additional information about the risks facing its business and the Company in its most recent annual report on Form 10-K, and in its subsequent periodic and current reports on Forms 10-Q and 8-K, filed by it with the SEC. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date the statements were made and are expressly qualified in their entirety by the cautionary statements set forth herein and in the periodic and current reports filed with the SEC identified above, which you should read in their entirety before making an investment decision with respect to the Company's securities. The Company undertakes no obligation to update or revise any forward-looking statements contained in this report, whether as a result of new information, future events or otherwise, except as required by applicable law. About Modivcare Modivcare Inc. (Nasdaq: MODV) is a technology-enabled healthcare services company that provides a suite of integrated supportive care solutions for public and private payors and their members. Modivcare's value-based solutions address the social determinants of health (SDoH) by connecting members to essential care services. By doing so, Modivcare helps health plans manage risks, reduce costs, and improve health outcomes. Modivcare serves as a provider of non-emergency medical transportation (NEMT), personal care services (PCS) and in-home monitoring solutions (Monitoring). To learn more about Modivcare, please visit
