COMPANY IS ADVANCING ITS ONGOING
STRATEGIC PLAN DESIGNED TO SIGNIFICANTLY REDUCE
COSTS, REACH POSITIVE NET INCOME
AND IMPROVE CASH FLOW
HOUSTON, April 12,
2024 /PRNewswire/ -- Nutex Health Inc. ("Nutex
Health" or the "Company") (NASDAQ: NUTX), a physician-led,
technology-enabled integrated healthcare delivery system comprised
of 21 state-of-the-art micro hospitals in 9 states and primary
care-centric, risk-bearing physician networks, today provides a
corporate update.
- As of April 11, 2024, the Company
had cash and cash equivalents of approximately $25 million (unaudited).
- As disclosed in our 10-K filed on March
29, 2024, for the year ended December
31, 2023, the Company had total revenue of $247.6 million, hospital division operating
income of $36.3 million, net cash
from operating activities of $1.3
million, Adjusted EBITDA* of $10.8
million and total assets of $398.2
million.
- Nutex Health fully intends to consider all available options to
resolve the deficiency in the NASDAQ minimum bid price with every
intention to regain compliance with NASDAQ listing
requirements.
- Nutex Health has placed a moratorium on the opening of any
further new hospitals in 2024 until certain financial metrics have
been achieved.
- Management is advancing its previously announced strategic plan
designed to significantly reduce costs, reach positive net income
and improve cash flow.
- The Company continues to monitor underperforming facilities and
may decide to close or sell more underperforming facilities in the
near future.
- The Company believes that it has a strong balance sheet,
expects to continue to improve cash flow and believes it is in a
position to continue to achieve positive Adjusted EBIDTA.
*For the rationale and reconciliation of Adjusted EBITDA,
a non-GAAP measure, to the nearest GAAP measure, please read "Item
7. Management's Discussion and Analysis of Financial Condition and
Results pf Operations – Non-GAAP Financial Measures" on page 50 of
our Annual Report on Form 10-K for the year ended December 31, 2023 as filed with the SEC on
March 29, 2024.
About Nutex Health Inc.
Headquartered in Houston,
Texas and founded in 2011, Nutex Health Inc. (NASDAQ: NUTX)
is a healthcare management and operations company with two
divisions: a Hospital Division and a Population Health Management
Division.
The Hospital Division owns, develops and operates
innovative health care models, including micro-hospitals, specialty
hospitals, and hospital outpatient departments (HOPDs). This
division owns and operates 21 facilities in 9 states.
The Population Health Management division owns and
operates provider networks such as Independent Physician
Associations (IPAs). Through our Management
Services Organization (MSO), we provide management, administrative
and other support services to our affiliated hospitals and
physician groups. Our cloud-based proprietary technology
platform aggregates clinical and claims data across multiple
settings, information systems and sources to create a holistic view
of patients and providers, allowing us to deliver greater quality
care more efficiently.
Forward-Looking Statements
Certain statements and information included in this press
release constitute "forward-looking statements" within the meaning
of the Private Securities Litigation Act of 1995. When used in this
press release, the words or phrases "will", "will likely result,"
"expected to," "will continue," "anticipated," "estimate,"
"projected," "intend," "goal," or similar expressions are intended
to identify "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995. Such statements
are subject to certain risks, known and unknown, and uncertainties,
many of which are beyond the control of the Company. Such
uncertainties and risks include, but are not limited to, our
ability to successfully execute our growth strategy, changes in
laws or regulations, including the interim final and final rules
implemented under the No Surprises Act, economic conditions,
dependence on management, dilution to stockholders, lack of
capital, the effects of rapid growth upon the Company and the
ability of management to effectively respond to the growth and
demand for products and services of the Company, newly developing
technologies, the Company's ability to compete, conflicts of
interest in related party transactions, regulatory matters,
protection of technology, lack of industry standards, the effects
of competition and the ability of the Company to obtain future
financing. An extensive list of factors that can affect future
results are discussed in the Annual Report on Form 10-K for the
year ended December 31, 2023 under
the heading "Risk Factors" in Part I, Item IA thereof, and other
documents filed from time to time with the Securities and Exchange
Commission. Such factors could materially adversely affect the
Company's financial performance and could cause the Company's
actual results for future periods to differ materially from any
opinions or statements expressed within this press
release.
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SOURCE Nutex Health, Inc.