American Shared Hospital Services Reports Fourth Quarter and Strong Full Year 2024 Financial Results
Rhea-AI Summary
American Shared Hospital Services (NYSE American: AMS) reported strong financial results for FY 2024, with revenue increasing 32.9% to $28.3 million. The company's direct patient services revenue saw a remarkable 253.4% increase to $12.6 million, while leasing segment revenue decreased 12.1% to $15.6 million.
Net income attributable to AMS surged 258.4% to $2.2 million ($0.34 per diluted share) in FY 2024. Adjusted EBITDA grew 8.5% to $8.9 million. The company expanded its footprint through strategic acquisitions, including three radiation therapy centers in Rhode Island and a new facility in Puebla, Mexico.
Q4 2024 showed mixed results with revenue up 59.2% to $9.1 million, but recorded a net loss of $1.3 million due to increased reserves for impaired assets and removal costs of $2.9 million in the leasing segment.
AI-generated analysis. Not financial advice.
Positive
- Revenue increased 32.9% to $28.3 million in FY 2024
- Direct patient services revenue grew 253.4% to $12.6 million
- Net income surged 258.4% to $2.2 million ($0.34 per share)
- Adjusted EBITDA increased 8.5% to $8.9 million
- Strategic expansion with acquisition of three radiation therapy centers
- Q4 2024 revenue up 59.2% to $9.1 million
- Q4 2024 gross margin improved 13.8% to $3.2 million
Negative
- Leasing segment revenue declined 12.1% to $15.6 million
- Proton therapy revenue decreased 1.8% to $10 million
- Proton therapy treatments down 4.3% to 5,139
- Q4 2024 net loss of $1.3 million due to impairment charges
- Cash position decreased to $11.3 million from $13.8 million YoY
News Market Reaction – AMS
On the day this news was published, AMS gained 1.35%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Appoints Gary Delanois as Chief Executive Officer
Conference Call Scheduled for 1:00 PM ET Today
SAN FRANCISCO, April 04, 2025 (GLOBE NEWSWIRE) -- American Shared Hospital Services (NYSE American: AMS) (the "Company"), a leading provider of stereotactic radiosurgery equipment and advanced radiation therapy cancer treatment services through its leasing or direct patient care services segments, today announced financial results for the fourth quarter and full year ended December 31, 2024.
Key Financial Highlights
- FY 2024 Revenue Increased
32.9% Year over Year Driven by Strategic Expansion and Operational Strength - FY 2024 Direct Patient Services Revenue Increased
253.4% Year over Year - Net Income Attributable to the Company for FY 2024 Increased
258.4% Year over Year - FY 2024 Adjusted EBITDA Increased
8.5% Year over Year
Ray Stachowiak, Executive Chairman of American Shared Hospital Services, stated: “We are pleased with our continued strong revenue growth, reaching
Gary Delanois, Chief Executive Officer, added: “Our growth strategy is delivering tangible results, and we are excited about the momentum we are building. We are rapidly evolving beyond our traditional leasing model to a direct provider of radiation therapy treatment services to cancer patients. This transition aligns with our long-term strategy of revenue growth through increased patient volumes rather than equipment utilization. With an expanded business model, increased patient volumes, and operational enhancements, we are positioned for sustainable long-term growth. We are also continuing to implement targeted strategic initiatives to improve efficiency and maximize profitability across our expanding network. Our strong business development pipeline, financial stability, and commitment to innovation ensure that we are well-prepared for the next phase of our growth.”
Financial Results for the Twelve Months Ended December 31, 2024
For the twelve months ended December 31, 2024, revenue increased
Revenue from the Company’s direct patient services segment was
Revenue from the Company’s leasing segment was
Proton therapy revenue decreased
Gross margin for FY 2024 was
Income before income taxes increased
Net income attributable to American Shared Hospital Services for FY 2024 increased
Adjusted EBITDA, a non-GAAP financial measure, was
Financial Results for the Three Months Ended December 31, 2024
For the three months ended December 31, 2024, revenue increased
Revenue from the Company’s direct patient services segment was
Revenue from the medical equipment leasing segment, including equipment sales, was
Total proton beam radiation therapy revenue decreased to
Gross margin in Q4 2024 was
Net income attributable to American Shared Hospital Services for Q4 2024 was a loss of
Adjusted EBITDA increased
Balance Sheet Highlights
At December 31, 2024: Cash, cash equivalents, and restricted cash totaled
American Shared Hospital Services’ shareholders' equity (excluding non-controlling interests) was
About American Shared Hospital Services (NYSE American: AMS)
American Shared Hospital Services (AMS) is a leading provider of turnkey solutions to cancer treatment centers, health systems, and cancer networks in North and South America. The company works closely with its partners to develop and grow their cancer service lines and provide integrated cancer care to patients in a convenient local setting close to home. For centers under health system partnerships, the Company and its health system partners share in the capital investment cost and profitability of the operations based on their respective ownership interests. For more information, please visit: www.ashs.com
Safe Harbor Statement
This press release may be deemed to contain certain forward-looking statements with respect to the financial condition, results of operations and future plans of American Shared Hospital Services including statements regarding the expected continued growth of the Company and the expansion of the Company’s Gamma Knife, proton therapy and direct patient care services business, which involve risks and uncertainties including, but not limited to, the risks of economic and market conditions, the risks of variability of financial results between quarters, the risks of the Gamma Knife and proton therapy and direct patient care services businesses, the risks of changes to CMS reimbursement rates or reimbursement methodology, the risks of the timing, financing, and operations of the Company’s Gamma Knife, proton therapy, and direct patient care services businesses, the risk of expanding within or into new markets, the risk that the integration or continued operation of acquired businesses could adversely affect financial results and the risk that current and future acquisitions may negatively affect the Company’s financial position. Further information on potential factors that could affect the financial condition, results of operations and future plans of American Shared Hospital Services is included in the filings of the Company with the Securities and Exchange Commission, including the Company's Quarterly Report on Form 10-Q for the three month periods ended March 31, 2024, June 30, 2024, September 30, 2024, the Annual Report on Form 10-K for the year ended December 31, 2023, and the definitive Proxy Statement for the Annual Meeting of Shareholders that was held on June 25, 2024.
Non-GAAP Financial Measure
Adjusted EBITDA, the non-GAAP measure presented in this press release and supplementary information, is not a measure of performance under the accounting principles generally accepted in the United States ("GAAP"). This non-GAAP financial measure has limitations as an analytical tool, including that it does not have a standardized meaning. When assessing our operating performance, this non-GAAP financial measure should not be considered a substitute for, and investors should also consider, income before income taxes, income from operations, net income attributable to the Company, earnings per share and other measures of performance as defined by GAAP as indicators of the Company's performance or profitability.
EBITDA is a non-GAAP financial measure representing our earnings before interest expense, income tax expense, depreciation, and amortization. We define Adjusted EBITDA as net income (loss) before interest expense, interest income, income tax expense, depreciation and amortization expense, loss on write down of impaired assets and associated removal costs, bargain purchase gain, and stock-based compensation expense.
We use this non-GAAP financial measure as a means to evaluate period-to-period comparisons. Our management believes that this non-GAAP financial measure provides meaningful supplemental information regarding our performance by excluding certain expenses and charges that may not be indicative of the operating results of our recurring core business, such as stock-based compensation expense. We believe that both management and investors benefit from referring to this non-GAAP financial measure in assessing our performance.
Contacts
American Shared Hospital Services
Ray Stachowiak, Executive Chairman
rstachowiak@ashs.com
Investor Relations
Kirin Smith, President
PCG Advisory, Inc.
ksmith@pcgadvisory.com
| American Shared Hospital Services | ||||||||||||||||
| Condensed Consolidated Statements of Operations | ||||||||||||||||
| Summary of Operations Data | ||||||||||||||||
| (Unaudited) | ||||||||||||||||
| Three months ended December 31, | Twelve months ended December 31, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Revenues | $ | 9,069,000 | $ | 5,698,000 | $ | 28,340,000 | $ | 21,325,000 | ||||||||
| Costs of revenue | 5,865,000 | 2,882,000 | 19,155,000 | 11,981,000 | ||||||||||||
| Gross margin | 3,204,000 | 2,816,000 | 9,185,000 | 9,344,000 | ||||||||||||
| Loss on write down of impaired assets and associated removal costs | 2,896,000 | 362,000 | 3,084,000 | 940,000 | ||||||||||||
| Selling and administrative expense | 1,709,000 | 1,760,000 | 7,407,000 | 7,022,000 | ||||||||||||
| Interest expense | 429,000 | 287,000 | 1,499,000 | 1,112,000 | ||||||||||||
| Operating (loss) income | (1,830,000 | ) | 407,000 | (2,805,000 | ) | 270,000 | ||||||||||
| Bargain purchase gain RI Acquisition, net | (148,000 | ) | - | 3,794,000 | - | |||||||||||
| Interest and other income | 36,000 | 108,000 | 248,000 | 426,000 | ||||||||||||
| (Loss) income before income taxes | (1,942,000 | ) | 515,000 | 1,237,000 | 696,000 | |||||||||||
| Income tax (benefit) expense | (71,000 | ) | 338,000 | (295,000 | ) | 431,000 | ||||||||||
| Net (loss) income | (1,871,000 | ) | 177,000 | 1,532,000 | 265,000 | |||||||||||
| Plus (less): Net (income) loss attributable to non-controlling interest | 563,000 | 238,000 | 654,000 | 345,000 | ||||||||||||
| Net (loss) income attributable to American Shared Hospital Services | $ | (1,308,000 | ) | $ | 415,000 | $ | 2,186,000 | $ | 610,000 | |||||||
| (Loss) earnings per common share: | ||||||||||||||||
| Basic | $ | (0.20 | ) | $ | 0.06 | $ | 0.34 | $ | 0.10 | |||||||
| Diluted | $ | (0.20 | ) | $ | 0.06 | $ | 0.33 | $ | 0.10 | |||||||
| Weighted Average Shares Outstanding: | ||||||||||||||||
| Basic | 6,542,000 | 6,518,000 | 6,497,000 | 6,358,000 | ||||||||||||
| Diluted | 6,542,000 | 6,552,000 | 6,703,000 | 6,393,000 | ||||||||||||
| American Shared Hospital Services | ||||||||||||||||
| Balance Sheet Data | ||||||||||||||||
| Balance Sheet Data | ||||||||||||||||
| (Unaudited) | ||||||||||||||||
| 12/31/2024 | 12/31/2023 | |||||||||||||||
| Cash, cash equivalents and restricted cash | $ | 11,275,000 | $ | 13,808,000 | ||||||||||||
| Current assets | $ | 26,258,000 | $ | 20,456,000 | ||||||||||||
| Total assets | $ | 60,197,000 | $ | 48,162,000 | ||||||||||||
| Current liabilities | $ | 10,405,000 | $ | 10,779,000 | ||||||||||||
| Shareholders' equity, excluding non-controlling interests | $ | 25,183,000 | $ | 22,624,000 | ||||||||||||
| Outstanding shares | 6,420,000 | 6,300,000 | ||||||||||||||
| American Shared Hospital Services | ||||||||||||||||
| Adjusted EBITDA | ||||||||||||||||
| Reconciliation of GAAP to Non-GAAP Adjusted Results | ||||||||||||||||
| (Unaudited) | ||||||||||||||||
| Three months ended December 31, | Twelve months ended December 31, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Net (loss) income | $ | (1,308,000 | ) | $ | 415,000 | $ | 2,186,000 | $ | 610,000 | |||||||
| Plus (less): | Income tax (benefit) expense | (71,000 | ) | 338,000 | (295,000 | ) | 431,000 | |||||||||
| Interest expense | 429,000 | 287,000 | 1,499,000 | 1,112,000 | ||||||||||||
| Interest income | (95,000 | ) | (112,000 | ) | (342,000 | ) | (458,000 | ) | ||||||||
| Depreciation and amortization expense | 1,673,000 | 1,291,000 | 6,174,000 | 5,165,000 | ||||||||||||
| Stock-based compensation expense | 88,000 | 98,000 | 373,000 | 389,000 | ||||||||||||
| Bargain purchase gain, net | (148,000 | ) | - | (3,794,000 | ) | - | ||||||||||
| Loss on write down of impaired assets and associated removal costs | 2,896,000 | 362,000 | 3,084,000 | 940,000 | ||||||||||||
| Adjusted EBITDA | $ | 3,464,000 | $ | 2,679,000 | $ | 8,885,000 | $ | 8,189,000 | ||||||||
