NUTEX HEALTH ANNOUNCES 2022 Q1 FINANCIAL RESULTS FOR PRE-MERGER CLINIGENCE HOLDINGS, INC.
HOUSTON, May 13, 2022 -- Nutex Health Inc. ("Nutex Health" or the "Company") (NASDAQ: NUTX), a physician-led, technology-enabled healthcare services company comprised of a hospital division with 21 facilities in 8 states and a primary care-centric, risk-bearing population health management division, today announced fiscal year 2022 1st Quarter financial results for the three months ended March 31, 2022 for the pre-merger Company.
On April 1, 2022, subsequent to the fiscal quarter ended March 31, 2022, Clinigence Holdings, Inc. (now known as Nutex Health Inc.), consummated the previously announced merger (the "Merger") with Nutex Health Holdco LLC ("Nutex Holdco"), which survived the Merger as a subsidiary of the Company. Year-end 2021 audited historical financial results for pre-merger Nutex Holdco and unaudited pro forma financial information for the combined company will be disclosed, as required, within 71 days of the due date of the Company's Form 8-K originally filed on April 4, 2022.
NOTE: The 2022 1st QUARTER FINANCIAL RESULTS DESCRIBED HEREIN REFLECT THE PRE-MERGER COMPANY AND THEREFORE ONLY INCLUDE THE FINANCIAL RESULTS OF CLINIGENCE HOLDINGS, INC., PRIOR TO THE MERGER WITH NUTEX HOLDCO ON APRIL 1, 2022.
Financial Highlights for the Three Months Ended March 31, 2022 Compared to the Three Months Ended March 31, 2021:
- Net revenue of $6.2 million as compared to net revenue of $2.0 million in the comparable period of 2021. This revenue only reflects the revenue of pre-merger Clinigence Holdings, Inc. and does not reflect the Q1 revenue of pre-merger Nutex Health.
- profit of $1.7 million as compared to gross profit of $426,872 in the comparable period of 2021. This gross profit only reflects the gross profit of pre-merger Clinigence Holdings, Inc. and does not reflect the Q1 revenue of pre-merger Nutex Health.
- Net income (loss) attributable to Clinigence Holdings, Inc. of ($16.8 million) as compared to net income (loss) of ($4.5 million) in the comparable period of 2021. This net income (loss) only reflects the net income (loss) of pre-merger Clinigence Holdings, Inc. and does not reflect the Q1 net income of pre-merger Nutex Health. Of the $16.8 million loss, $14.2 million was due to non-cash stock-based compensation expense and $1.2 million was due to non-recurring legal and accounting fees related to the merger with Nutex Health.
- As of March 31, 2022, the Company had total assets of $83.3 million, including cash and cash equivalents of $12.7 million. These total assets and cash figures only reflect the total assets and cash figures of pre-merger Clinigence Holdings, Inc. and do not reflect the total assets and cash figures of pre-merger Nutex Health.
Notes to the Financial Highlights for the Three Months Ended March 31, 2022:
- Clinigence Holdings, Inc. and Nutex Holdco completed their merger on April 1, 2022. Therefore, the 2022 Q1 financial results reflect only the Q1 financial results of pre-merger Clinigence Holdings, Inc.
- The Company commenced trading on the NASDAQ Capital Market on April 4, 2022.
- As disclosed in Clinigence's proxy statement relating to the Merger filed with the Securities and Exchange Commission on February 14, 2022, the number of shares issued in the Merger in exchange for membership interests in Nutex Holdco were calculated based on trailing twelve months ("TTM") of earnings before interest, taxes, depreciation and amortization ("EBITDA") attributable to the contributed ownership interests in Nutex-affiliated hospitals at September 30, 2021 of $163.9 million. This EBITDA figure is an unaudited non-GAAP financial measure and is not intended to be used as a measure of financial performance but rather is to be viewed solely as the basis for calculation of the Merger consideration.
"Our management team is focused on integrating our two companies post-merger," stated Mike Bowen, Chief Financial Officer of Nutex Health. "We believe this integration will be substantially completed by the end of our 2nd quarter in June."
"We are very pleased with the progress of our long-term growth initiatives. We are confident in our future and believe we are well-positioned for continued growth," stated Tom Vo, M.D., MBA, Chairman and Chief Executive Officer of Nutex Health.
"We believe that the combination of our micro hospitals which provide a superior patient experience, our proprietary cloud-based data analytics technology platform, and our primary-care centric, risk-bearing provider networks uniquely position us to benefit from key economic and demographic factors in the U.S.," stated Warren Hosseinion, M.D., President of Nutex Health. "Our team is energized and committed to creating long-term value for our shareholders."
For more details on the Company's March 31, 2022 quarter end results, please refer to our Quarterly Report on Form 10-Q filed with the U.S. Securities & Exchange Commission and accessible at www.sec.gov.
About Nutex Health Inc. (Combined post-merger company)
Headquartered in Houston, Texas and founded in 2011, Nutex Health Inc. is a physician-led, technology-enabled healthcare services company with approximately 1500 employees nationwide and is partnered with over 800 physicians. The Company has two divisions a Hospital division and a Population Health Management division. The hospital division owns and operates 21 facilities in eight different states. The division implements and operates different innovative health care models, including micro hospitals, specialty hospitals and hospital outpatient departments (HOPDs). The Population Health Management division owns and operates provider networks such as Independent Physician Associations (IPAs). Through our Management Services Organizations (MSOs), 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.
Certain statements and information included in this press release constitute "forward-looking statements" within the meaning of the Federal 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 the ability to realize the anticipated benefits of the transaction, significant transaction costs and unknown liabilities and litigation and regulatory risks related to the transaction. In addition, forward-looking statements are subject to additional uncertainties and risks facing the Company, including but not limited to, economic conditions, dependence on management, dilution to stockholders, lack of capital, changes in laws or regulations, 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. 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.
SOURCE Nutex Health, Inc.