Viemed Healthcare Announces Third Quarter 2026 Financial Results
Patient growth continued across ventilator, PAP therapy and sleep resupply services, while the earnings outlook's upper bound declined.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Summary
Viemed Healthcare (NASDAQ:VMD) reported third-quarter revenue of $80.7 million, up year over year, and updated its full-year 2026 outlook. Revenue rose 12.2% from the prior-year quarter and 3.3% sequentially. Net income attributable to Viemed reached $4.6 million, or $0.11 per diluted share, versus $3.5 million, or $0.09 per diluted share, a year earlier. Adjusted EBITDA, a non-GAAP earnings measure, increased 5.8% year over year to $17.1 million.
Viemed now expects 2026 revenue of $316 million–$320 million, raising the previous $314 million low end. Expected adjusted EBITDA narrowed to $64 million–$66 million from $64 million–$68 million. Expected net capital expenditures fell to 8.0%–9.0% of revenue from 8.5%–10.0%. Quarterly operating cash flow totaled $11.5 million and free cash flow $4.0 million. Viemed repaid $2.1 million of term debt and repurchased 115,000 shares for approximately $1.0 million, excluding taxes.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Hollow bars mark forward-looking points. How the balance works
Positive
- Major point. Forward-looking: it has not happened yet and may not happen.2026 revenue guidance of $316 million–$320 million raises the previous $314 million low end.
- Moderate pointThird-quarter revenue of $80.7 million rose 12.2% year over year and 3.3% sequentially.
- Moderate pointAttributable quarterly net income of $4.6 million increased 32.0% year over year and 67.8% sequentially.
- Moderate pointQuarterly adjusted EBITDA of $17.1 million increased 5.8% year over year and 24.4% sequentially.
- Moderate point. Forward-looking: it has not happened yet and may not happen.Expected 2026 net capital expenditures of 8.0%–9.0% of revenue fell from the previous 8.5%–10.0% outlook.
- Moderate point. Forward-looking: it has not happened yet and may not happen.Fourth-quarter revenue and adjusted EBITDA are expected to improve sequentially.
- Moderate pointVentilator rental revenue of $37.5 million increased 7.4% year over year, supported by higher average patient volumes.
- Moderate pointPAP therapy patients reached 43,861, up 37.5% year over year and 16.0% sequentially.
- Moderate pointSleep resupply patients reached 40,918, up 22.1% year over year and 10.5% sequentially.
- Moderate pointOperating cash flow totaled $11.5 million quarterly and $53.9 million over the trailing twelve months.
- Moderate pointFree cash flow totaled $4.0 million quarterly and $26.1 million over the trailing twelve months.
- Moderate pointQuarterly operating income of $6.962 million increased from $5.642 million a year earlier.
11 minor points
- Minor pointQuarterly diluted earnings of $0.11 per share increased from $0.09 a year earlier.
- Minor pointAttributable net income margin of 5.7% improved from 3.5% in the preceding quarter.
- Minor pointAdjusted EBITDA margin of 21.1% increased from 17.6% in the second quarter of 2026.
- Minor pointTerm debt repayments of $2.1 million reduced borrowings during the quarter.
- Minor point115,000 shares repurchased returned approximately $1.0 million to shareholders during the quarter, excluding taxes.
- Minor pointApproximately $46 million remained available under existing credit facilities at quarter-end.
- Minor pointNine-month revenue of $234.184 million increased from $194.099 million in the comparable 2025 period.
- Minor pointNine-month attributable net income of $9.984 million increased from $9.295 million; diluted earnings rose to $0.24 from $0.23.
- Minor pointNine-month operating cash flow of $35.460 million increased from $33.475 million a year earlier.
- Minor pointQuarterly research and development expense of $501,000 decreased from $775,000 a year earlier.
- Minor pointQuarterly net interest expense of $177,000 decreased from $507,000 a year earlier.
Negative
- Major point. Forward-looking: it has not happened yet and may not happen.2026 adjusted EBITDA guidance of $64 million–$66 million lowers the previous $68 million upper bound.
- Moderate pointQuarterly selling, general and administrative expense of $35.508 million increased from $31.919 million a year earlier.
- Minor pointCash declined to $9.676 million at September 30, 2026, from $13.501 million at December 31, 2025.
- Minor pointQuarterly stock-based compensation of $2.476 million increased from $2.180 million a year earlier.
- Minor pointNine-month equipment disposal loss of $1.366 million replaced a $2.528 million gain a year earlier.
- Minor pointAcquisition-related contingent consideration payments used $1.750 million during the first nine months of 2026.
News Explained
At September 30, Viemed reported $9.7 million in cash and approximately $46 million available under credit facilities; its outlook excludes potential acquisitions.
In its reported third-quarter results, Viemed said that at
The company says its full-year outlook excludes the impact of potential future acquisitions or other strategic transactions.
Key Figures
- Net revenue
- $80.7 million; up 12.2% year over year
- Third quarter 2026
- Net income attributable and diluted EPS
- $4.6 million; $0.11 per diluted share
- Third quarter 2026; net income increased 32.0% year over year
- Adjusted EBITDA
- $17.1 million; up 5.8% year over year
- Third quarter 2026
- Net revenue guidance
- $316 million to $320 million; previous range $314 million to $320 million
- Full year 2026
- Adjusted EBITDA guidance
- $64 million to $66 million; previous range $64 million to $68 million
- Full year 2026
- Net capital expenditure outlook
- 8.0% to 9.0% of net revenue; previous range 8.5% to 10.0%
- Full year 2026
Previous Earnings Reports
-
Revenue grew, while Adjusted EBITDA declined year over year and net income decreased.
-
Record quarterly revenue accompanied by year-over-year growth in net income and Adjusted EBITDA.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
adjusted ebitda financial
gaap financial
non-gaap financial measure financial
free cash flow financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
LAFAYETTE, LA / ACCESS Newswire / November 4, 2026 / Viemed Healthcare, Inc. (the "Company" or "Viemed") (NASDAQ:VMD), a national provider of technology-enabled, home-based healthcare solutions and chronic disease management, announced today that it has reported its financial results for the three and nine months ended September 30, 2026, and updated guidance for the full year ending December 31, 2026.
Third Quarter 2026 Financial and Operational Highlights (all dollar amounts are USD):
- Net revenue for the quarter ended September 30, 2026 totaled a Company record
$80.7 million , an increase of$8.8 million , or12.2% , compared with the prior-year quarter, and3.3% sequentially.
- Net income attributable to Viemed totaled
$4.6 million , or$0.11 per diluted share, an increase of32.0% compared to$3.5 million , or$0.09 per diluted share, in the prior-year quarter, and a67.8% sequential increase from$2.8 million in the second quarter of 2026. Net income attributable to Viemed represented5.7% of net revenue, compared to3.5% in the preceding quarter.
- Adjusted EBITDA totaled
$17.1 million , an increase of5.8% year over year and24.4% sequentially. Adjusted EBITDA as a percentage of net revenue increased to21.1% , compared to17.6% in the second quarter of 2026, representing an improvement of approximately 350 basis points.
- Ventilator rental revenue increased
7.4% year over year to$37.5 million , supported by higher average patient volumes. The Company's period-end ventilator patient count totaled 12,552 as of September 30, 2026.
- PAP therapy patients increased
37.5% year over year and16.0% sequentially to 43,861 during the third quarter. Sleep resupply patients increased22.1% year over year and10.5% sequentially to 40,918.
- Net cash provided by operating activities totaled
$11.5 million for the quarter and$53.9 million for the trailing twelve months ended September 30, 2026. Free cash flow totaled$4.0 million for the quarter and$26.1 million for the trailing twelve months ended September 30, 2026.
- The Company ended the quarter with
$9.7 million in cash,$12.0 million in working capital, and approximately$46 million available under its existing credit facilities. During the quarter, the Company repaid$2.1 million of term debt and repurchased 115,000 common shares for approximately$1.0 million (excluding taxes).
Updated Full Year 2026 Guidance (all dollar amounts are USD):
Based on third quarter performance and increased visibility into the remainder of the year, the Company is raising the low end of its revenue guidance, narrowing its Adjusted EBITDA guidance range, and lowering its net capital expenditure outlook. The updated guidance reflects continued growth across the Company's diversified platform, anticipated sequential improvement in revenue and Adjusted EBITDA in the fourth quarter, and reduced capital intensity as less capital-intensive product and service offerings contribute a greater share of revenue.
- Net revenue is expected to be in the range of
$316 million to$320 million , compared with the previous range of$314 million to$320 million .
- Adjusted EBITDA is expected to range from
$64 million to$66 million , compared with the previous range of$64 million to$68 million .
- Net capital expenditures are now expected to range from
8.0% to9.0% of net revenue, compared with the previous range of8.5% to10.0% .
This outlook excludes the impact of potential future acquisitions or other strategic transactions. See "Use of Non-GAAP Financial Information and Financial Guidance" below for further information about non-GAAP financial measures and non-GAAP financial guidance.
Casey Hoyt, Viemed's CEO, commented:
"Viemed delivered another record quarter, with revenue reaching
"We are particularly pleased with the improvement in profitability this quarter. Our attributable net income increased
Conference Call Details
The Company will host a conference call to discuss third quarter results on Thursday, November 5, 2026, at 11:00 a.m. ET.
Interested parties may participate in the call by dialing:
877-407-6176 (US Toll-Free)
+1 201-689-8451 (International)
Live Audio Webcast: https://event.choruscall.com/mediaframe/webcast.html?webcastid=AAf4KB3V
Following the conclusion of the call, an audio recording and transcript of the call can be accessed on the Company's website.
ABOUT VIEMED HEALTHCARE, INC.
Viemed is a provider of home medical equipment and post-acute healthcare services in the United States, with a focus on respiratory, chronic care, and women's health products and services. Viemed's model emphasizes efficient, high-quality care delivered in the home through a combination of high-touch clinical support and technology-enabled services, including therapy, education, and counseling provided by our clinical practitioners. For more information, visit our website at www.viemed.com.
For further information, please contact:
Investor Relations
ir@viemed.com
Trae Fitzgerald
Chief Financial Officer
337-504-3802
Forward-Looking Statements
Certain statements contained in this press release may constitute "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 or "forward-looking information" as such term is defined in applicable Canadian securities legislation (collectively, "forward-looking statements"). Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "potential", "scheduled", "estimates", "forecasts", "intends", "anticipates", "believes", "projects", or the negatives thereof or variations of such words and phrases or statements that certain actions, events or results "will", "should", "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative of these terms or comparable terminology. All statements other than statements of historical fact, including those that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance, including the Company's 2026 net revenue, Adjusted EBITDA and net capital expenditure guidance, anticipated patient and revenue growth, expected improvements in operating efficiency, and profitability, anticipated benefits from technology, purchasing and operational initiatives, capital allocation priorities, share repurchases and future cash generation, are not historical facts and may be forward-looking statements and may involve estimates, assumptions and uncertainties that could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. Such statements reflect the Company's current views and intentions with respect to future events, and current information available to the Company, and are subject to certain risks, uncertainties and assumptions. Many factors could cause the actual results, performance or achievements that may be expressed or implied by such forward-looking statements to vary from those described herein should one or more of these risks or uncertainties materialize. These factors include, without limitation: the general business, market and economic conditions in the regions in which we operate; significant capital requirements and operating risks that we may be subject to; our ability to implement business strategies and pursue business opportunities; volatility in the market price of our common shares; the state of the capital markets; the availability of funds and resources to pursue operations; inflation; reductions in reimbursement rates and audits of reimbursement claims by various governmental and private payor entities; dependence on few payors; possible new drug discoveries; dependence on key suppliers; changes in U.S. trade policies and retaliatory responses from other countries, including tariffs; granting of permits and licenses in a highly regulated business; competition; disruptions in or attacks (including cyber-attacks) on our information technology, internet, network access or other voice or data communications systems or services; the evolution of various types of fraud or other criminal behavior to which we are exposed; difficulty integrating newly acquired businesses; the impact of new and changes to, or application of, current laws and regulations; the overall difficult litigation and regulatory environment; increased competition; increased funding costs and market volatility due to market illiquidity and competition for funding; critical accounting estimates and changes to accounting standards, policies, and methods used by us; the occurrence of natural and unnatural catastrophic events or health epidemics or concerns, and claims resulting from such events or concerns; the use of artificial intelligence technologies; as well as other general economic, market and business conditions; and other factors beyond our control; as well as those risk factors discussed or referred to in the Company's disclosure documents filed with the U.S. Securities and Exchange Commission (the "SEC") available on the SEC's website at www.sec.gov, including the Company's most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q, and with the securities regulatory authorities in certain provinces of Canada available at www.sedarplus.ca. Should any factor affect the Company in an unexpected manner, or should assumptions underlying the forward-looking statements prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward-looking statements are expressly qualified in their entirety by this cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or completeness of such forward-looking statements. The forward-looking statements included in this press release are made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking statements, other than as required by applicable law.
Use of Non-GAAP Financial Information and Financial Guidance
This press release includes references to financial measures that are calculated and presented using methodologies other than those in accordance with generally accepted accounting principles in the United States ("GAAP"), including Adjusted EBITDA and free cash flow. Any non-GAAP financial measures presented herein are intended to supplement, and not to be considered superior to or as a substitute for, the Company's consolidated financial statements prepared in accordance with GAAP. These non-GAAP financial measures exclude significant expense and income items required by GAAP, and are subject to inherent limitations, including the exercise of judgment by management regarding which items to exclude or include. Non-GAAP measures presented herein may not be comparable to similarly titled measures presented by other companies. The reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are included in the tables accompanying this release.
This press release contains non-GAAP financial guidance. There is no reliable or reasonably estimable comparable GAAP measure for the Company's non-GAAP financial guidance because the Company is not able to reliably predict the impact of certain items that typically have one or more of the following characteristics: highly variable, difficult to project, unusual in nature, significant to the results of a particular period or not indicative of future operating results. Similar charges or gains were recognized in prior periods and will likely reoccur in future periods. As a result, reconciliation of the non-GAAP financial guidance to the most directly comparable GAAP measure is not available without unreasonable effort. In addition, the Company believes such a reconciliation would imply a degree of precision and certainty that could be confusing to investors. The variability of the specified items may have a significant and unpredictable impact on the Company's future GAAP results. The Company's financial guidance in this press release excludes the impact of potential future acquisitions or strategic transactions and any items that have not yet been identified or quantified. This guidance is subject to risks and uncertainties inherent in all forward-looking statements, as outlined above.
VIEMED HEALTHCARE, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Expressed in thousands of U.S. Dollars, except share amounts)
(Unaudited)
At September 30, 2026 | At December 31, 2025 | ||||||
ASSETS | |||||||
Current assets | |||||||
Cash and cash equivalents | $ | 9,676 | $ | 13,501 | |||
Accounts receivable, net | 34,887 | 25,586 | |||||
Inventory | 4,552 | 5,047 | |||||
Income tax receivable | - | 227 | |||||
Prepaid expenses and other assets | 10,175 | 4,132 | |||||
Total current assets | $ | 59,290 | $ | 48,493 | |||
Long-term assets | |||||||
Property and equipment, net | 75,596 | 78,775 | |||||
Operating lease right-of-use assets | 4,242 | 3,580 | |||||
Equity investments | 3,184 | 2,794 | |||||
Deferred tax asset | 5,289 | 5,289 | |||||
Identifiable intangibles, net | 1,095 | 1,285 | |||||
Goodwill | 58,938 | 58,938 | |||||
Total long-term assets | $ | 148,344 | $ | 150,661 | |||
TOTAL ASSETS | $ | 207,634 | $ | 199,154 | |||
LIABILITIES | |||||||
Current liabilities | |||||||
Trade payables | $ | 10,628 | $ | 7,333 | |||
Deferred revenue | 8,015 | 7,520 | |||||
Income taxes payable | 1,925 | - | |||||
Accrued liabilities | 24,818 | 23,910 | |||||
Operating lease liabilities, current portion | 1,427 | 1,203 | |||||
Current portion of long-term debt | 511 | 1,090 | |||||
Total current liabilities | $ | 47,324 | $ | 41,056 | |||
Long-term liabilities | |||||||
Accrued liabilities | 977 | 922 | |||||
Operating lease liabilities, less current portion | 2,835 | 2,364 | |||||
Long-term debt | 4,510 | 11,291 | |||||
Total long-term liabilities | $ | 8,322 | $ | 14,577 | |||
TOTAL LIABILITIES | $ | 55,646 | $ | 55,633 | |||
Commitments and Contingencies | - | - | |||||
SHAREHOLDERS' EQUITY | |||||||
Common stock - No par value: unlimited authorized; 38,053,094 and 38,019,082 issued and outstanding as of September 30, 2026 and December 31, 2025, respectively | 17,937 | 16,912 | |||||
Additional paid-in capital | 19,277 | 21,742 | |||||
Retained earnings | 112,875 | 102,891 | |||||
TOTAL VIEMED HEALTHCARE, INC.'S SHAREHOLDERS' EQUITY | $ | 150,089 | $ | 141,545 | |||
Noncontrolling interest in subsidiary | 1,899 | 1,976 | |||||
TOTAL SHAREHOLDERS' EQUITY | 151,988 | 143,521 | |||||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 207,634 | $ | 199,154 | |||
VIEMED HEALTHCARE, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Expressed in thousands of U.S. Dollars, except outstanding shares and per share amounts)
(Unaudited)
| Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
Revenue | $ | 80,673 | $ | 71,914 | $ | 234,184 | $ | 194,099 | ||||||||
Cost of revenue | 34,481 | 30,569 | 100,117 | 82,744 | ||||||||||||
Gross profit | $ | 46,192 | $ | 41,345 | $ | 134,067 | $ | 111,355 | ||||||||
Operating expenses | ||||||||||||||||
Selling, general and administrative | 35,508 | 31,919 | 107,432 | 89,147 | ||||||||||||
Research and development | 501 | 775 | 1,584 | 2,419 | ||||||||||||
Stock-based compensation | 2,476 | 2,180 | 6,959 | 6,832 | ||||||||||||
Depreciation and amortization | 392 | 397 | 1,168 | 1,098 | ||||||||||||
Loss (gain) on disposal of property and equipment | 412 | 476 | 1,366 | (2,528 | ) | |||||||||||
Other income, net | (59 | ) | (44 | ) | (161 | ) | (191 | ) | ||||||||
Income from operations | $ | 6,962 | $ | 5,642 | $ | 15,719 | $ | 14,578 | ||||||||
Non-operating income and expenses | ||||||||||||||||
Loss from investments | - | - | 162 | - | ||||||||||||
Interest expense, net | 177 | 507 | 730 | 818 | ||||||||||||
Net income before taxes | 6,785 | 5,135 | 14,827 | 13,760 | ||||||||||||
Provision for income taxes | 2,048 | 1,535 | 4,477 | 4,200 | ||||||||||||
Net income | $ | 4,737 | $ | 3,600 | $ | 10,350 | $ | 9,560 | ||||||||
Net income attributable to noncontrolling interest | 99 | 87 | 366 | 265 | ||||||||||||
Net income attributable to Viemed Healthcare, Inc. | $ | 4,638 | $ | 3,513 | $ | 9,984 | $ | 9,295 | ||||||||
Net income per share | ||||||||||||||||
Basic | $ | 0.12 | $ | 0.09 | $ | 0.26 | $ | 0.24 | ||||||||
Diluted | $ | 0.11 | $ | 0.09 | $ | 0.24 | $ | 0.23 | ||||||||
Weighted average number of common shares outstanding: | ||||||||||||||||
Basic | 38,102,064 | 38,638,660 | 38,257,518 | 39,190,666 | ||||||||||||
Diluted | 41,192,313 | 40,495,761 | 40,975,362 | 41,086,178 | ||||||||||||
VIEMED HEALTHCARE, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Expressed in thousands of U.S. Dollars)
(Unaudited)
| Nine Months Ended September 30, | ||||||||
| 2026 | 2025 | |||||||
Cash flows from operating activities | ||||||||
Net income | $ | 10,350 | $ | 9,560 | ||||
Adjustments for: | ||||||||
Depreciation and amortization | 22,859 | 21,043 | ||||||
Stock-based compensation expense | 6,959 | 6,832 | ||||||
Loss (gain) on disposal of property and equipment | 1,366 | (2,528 | ) | |||||
Amortization of deferred financing costs | 198 | 121 | ||||||
Deferred income tax expense | - | 2,729 | ||||||
Loss from other investments | 162 | - | ||||||
Changes in working capital: | ||||||||
Accounts receivable, net | (9,301 | ) | (670 | ) | ||||
Inventory | 495 | (163 | ) | |||||
Prepaid expenses and other assets | (6,010 | ) | (626 | ) | ||||
Trade payables | 2,672 | 767 | ||||||
Deferred revenue | 495 | 622 | ||||||
Accrued liabilities | 3,063 | 1,584 | ||||||
Income tax payable/receivable | 2,152 | (5,796 | ) | |||||
Net cash provided by operating activities | $ | 35,460 | $ | 33,475 | ||||
Cash flows from investing activities | ||||||||
Purchase of property and equipment | (23,788 | ) | (31,248 | ) | ||||
Investment in equity investments | (552 | ) | - | |||||
Cash paid for acquisitions, net of cash acquired | - | (26,332 | ) | |||||
Proceeds from sale of property and equipment | 3,555 | 15,026 | ||||||
Net cash used in investing activities | $ | (20,785 | ) | $ | (42,554 | ) | ||
Cash flows from financing activities | ||||||||
Proceeds from exercise of options | 1,071 | 1,439 | ||||||
Proceeds from term notes | - | 9,000 | ||||||
Principal payments on term notes | (7,558 | ) | (484 | ) | ||||
Proceeds from revolving credit facilities | - | 13,000 | ||||||
Payments on revolving credit facilities | - | (5,000 | ) | |||||
Shares redeemed to pay income tax | (2,082 | ) | (1,732 | ) | ||||
Payments for share repurchase programs | (7,738 | ) | (13,225 | ) | ||||
Repayments of finance lease liabilities | - | (50 | ) | |||||
Distributions to non-controlling interest | (443 | ) | (286 | ) | ||||
Payments of acquisition-related contingent consideration | (1,750 | ) | - | |||||
Net cash provided by (used in) financing activities | $ | (18,500 | ) | $ | 2,662 | |||
Net decrease in cash and cash equivalents | (3,825 | ) | (6,417 | ) | ||||
Cash and cash equivalents at beginning of year | 13,501 | 17,540 | ||||||
Cash and cash equivalents at end of period | $ | 9,676 | $ | 11,123 | ||||
Supplemental disclosures of cash flow information | ||||||||
Cash paid during the period for interest | $ | 508 | $ | 587 | ||||
Cash paid during the period for income taxes, net of refunds | $ | 2,326 | $ | 7,267 | ||||
Supplemental disclosures of non-cash transactions | ||||||||
Equipment and other fixed asset purchases payable at end of period | $ | 3,844 | $ | 4,774 | ||||
Reconciliation from GAAP Net Income to Non-GAAP Adjusted EBITDA
This press release refers to "Adjusted EBITDA", which is a financial measure that is not prepared in accordance with generally accepted accounting principles in the United States ("GAAP"). Adjusted EBITDA should be considered in addition to, not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. Management believes Adjusted EBITDA provides helpful information with respect to the Company's operating performance as viewed by management, including a view of the Company's business that is not dependent on the impact of the Company's capitalization structure and items that are not part of the Company's day-to-day operations. Management uses Adjusted EBITDA (i) to compare the Company's operating performance on a consistent basis, (ii) to calculate incentive compensation for the Company's employees, (iii) for planning purposes, including the preparation of the Company's internal annual operating budget, and (iv) to evaluate the performance and effectiveness of the Company's operational strategies. Accordingly, management believes that Adjusted EBITDA provides useful information in understanding and evaluating the Company's operating performance in the same manner as management. Adjusted EBITDA is not a measurement of the Company's financial performance under GAAP and should not be considered as an alternative to revenue or net income, as applicable, or any other performance measures derived in accordance with GAAP. Adjusted EBITDA has limitations as an analytical tool and you should not consider it in isolation or as a substitute for analysis of the Company's operating results as reported under GAAP. Adjusted EBITDA does not reflect the impact of certain cash charges resulting from matters the Company considers not to be indicative of ongoing operations; and other companies in the Company's industry may calculate Adjusted EBITDA differently than we do, limiting its usefulness as a comparative measure. In calculating Adjusted EBITDA, certain items (mostly non-cash) are excluded from net income attributable to Viemed Healthcare, Inc., including depreciation and amortization of capitalized assets, net interest expense, stock based compensation, transaction costs, impairment of assets, and taxes.
The following unaudited table is a reconciliation of net income attributable to Viemed Healthcare, Inc., the most directly comparable GAAP measure, to Adjusted EBITDA, on a historical basis for the periods indicated:
(Expressed in thousands of U.S. Dollars)
For the quarter ended | September 30, 2026 | June 30, 2026 | March 31, 2026 | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | |||||||||||||||||
Net income attributable to Viemed Healthcare, Inc. | $ | 4,638 | $ | 2,764 | $ | 2,582 | $ | 5,639 | $ | 3,513 | $ | 3,157 | $ | 2,625 | $ | 4,316 | |||||||||
Add back: | |||||||||||||||||||||||||
Depreciation & amortization | 7,718 | 7,520 | 7,621 | 7,570 | 7,539 | 6,891 | 6,613 | 6,366 | |||||||||||||||||
Interest expense, net | 177 | 248 | 305 | 364 | 507 | 132 | 179 | 147 | |||||||||||||||||
Stock-based compensation(a) | 2,476 | 2,032 | 2,451 | 2,300 | 2,180 | 2,341 | 2,311 | 1,521 | |||||||||||||||||
Transaction costs(b) | - | - | 74 | 139 | 847 | 53 | 85 | 11 | |||||||||||||||||
Impairment of assets(c) | - | - | - | - | - | - | - | - | |||||||||||||||||
Income tax expense | 2,048 | 1,151 | 1,278 | 2,191 | 1,535 | 1,713 | 952 | 1,881 | |||||||||||||||||
Adjusted EBITDA | $ | 17,057 | $ | 13,715 | $ | 14,311 | $ | 18,203 | $ | 16,121 | $ | 14,287 | $ | 12,765 | $ | 14,242 | |||||||||
(a) Represents non-cash, equity-based compensation expense associated with option and RSU awards.
(b) Represents transaction costs and expenses related to acquisition and integration efforts associated with recently announced or completed acquisitions.
(c) Represents impairments of the fair value of investment and litigation-related assets.
Reconciliation from GAAP Net Cash Provided by Operating Activities to Non-GAAP Free Cash Flow
This press release refers to "free cash flow" which is a non-GAAP financial measure that does not have a standardized meaning prescribed by GAAP. Free cash flow is defined as net cash provided by operating activities less net capital expenditures ("Net CAPEX"). Net CAPEX is calculated as purchases of property and equipment minus proceeds from the sale of property and equipment. The Company's presentation of this financial measure may not be comparable to similarly titled measures used by other companies.
The Company presents free cash flow for the current quarter and trailing twelve months (TTM) as a supplemental liquidity measure. Management believes free cash flow provides investors with useful insight into the Company's ability to generate cash, fund growth initiatives, and return capital to shareholders. Free cash flow does not represent residual cash flow available for discretionary expenditures.
The following table is a reconciliation of net cash provided by operating activities, the most directly comparable GAAP measure, to free cash flow, on a historical basis for the periods indicated:
(Expressed in thousands of U.S. Dollars; unaudited)
| TTM | For the quarter ended | |||||||||||||||||||
| September 30, 2026 | September 30, 2026 | June 30, 2026 | March 31, 2026 | December 31, 2025 | ||||||||||||||||
Net cash provided by operating activities | $ | 53,901 | $ | 11,487 | $ | 15,902 | $ | 8,071 | $ | 18,441 | ||||||||||
Less: | ||||||||||||||||||||
Purchase of property and equipment | (32,525 | ) | (8,616 | ) | (8,460 | ) | (6,712 | ) | (8,737 | ) | ||||||||||
Proceeds from sale of property and equipment | 4,680 | 1,154 | 1,174 | 1,227 | 1,125 | |||||||||||||||
Net CAPEX | (27,845 | ) | (7,462 | ) | (7,286 | ) | (5,485 | ) | (7,612 | ) | ||||||||||
Free cash flow | $ | 26,056 | $ | 4,025 | $ | 8,616 | $ | 2,586 | $ | 10,829 | ||||||||||
SOURCE: Viemed Healthcare, Inc.
View the original press release on ACCESS Newswire
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were Viemed's third-quarter 2026 revenue and earnings?
Viemed generated $80.7 million in revenue and $4.6 million in net income attributable to the company, or $0.11 per diluted share. Revenue increased 12.2% year over year, while attributable net income rose 32.0%. Adjusted EBITDA totaled $17.1 million, up 5.8% year over year.
What is Viemed's updated full-year 2026 guidance?
Viemed expects $316 million–$320 million in revenue, $64 million–$66 million in adjusted EBITDA and net capital expenditures of 8.0%–9.0% of revenue. The previous ranges were $314 million–$320 million, $64 million–$68 million and 8.5%–10.0%, respectively. The outlook excludes potential future acquisitions or other strategic transactions.