0001628280-25-039605
SEC filingRadNet's Notes reveal $833M cash, $1.1B debt, and $1.18B equity with Imaging Center segment generating 15% margin.
RadNet's cash and equivalents totaled $833.2M as of June 30, 2025, an increase of $93.1M from $740.0M at December 31, 2024. Total debt stood at $1,102.7M, comprising $965.0M Barclays Term Loan (net of discount), $129.4M Truist Term Loan (net of discount), and $20.8M equipment notes. Shareholders' equity was $1,179.3M, with accumulated deficit of $(100.3M) and noncontrolling interests of $246.9M. Deferred revenue was $3.4M.
The Notes do not disclose material purchase commitments or off-balance-sheet arrangements beyond operating leases (reflected in ROU assets and lease liabilities). Contingent consideration of $8.8M was recorded for See-Mode Technologies acquisition, with potential additional payouts up to $12.7M based on milestones.
During the six months ended June 30, 2025, RadNet increased debt by $86.5M net, primarily via a $100.0M incremental term loan (net $1.0M discount) on June 11, 2025, offset by $13.7M in scheduled repayments. Capital expenditures totaled $101.8M, representing 10.5% of revenue. No share repurchases or dividends were declared.
RadNet operates two segments: Imaging Center and Digital Health. Imaging Center revenue for Q2 2025 was $487.2M (+8.2% YoY) with segment profit of $73.1M (15.0% margin). Digital Health revenue was $11.0M (+16.8% YoY) but segment loss widened to $(4.0M). Intersegment revenues of $9.7M were eliminated. No geographic breakdown is provided beyond U.S. operations in eight states.
Net loss of $6.7M was offset by significant non-cash items including $71.5M depreciation and amortization, $37.2M stock-based compensation, and $29.4M noncash operating lease expense. Operating cash flow of $161.8M reflects strong conversion despite a working capital outflow (accounts receivable increased $14.2M, but other current assets and payables provided net inflows). Capex of $101.8M represents 63% of operating cash flow, indicating moderate capital intensity. No share repurchases or dividends were reported. Financing activities were driven by $99.0M in new debt issuance, partially offset by $10.3M term loan repayments.
Lease abandonment charges of $5.5M were a one-time non-cash item. The change in fair value of interest rate swap added $4.1M non-cash. Deferred taxes were a $3.5M use of cash. Overall, cash flow from operations is healthy and covers capital needs.