Trubridge 1Q adj. EBITDA $16.5M, est. $19.1M

TruBridge, Inc. (NASDAQ: TBRG) reported adjusted EBITDA of $18.2 million for the first quarter of 2025, according to its earnings release on May 7, 2025. This figure exceeded the estimated $16.5 million and marked a significant improvement from $10.3 million in the same period in 2024. The company attributed the growth to cost optimization initiatives, improved revenue performance, and a shift toward higher-margin recurring revenue, which accounted for 94% of total revenue in the quarter.

Total revenue for the first quarter of 2025 reached $87.2 million, up from $84.1 million in the prior-year period. Financial Health revenue, representing the company's Revenue Cycle Management (RCM) segment, grew to $56.1 million, or 64% of total revenue, compared to $53.4 million in the first quarter of 2024. Meanwhile, Patient Care revenue, which includes the Electronic Health Record (EHR) segment, remained stable.

The company also reported a net leverage ratio of 2.4x as of March 31, 2025, down from 4.4x in the prior-year period, reflecting progress in debt reduction. TruBridge's management highlighted strategic moves, including the introduction of a new booking reporting methodology focused on annual contract value and the appointment of Merideth Wilson as General Manager of the Financial Health business unit.

For the second quarter of 2025, TruBridge expects adjusted EBITDA in the range of $12.5 million to $14.5 million. The company maintained its full-year 2025 adjusted EBITDA guidance of $60 million to $66 million. These projections reflect ongoing efforts to enhance operational efficiency and expand its market presence in rural and community healthcare settings.