Viemed Healthcare's Q1 Earnings Call Highlights Growth, Challenges and Strategic Acquisitions

Viemed Healthcare reported strong Q1 earnings, with organic revenue up 14.5% and adjusted EBITDA growing 26% to $12.8 million. The company's vent business saw a 10% YoY increase, while the sleep business grew 46% YoY. Viemed acquired Lehan's Medical Equipment for $26 million and expects favorable regulatory changes. However, challenges include declining gross margins, uncertain impact of tariffs, and stalled opportunities with the VA. The company projects full-year net revenues between $254 million and $265 million and adjusted EBITDA growth of 11% in 2025.

Viemed Healthcare, Inc. (NASDAQ: VMD) reported robust first-quarter (Q1) 2025 financial results, showcasing significant growth across its respiratory care and technology-enabled home medical equipment services. The company's net revenues for the quarter ended March 31, 2025, totaled $59.1 million, marking a 17% increase over the same period in 2024. Adjusted EBITDA for the quarter reached $12.8 million, representing a 26% year-over-year (YoY) increase. Net income attributable to Viemed climbed to $2.6 million, or $0.06 per diluted share, up 64% from the prior year.

Key highlights from the report include a 10% YoY increase in the ventilator patient count to 11,809 and a 46% YoY growth in the PAP therapy patient count to 22,899. The sleep resupply patient count also increased by 21% to 22,941. Viemed's strong cash balance of $10.2 million and an overall working capital balance of $13.6 million underscored the company's financial health.

One of the notable developments during the quarter was the acquisition of Lehan's Medical Equipment for approximately $26 million. The acquisition, expected to close in the third quarter of 2025, aims to complement Viemed's growth in the complex respiratory, sleep, and staffing businesses. Lehan's generated net revenues of approximately $25.7 million and Adjusted EBITDA of approximately $7.4 million in 2024.

Viemed's CEO, Casey Hoyt, attributed the strong performance to structural improvements in the sales organization and investments in technology for greater efficiencies. He noted that the company's value proposition—greater patient satisfaction, better outcomes, fewer readmissions, and lower total cost of care—has positioned it well in the home healthcare market.

The company's full-year 2025 guidance projects net revenues between $256 million and $265 million, up from the previous range of $254 million to $265 million. Adjusted EBITDA is expected to be in the range of $55 million to $58 million, an increase from the prior range of $54 million to $58 million. Despite these promising projections, Viemed faces challenges such as declining gross margins and the uncertain impact of tariffs.

The company will host a conference call on Thursday, May 8, 2025, at 11:00 a.m. EDT to discuss its Q1 results and 2025 guidance. Investors can dial in at 866-682-6100 (US Toll-Free) or +1-862-298-0702 (International) to participate. An audio recording and transcript will be available on Viemed's website following the call.

For further information, please visit Viemed's website at [www.viemed.com](http://www.viemed.com) or contact Investor Relations at ir@viemed.com.

References:
[1] https://www.morningstar.com/news/globe-newswire/9446748/viemed-healthcare-announces-first-quarter-2025-financial-results