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DocGo Inc.
8/17/2026
Thank you, Operator. Before turning the call over to management,
I would like to make the following remarks concerning forward-looking statements. All statements made in this conference call, other than statements of historical fact, are forward-looking statements. The words made, will, plan, potential, could, goal, outlook, design, anticipate, aim, believe, estimate, expect, intend, guidance, confidence, target, project, and other similar expressions may be used to identify such forward-looking statements. These forward-looking statements are not guarantees of future performance, and we cannot assure you that we will achieve or realize our plans, intentions, outcomes, results, or expectations. Forward-looking statements are inherently subject to substantial risks, uncertainties, and assumptions, many of which are beyond our control and which may cause our actual results or outcomes or the timing of results or outcomes to differ materially from those contained in our forward-looking statements. These risks, uncertainties, and assumptions include, but are not limited to those discussed in Risk Factors and Elsewhere in DOCCO's annual report on Form 10-K, quarterly reports on Form 10-Q, our earnings release for this quarter, and other reports and statements filed by DOCCO with the SEC to which your attention is directed. Actual outcomes and results, or the timing of results or outcomes, may differ materially from what is expressed or implied by these forward-looking statements. In addition, Today's call contains references to non-GAAP financial measures. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are included in our earnings release and the current report on Form 8K that includes our earnings release, which is posted on our website, dot go dot com, as well as files with the SEC. The information contained in this call is accurate as of only the date discussed. Investors should not assume that statements will remain relevant and operative at a later time. You undertake no obligation to update any information discussed in this call to reflect events or circumstances after the date of this call or to reflect new information or the occurrence of unanticipated events except as to the extent required by law. At this time, it is now my pleasure to turn the call over to Mr. Lee Bienstock, CEO of DOTCO. Lee, please go ahead.
Thank you, Mike. Thank you all for joining us today. The second quarter was a transformational period for our company, and the recent weeks marked a number of key milestones. Today, I'd like to share four significant updates with you. 1. We signed a definitive agreement to make our largest acquisition to date. 2. In connection with the acquisition, we received a commitment for a major new source of funding. 3. A uniquely differentiated platform. Thank you for joining us. were announcing that we've signed a definitive agreement to acquire virtual care provider, Acuity Health. This marks our second major acquisition in the virtual care space in the last nine months. While we plan to host a webinar in the coming weeks to share a deep dive on Acuity Health and the powerful growth and cost synergies of this acquisition, I wanted to share an overview with you today. St. Louis-based Acuity Health is a leading provider of acute and critical care telemedicine services. Thank you for joining us. Both companies have developed proprietary technology platforms that help optimize scarce clinical resources, whether it be an advanced practice provider delivering critical care in an ICU or a mobile health clinician bringing preventative care to a patient in the home. Merging the HiQity hub into DACO's existing proprietary health tech stack will enable us to better match the right provider with the right patient at the right time in the right setting. Combining Hikuity Strength and providing care in health system settings with DOTCO's technology-enabled mobile model that delivers care in the home, it differentiates our offering far beyond a single-point solution on the patient journey and positions DOTCO to support patients across the entire care continuum, from the hospital to the home. The combination strengthens DOTCO's technology-enabled care delivery model, expands our presence within health systems where we already have entrenched relationships, and creates additional opportunities to expand and cross-sell our robust suite of virtual services, care in the home and remote monitoring. Much like we are experiencing with our SteadyMD acquisition, we expect to realize significant operational efficiencies while leveraging our expanded platform to support future revenue growth. A dedicated, cross-functional integration team has already begun planning integration and cost-cutting initiatives across operations, Thank you for joining us. and expanding cross-selling opportunities by offering a broader suite of virtual, mobile and in-home healthcare services to customers. In sum, we expect our acquisition of HiQuity to create a scaled, unified mobile and virtual care delivery platform that powers health systems, health plans and digital health companies and represents an important step in advancing our Care Anywhere strategy. Second, and our new funding. At closing, the debt is estimated to be approximately $52 million and will now mature in December 2029. In addition to assuming the existing Hikuity debt, Perceptive has also committed to provide up to an additional $50 million of financing to .go in multiple tranches, the first $12.5 million of which will be funded with the execution of a services agreement through which we provide management-related services to Hikuity during the pre-closing period. Thank you for watching. Perceptive Advisors and Hikuity's Preferred Equity Holder both have strong roots in healthcare and deep connections across the industry. We believe our strategic relationships with both of these partners have the potential to create additional value for DOTCO in the months and years ahead. Third, our business performance remains strong. Across all business lines, we achieved record volumes during the quarter, with U.S. medical transportation increasing 15%, Health Care in the Home increasing 26%, Mobile Phlebotomy increasing 20%, Cardiac and Remote Patient Monitoring increasing 13%, and Virtual Care and Lab Orders increasing 58% when comparing year-over-year results. On the business development front, we signed a new contract with one of the largest national health plans to offer services to their members in Pennsylvania. Additionally, We grew the total number of patients assigned for our care gap closure services to 1.7 million since inception, up 100,000 from last quarter. We continue to be extremely pleased with the performance of our virtual care provider, SteadyMD. Despite the summer months typically being the slowest for telehealth services of this nature, Steady saw volumes similar to those of Q1. We continue to make progress with our efficiency initiatives. We saw a considerable sequential improvement in our adjusted EBITDA loss, which dropped nearly 40% quarter over quarter, declining from 10.3 million last quarter to 6.3 million in Q2. One factor that had a material impact on this improvement was a substantial corporate reduction in force during the quarter, which reduced annual SG&A by approximately 4.5 million. We are also starting to see a more material impact from a number of the AI efficiency initiatives that we discussed last quarter. One specific example is with our mobile phlebotomy business. Our engineers developed an AI communications tool that now handles 60% of inbound patient calls without the patient needing to speak to one of our live agents, and it also handles 100% of our outbound appointment scheduling calls. On a typical day, this AI agent handles over 1,000 calls without human intervention. Additionally, AI data entry integrations now account for 65% of orders received. We anticipate this will increase to 90% of orders by the end of the year with our new system bringing the cost to process each order from $2 down to mere pennies. We currently have over 10 active efficiency-related programs of this nature across all business lines, supporting functions from eligibility determination to validation of patient care reports. Collectively, we estimate a potential annual savings of approximately $6 million when these are fully implemented over the coming quarters. and our push to infuse technology into all aspects of our business, there are another 20 efficiency-related programs that are set to kick off in late 2026 and early 2027, and we look forward to sharing more about those on future earnings calls. Earlier today, we updated guidance. While our revenue guidance is relatively unchanged, not taking into account any potential impact of high QT, our adjusted EBITDA loss is wider than our original expectations, 4. The Realization of Our Vision We have spent the last three years transforming .go into a fully vertically integrated, technology-backed healthcare provider that can support our health system and insurance payer partners with end-to-end longitudinal care across the entire patient journey. While a number of companies offer point solutions in healthcare, we are building a holistic platform that we believe is both superior and differentiated. As I shared at the start of our call, I have never been more excited about the company we are building that aims to deliver care wherever patients may be. At this time, I'll hand it over to Norm to review the financials.
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