Lumexa Imaging Holdings, Inc.

Good morning, and welcome to Lumexa Imaging's fourth quarter and full year 2025 earnings call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question, you will need to press star 111 on your telephone keypad. Please note that this conference is being recorded. I would now like to introduce Sue Dooley, Lumexa Imaging's Head of Investor Relations. Sue, please go ahead.

Thank you, and good morning, everyone. We appreciate you joining us today. Leading today's call are our Chief Executive Officer, Caitlin Zula, and Tony Martin, our Chief Financial Officer. Before we begin, I want to note that we will be discussing non-GAAP financial measures that we consider helpful in evaluating Lumexa imaging performance. You can find details on how these relate to our GAAP measures along with reconciliations in the press release that is available on our website. We'll also be making forward-looking statements based on our current expectations and assumptions, which is subject to risks and uncertainties, including factors listed in our press release and in our various SEC filings. Actual results could differ materially, and we assume no obligation to update these forward-looking statements. With that, I'd like to now turn the call over to Caitlin. Caitlin, please go ahead. Thanks, Sue.

Good morning, and thank you all for joining us today on our first earnings call as a public company. The fourth quarter of 2025 marked a strong close to an important year for Lumexa Imaging, and we delivered steady and consistent growth in revenue and EBITDA that exceeds our preliminary earnings announcement. We generated consolidated revenue of $267.7 million, up 7.9% over Q4 of last year. Adjusted EBITDA of 63.8 million represented an 18.6% increase over Q4 of last year and delivered a 23.8% adjusted EBITDA margin. We completed 1.4 million advanced imaging exams system-wide in the quarter, which is a 7.7% increase year over year. 2025 was a year marked by several meaningful achievements for Lumexa Imaging. Here are a few of the highlights. We advanced our growth plan, achieving a record number of de novo openings and driving strong same-center growth. We launched a successful rebrand of the company, rolling out our new name, Lumexa Imaging, to better represent our shared purpose, our innovative spirit, and our commitment to bringing greater access and exceptional care to more patients in more communities. We completed our IPO. bringing greater awareness of our company to the investment community, broadening access to our value creation opportunity, and by using proceeds to reduce our leverage profile, freeing up more cash to support our plans for profitable growth. I'd like to take a moment to reflect on the fundamentals of our business and the reason I believe we have a strong runway for continued growth. Our straightforward value proposition continues to resonate resonate with patients, providers, and payers, as demonstrated by our high patient net promoter scores, which are consistently over 90. We provide enhanced access to high-quality imaging that helps move patients through treatment in more convenient settings and at meaningfully lower costs than hospital outpatient departments or HOPD sites of care. We benefit from several long-term demand tailwinds, including aging populations with complex and chronic conditions, new treatment paradigms that require advanced imaging, increasing rates of preventative screening, and an ongoing migration from hospital and inpatient settings to outpatient imaging amidst a fragmented and capacity-constrained industry landscape. Our commercial efforts are directed at higher growth and higher reimbursing advanced imaging modalities, including MRI, CT, and PET scans, We also offer routine modalities like x-ray and ultrasound, which are strategic and position us as a convenient and comprehensive solution for patients, even though those modalities are a less meaningful driver of our financial results. We are deploying a focused and disciplined profitable growth algorithm grounded in same-center growth, geographic expansion, strategic service line expansion, and delivering efficiencies across our company, including select AI-enabled solutions. And by leveraging technology, including our existing tech stack, as well as innovations being developed in coming months and years, we are well-positioned to drive better outcomes and efficiencies. We turned the page to 2026 with confidence fueled by strong execution and a sense that at Lumexa Imaging, we're in the early innings of capitalizing on the opportunities ahead of us. We're inspired by our mission to expand access to high-quality imaging through elevated, compassionate care, improving lives and advancing healthcare across the country. Next. I would like to take a moment to review the key strategic initiatives we have in our sights for 2026. First, driving same-centered growth is our primary strategic focus. As a reminder, increased procedure volume generally accounts for approximately two-thirds of our revenue growth, and the remaining third is attributed to rates, driven by both increases in both rate per unit and acuity mix, or percentage of advanced modalities. Our commercial team is laser focused on driving same center growth. To bring this to life, I'll share a couple examples from the fourth quarter. In orthopedic, we launched a targeted marketing and sales outreach campaign, which drove incremental growth from one of our highest referring specialty provider categories during their peak surgical season. Another area where our teams are driving momentum is mammography. Approximately 85% of our screening volume comes from existing patients who return for their annual exams. reflecting high levels of patient trust and retention. Leveraging our CRM capabilities and proactive scheduling during patient visits, we were able to meaningfully increase our annual screening compliance rate. We also initiated marketing efforts to drive a healthy increase in new mammography patients in 2025. When annual compliance rates increase, more instances of breast cancer are detected and treated early, saving lives and lowering the cost of healthcare. As we drive more demand within our existing centers, we are also taking steps to become more efficient to meet this growing outpatient imaging volume.