RadNet (RDNT) 47th Annual Raymond James Institutional Investor Conference summary

Financial outlook and growth drivers

• Imaging center revenue projected to grow 16–18% in 2026, with digital health revenue expected to increase by around 50% year-over-year.

• EBITDA growth on the imaging center side is anticipated to outpace revenue, indicating margin expansion.

• Advanced imaging modalities (MRI, CT, PET CT) are experiencing mid- to high-single-digit same-store growth, with PET CT in double digits.

• Recent acquisitions, including a major one in Southwest Florida, are expected to contribute mid- to high-single-digit EBITDA growth.

• Labor costs are projected to rise by about 4%, or $30 million, but are offset by reimbursement benefits and volume growth.

Operational initiatives and technology integration

• Seven new centers opened in 2025 will contribute for a full year in 2026, with 11–13 new de novo centers planned for partial-year contribution.

• Joint venture partnerships with health systems are expected to further boost growth.

• Workflow solutions and clinical AI are being unified into a cloud-native DeepHealth OS platform, enabling modular upgrades and broad AI deployment.

• Recent acquisition of Gleamer adds AI-assisted X-ray reads, aiming to automate reporting and reduce radiologist burnout.

• Automation in call centers and online scheduling is being implemented to reduce human capital costs and improve efficiency.

Industry trends and competitive positioning

• Advanced imaging is benefiting from technological advances, increased throughput, and new clinical indications, supporting continued growth.

• AI adoption is seen as essential to address labor shortages and improve productivity in radiology.

• The company is positioning itself as a leader by integrating AI across all imaging modalities and offering solutions to external customers.

• International expansion includes success in the UK with lung cancer detection and pending FDA approvals for multiple AI products.

• The acquisition strategy is focused on operational improvement and margin normalization, as seen with the $65 million Radiology Regional deal.