In This Story
ModivCare Inc. (MODV-10.14%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing details ModivCare's financial performance, showing an increase in service revenue to $702,037,000 for the quarter, compared to $686,925,000 in the same quarter the previous year. This increase is attributed to higher revenue in the NEMT and PCS segments.
Service expense for the quarter was $597,934,000, representing 85.2% of service revenue, compared to 84.3% in the same quarter of the previous year. This increase in cost ratio is due to higher purchased services costs.
The company reported an operating income of $5,260,000 for the quarter, down from $12,043,000 in the previous year, with the decline attributed to increased service expenses.
Interest expense for the quarter was $28,493,000, up from $17,844,000 in the previous year, primarily due to increased borrowing costs.
Net loss for the quarter was $26,604,000, compared to a net loss of $4,302,000 in the previous year. The loss was impacted by a loss on debt extinguishment of $11,797,000.
Cash used in operating activities was $36,453,000, while cash used in investing and financing activities was $22,281,000 and cash provided by financing activities was $104,836,000.
ModivCare had a working capital of $463,449,000 as of September 30, 2024. The company acknowledges substantial doubt about its ability to meet obligations as they come due within one year from the date of issuance of the financial statements.
The filing also details the company's debt structure, including a new term loan facility established in July 2024 and the redemption of its 2025 Notes.
ModivCare continues to focus on improving its liquidity position and compliance with financial covenants, with ongoing discussions with its bank group for long-term relief amendments.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the ModivCare Inc. quarterly 10-Q report dated November 7, 2024. To report an error, please email earnings@qz.com.