RadNet Inc

(a) RadNet Inc maintains a capital structure characterized by significant leverage, with long-term debt of $1.06 billion against total equity of $1.09 billion, resulting in a debt-to-equity ratio of 0.98. The company holds $767.2 million in cash and equivalents, but the risk assessment flags that net cash is negative after subtracting total debt, indicating a medium liquidity risk profile. Total assets stand at $3.76 billion, while total liabilities are $2.40 billion.

(b) Profitability metrics indicate operational challenges, with a return on equity of -1.3% and a return on assets of -0.38%. The company reported a net income loss of $18.7 million despite generating an operating income of $62.0 million, suggesting significant non-operating expenses or interest costs impacting the bottom line. Operating cash flow remains positive at $298.8 million, providing a buffer against the net income deficit.

Revenue grew 11.5% year-over-year to $2.04 billion in fiscal 2026, demonstrating consistent top-line expansion.

Gross profit increased to $430.6 million in fiscal 2026, indicating improved cost of goods sold management.

The company maintained a current ratio of 1.76, suggesting adequate short-term liquidity to meet obligations.

Dilution risk is assessed as low, providing relative stability for existing shareholders regarding equity value erosion.

Free cash flow turned deeply negative at -$44.0 million, reflecting significant cash burn and operational inefficiency.

Long-term debt rose to $1.09 billion, increasing financial leverage and interest burden on the balance sheet.

Credit risk is flagged as high, indicating potential difficulties in meeting debt obligations or securing financing.

Revenue $575.6M, +22,1% YoY; Operating income +0,8% YoY.

• ▍Revenue $575.6M, +22,1% YoY
• ▍Operating income +0,8% YoY
• ▍Net income +11,8% YoY
• ▍Free cash flow −15,3% YoY
• ▍Net margin -5.8%

Revenue $547.7M, +14,8% YoY; Operating income +25,7% YoY.

• ▍Revenue $547.7M, +14,8% YoY
• ▍Operating income +25,7% YoY
• ▍Net income −111,2% YoY
• ▍Free cash flow −104,3% YoY
• ▍Net margin -0.1%

Revenue $522.9M, +13,4% YoY; Operating income −15,9% YoY.

• ▍Revenue $522.9M, +13,4% YoY
• ▍Operating income −15,9% YoY
• ▍Net income +68,8% YoY
• ▍Free cash flow −209,6% YoY
• ▍Net margin 1.0%

Revenue $498.2M, +8,4% YoY; Operating income +18,4% YoY.

• ▍Revenue $498.2M, +8,4% YoY
• ▍Operating income +18,4% YoY
• ▍Net income +584,7% YoY
• ▍Free cash flow +215,5% YoY
• ▍Net margin 2.9%

Revenue $471.4M; Operating income -$24.1M.

• ▍Revenue $471.4M
• ▍Operating income -$24.1M
• ▍Net margin -8.0%

Revenue $477.1M; Operating income $22.1M.

• ▍Revenue $477.1M
• ▍Operating income $22.1M
• ▍Net margin 1.1%

Revenue $461.1M; Operating income $32.6M.

• ▍Revenue $461.1M
• ▍Operating income $32.6M
• ▍Net margin 0.7%

Revenue $459.7M; Operating income $26.1M.

• ▍Revenue $459.7M
• ▍Operating income $26.1M
• ▍Net margin -0.6%

Revenue $2.04B, +11,5% YoY; Operating income −32,7% YoY.

• ▍Revenue $2.04B, +11,5% YoY
• ▍Operating income −32,7% YoY
• ▍Net income −767,8% YoY
• ▍Free cash flow −286,1% YoY
• ▍Net margin -0.9%

Revenue $1.83B, +13,2% YoY; Operating income −6,7% YoY.

• ▍Revenue $1.83B, +13,2% YoY
• ▍Operating income −6,7% YoY
• ▍Net income −8,2% YoY
• ▍Free cash flow +36,2% YoY
• ▍Net margin 0.2%

Revenue $1.62B, +13,1% YoY; Operating income +116,3% YoY.

• ▍Revenue $1.62B, +13,1% YoY
• ▍Operating income +116,3% YoY
• ▍Net income −71,4% YoY
• ▍Free cash flow −159,5% YoY
• ▍Net margin 0.2%

Revenue $1.43B, +8,7% YoY; Operating income −40,4% YoY.

• ▍Revenue $1.43B, +8,7% YoY
• ▍Operating income −40,4% YoY
• ▍Net income −56,9% YoY
• ▍Free cash flow +410,1% YoY
• ▍Net margin 0.7%