Net Revenues (USD, thousands)

Cost of Revenues (USD, thousands)

Gross Profit (USD, thousands)

Amortization of Intangibles (USD, thousands)

Selling and Marketing Expenses (USD, thousands)

General and Administrative Expenses (USD, thousands)

Total Selling, General and Administrative Expenses (USD, thousands)

Operating Income (USD, thousands)

Interest Expense (USD, thousands)

Other Income (Expense) (USD, thousands)

Income Before Income Taxes (USD, thousands)

(Provision for) benefit from Income Taxes (USD, thousands)

Net Loss (USD, thousands)

4dac13a8f0c7c4d13ec1da50827089f4483439a499eefc34ff65dd4acc3bf372

Operating cash flow in Q1 2024 was relatively low at **$377,000** because, while the company made progress by reducing the cash used for working capital items by **$1.6 million** and lowering the net loss adjusted for non-cash items, these benefits were partly offset by unfavorable changes in certain working capital components. In particular, a notable decrease in **accounts payable and other liabilities** (a **$1.1 million** drop, which created a **$1.4 million unfavorable swing**) worked against the improvements, keeping the overall operating cash flow at a modest level.  **[0001628280-24-022249_infu-20240331.htm:29]** 

Why was Operating Cash Flow so low in Q1 2024?

The significant surge in Operating Cash Flow in Q3 2024 was driven by several factors. **Higher net income adjusted for non-cash items** contributed to improved cash generation, while a **substantial reduction in cash used for working capital**—including smaller increases or even decreases in items like accounts payable, accounts receivable, inventories, and other assets—reduced the cash outflow. Additionally, **improved operating income** driven by increased revenues and better gross profit margins further bolstered the operating cash flow. These combined factors resulted in a more than doubling of operating cash flow compared to Q3 2023.  **[0001628280-24-046739_infu-20240930.htm:36]** **[INFU_3407234_1]** **[0001628280-24-046739_infu-20240930.htm:28]** 

What drove the significant surge in Operating Cash Flow in Q3 2024?

The significant increase in Q2 2024 was driven by several factors: **support for a large new rental customer** (necessitating approximately **$2 million** in spending), **increased equipment investments** in key business segments—such as **Oncology**, **Pain Management**, and **Negative Pressure Wound Therapy**—**timing effects** from an unusually low expenditure in Q1 2024, and a higher portion of revenue growth coming from more capital-intensive rental revenues.  **[INFU_3397457_12]** **[INFU_3397457_2]** **[0001628280-24-036502_infu-20240630.htm:36]** 

What drove the large increase in medical equipment purchases in Q2 2024?

c7ba3b0fb47d1b40eaf8c89cc197f6fa744c91f413c01d006b4d7be3a477245f

The sharp increase in cash during Q1 2024 was due to several factors: **improved operating cash flow**—with the company generating **$0.4 million** in Q1 2024 versus using **$0.2 million** in Q1 2023, driven by lower working capital increases despite higher general and administrative expenses; **reduced cash outflow in investing activities**—with cash used dropping to **$0.4 million** from **$3.1 million** primarily because of lower capital expenditures; and **positive financing activities**—including net proceeds from long-term debt, which together helped boost the cash balance from **$231,000** as of December 31, 2023, to **$822,000** as of March 31, 2024.  **[0001628280-24-021926_infu-20240507xexx991earnin.htm:3]** **[0001628280-24-021926_infu-20240507xexx991earnin.htm:8]** 

Why did cash increase so sharply in Q1 2024?

The significant spike in medical equipment for sale or rental in Q2 2024 was primarily driven by a **new large rental customer**, which required acquiring devices that accounted for almost **$2 million** of the increase.  **[INFU_3397457_12]**  Additionally, the company made targeted investments in key business segments such as **Oncology, Pain Management, and Negative Pressure Wound Therapy (NPWT)** to support growth.  **[INFU_3397457_2]** **[INFU_3397457_12]**  Timing effects also played a role, as the unusually low equipment purchases in Q1 2024 contributed to the sharp increase observed in Q2 2024.  **[0001628280-24-036502_infu-20240630.htm:9]** **[INFU_3397457_12]** 

What drove the significant spike in medical equipment for sale or rental in Q2 2024?

The jump in the **operating lease right of use assets** in Q4 2023 was primarily driven by **new right-of-use assets obtained in exchange for lease obligations of $3,356 thousand** and further supported by **lease modifications that contributed an additional $552 thousand increase**. These factors combined to significantly elevate the asset value during the period.  **[0001628280-24-015511_infu-20231231.htm:100]** 

What caused the jump in operating lease right of use assets in Q4 2023?

Other current liabilities dropped sharply in Q2 2024 because the company made a significantly higher payment towards its **2023 short-term incentive bonus plan**, which reduced its overall liabilities from what was recorded in Q4 2023. This bonus payment directly contributed to the decline from **$7,704 thousand** to **$5,940 thousand** during the period.  **[0001628280-24-036502_infu-20240630.htm:2]** **[0001628280-24-036502_infu-20240630.htm:35]** 

Why did other current liabilities drop sharply in Q2 2024?

The decrease in long-term debt in Q3 2024 was primarily driven by **debt repayment activities**. The company utilized its strong operating cash flow of **$9.8 million** during the quarter to pay down **$6.4 million** in debt, which reduced the long-term debt from **$34,165 thousand** to **$27,975 thousand** and contributed to an equivalent reduction in net debt.  **[0001628280-24-046739_infu-20240930.htm:2]** **[0001628280-24-036502_infu-20240630.htm:2]** **[INFU_3407234_0]** **[INFU_3407234_1]** **[0001628280-24-045952_infu-20241107xexx991earnin.htm:0]** **[INFU_3407234_2]** 

What led to the decrease in long-term debt in Q3 2024?

e45597ecba7fa46d2da6d3edd937490d5a0652d1ac0c77ccd59ec9d60406e516

Net income (loss) [USD, thousands]

Provision for doubtful accounts [USD, thousands]

Depreciation [USD, thousands]

Loss on disposal of and reserve adjustments for medical equipment [USD, thousands]

Gain on sale of medical equipment [USD, thousands]

Amortization of intangible assets [USD, thousands]

Amortization of deferred debt issuance costs [USD, thousands]

Stock-based compensation [USD, thousands]

NET CASH PROVIDED BY OPERATING ACTIVITIES [USD, thousands]

Purchase of medical equipment [USD, thousands]

Purchase of property and equipment [USD, thousands]

Proceeds from sale of medical equipment, property and equipment [USD, thousands]

NET CASH USED IN INVESTING ACTIVITIES [USD, thousands]

Principal payments on long-term debt [USD, thousands]

Cash proceeds from long-term debt [USD, thousands]

Common stock repurchased as part of share repurchase program [USD, thousands]

Common stock repurchased to satisfy statutory withholding on employee stock-based compensation plans [USD, thousands]

Cash proceeds from exercise of options and ESPP [USD, thousands]

NET CASH USED IN (PROVIDED BY) FINANCING ACTIVITIES [USD, thousands]

Net change in cash and cash equivalents [USD, thousands]

Deferred income taxes [USD, thousands]

Cash and cash equivalents, beginning of period [USD, thousands]

Cash and cash equivalents, end of period [USD, thousands]

123206ff2b05e7f9af742d484d242b152a90ccf37dc8e68d83a4da292d5258d2

Cash and cash equivalents (USD, thousands)

Accounts receivable, net (USD, thousands)

Inventories, net (USD, thousands)

Other current assets (USD, thousands)

Total current assets (USD, thousands)

Medical equipment for sale or rental (USD, thousands)

Medical equipment in rental service, net of accumulated depreciation (USD, thousands)

Property & equipment, net of accumulated depreciation (USD, thousands)

Goodwill (USD, thousands)

Intangible assets, net (USD, thousands)

Operating lease right of use assets (USD, thousands)

Deferred income taxes (USD, thousands)

Derivative financial instruments (USD, thousands)

Other assets (USD, thousands)

Total assets (USD, thousands)

Accounts payable (USD, thousands)

Other current liabilities (USD, thousands)

Total current liabilities (USD, thousands)

Long-term debt, net of current portion (USD, thousands)

Operating lease liabilities, net of current portion (USD, thousands)

Total liabilities (USD, thousands)

Additional paid-in capital (USD, thousands)

Accumulated other comprehensive income (USD, thousands)

Retained deficit (USD, thousands)

Total stockholders’ equity (USD, thousands)

Total liabilities and stockholders’ equity (USD, thousands)

e55e68eba8fe4d1b01aed788649d03ec09107c65287311d2268fddf45b2f74cc

309f8bcc08dcf43eafb009c6b976223ee1540b8768678215a170c74535e6a1c1

3ac9786c5af629914ae793c38372f7b07144359a006a1cbe7e53fda584c1d3d0

88c1a3cae1b3c3bb44c5f8eabd5b526f84acd36db05af9cd99b5e39d4d3cc17a

d5e42dd2d33c5e55dff34fe432848e6c36416ef565c8eba2d51763277edd8a52

InfuSystem Holdings (INFU)

Financials