Modivcare reports Q4 adjusted EPS 19c, consensus 17c

Reports Q4 revenue $702.8M, consensus $703.3M. “2024 proved to be a challenging year in the dynamic and complex markets we serve,” stated L. Heath Sampson, President and CEO. “The industry faced significant disruption in 2024 from Medicaid redetermination, surging healthcare utilization, and lower Medicare Advantage reimbursements-pressures that created financial strain, disrupted cash flow, and impacted our performance. Service revenue grew approximately 1% year-over-year, driven by increased NEMT ride utilization and growth in personal care, though offset by Medicaid redetermination and contract churn. We ended the year with a $95 million net contract receivable position. As utilization levels stabilize and key clients transition to a fee-for-service contract structure, we expect working capital to normalize in 2025. Looking ahead, we are positioned in 2025, having a strengthened balance sheet, to drive long-term shareholder value-all while maintaining our commitment to high-quality service for our members, customers, and the healthcare system.”