Quipt Home Medical reports Q1 revenue $61.4M, consensus $89.07M

The Medicare 75/25 blended rate, which had been providing rate relief for certain geographies, was discontinued as of January 1, 2024. Although this change is still under legislative review, and could return, its immediate cessation had a negative impact on our revenue and operating results. Moreover, in certain regions, we also experienced the withdrawal of Medicare Advantage members due to a capitated agreement engaged with other providers in the industry. In November 2024, a disposable supply contract was not renewed. The cumulative annual impact of these three events is estimated to be approximately $8M, with a reduction of approximately $1.5M for the three months ended December 31, 2024 as compared to the three months ended December 31, 2023.