Skip to main content

Go Premium in Our Biggest Sale Ever

UPGRADE NOW
TipRanks
Go Ultimate75% OFF

Radnet (RDNT) Q3 2026 Earnings Report

410 Followers

RDNT Q3 2026 EPS Results

Actual EPS
$0.30
Consensus EPS
$0.22
Beat/Miss
Beat by +$0.08
One Year Ago EPS
$0.20

RDNT Q3 2026 Revenue Results

Actual Revenue
$638.26M
Expected Revenue
$639.97M
Beat/Miss
Missed by -$1.72M
YoY Revenue Growth
+22.07%

Earnings Announcement Details

Quarter
Q3 2026
Date
11/08/2026
Time
After Close
Conference Call
Sunday, November 8, 2026
RDNT Upcoming Earnings

Radnet's next earnings date is estimated for March 2, 2027, based on past reporting schedules.

Q3 2026 Earnings Call Audio

RDNT Q3 2026 Earnings Call
0:00 / 0:00

Q3 2026 Earnings Slide Deck

No slide deck is available for this earnings event.

Q3 2026 Earnings Call Summary

Q3 2026
Earnings Call Date:Nov 08, 2026|% Change Since:―|
Earnings Call Sentiment|Positive

The call was strongly positive. RadNet reported record company revenue and adjusted EBITDA, broad-based imaging volume growth, expanding advanced-imaging mix, raised Imaging Center and Digital Health guidance, strong liquidity, substantial Digital Health bookings and ARR growth, and continued progress in AI deployment and the planned ONRAD acquisition. The main challenges were year-over-year Digital Health EBITDA and margin declines, labor shortages, implementation seasonality and constraints, and expected 2027 Medicare reimbursement pressure, but management characterized the implementation constraints as resolved and remained confident about fourth-quarter and 2027 growth.

Company Guidance

For 2026, Imaging Center segment total net revenue guidance is $2.385 billion to $2.435 billion, adjusted EBITDA guidance is $350 million to $363 million, capital expenditure guidance is $170 million to $180 million, and free cash flow guidance is $120 million to $130 million; Digital Health revenue guidance is $135 million to $145 million, while adjusted EBITDA guidance is $10 million to $13 million and adjusted EBITDA before noncapitalized R&D guidance is $11 million to $13 million, with Digital Health CapEx guidance increased by $1 million. Digital Health is on track for more than $140 million of ARR by year-end, roughly 87% growth over 2025, expects fourth quarter revenue to grow about 20% sequentially, and indicated a fully underpinned fourth quarter of well above $40 million; ONRAD is expected to add $190 million to $200 million of revenue and $60 million to $65 million of adjusted EBITDA in its first year of operation after closing. For 2027, RadNet estimated an approximately $5 million revenue impact from the final Medicare rule, while noting Congress may act to partially or fully reverse this reduction.

  • Record Third-Quarter Revenue and Adjusted EBITDATotal company revenue reached a quarterly record of $638.3 million, up 22.1% from $522.9 million in last year's third quarter. Adjusted EBITDA also reached a quarterly record of $105 million, up 23.8% from $84.9 million, while adjusted EBITDA margin expanded 23 basis points to 16.5%. Adjusted diluted EPS increased to $0.30 from $0.24.
  • Broad-Based Imaging Center GrowthGrowth was driven by initiatives to create and fill capacity at existing centers, new center openings, the shift toward advanced imaging, tuck-in acquisitions, higher commercial-payer reimbursement, expanded health-system joint ventures, and Digital Health growth. Overall imaging procedure volume increased 10.8% in aggregate and 3.2% on a same-center basis.
  • Advanced Imaging Volume and Mix ImprovementAggregate imaging volume increased 19.9%, while same-center volume increased 8.9%. Advanced imaging procedural mix increased 232 basis points, from 28.2% to 30.6% of total procedural volume, as MRI, CT, and PET/CT grew disproportionately faster than routine imaging.
  • Imaging Center Profitability ExpansionImaging Center segment adjusted EBITDA increased 25.3% to $102 million, with segment adjusted EBITDA margin improving by 511 basis points year over year. Management attributed the improvement to favorable mix and continued operational focus on controlling costs.
  • Health-System Joint Venture ExpansionAt the end of the third quarter, 161 of RadNet's 439 centers, or approximately 37%, were held within health-system partnerships. RadNet expanded its existing partnership with the University of Maryland Medical System through the contribution of additional imaging centers into a newly restructured joint venture, and management reported a healthy pipeline of additional partnership opportunities.
  • ONRAD Acquisition Creates Hospital-Based Growth PlatformRadNet announced an agreement to acquire ONRAD, which provides teleradiology final-read interpretations and in-hospital professional radiology staffing through more than 130 contracted radiologists serving over 225 hospitals across 26 states. Management expects ONRAD to contribute $190 million to $200 million of revenue and $60 million to $65 million of adjusted EBITDA in its first year of operation after closing. ONRAD is expected to become the foundation of RadNet's third reportable segment, Radiology Professional Services.
  • Strong Digital Health Contract Bookings and PipelineDigital Health closed approximately $71 million of total contract value in the third quarter and roughly $108 million during the first nine months of the year. The quarter included an approximately $53 million long-term enterprise agreement with a U.S. teleradiology service provider covering the enterprise informatics and clinical AI portfolio. The clinical AI and enterprise informatics pipeline grew from a little over $100 million of total contract value at the start of the year to more than $300 million.
  • Digital Health ARR and Customer ExpansionDigital Health ARR reached $112.6 million, up 67% from September 30, 2025 and nearly 7% from June 30, 2026. Excluding the GLEAMER acquisition, ARR increased 21% year over year. External ARR more than doubled to $73 million and represented 65% of the ARR base, compared with 52% at year-end 2025. The customer base exceeded 3,000 accounts, and AI and informatics procedure volume exceeded 18 million for the quarter, up more than 170% year over year.
  • Digital Health Revenue GrowthDigital Health revenue increased 33% year over year to $32.9 million, including $16.2 million of AI revenue, up 51%, and $16.7 million of enterprise imaging revenue, up 18.6%. External revenue increased 49% to $21.4 million and represented 65% of segment revenue versus 58% in the third quarter of 2025.
  • GLEAMER Integration Ahead of PlanEight months into the integration, the legacy GLEAMER portfolio exited the quarter at approximately $31 million of ARR, one quarter ahead of the year-end target of more than $30 million. GLEAMER added 63 customers during the quarter, and management said profitability had progressed from a $4 million to $5 million negative EBITDA margin at acquisition to close to breakeven, even after allocating DeepHealth integration costs.
  • AI Product and Regulatory ProgressRadNet received FDA clearances for breast arterial calcification assessment in June, breast ultrasound in July, and a next-generation chest X-ray solution in September. The company now holds 28 FDA clearances and 26 CE marks covering more than 100 clinical findings, with additional submissions pending in lung, neuro, and prostate.
  • Expansion of AI-Enabled Radiology WorkflowDeepHealth's clinical AI, AI orchestrator, viewer, and Reporting Pro solutions can automate case assignment, triage, and report generation, with management stating that reporting time can be reduced by up to 30% when the solutions are used together. More than 90% of automated thyroid-ultrasound draft reports are accepted by RadNet radiologists without changes before final sign-off.
  • Internal AI Deployment ProgressReporting Pro covered more than 30% of RadNet exams and remained on track for full deployment across RadNet by the end of Q1 2027. More than 50% of RadNet studies were covered by clinical AI, with a goal of more than 75% by Q3 2027. GLEAMER's X-ray AI was live across RadNet and processing more than 60% of exams at facilities with 90% coverage of eligible X-rays at those sites.
  • Digital Registration and Scheduling RolloutRadNet's smart patient registration tool was live at approximately 30 centers and automated nearly one-third of patient registrations. In the 31 sites discussed on the call, about one in three patients completed the process digitally without touching front-desk staff, while the best-performing centers reached approximately 75%. The company planned to roll the technology across its centers by the end of Q1 or early Q2.
  • Capacity Expansion Through Technology and New CentersRadNet expanded capacity through longer operating hours, faster MRI scanners, newer PET/CT technology, TechLive remote technologists, digital registration and scheduling, de novo centers, and tuck-in acquisitions. The company expected to open 10 sites in 2026 versus an original plan of seven. New PET/CT scanners can complete scans in less than 15 minutes versus approximately one hour previously, and TechLive remote technologists covered approximately 13% of MRI exams in the third quarter.
  • Growth in PET/CT and Other Advanced ModalitiesProstate PSMA and brain amyloid studies represented almost 26% of PET/CT volume in the quarter. PET/CT represented 10.2% of payments, up from 8.8% for full-year 2025, while MRI represented 38.6% of payments, up from 37.7%. CT coronary angiography volume had grown almost 100-fold since the program began approximately 1.5 years earlier, and breast MRI also increased substantially due to high-risk screening.
  • Raised 2026 Imaging Center GuidanceRadNet increased 2026 Imaging Center revenue guidance by $15 million at both ends to $2.385 billion to $2.435 billion. Imaging Center adjusted EBITDA guidance increased by $5 million at both ends to $350 million to $363 million. Capital expenditure guidance increased by $5 million at both ends to $170 million to $180 million, and free cash flow guidance increased by $5 million at both ends to $120 million to $130 million.
  • Raised Digital Health EBITDA GuidanceDigital Health revenue guidance was reaffirmed at $135 million to $145 million. Adjusted EBITDA guidance before noncapitalized R&D was increased to $11 million to $13 million due to effective expense management and faster-than-projected integration of acquired operations. Digital Health capital expenditure guidance was also increased by $1 million.
  • Strong Liquidity and Cash Collection MetricsRadNet ended the quarter with $750.6 million of cash, full availability of its $282 million revolving credit facility, and a net debt-to-adjusted-EBITDA ratio of 1.66x. Days sales outstanding remained at 31 days, which management described as one of the best levels in the industry.
  • Positive Fourth-Quarter and 2027 SetupDigital Health management expected ARR to exceed $140 million by year-end, representing roughly 87% growth over 2025, and expected fourth-quarter revenue to grow approximately 20% sequentially. The company cited high-confidence external and RadNet deployments, newly signed contracts, and a backlog of projects, with fourth-quarter revenue expected to be well above $40 million. Management also described expected 2027 growth from same-center volume, advanced imaging, 2026 center acquisitions, Digital Health ARR, additional contract value, tuck-in acquisitions, and new health-system joint ventures.

RDNT Earnings History

RDNT earnings history
Report DateFiscal QuarterForecast / EPSLast Year's EPSEPS YoY ChangePress Release
Mar 02, 20272026 (Q4)0.25-0.23――
Nov 08, 20262026 (Q3)0.220.300.250.00% (+0.10)
Aug 09, 20262026 (Q2)0.200.290.31-6.45% (-0.02)
May 10, 20262026 (Q1)-0.16-0.28-0.544.00% (+0.22)
Mar 02, 20262025 (Q4)0.200.230.07228.57% (+0.16)
Nov 09, 20252025 (Q3)0.220.200.04400.00% (+0.16)
Aug 10, 20252025 (Q2)0.160.31-0.04875.00% (+0.35)
May 11, 20252025 (Q1)-0.14-0.50-0.04-1150.00% (-0.46)
Feb 27, 20252024 (Q4)0.200.07-0.03333.33% (+0.10)
Nov 10, 20242024 (Q3)0.140.040.25-84.00% (-0.21)

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat Missed