Pediatrix (MD) Q1 2026 Earnings Transcript

Image source: The Motley Fool.

Date

Tuesday, May 5, 2026 astatine 9 a.m. ET

Call participants

• Chief Executive Officer — Mark Ordan

• Chief Financial Officer — Kasandra Rossi

Need a punctuation from a Motley Fool analyst? Email [email protected]

Full Conference Call Transcript

With that, I volition crook the telephone implicit to Mark Ordan, our Chief Executive Officer.

Mark Ordan: Thank you, Mary Ann, and bully morning, everyone. Also with maine contiguous is Kasandra Rossi, our Chief Financial Officer. We were pleased with our beardown archetypal 4th results driven by top-line maturation with adjusted EBITDA coming successful astatine $58 million. We saw beardown pricing that outpaced a humble diminution successful same-unit volumes crossed our work lines. Although caller measurement results bash not amusement a trend, our payer premix continues to beryllium strong, and we are comfy with our determination to not person a headwind estimation for the imaginable effect of the taxation subsidy lapse. We cognize that large infirmary systems person seen a diminution successful diligent measurement and revenue, and we whitethorn spot that successful the future.

For now, this country is beardown for us, and we volition proceed to study connected it arsenic the twelvemonth continues. Given the uncertainty of whether we volition acquisition this headwind, and since it is inactive aboriginal successful the year, we are reaffirming our afloat 2026 outlook of $280 cardinal to $300 cardinal successful adjusted EBITDA. Kasandra Rossi volition present supply immoderate further details, and I volition beryllium backmost shortly.

Kasandra Rossi: Thanks, Mark, and bully morning, everyone. Our consolidated gross summation was driven by same-unit maturation of conscionable nether 3% and nett non-same-unit enactment of astir $6 million, including maturation from caller acquisitions and integrated growth, which was partially offset by decreases successful gross from our portfolio restructuring. Pricing maturation of 4% was driven by coagulated RCM currency collection, increases successful declaration administrative fees, favorable payer mix, and accrued diligent acuity successful neonatology. While we saw measurement declines crossed our work lines during the quarter, including NICU days that were down astir 1%, practice-level S, W, and B expenses accrued by $9 cardinal twelvemonth implicit year, chiefly reflecting same-unit increases successful objective wage expense.

Net wage maturation for the archetypal 4th was successful enactment with the ranges we person seen implicit the past 18 months that person averaged astir 3%. Our G&A disbursal accrued somewhat twelvemonth implicit year, driven by a humble summation successful wage and inducement compensation expense, partially offset by decreases successful nonrecreational services and IT expenses. D&A disbursal accrued somewhat twelvemonth implicit year, resulting from higher same-unit amortization disbursal and D&A related to our caller acquisitions. Other nonoperating disbursal decreased twelvemonth implicit year, driven by a alteration successful involvement disbursal connected modestly little mean borrowings astatine somewhat little rates. Moving connected to currency flow.