July 30, 2020 -- National medical group Mednax posted a massive $672.4 million net loss for the second quarter, primarily due to a noncash loss related to the sale of the company's American Anesthesiology business.
Despite the loss, Mednax numbers from continuing operations were better than Wall Street expectations as the company reported procedure volume returning to 85%-90% of normal after hitting a low in the depths of the COVID-19 pandemic. Mednax said it continues to seek a company to purchase its radiology business.
For the quarter (end-June 30), Mednax reported revenue from continuing operations (not including American Anesthesiology) of $509.2 million, down 9.3% compared with revenue of $561.2 million in the second quarter of 2019. Net income from continuing operations was $7.6 million, compared with a profit of $20 million in the corresponding quarter of the previous year.
Mednax said its operations were significantly impacted by the COVID-19 outbreak, with the biggest decline in volume occurring in April and recovery beginning in May. Volume in radiology services fell by approximately 29% in the second quarter, with volume in the month of April declining by approximately 50% but recovering to approximately 85% to 90% of pre-COVID levels by the end of the second quarter.
Mednax remains "actively engaged" in the effort to divest Mednax Radiology Solutions, an intention the company announced in June.
Mednax names new CEO, board slate
Just over a month after announcing it would be divesting its radiology business, healthcare services provider Mednax said it is appointing a new CEO and...
Mednax to sell off radiology business
Beset by massive declines in procedure volume due to the COVID-19 pandemic, healthcare provider Mednax announced June 5 that it is restructuring the company...
Mednax posts Q1 loss as radiology volume plunges
National medical group Mednax reported a loss for the first quarter as the company reported that procedure volume in its radiology business fell 50%-60%.
Mednax warns of decline in radiology studies
National medical group Mednax is reporting a decline in its business due to the continued spread and ramifications of COVID-19.
Mednax adds new radiology practice to Fla. expansion
National medical group Mednax has acquired the private Boca Radiology Group in Boca Raton, FL, Mednax's third such acquisition in the state.