AdaptHealth Corp. (AHCO 30.01%)
Q1 2022 Earnings Call
May 10, 2022, 8:30 a.m. ET
- Prepared Remarks
- Questions and Answers
- Call Participants
Greetings, and welcome to the AdaptHealth first quarter 2022 financial results conference call. [Operator instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Chris Joyce. Thank you.
Chris, you may begin.
Chris Joyce — General Counsel
Thank you, operator. I’d like to welcome everyone to today’s AdaptHealth Corp. conference call for the first quarter ended March 31, 2022. Everyone should have received a copy of our earnings release earlier this morning.
If not, I’d like to highlight that the earnings release, as well as the supplemental slide presentation regarding Q1 2022 results is posted on the investor relations section of our website. In a moment we’ll have some prepared comments from Steve Griggs, chief executive officer of Adapthealth; Josh Parnes, president of Adapthealth; and Jason Clemens, chief financial officer of Adapthealth, we’ll then open the call for questions. Before we begin, I’d like to remind everyone that statements included in this conference call and in our press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act. These statements include, but are not limited to comments regarding our financial results for 2022 and beyond.
Actual results could differ materially from those projected in forward-looking statements because of a number of risk factors and uncertainties which are discussed at length in our annual and quarterly SEC filings. Adapthealth Corp. shall have no obligation to update the information provided on this call to reflect such subsequent events. Additionally, on this morning’s call, we’ll reference certain financial measures such as EBITDA, adjusted EBITDA, and free cash flow, all of which are non-GAAP financial measures.
This morning’s call is being recorded and a replay of the call will be available later today. I’m now pleased to introduce our chief executive officer, Steve Griggs.
Steve Griggs — Co-Chief Executive Officer
Thank you, Chris. Good morning, everyone, and thank you for joining us as we review our results for the quarter ended March 31, 2022. We are very pleased with our strong start to 2022 and the excellent performance of our 10,910 employees. Our revenues of 706 million reflected an organic growth rate of 3.7%, which improved approximately 100 basis points from the fourth quarter of 2021.
Adapthealth Q1 2022 results reflect the continued strong growth of our diabetes business, as well as the resilience of our home medical equipment business, as we saw strong performance in our respiratory, ventilation, and home medical equipment operations. We were pleased by the improvement in our supply of CPAPs as the quarter progressed. And with the successful expansion of our patient set up capacity by our operations teams across the country, we saw patients setups in March at or near their 2021 levels. This momentum has continued in the current quarter as set ups remain strong in April.
While we hope our suppliers will be able to maintain this level of CPAP shipments consistently over the balance of the year, we’re nonetheless pleased with how Q2 setups have continued to be strong. As with all healthcare providers, we are operating in an inflationary environment that includes continued workforce …….