Thank you, Operator. Before turning the call over to management,

I would like to make the following remarks concerning forward-looking statements. All statements made in this conference call, other than statements of historical fact, are forward-looking statements. The words made, will, plan, potential, could, goal, outlook, design, anticipate, aim, believe, estimate, expect, intend, guidance, confidence, target, project, and other similar expressions may be used to identify such forward-looking statements. These forward-looking statements are not guarantees of future performance, and we cannot assure you that we will achieve or realize our plans, intentions, outcomes, results, or expectations. Forward-looking statements are inherently subject to substantial risks, uncertainties, and assumptions, many of which are beyond our control and which may cause our actual results or outcomes or the timing of results or outcomes to differ materially from those contained in our forward-looking statements. These risks, uncertainties, and assumptions include, but are not limited to those discussed in Risk Factors and Elsewhere in DOCCO's annual report on Form 10-K, quarterly reports on Form 10-Q, our earnings release for this quarter, and other reports and statements filed by DOCCO with the SEC to which your attention is directed. Actual outcomes and results, or the timing of results or outcomes, may differ materially from what is expressed or implied by these forward-looking statements. In addition, Today's call contains references to non-GAAP financial measures. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are included in our earnings release and the current report on Form 8K that includes our earnings release, which is posted on our website, dot go dot com, as well as files with the SEC. The information contained in this call is accurate as of only the date discussed. Investors should not assume that statements will remain relevant and operative at a later time. You undertake no obligation to update any information discussed in this call to reflect events or circumstances after the date of this call or to reflect new information or the occurrence of unanticipated events except as to the extent required by law. At this time, it is now my pleasure to turn the call over to Mr. Lee Bienstock, CEO of DOTCO. Lee, please go ahead.

Thank you, Mike. Thank you all for joining us today. The second quarter was a transformational period for our company, and the recent weeks marked a number of key milestones. Today, I'd like to share four significant updates with you. 1. We signed a definitive agreement to make our largest acquisition to date. 2. In connection with the acquisition, we received a commitment for a major new source of funding. 3. A uniquely differentiated platform. Thank you for joining us. were announcing that we've signed a definitive agreement to acquire virtual care provider, Acuity Health. This marks our second major acquisition in the virtual care space in the last nine months. While we plan to host a webinar in the coming weeks to share a deep dive on Acuity Health and the powerful growth and cost synergies of this acquisition, I wanted to share an overview with you today. St. Louis-based Acuity Health is a leading provider of acute and critical care telemedicine services. Thank you for joining us. Both companies have developed proprietary technology platforms that help optimize scarce clinical resources, whether it be an advanced practice provider delivering critical care in an ICU or a mobile health clinician bringing preventative care to a patient in the home. Merging the HiQity hub into DACO's existing proprietary health tech stack will enable us to better match the right provider with the right patient at the right time in the right setting. Combining Hikuity Strength and providing care in health system settings with DOTCO's technology-enabled mobile model that delivers care in the home, it differentiates our offering far beyond a single-point solution on the patient journey and positions DOTCO to support patients across the entire care continuum, from the hospital to the home. The combination strengthens DOTCO's technology-enabled care delivery model, expands our presence within health systems where we already have entrenched relationships, and creates additional opportunities to expand and cross-sell our robust suite of virtual services, care in the home and remote monitoring. Much like we are experiencing with our SteadyMD acquisition, we expect to realize significant operational efficiencies while leveraging our expanded platform to support future revenue growth. A dedicated, cross-functional integration team has already begun planning integration and cost-cutting initiatives across operations, Thank you for joining us. and expanding cross-selling opportunities by offering a broader suite of virtual, mobile and in-home healthcare services to customers. In sum, we expect our acquisition of HiQuity to create a scaled, unified mobile and virtual care delivery platform that powers health systems, health plans and digital health companies and represents an important step in advancing our Care Anywhere strategy. Second, and our new funding. At closing, the debt is estimated to be approximately $52 million and will now mature in December 2029. In addition to assuming the existing Hikuity debt, Perceptive has also committed to provide up to an additional $50 million of financing to .go in multiple tranches, the first $12.5 million of which will be funded with the execution of a services agreement through which we provide management-related services to Hikuity during the pre-closing period. Thank you for watching. Perceptive Advisors and Hikuity's Preferred Equity Holder both have strong roots in healthcare and deep connections across the industry. We believe our strategic relationships with both of these partners have the potential to create additional value for DOTCO in the months and years ahead. Third, our business performance remains strong. Across all business lines, we achieved record volumes during the quarter, with U.S. medical transportation increasing 15%, Health Care in the Home increasing 26%, Mobile Phlebotomy increasing 20%, Cardiac and Remote Patient Monitoring increasing 13%, and Virtual Care and Lab Orders increasing 58% when comparing year-over-year results. On the business development front, we signed a new contract with one of the largest national health plans to offer services to their members in Pennsylvania. Additionally, We grew the total number of patients assigned for our care gap closure services to 1.7 million since inception, up 100,000 from last quarter. We continue to be extremely pleased with the performance of our virtual care provider, SteadyMD. Despite the summer months typically being the slowest for telehealth services of this nature, Steady saw volumes similar to those of Q1. We continue to make progress with our efficiency initiatives. We saw a considerable sequential improvement in our adjusted EBITDA loss, which dropped nearly 40% quarter over quarter, declining from 10.3 million last quarter to 6.3 million in Q2. One factor that had a material impact on this improvement was a substantial corporate reduction in force during the quarter, which reduced annual SG&A by approximately 4.5 million. We are also starting to see a more material impact from a number of the AI efficiency initiatives that we discussed last quarter. One specific example is with our mobile phlebotomy business. Our engineers developed an AI communications tool that now handles 60% of inbound patient calls without the patient needing to speak to one of our live agents, and it also handles 100% of our outbound appointment scheduling calls. On a typical day, this AI agent handles over 1,000 calls without human intervention. Additionally, AI data entry integrations now account for 65% of orders received. We anticipate this will increase to 90% of orders by the end of the year with our new system bringing the cost to process each order from $2 down to mere pennies. We currently have over 10 active efficiency-related programs of this nature across all business lines, supporting functions from eligibility determination to validation of patient care reports. Collectively, we estimate a potential annual savings of approximately $6 million when these are fully implemented over the coming quarters. and our push to infuse technology into all aspects of our business, there are another 20 efficiency-related programs that are set to kick off in late 2026 and early 2027, and we look forward to sharing more about those on future earnings calls. Earlier today, we updated guidance. While our revenue guidance is relatively unchanged, not taking into account any potential impact of high QT, our adjusted EBITDA loss is wider than our original expectations, 4. The Realization of Our Vision We have spent the last three years transforming .go into a fully vertically integrated, technology-backed healthcare provider that can support our health system and insurance payer partners with end-to-end longitudinal care across the entire patient journey. While a number of companies offer point solutions in healthcare, we are building a holistic platform that we believe is both superior and differentiated. As I shared at the start of our call, I have never been more excited about the company we are building that aims to deliver care wherever patients may be. At this time, I'll hand it over to Norm to review the financials.

Thank you, Lee, and good afternoon. Total revenue for the second quarter of 2026 was $73.4 million compared to $80.4 million in the second quarter of 2025. The year-over-year revenue decline was due entirely to the wind down of migrant-related projects. Removing migrant-related revenues, we saw a revenue increase of 19% year-over-year in Q2. This was partially due to the October 2025 acquisition of SteadyMD, which added $8.9 million in revenues in Q2 of this year. Removing the impact of both the migrant-related revenues in the 2025 period and the SteadyMD revenues in the 2026 period, revenues still increased by about 5% year-over-year. Medical Transportation Services revenue increased to $52 million in Q2 of 2026 from $49.6 million in the second quarter of 2025, slightly surpassing Q1's transport revenues as the highest quarterly number in DACO's history. Revenues are driven higher by gains in both large and small U.S. markets, with some of the strongest growth in markets like New York, Texas, and Tennessee. We continue to see increasing demand across most of our markets. Mobile health revenue for the second quarter of 2026 was $21.4 million, down from $30.8 million in the second quarter of last year. Again, driven by the wind-down of migrant revenues. Non-migrant mobile health revenues surged by 78%, driven by increases in care gap closures, remote patient monitoring, and mobile phlebotomy, and by the inclusion of revenues from SETI-MD, which we acquired during the fourth quarter of 2025. Adjusted EBITDA for the second quarter of 2026 was a negative $6.3 million compared to an adjusted EBITDA of negative $6.1 million in the second quarter of 2025. The adjusted gross margin, which removes the impact of depreciation and amortization and is the measure of margins that we track most closely, was 30.5% in the second quarter of 2026 compared to 31.6% in the second quarter of 2025. During the second quarter of 2026, adjusted gross margins for the medical transportation segment with 32%, compared to 31.1% in Q2 of 2025, and up slightly from the first quarter of this year. Medical transportation gross margins are still being restrained by higher-than-planned effective hourly wages for field labor. However, we have taken solid strides toward increasing our field headcount in the first half of 2026, and we saw the overtime rate decline again in the second quarter of 2026 to approximately 8.1%. which is the lowest level that we've seen since the second quarter of 2024. Transport gross margins were also impacted by increased fuel costs with our per gallon price rising to $4.27 in Q2 of 2026 compared to $3.16 per gallon in last year's second quarter. We estimate that fuel costs restrained transport gross margins by about 60 basis points versus last year the consolidated gross margin by about 40 basis points. Mobile health segment adjusted gross margin was 27% versus 32.5% in the second quarter of 2025. Steady MD gross margins were several points lower than normal, reflecting aggressive hiring in the first half, the catch-up to the increased demand from large customers, and an anticipation of higher seasonal volumes in Q3 and Q4. Now this factor, which is expected to normalize later in 2026, was partially offset by greater relative contributions from higher margin mobile health service lines Such as remote patient monitoring and mobile phlebotomy. In fact, if you look at the underlying gross margins of the mobile health segment, there's actually solid improvement that is taking place. In last year's second quarter, more than 60% of mobile health revenues were derived from migrant-related projects, which generated gross margins of 37.1%. Absent these revenues, the mobile health gross margins from continuing business lines improved by more than 500 basis points. As we saw improved margins from the healthcare and the home business, and the high margin mobile phlebotomy and remote patient monitoring business lines accounted for a greater proportion of mobile health revenues than in last year's second quarter. While gross margins came in a little below expectations, operating expenses declined as anticipated. This was due to our cost-cutting actions that have been undertaken so far this year in the areas of headcount and vendor spending. Offsetting this impact were increased recruiting costs. Due to the need to ramp up the hiring, onboarding and training of EMTs and mobile health clinical staff, to meet customer demand. During the second quarter, we spent approximately $300,000 on recruiting outreach, supplementing the efforts of our in-house recruiting team. With steady MDs hiring push mostly behind us, our continued cost-cutting efforts during the first half of 2026, and additional savings from our efficiency portfolio initiatives still to come, we expect continued sequential declines in SG&A as we go throughout the year. Looking to the rest of 2026, As Lee mentioned in his comments earlier, and as we pointed out in our press release, we are narrowing the range for our revenue guidance for 2026 based upon what we have already seen in the first half of the year. We now see full-year revenues in the range of $305 to $310 million, which is within the range of $300 to $315 that we shared on our last call in May. It's also higher than the $290 million to $300 million that we shared in mid-March, and our initial guidance for the year of $280 million to $300 million. This does not include any revenue assumption from High Acuity. As the timing of the closing of the High Acuity acquisition becomes more clear, we will update our revenue guidance accordingly. Our guidance for 2026 also does not include any revenues from Ligand-related projects and therefore represents 21% to 23% growth over 2025's base revenues. We now anticipate a full year adjusted EBITDA loss in the range of $17 million to $22 million compared to our previous guidance of $5 million to $10 million. adjusted EBITDA loss. As our EBITDA loss for the first half of 2026 was larger than anticipated, and as our current gross margin trajectory, albeit upward sloping, is still somewhat lower than what we had originally anticipated. Finally, turning to the balance sheet. At June 30th, 2026, our total cash and cash equivalents, including restricted net cash and investments, was $48.1 million, down from $59.9 million at March 31st, 2026. Available cash was $25.2 million, down from $35.7 million at March 31st. On April 1st, we received approximately $8 million in migrant-related accounts receivable owed by New York City's Department of Housing Preservation and Development, HPD, which we had expected to see during the first quarter. We are working on collecting the remainder of these receivables, although the timing of these future collections remains unpredictable. However, the HICUIDI transaction specifically the term loan commitment from Perceptive which will replace our existing asset back line of credit represents a major step forward for DOTCO. This transaction will immediately reshape our balance sheet providing us with the flexibility we need to execute our growth plans. Over the longer term, we will continue to explore and execute steps necessary to reposition our business line portfolio and to strengthen our balance sheet making the company leaner, More profitable and more easily understood by investors and partners alike. At this point, I'd like to turn the call back to the operator for Q&A. Operator, please proceed.

Thank you. Ladies and gentlemen, we will now begin the question and answer session. To ask a question, you may press the star followed by the number one on your cell phone keypad. And to avoid your question, please press the star followed by the number two. Your first question comes from the line at Brian McDonald with Needham. Please go ahead.

Hi, thanks for taking my questions. Maybe to start for HiQuity Health Acquisition, can you just talk about sort of the customer between you and HiQuity at the moment and sort of what the opportunities it presents? And then, you know, you talked about $65 million of revenue. You know, how fast is the business growing generally? And then on the acquisition, you know, what's sort of the Gating factors or inhibiting factors to getting that closed at the end of the year. Thanks.

Absolutely. Thanks, Ryan. Great to hear from you. Your line was a little broken up, but I think we got the gist of the question, so we'll do our best to answer. Of course, we can follow up with anything. On Hikuity Health, you mentioned about the existing customer base. Hikuity Health works primarily with hospital systems and health systems. and so there is significant overlap of course with our hospital system partners where we work on the medical transportation side and High Cutie Health works with hospital systems as well providing tele-ICU and virtual care services so we think there's some nice overlap there and of course we work with some hospitals they don't and of course they work with we work with hospitals they don't they work with hospitals that we don't so that we think there's a nice opportunity there. In addition a lot of their programs include Some virtual care in the home, transitional care management of patients that are being discharged to the home. And we think there's a nice opportunity for us to be able to provide additional in-person care services in the home, like mobile phlebotomy and other preventative care and transitional care services in the home. So in addition to the virtual care synergies that we have with them and and all of our virtual care work. We also think there's a nice opportunity for us to cross-sell and beyond cross-sell, offer a full suite of services to patients in their home, both virtual and in-person. That is an absolutely crucial component because we know payers, hospital systems are all focused on that link between the hospital and the home. And we've had great success in transitional care management programs where patients are being discharged They're going to the home, and we're following up in the 30-day postage charge window, and we've been able to reduce hospital readmissions with that cohort by about 50% to 60%. So this continues to deepen our link between the hospital and the home, which we think is incredibly valuable for both hospitals and insurance partners that we have. I think you also mentioned the question, again, it was cutting in and out, but we heard a portion of the question was relating to revenues. As I mentioned in the prepared remarks, does have about $65 million of trailing 12-month revenues. Of course, we're going to do everything we can to support that growth. We're going to do everything we can to support them with the resources that they'll need to grow with the current existing customers they have, as well as an opportunity for us to go to market together, which we're very, very excited about.

Appreciate the call there, Lee. Sorry for breaking up. Hopefully I'm a little bit clearer now. Maybe on a separate note, I wanted to ask about the remote patient monitoring business. Obviously CMS has got a proposed rule out there that might limit or eliminate sort of Medicare reimbursement for RPM in 2027. So just curious sort of what potential risks that creates to your RPM offering. Does HICU have any exposure there as well? And just how you're kind of sort of viewing that situation. Thanks.

Yeah, and we can hear you loud and clear now, Ryan. Thank you. So, yeah, as you mentioned, there's been some discussion about RPM, RPM rates, the RPM program overall from CMS. And I think the first piece that at least we're looking at, it impacts RPM, but there's a big component of what we do that goes along with RPM, which is really chronic care management and transitional care management. and those pieces are incredibly valuable, right? Managing, helping manage chronic conditions and then also, again, managing the transition of patients from hospital to home and there's really no discussion about those types of programs, again, which are all centered around not just monitoring a patient but also managing a patient and we think that is a very, very big distinction. We think, you know, Overall, I'll see over time that the industry is going to reward managing chronic conditions versus simply monitoring the data that's coming in. And so, again, there's telemetry monitoring that Hikuity is doing. We have our programs on the RPM side, but all are in service of not just monitoring the patient but helping manage the patient, and that's where our clinical practice comes in. So we're not merely a monitoring company but rather, again, a clinical practice that helps manage the chronic conditions. So that's the big component. We have about 2,000 patients that kind of fit into that RPM program today. The vast majority of the around 55,000 patients that we monitor, again, dot go and hopefully more with high acuity. But the vast majority of those patients are cardiac patients. I know, as you know, they're implantable cardiac electronic device patients that we're monitoring. And again, there's no discussion. Those are obviously heart failure patients that we're monitoring on a regular basis. and so, again, no discussion there. So, net-net, I think monitoring for monitoring's sake, especially patients, again, that are not chronically ill, I think, again, may come under some pressure, but managing patients in their chronic conditions, I think over time is going to get rewarded more and more and that's exactly what we do.

And, Ryan, I think you also asked about hurdles, any hurdles to the close of the high-QD transaction. So, None that I think are particularly troubling. I mean, obviously, you need to get state regulatory approvals, which, you know, we think should not be much of an issue other than timing because that's always unpredictable. And there is – there are a couple of customers here and there that have to give their approval. But, again, we've already been in touch with them, and we don't think that's going to pose a particular challenge for us.

Appreciate the follow-up there, Norman.

Thanks for everything. I'll hop back in here.

Thanks, Ryan.

And your next question comes from the line of Richard Close with Canaccord Genuity. Please go ahead.

Yeah, thanks for the questions. Congratulations on the progress and the acquisitions. So just maybe to clean up a little bit on Ryan's questions, maybe Norm, if you could just follow up on the $65 million trailing 12-month revenue. How does that compare to the comparable 12 months? Has the business been growing? Let's just start there.

Yeah, sure, and I'll take a look back and look forward as well because part of our process here, we do have their projections, which are going to have to be worn out once we own it. I would say it's growing probably at a low double-digit rate, so maybe about 10%. When I look out to think about what they're looking at for 2027, you're probably looking at a low double-digit, 10% to 12% growth rate, and that's what's been happening. Now, that's been happening while certain business lines or service lines have been growing. Others have been shrinking. They've been pivoting away from them. But on the overall level, that $65 million is something that's growing. I would say let's call it a 10% to 12% growth rate. I think that's helpful.

Okay, very helpful there. And then, Lee, maybe just cleaning up on the RPM response to Ryan. Are you saying that you have about 2,000 patients that essentially could be at risk from this CMS change, and you have about 50... a vast majority of 55,000 that are these cardiac patients that you would see no impact?

That's correct. Yeah, so you got the numbers exactly right. It's about 55,000 implantable device monitoring patients, again, that we have today. Again, these are pacemakers, loop recorders, again, not being discussed. And obviously, these patients, it's critically important that those devices, those transmissions get monitored on a regular basis. And that's exactly what our team does an incredible job of day in, day out, partnering with cardiac clinics and so forth. Again, not relevant to any of the discussions happening today. As you mentioned, we started enrolling patients in RPM and particularly CCM. We call it total care management because, again, we don't only focus on receiving the data, let's say a patient's blood pressure or weight, but rather we use the patient's blood pressure or weight or pulse ox or a number of different data points that may come in as a way to more effectively manage their chronic condition. We started enrolling patients in that about the end of last, I would say, for the beginning of this year. So we've been growing that. But again, we don't only focus on the RPM aspect of it. We are really focused on the chronic care management facets and transitional care management facets of it. And those pieces, again, are not being discussed by CMS. So over time, I do think it makes sense. Again, if I'm thinking about the industry and what the industry should be rewarding, we should be rewarding companies like ours that are impacting patient outcomes or managing, helping manage chronic conditions of which 160 million Americans have chronic conditions today. Not simply getting the data, but what are we doing with that data? And I think that's probably, again, time will tell, but that's probably... My belief is probably what CMS is pushing here, which is we're not going to reward groups and practices and companies for merely collecting the data, but rewarding them and incentivizing them to help use that data to better manage the chronic condition. And again, none of those programs like CCM, like PCM, principal care management, and TCM, transitional care management, are being talked about alongside some of these RPM rate cuts.

Okay, that's helpful. And then maybe just back on this cross-selling between the two businesses once the transactions close. I'm just curious, you know, have you guys talked to, you know, any of the, you know, your customers, Docco Health System customers, or on the Hucuity side? they've already expressed interest maybe in the various programs of the two companies and so I'm just curious there you know understand the transportation business and that's quite quite a bit different than Acuity so just curious what you found so far.

Yeah and it's a great question I think Partly we've been a little sensitive because, again, obviously this was an important transaction and it needed to be confidential and discreet. But we have had conversations both with some customers either that we have today on the medical transportation side as well as customers of Hikui that we need consent for the transaction. And so we have had conversations, I think, first and foremost with our transportation customers We do have very strong, longstanding relationships with some of the major hospital systems that we've been providing medical transportation for over a number of years. And I was meeting recently with one of the presidents of a very large hospital system that we're working with. And there's certainly the need to help staff and to help provide services and support virtually for some of the hospitals where they're having a hard time staffing in person. and so, you know, again, I think the relationships are there. I think perhaps medical transportation and let's say the virtual tele-ICU or telemetry monitoring are not as overlapping in sort of the service levels but the relationships certainly are. And we have an opportunity to work deeper with the hospital systems that they know we deliver, we execute, we innovate, our software is beloved and valued and so bringing them more solutions that, again, execute, deliver, bring them value, have software that delivers, I think, again, will be very, very well received, and I think we've started to have, tangentially, some conversations around that, for sure. Okay, that sounds cool. I just want to add one more point, so I didn't interrupt you. I just want to add one more point, which is, again, we've seen with SteadyMD and then, you know, hopefully now with HighQuity, where we provide virtual care, a big differentiator for us, and we are placing... you know resources there we've placing a bet there which we feel very passionately about is our ability not just to be with the patient virtually right in HiQity's case let's say in the hospital or in the home in studying these case you know to be with the patient virtually but our ability at .go to add to be present with the patient in their home both virtually and in person and so again today we have some of our partners that are providing virtual care, let's say, for high acuity, but then also seeking services for other people to come into the home, let's say, to do mobile phlebotomy, to take a lab specimen, or to do wound care, or to redress the incision site. Again, all things that we can do in the home. So that is a very big aspect of what we're doing. Both, again, high acuity and steady and our other business lines that are either doing medical transportation or care virtually, We can now add that care in the home component, which we think is a very big differentiator.

Okay, that's helpful. And then just, like, once this deal closes, you mentioned some areas of... to be able to get some cost savings. You mentioned streamlined clinical functions. So I'm curious about what exactly you're talking about there on that front. It's not necessarily intuitive to me. It seems like two different businesses. So how are you thinking about the clinical function streamline?

Yeah, so it's a great question. Thank you. So I With the clinical operations, in many cases, you need a multi-state clinical practice group. So as an example, DOTCO, when we did the StudyMD acquisition, DOTCO was providing clinical services and had clinical practice groups in multiple states, and StudyMD had a 50-state clinical practice group. And so instead of having overlapping clinical practice groups, we integrated them into one clinical practice group that was licensed across all 50 states. Here, too, HiQity provides services in 30 states across the country, again, with various clinical practice groups and clinical infrastructure. And, again, we see an opportunity to bring them together, the ability to utilize the 400-plus clinicians that HiQity has alongside our 500 or 600 clinicians that we have today and to put them into one team and to integrate them to be able to scale what we're doing. in a way. And that's, again, what we did with SteadyMD. There's overlapping clinical practice groups, and then we can merge the teams and see efficiencies there on the clinical side. There's also just a tremendous amount of operational efficiencies, again, that we can leverage. A lot of times we're using similar vendors, and so now we're going to be using maybe similar vendors with more scale. It gives us more purchasing power. A lot of times we're using overlapping systems for cyber and IT. Again, allows us to work together to synergize some of the overlap there. So there's going to be a lot of areas where we think that we can benefit both organizations and bring the cost down of both organizations by bringing them together.

Perfect. Thank you. Congrats. Thanks.

And once again, if you would like to ask a question, please press star 1 on your telephone keypad. Your next question comes from the line of David Larson with BTAG. Please go ahead.

Can you repeat what the sort of pure organic revenue growth rate number was?

I'm sorry, Dave.

Hello?

Hi, Dave. Yeah, you cut out just a minute there. We heard your question, but maybe you could just repeat it, just make sure we got it clearly.

What was the organic revenue growth rate order? I think Norm said it was 5%.

Yeah, let's define organic. And by organic, what we're doing is we're looking at business lines that existed both in Q2 of 25 and Q2 of 26. So that would mean removing the migrant revenue from Q2 of last year and removing the steady MD revenue from Q2 of this year. And that number was roughly 5% year over year.

And then I think you said you're done.

I mean,

I'm assuming it's a cost reduction effort?

Dave, we had a hard time hearing you on that. Can you maybe repeat the question?

I'm sorry. Sorry for the bad connection here. Can you hear me now?

Yeah, we can hear you great now. No problem. We can hear you great.

Okay, so you did that break-even exiting 2026. Can you maybe just talk a little bit about how you're going to get there? I mean, it was a pretty significant loss in the quarter here. Are you assuming, like, incremental revenue growth?

Yeah, it's yes, yes, and yes, right? It's incremental revenue growth, which is what we had modeled out, which is what we've sort of been seeing, you know, a little bit of a sequential growth rate. A little bit of transport growth, but more to the point, we're going to see some pretty good seasonal increases in SteadyMD and some of our carryout closure business. Our other mobile health business lines continue to perform admirably, and they're growing on a sequential basis. There's also the margin thing. We talked about how I mentioned how our margin trajectory is moving in the right direction. It's definitely moving higher. But it's at a lower level now than really where we had projected it to be. So, for example, we felt that we were restrained by, you know, over a point, over maybe a point and a quarter, almost a point and a half between the impact of gas prices on the transport side of the business and steady MD temporarily low margins in the second quarter of the year. So if you take those factors away and then you just sort of look at the general performance of the business, that would indicate performing at maybe a point and a half, almost two points higher on gross margins. So on about $75, $80 million of revenue, that will get you almost $2 million. So that would be another factor. And then continued sequential declines in SG&A that we expect. We have more of the people who are no longer here but are still on our payroll because of severance. Those people are rolling off and have started to roll off. You'll see a greater impact on that in Q3. The repricing of vendors or the substituting one vendor for the other, a lower cost vendor, that obviously also will have an impact. All of those things are things that, as we pointed out on the last call, start to have impacts as we go throughout the year. So it's really all three. It's a little bit of higher revenue, a little bit of increase in revenue, improved margin. I think that's really where some of the biggest impacts are going to be seen on the gross margin side. and then continued decline in SG&A and that would add up to getting us to pretty close to a break-even run rate.

Okay, and then just one more quick one. You say like there's some pretty high growth rates quoted in your press report for the earnings news report. Have you sized the amount of revenue coming from these areas like mobile phlebotomy, health care in the home, cardiac and remote patient monitoring? virtual care lab orders. I mean, these revenue growth rates look wonderful. I guess just how much revenue is in each of these buckets? Can you just sort of put some parameters around it?

Sure. I'll give you a general idea of what the quarter number was and the run rate. So let's start with remote patient monitoring. The CRMS business, cardiac RMS business, had revenues of about $4.5 million in the quarter. So, again, if you look at that on a run rate basis, that's an $18 million annualized number. And, you know, last year, I think, the full year of 2025, they ran something in the 15 area. So, that's a pretty good percentage growth rate. That's about a 20% growth rate on top line. Stadium D did about 8. That's a virtual care business that we just acquired late last year. So, that did about $8.9 million. We had mentioned seasonally, as Lee mentioned in his comments, that summer is a little bit of a slower season. So they did 8.9 versus, I think, 9.5 in the first quarter. But then you get back to that trajectory in the second half of the year. PTI, which is our mobile phlebotomy business, is currently in the quarter, ran at about $1.4, $1.5 million. So, again, that's a run rate of about $6 million. That's a business that we acquired that I think was at a run rate of about $4 million a year. So, again, you've seen a pretty big increase there. And it was a very high-margin business. that sort of gives you the idea of where our larger business lines are. The care gap closure business, I think, also is running at, you know, over somewhere between a million and two million dollars in the quarter.

Okay, very helpful. Thank you.

And I'm showing no further questions at this time. I would like to hand it back to our CEO, Lee Bienstock, for closing remarks.

Thank you so much, and thank you all for joining us. Speak to you soon. Be well.

Ladies and gentlemen, this concludes today's conference call. Thank you all for joining. You may now disconnect.