Stonegate Capital Partners has updated its coverage on Viemed Healthcare, Inc. (NASDAQ: VMD), highlighting the company's strong financial performance in fiscal year 2025. For FY25, Viemed reported net revenue of $270.3 million, a 21% increase year-over-year, along with net income of $14.9 million and record adjusted EBITDA of $61.4 million. The growth was attributed to continued platform momentum, contributions from the Lehan’s acquisition, and broader tailwinds from the shift to in-home care, as well as accelerating adoption in sleep and resupply services.
A key headwind during the year was the updated National Coverage Determination (NCD), which introduced additional documentation requirements and tightened coverage criteria, temporarily moderating ventilator patient growth. However, Stonegate noted that reimbursement levels were unchanged and that ventilator activity has already begun to normalize. Viemed ended the year with free cash flow up 141% year-over-year, underscoring its operational efficiency.
Stonegate identified several key takeaways from Viemed's performance. Sleep and resupply services are increasingly overtaking ventilation as primary growth drivers, improving the quality of recurring revenue and reducing sensitivity to regulatory changes. The Lehan’s acquisition broadens Viemed's commercial exposure, diversifies its payor mix, and creates a longer runway for scaled growth. Despite margin mix pressure from these expanding services, Stonegate believes that FY26 guidance and current valuation suggest that Viemed's durable growth remains underappreciated by the market.
For more details, the full announcement is available here. Stonegate Capital Partners is a leading capital markets advisory firm providing investor relations, equity research, and institutional investor outreach services for public companies.
