NEW YORK, July 20, 2021 /PRNewswire/ -- Motion Acquisition
Corp. ("Motion") (Nasdaq: MOTN), a special purpose acquisition
company, and its merger partner Ambulnz, Inc., dba DocGo, a leading
provider of last-mile telehealth and integrated medical mobility
services, announced today that DocGo has disclosed select
preliminary unaudited financial results for its second quarter
ended June 30, 2021.
"We are delighted to report another strong quarter of positive
business momentum highlighted by 175% revenue growth, positive net
income and positive Adjusted EBITDA performance," said Stan Vashovsky, CEO of DocGo. "While COVID-19
testing revenue subsided in the second quarter, we have
successfully redeployed our resources across medical mobility and
mobile health to generate long term growth. We are pleased to
increase our full year revenue outlook to $170 million as a result."
Preliminary Second Quarter Financial Highlights and Increased
2021 Full-Year Revenue Outlook
- Total revenue was $61.9 million
in the second quarter of 2021, representing another record quarter
for DocGo, and a 175% increase from $22.5
million in the second quarter of 2020.
- Mobile health revenue increased to more than $33.0 million in the second quarter of 2021,
compared to $3.1 million in the
prior-year period. Medical mobility revenue was approximately
$28.6 million, up 47% from
$19.5 million in Q2 of 2020.
- DocGo's GAAP-basis net income was $0.1
million in the second quarter of 2021, which represents a
substantial improvement over the net loss of $1.7 million in the second quarter of last
year. Adjusted EBITDA was approximately $2.9 million in the second quarter of 2021 even
after significant investments made in regional expansion and
personnel, versus an Adjusted EBITDA loss of $0.2 million in the prior-year period.
- Excluding COVID-related testing, revenue more than doubled
year-over-year, with ongoing positive momentum in the core
business.
- As a result of the strong revenue performance and positive
business trends expected for the balance of the year, DocGo is
raising its outlook for full-year 2021 revenue to at least
$170 million, compared to its prior
increased outlook for 2021 revenue of at least $160 million. The company reiterates
its prior full year guidance of $6
million in Adjusted EBITDA while continuing to make
investments in future growth.
Recent Business Highlights
- Hired Michael Costa, former VP
of North Atlantic Territory for Aetna Inc., as EVP of Strategy, to
bolster DocGo's senior management ranks, lead sales efforts across
mobile health and transportation, and establish new payer
relationships.
- Hired 452 new employees in Q2 2021, bringing total hires for
the year to 961, and total headcount to 2,388.
- Launched medical transport services in Illinois to provide improved transportation
experience for Fresenius Medical Care North America kidney
dialysis patients.
- Launched Mobile Health services in Arizona and Washington state.
- Expanded our relationships within the cruise industry, helping
Carnival Corporation relaunch passenger cruises and integrating our
proprietary HealthPoint patient portal with SeaCare, the cruise
industry's leading EMR system.
- Launched Street Health Outreach and Wellness program to
facilitate a range of mobile medical services – including wound
care, physicals, social work services and vaccines – to NYC's
street homeless population.
"Today's preliminary second quarter results and raised outlook
for 2021 further validate the compelling opportunity DocGo
represents to its shareholders," commented Michael Burdiek, Chief Executive Officer of
Motion. "We see tremendous long-term potential for DocGo as Stan
and his team scale the business to meet demand for the Company's
expanded portfolio of mobility and health services in new and
existing markets. We look forward to supporting their efforts as we
move through the process towards a public listing for DocGo."
The foregoing unaudited preliminary financial results represent
the most current information available to DocGo and are based on
calculations or figures prepared internally that have not yet been
reviewed by DocGo's independent registered public accounting
firm. DocGo will provide its full financial results for the
second quarter of 2021 in an amendment to the previously filed
registration statement on Form S-4, which was filed by Motion on
July 2, 2021, relating to the
proposed business combination. Actual second quarter
financial results may be materially different from the preliminary
results described above and are subject to the risk factors and
uncertainties identified in this press release and in the filings
with the Securities and Exchange Commission (SEC) made by Motion
and DocGo.
About DocGo
DocGo is a leading provider of last-mile telehealth and
integrated medical mobility services. DocGo is disrupting the
traditional four-wall healthcare system by providing care at the
scale of humanity. DocGo's innovative technology and dedicated
field staff of certified health professionals elevate the quality
of patient care and drive business efficiencies for facilities,
hospital networks and health insurance providers. With Mobile
Health, DocGo empowers the full promise and potential of telehealth
by facilitating healthcare treatment, in tandem with a remote
physician, in the comfort of a patient's home or workplace.
Together with DocGo's integrated Ambulnz medical transport
services, DocGo is bridging the gap between physical and virtual
care. DocGo and Motion Acquisition Corp. (Nasdaq: MOTN)
previously announced their definitive business combination
agreement and recently filed a registration statement on Form S-4
with the SEC. Upon closing of the transaction, the combined
company will operate under the DocGo name and will be listed on
Nasdaq under the new ticker symbol "DCGO". For more
information, please visit www.docgo.com.
About Motion Acquisition Corp.
Motion Acquisition Corp. is a special purpose acquisition
company (SPAC) formed for the purpose of effecting a business
combination with one or more target businesses or entities. Motion
was founded by a management team and board comprised of seasoned
business executives recognized as pioneers in the transportation
software and technology sector that possess substantial operating
and acquisition experience. Motion is listed on Nasdaq under the
ticker symbol "MOTN." For more information, please
visit https://motionacquisition.com/.
Non-GAAP Financial Measure
"GAAP" refers to financial information presented in accordance
with U.S. Generally Accepted Accounting Principles. This
announcement includes Adjusted EBITDA, a measure calculated other
than in accordance with GAAP. This non-GAAP financial measure is
provided in addition to, and not as a substitute for, measures of
financial performance prepared in accordance with GAAP.
DocGo defines Adjusted EBITDA as earnings before investment income,
interest expense, taxes, depreciation, amortization, stock-based
compensation, litigation provisions and merger-related
expenses. Internally, this non-GAAP measure is used by
management for purposes of evaluating DocGo's core operating
performance, establishing internal budgets, calculating return on
investment for development programs and growth initiatives,
comparing performance with internal forecasts, strategic planning,
evaluating and valuing potential acquisition candidates, and
benchmarking performance externally against competitors. DocGo
believes this non-GAAP financial information provides additional
insight into our financial performance and future prospects of the
company's core business and have therefore chosen to provide this
information to investors to help them evaluate our results of
operations and enhance the ability to make period-to-period
comparisons.
Cautionary Statement Regarding Preliminary Estimated
Results
The financial results for DocGo's second quarter ended
June 30, 2021 are preliminary,
unaudited and subject to finalization. They reflect DocGo
management's current views and may change as a result of DocGo's
further review of results and other factors, including a wide
variety of significant business, economic and competitive risks and
uncertainties. Such preliminary results should not be viewed as a
substitute for full quarterly financial statements and accompanying
footnotes prepared in accordance with GAAP. Motion and DocGo
caution you that these preliminary results are not guarantees of
future performance or outcomes, and that actual results may differ
materially from those described above. For more information
regarding factors that could cause actual results to differ from
those described above, please see "Cautionary Statement Regarding
Forward-Looking Statements" below.
The preliminary second quarter financial results have been
prepared by, and are the responsibility of, DocGo's management.
DocGo's independent registered public accounting firm has not
audited, reviewed, compiled, or applied agreed-upon procedures with
respect to the preliminary estimated financial information, and
does not express an opinion or any other form of assurance with
respect thereto.
Cautionary Statement Regarding Forward-Looking
Statements
This announcement contains forward-looking statements (including
within the meaning of Section 21E of the U.S. Securities Exchange
Act of 1934, as amended, and Section 27A of the U.S. Securities Act
of 1933, as amended) concerning DocGo. These statements include,
but are not limited to, statements that address our expected future
business and financial performance and statements about (i) our
plans, objectives and intentions with respect to future operations,
services and products, (ii) our competitive position and
opportunities, and (iii) other statements identified by words such
as "may", "will", "expect", "intend", "plan", "potential",
"believe", "seek", "could", "estimate", "judgment", "targeting",
"should", "anticipate", "predict" "project", "aim", "goal",
"outlook", "guidance", and similar words, phrases or expressions.
These forward-looking statements are based on management's current
expectations and beliefs, as well as assumptions made by, and
information currently available to, management, and current market
trends and conditions. Forward-looking statements inherently
involve risks and uncertainties, many of which are beyond our
control, and which may cause actual results to differ materially
from those contained in our forward-looking
statements. Accordingly, you should not place undue reliance
on such statements. Particular uncertainties that could materially
affect current or future results include possible accounting
adjustments made in the process of finalizing reported financial
results; any risks associated with global economic conditions and
concerns; the effects of global outbreaks of pandemics or
contagious diseases or fear of such outbreaks, such as the COVID-19
coronavirus pandemic; competitive pressures; pricing declines;
rates of growth in our target markets; our ability to improve gross
margins; cost-containment measures; legislative and regulatory
actions; the impact of legal proceedings and compliance risks; the
impact on our business and reputation in the event of information
technology system failures, network disruptions, cyber-attacks, or
losses or unauthorized access to, or release of, confidential
information; and the ability of the company to comply with
laws and regulations regarding data privacy and protection.
We undertake no intent or obligation to publicly update
or revise any of these forward-looking statements, whether as
a result of new information, future events or otherwise.
Additional Information and Where to Find It
This press release relates to a proposed transaction between
DocGo and Motion. Motion has filed a registration statement on Form
S-4 with the SEC, which includes a document that serves as a
preliminary prospectus and proxy statement of Motion, referred to
as a preliminary proxy statement/consent solicitation/prospectus,
and certain related documents, to be used at the meeting of Motion
stockholders to approve the proposed business combination and
related matters. Investors and security holders of Motion
are urged to read the registration statement, the preliminary proxy
statement/consent solicitation/prospectus, and any amendments
thereto, and all other relevant documents filed or that will be
filed with the SEC in connection with the proposed transaction as
they become available because they will contain important
information about DocGo, Motion, and the proposed
transaction. The definitive proxy statement will be mailed
to Motion stockholders as of a record date to be established for
voting on the proposed business combination. Investors and security
holders will be able to obtain free copies of the registration
statement, the proxy statement/consent solicitation/prospectus and
all other relevant documents filed or that will be filed with the
SEC by Motion, once such documents are filed, through the website
maintained by the SEC at www.sec.gov.
The documents filed by Motion with the SEC also may be obtained
free of charge at Motion's website
at https://motionacquisition.com or upon written request to
Motion's counsel, Graubard Miller, 405 Lexington Avenue,
New York, NY 10174. The
information contained on, or that may be accessed through, the
websites referenced in this press release is not incorporated by
reference into, and is not a part of, this press release.
Participants in Solicitation
Motion, DocGo, and certain of their respective directors and
executive officers, under SEC rules, may be deemed to be
participants in the eventual solicitation of proxies from Motion's
stockholders in connection with the proposed transaction. A list of
the names of such directors and executive officers and information
regarding their interests in the proposed business combination will
be contained in the proxy statement/prospectus when available. You
may obtain free copies of these documents as described in the
preceding paragraph.
No Offer or Solicitation
This press release shall not constitute a solicitation of a
proxy, consent or authorization with respect to any securities or
in respect of the proposed transaction. This press release also
shall not constitute an offer to sell or the solicitation of an
offer to buy any securities, nor shall there be any sale of any
securities in any state or jurisdiction in which such offer,
solicitation, or sale would be unlawful prior to registration or
qualification under the securities laws of such other jurisdiction.
No offering of securities shall be made except by means of a
prospectus meeting the requirements of Section 10 of the Securities
Act of 1933, as amended.
Reconciliation of Net
Income to Adjusted EBITDA
|
|
|
(in
$millions)
|
Three months ended
June 30
|
|
2020
|
2021
|
Net Income/(Loss)
(GAAP)
|
$
(1.7)
|
$
0.1
|
(+) Net Interest
expense/(income)
|
$
0.0
|
$
0.1
|
(+) Income
tax
|
$
0.0
|
$
0.1
|
(+) Depreciation
& amortization
|
$
1.3
|
$
1.9
|
EBITDA
|
$
(0.4)
|
$
2.2
|
(+) Non cash stock
compensation
|
$
0.2
|
$
0.4
|
(+) Nonrecurring
expense
|
$
-
|
$
0.3
|
Adjusted
EBITDA
|
$
(0.2)
|
$
2.9
|
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SOURCE DocGo