On Monday, RadNet, Inc. (NASDAQ:RDNT) reported record fourth-quarter revenue and adjusted EBITDA, beating Wall Street estimates on strong imaging demand and improved efficiency. Shares rose following the results and the company’s announcement of an acquisition of the Paris-based AI firm Gleamer.

Quarterly Performance And Street Comparison

Fourth-quarter revenue rose 14.8% year over year to $547.7 million, topping the consensus estimate of $515.7 million. Adjusted EBITDA increased 16.9% to $87.7 million, lifting adjusted EBITDA margin to 16.0% from 15.7% a year earlier.

Adjusted diluted earnings came in at 23 cents per share, ahead of the 20-cent analyst estimate but down slightly from 24 cents in the prior-year quarter.

Advanced imaging procedures (MRI, CT, and PET/CT) climbed 14.1% year over year, with same-center advanced imaging up 9.6%. PET/CT led growth, while MRI and CT also posted double-digit gains, reinforcing management’s view that higher-acuity imaging continues to outpace routine exams.

Digital Health revenue, including intercompany revenue, jumped 48.2% to $27.9 million. Segment adjusted EBITDA rose to $4.9 million from $4.5 million a year earlier, reflecting continued scaling of the platform.

On an unadjusted basis, RadNet reported a ...