DocGo Inc. reported second-quarter financial results characterized by management as a transformational period, primarily driven by a definitive acquisition agreement for Hicuity Health, the company’s largest such deal to date. The acquisition is intended to create a vertically integrated platform connecting clinicians with patients across the full care continuum, with a specific focus on bridging hospital and home care services. The company projects significant cost synergies from combining shared corporate functions and streamlining clinical operations across 30 states.
Revenue performance in the quarter reflected mixed dynamics. Core business lines demonstrated a 19% year-over-year increase, though this growth was partially offset by the wind-down of migrant-related projects. Non-migrant mobile health revenues showed stronger momentum, rising 78% due to expansion in care gap closures and remote patient monitoring. The company narrowed its full-year 2026 revenue guidance to $305 million to $310 million, representing 21% to 23% growth compared to 2025 base revenues and excluding any potential contributions from the Hicuity acquisition.
Operational efforts during the quarter included a substantial reduction in force that generated approximately $4.5 million in annual selling, general and administrative savings. Management also highlighted deployment of over 10 active artificial intelligence efficiency programs, with particular gains in mobile phlebotomy where AI handles 60% of inbound and 100% of outbound scheduling calls. The company reported a $6.3 million adjusted EBITDA loss for the quarter, though this represented a 40% sequential improvement from the prior quarter. Management expects to achieve a positive adjusted EBITDA run rate by the end of 2026, though full-year EBITDA loss guidance was widened due to slower-than-expected cost-cutting realization.
Challenges during the period included higher-than-planned effective hourly wages and fuel costs in medical transportation, which rose to $4.27 per gallon. Cash and equivalents declined to $48.1 million at quarter-end. The Hicuity acquisition includes a new funding commitment from Perceptive Advisors, which management indicated will reshape the balance sheet and support future growth. Growth in the second half of 2026 is expected to come from a large enterprise deal with a leading online pharmacy and seasonal volume increases in virtual care services. Management plans to launch an additional 20 efficiency-related programs in late 2026 and early 2027.
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