Selectis Health Reports $39.5 Million Revenue for Fiscal Year 2024, Driven by Healthcare Growth

Selectis Health, Inc. reported a total revenue of $39.5 million for the fiscal year ending December 31, 2024, marking an increase of 7% from $36.8 million in the previous year. The growth was primarily driven by a 13% rise in healthcare revenue, which reached $39.2 million, up from $34.5 million in 2023. This increase was attributed to higher Medicaid rates at the company's facilities in Georgia and Oklahoma. However, rental revenue saw a significant decline of 49%, falling to $321,352 from $634,570, due to the sale of the Archway Property in June 2024, which had previously contributed approximately $53,000 in monthly rental income.

Selectis Health's operational expenses decreased to $42.2 million in 2024 from $45.7 million in 2023, reflecting a reduction in property taxes, insurance, and general administrative costs. The company reported a loss from operations of $2.7 million, an improvement from the $9 million loss recorded in the prior year. The net loss attributable to common stockholders was $2.4 million, or $(0.80) per share, compared to a net loss of $4 million, or $(1.31) per share, in 2023. The decrease in losses was partly due to a significant reduction in the provision for credit losses, which fell by 62% to $1.04 million.

In terms of strategic developments, Selectis Health has transitioned from leasing its facilities to an owner-operator model, now operating nine healthcare facilities compared to just one two years prior. The company has also engaged in significant asset sales, including the Goodwill Hunting property, which generated a gain of $2.1 million in 2024. As of December 31, 2024, Selectis Health employed 616 individuals, a slight decrease from the previous year, reflecting ongoing efforts to streamline operations and reduce costs.

Looking ahead, Selectis Health's management expressed concerns regarding liquidity, with a working capital deficiency of $16.1 million as of year-end. The company has indicated that its ability to continue as a going concern is contingent upon successfully executing its business strategy and raising additional funds through equity or debt offerings. The company plans to focus on increasing revenue, reducing costs, and achieving a satisfactory level of profitable operations to improve its financial position. The ongoing regulatory environment, particularly in relation to healthcare reimbursement and operational compliance, remains a critical factor influencing the company's future performance.