Mobile health services provider DocGo has posted a net income of $4.6m in the third quarter of 2023 (Q3 2023), an 84% increase compared with $2.5m in the same period last year.

Basic net income per share attributable to DocGo and its subsidiaries reached $0.05 in the quarter, versus $0.03 in the previous year.

For the quarter ended 30 September 2023, the company’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) stood at $13m.

This marked a 78.1% growth from $7.3m in the prior year.

Total revenues for the quarter amounted to $186.6m, a 79% rise from $104.3m in Q3 2022.

The growth was largely driven by higher Mobile Health Services revenues, which soared 82% to $139.3m in the quarter from $76.6m a year ago.

Transportation Services revenues increased 70% during the same period, to $47.2m from $27.7m.

Net income margin for Q3 2023 was 2.5%, compared with 2.4% last year.

DocGo’s backlog expanded to $430m, and it held $67.3m in cash and cash equivalents as of 30 September 2023 compared with $123.8m on 30 June 2023.

The company has now lifted its 2023 revenue outlook to $615-625m, from the prior range of $540-550m.

DocGo chief financial officer and treasurer Norm Rosenberg said: "As expected, we experienced significant earnings leverage in the third quarter due to our strong top-line growth. While we did experience higher costs associated with the aggressive ramp-up of new projects, we are encouraged by the net margin and adjusted EBITDA margin expansion we witnessed during the period and expect further improvements in Q4 and beyond. The decline in cash balance was driven by substantial receivables associated with the large HPD project under which payments have commenced.”