Morning everyone, welcome to this next session on day three of the 21st Annual Needham Technology, Media, and Consumer Conference. I'm Ryan MacDonald. I lead our firm's digital health research efforts here. I'm pleased to be joined with DocGo CEO, Lee Bienstock. Lee, thanks for joining us today.
Thank you so much, Ryan. Thank you to you and the Needham team. It's great to be here with you.
Okay.
Good morning everybody.
To everyone in the audience, thanks for joining us. This is a presentation format, and so, we will present and go through the slides for about 25, 30 minutes, and then, we'll save some time at the end for some Q&A from the audience. If you do have questions for Lee, please put them in the chat and we'll make sure to get those asked and answered at the end. With that, I'll turn it over to you, Lee.
Wonderful. Thank you so much. It's great to be here with you. I'm Lee, I'm the CEO of DocGo, and our mission is to provide high quality, highly accessible healthcare for all, and I'm really excited to talk to you all about how we do that. Just a quick disclaimer before, this presentation may include forward-looking statements which can be found in their entirety on our website. Okay. With that, here's the DocGo thesis. five key things to take away today. First, we're one of the leading providers of tech-driven mobile healthcare, and I'm gonna talk a lot today about how we do what we do, how we utilize technology to do what we do to bring care to where patients are. We have a foundational expanding medical transportation business.
If you live in any of our markets across the country or the U.K. where we operate our medical transportation business, you may see our light blue ambulances driving around your neighborhoods and communities. We're really proud of the care we deliver with our medical transportation business. It's a foundational asset. You know, we'll do over $200 million of revenue in that business. In Q1, I shared in our earnings call this week that our trip volume in the U.S. is up 17% year-over-year. We're really excited about what we're doing there. We have a rapidly growing care in the home business where we bring medical care to where patients are in their home.
We work with a leading group of health insurance customers to identify patients that have open gaps in care, and we go meet them where they are. I shared on our earnings call this week as well that that business was up 131% year-over-year. We made a great acquisition, which I'll talk more about. Even without that acquisition, this work was up 40% year-over-year even without the acquisition that we made. Of SteadyMD, which I'll talk more about. I mentioned our tech backbone. I'll talk a lot about what we do there. Our leading ordering platform and logistics platform is integrated with Epic, which is a huge component of our work with our hospital system customers.
Of course, anyone working in healthcare will tell you there's just a huge, expanding TAM for what we do. On the medical transportation side, the TAM is about $7 billion-$13 billion, in the care in the home side, CMS estimates is around $230 billion. Really, really big market for us to do a lot of good in. Okay. This is where we operate, and the types of services we operate. I mentioned medical transportation. We have our tech-powered state-of-the-art fleet, and thousands of EMS professionals going and delivering great care with our hospital system partners. I'll talk about some of the customers we have there.
We talked about our mobile healthcare platform, which is a very innovative approach where we send mobile health clinicians into the home paired with an advanced practice provider like a PA, ND, NP, that are virtually directing the visit. I'll talk a lot about some of the efficiencies that we're able to reap there. We have a nicely growing patient monitoring business where we monitor about 55,000 patients today. I shared on our earnings call as well this week that that business has about 60% gross margins, 15%-20% EBITDA, we're really excited about what we're doing there. The vision really is that we can provide care where the patient is, either virtually, remotely, or in person. Of course, where they need to be taken from points of care, we can do that as well.
There are very few people that are putting together this infrastructure to be able to deliver care where patients are. I should also mention we have a very rapidly growing virtual health platform where we did over 1 million telehealth visits in Q1. Async and sync visits, we're really excited about what we're doing there. All told, we operate in all 50 states with our virtual care network, with our patient monitoring network, and then we deliver care in person either through our medical transportation platform or our mobile health platform in the light blue and dark blue states that you see shaded here. We have over 3,000 clinical staff all working, doing amazing work in the field, caring for patients. Over 900 mobile health vehicles out on the road.
We've served over 10 million patients since we started, and they love it. They love it when we come and meet patients where they are. It's a tech-forward experience, very similar to what they'd expect from, you know, many other, you know, consumer type of experiences on the tech side. We bring that to healthcare. Our patient net promoter score is a 92, and it's actually going up, believe it or not. You know, we're really excited. Patients love it. Our partners love it. We work with some of the leading hospital systems, Mount Sinai, Jefferson, NYC Health + Hospitals, Northwell, and we work with, and of course the NHS in the U.K., and we work with amazing health insurance customers like Molina and L.A. Care and Anthem and others. Okay.
People may say, "Well, you know, Lee, explain, you know, what's going on with the stock." I always like to share this particular slide because this really does show sort of the evolution that the company has been on. The company went public in 2021, as you see here, and the gray and blue and light blue bar graph here shows the revenue that we were doing in population. Migrant programs, COVID-related programs, emergency response style programs, which we were doing very heavily in 2021, 2022, 2023, 2024, and we started to unwind that in 2025.
The year-over-year comps and as we go through, we've been unwinding the COVID work and the migrant work where we were providing healthcare to asylum seekers that were being bused here where I am in New York City, those are the light gray bars. All the while, as that revenue was coming off, we were building our medical transportation and mobile healthcare business, which you see detailed here in the dark blue and light blue graphs. The dark blue is our medical transportation business, which we've doubled over this span and we've made more profitable as we've gone over this span. The light blue is our rapidly growing mobile healthcare business where we're bringing care to any address or Care Anywhere platform that I was talking about.
That gray bar has been shadowing the great work our teams are really proud of, you know, growing this amazing platform of bringing care to where patients are and the medical transportation platform that we've been able to double over this span. This really has been the story of the company. What I really have our team focused on is really the story of that, those blue buckets, and the platform that we're building, and we're really excited about, and patients and customers love it. We had our earnings call on Monday evening this week, and here's what we shared of how we did in Q1. We did over $75 million of revenue in that for the first time in many years. We didn't have any COVID-related revenue, any migrant-related revenue.
This was purely revenue tied to our evergreen programs, as I mentioned in medical transportation and mobile health. Our margins were 31.6% adjusted gross margin for the quarter. We recorded an adjusted EBITDA loss of $10.2 million. I should say we've guided for the year. Actually, on our call, we announced that we raised our guidance for the second time, actually, since we issued it for this year. Our guidance is $300 million-$315 million on the top line revenue, our adjusted EBITDA loss is guided to a $5 million-$10 million. We expect to reach profitability as we go through the year and into the back half of the year.
The breakdown of the revenue, we did about $52 million of revenue in medical transportation, about $23.5 million of revenue in the mobile health segment. As I mentioned that mobile health segment is all of our work Care Anywhere, care in the home, care gap closure, patient monitoring, and that did not include any migrant revenue in the quarter for the first time, obviously, in a long time. The company doesn't have any long-term debt, and we have about $60 million of cash on the balance sheet. I wanna highlight a few other really important items. Our growth in Q1 was really exciting. We recorded year-over-year volume up 17%, as I mentioned, in U.S. medical transportation, healthcare in the home up 46%, mobile phlebotomy up 8%.
Our cardiac and remote patient monitoring up 13% year-over-year, and virtual care and lab orders were up 37% year-over-year. We really like where we're headed. We really like the platform we're building. You know, we're seeing great adoption and growth there, and the patients, as I mentioned, love it. One of the other things we're very proud of is the company was one of the 150 healthcare providers selected to participate in CMS's ACCESS program. This is a program that incentivizes health outcomes and rewards improved health outcomes and it highly focuses on tech-supported care, improving chronic disease, which I'll talk about, and we were one of the 150 companies selected for that.
We also mentioned that in the quarter, we were recognized as one of the world's most ethical companies by Ethisphere and the best overall healthcare cyber company by the MedTech Breakthrough Awards, to go along with the U.S. News & World Report wins that we've had for best company to work for. We really invest in our team. We really invest in providing the best quality care at the highest standards and, you know, we're really excited to be recognized for that. This really is what we are addressing. The U.S. healthcare is at a massive crisis. We pay the most, and we have some of the worst outcomes compared to other developed nations. Our neighbors are getting sicker and sicker.
A huge percentage of the population has one or more chronic disease. 90% of that $4.5 trillion spend in annual healthcare is for people with chronic disease, and those are the exact people we're trying to help manage their chronic condition, remotely monitor their chronic condition, and provide care in the home to close care gaps for those chronic conditions. We were looking at some of our health outcomes data that we had over the first quarter of the year, and we're really starting to see that data come in, which is really gonna help us prove out our value to the health plans we work with. Just a few things for us, for our patients that we go and see, 60% have two or more chronic conditions.
20% have social needs, food insecurity, housing insecurity, other social needs that are taking a toll on their health and their health outcomes. 42% of the patients we've seen in our longitudinal care program have chronic conditions that have never been documented before. The health plan, the system, CMS, didn't even know these patients had these chronic conditions. You know, we've been able to reduce hospital readmissions rates for our patients by 50%+. This is what it's all about.
If we wanna improve healthcare in the U.S., we have to meet patients where they are, which we're doing, we have to provide always-on healthcare remotely, virtually, and in person when it's needed, and we have to manage their chronic conditions so they're not landing in the hospital month after month, which is really where nobody wants to be unless they truly need to be, and of course, that's where they're the most expensive on the system. This is exactly what we're trying to solve and we're really, really excited about our progress. When we look at mobile health, I'll talk about all the different services that we offer, but at the end of the day, it's grounded in our ability to be where the patient is, in person when it's necessary, and then virtual when it's efficacious to do so.
I'll talk about our model, but we close over 40 different health gaps in patients' home, diabetic retinal scan, osteoporosis, bone density screening, a whole panel of vaccinations, annual wellness visits, PHQ-9, depression screening, cancer screenings. We have a wide range of list of things that we're able to do in the home with our platform, and that proprietary tech platform is what is able for us to drive the efficiency that we need to be able to do this. The doctor used to come to your home 100 years ago. Everyone knows that Norman Rockwell painting, right. It was just incredibly inefficient to have a very scarce resource like a doctor going home to home, drive times, and all the downtime in between, and we solve that with our model, which I'll talk about in a second.
We're working with a fast-growing range of customers in the health plan space, Molina, Elevance, L.A. Care, Emblem, Inland Empire Health Plan in California, and they've given us lists of patients, 1.6 million patients that are drifting, unattached, have not been able to get the care they need, have open gaps in care, and they give us those patients, and we engage those patients, and we schedule to go and see them. We're using AI and automation more and more to schedule those visits and to engage those patients. Here's how we do it. Again, as I mentioned, it's very expensive to send a nurse practitioner, a physician assistant, or an MD door to door with the drive times and all the time that it takes to set up the visit.
What we do is we send a licensed practical nurse or a phlebotomist or a certified medical assistant door to door. They're the ones with the hands, eyes, and ears in the home with the patient, and they are remotely overseen by the prescribing clinician, the advanced practice provider that telebeams in to each visit and treatment plans, diagnose, prescribes, and conducts the visit and directs the mobile health clinician in the home what they'd like to have done. I want a swab. I want to collect labs. I want to see inside the ear, nose, and throat. I wanna listen to the chest. I wanna take this image. All of that is being sent in real time back to the advanced practice provider remotely. This is a very innovative model. We're very excited about it.
It feels as if the clinician is in your home. The mobile health clinician is in your home, and the advanced practice provider feels like you're in that setting with them. We like to say we bring the capabilities of a doctor's office into the patient's living room, and that is a really great experience, particularly for patients that we see that have multiple chronic conditions and are bed-bound. As I mentioned, one of the key components is that virtual care provider, that remote clinician that's overseeing the visits that are happening in the home, and one of the amazing things we've done over the last three to six months is we acquired a great company in SteadyMD that has been doing the telehealth virtual portion for over 10 years. They are on a $36 million annual run rate.
That number sounds higher than numbers I've presented before in the past. It is. They're growing very, very quickly. Their customers are very, very happy and we're integrating their clinical practice with our clinical practice, and we're gonna get great savings, great efficiency, and then we also have this great platform that can see the clinicians and oversee the clinicians while they're in the home. They do over 1 million annual telehealth visits, and we do over 3 million annual lab orders, and we see patients in all 50 states. We have a really great group of customers, and they're also overseeing the visits that we do in the home. We're very excited about their work. They're a great team. This is what we do in the home. I talked a little bit about it.
We do mobile phlebotomy. We close gaps in care, as I mentioned, like, cancer screenings, depression screenings, and so forth. We transition patients from the hospital setting to the home to make sure they don't bounce back to the hospital, which is very punitive to the insurance companies and the hospital systems. We have, you know, primary care services that we're starting to offer. We're very excited about that. Very often we'll go and see a patient in the home, and they don't know who their primary care provider is, haven't seen their primary care provider in over a year, and a majority of the patients that we're seeing, if given the chance, will choose us as their primary care provider. We're very excited about that opportunity.
Talking about medical transportation, as I mentioned, this is our $200 million plus medical transportation business. In the first quarter of the year, we did about 75,000 patient transports here in the U.S., so we're operating at great scale. Last year, to give you a sense, across the U.S. and the U.K., we did over 700,000 medical transports. We work directly with the hospital systems, like Mount Sinai, like Jefferson, they utilize our software. It's embedded within their instance of Epic, and directly from a patient's chart, they can click that the patient's ready to be discharged, they need medical transportation. Just like Uber and other platforms that people have come to expect, they could see exactly when the ambulance is going to be arriving at the hospital. This is obviously a big, big aspect of what we do.
We built this from the ground up. As I mentioned, it's integrated with Epic. It's integrated with athenahealth. The reason why this is magic is because now the hospital knows when to get the bed ready for the next patient. Now the hospital knows when to get the patient ready, when we'll be there, so when we arrive, they're ready to be discharged and transported.
We're infusing our platform more and more with AI to automate scheduling, to automate the appointments, to automate the patient confirmations, to automate the pre-billing aspect of the trip, to improve the revenue cycle, and also to review the PCR report, which is the key medical report that's needed to substantiate that this patient needs to be taken by ambulance. We're reviewing those PCR reports ahead of time using AI to flag if any information is missing. We're very excited about what we're doing here, and our tech platform is a big differentiator for what we do. Okay, I wanna make sure I leave some time for questions.
We're very excited about these metrics in terms of the patients that are being assigned to us for care, the number of visits we're completing in the home, the number of PCP patients that are out there for us, to enroll in our medical practice, the phlebotomy visits, and then of course, our virtual care network continues to grow very, very quickly. A big component, I know on investors' minds is our path to profitability. It's really going to be based on three key factors. Our top-line growth. We wanna continue to see that top-line growth continue out. As I mentioned, we did $75.5 million revenue in Q1. We want that to continue to grow as we go throughout the year, and those gross margin dollars will drop to the bottom line in large part.
We wanna continue to expand the gross margin. We think there's additional improvements we can do to staffing, to lower our overtime rate, to lower our shift bonus rate, and those are hurting our margins right now. We think as we increase the staffing, we'll be doing less overtime, and that will help with our margins. We also rapidly expanded SteadyMD in Q1. SteadyMD's margins are typically 7%-8% higher on the gross margin line, we scaled very quickly in Q1, their margins are returning to their normalized levels now that we've scaled up.
We think that we're gonna have some gross margin expansion, and then of course, we're continuing to optimize the SG&A from those years when we had the COVID and migrant business to now our evergreen platform and right-sizing our OPEX to accommodate for that. We expect to turn breakeven and profitable in the back half of the year. We're very proud of our team. We have a great team. Some of you have met Norm, our CFO. Steve Segur is our Chief Compliance Officer. As I mentioned, we've won, you know, World's Most Ethical in 2026 with Ethisphere, we run a really great program. Dr. Klasko is the former CEO of Jefferson, Executive in Residence, General Catalyst is our Chairman.
We have a great team, but also, we have 4,000 heroes in the field that are out delivering care, that are touching patients, and providing care for those patients every single day, and they're the real team. Okay. Here's why we think we're different. We don't only build software, we don't only build our tech platform, but we also go and deploy in the field. It's the marrying of those two that I think is really, really differentiated. You have companies that are out there building software but can't actually deliver the service. You have companies delivering the service, but they're using other people's software. We've purpose-built our software to do what we do. We don't just sell the software. We sell it with the services.
We have our own proprietary software with our own deployable staff and fleet, with our own lab licenses, with our own clinical practice group, with our own managed care credentials, all integrated into a great platform that's able to actually deliver services utilizing that tech platform where patients are. What makes us different? Some people will ask, like, "Well, who else is kind of in the field? Who else is doing this type of work?" You'll see some of the names here. We believe that, you know, we're very differentiated and that, you know, very few people are doing the medical transportation with the virtual, with the remote, with the in-person all on one platform, like we are. Here's how we're gonna grow.
People ask us, "How are you gonna continue the growth?" Again, I shared some of our cadre of legacy customers that have been with us since 2018, since 2019, since 2020, and still with us today, continuing to grow our relationships with them. We're helping our insurance partners reduce hospitalizations, which is very, very valuable, and we have a very nice, robust pipeline that we're gonna continue to add to those legacy customers. We think we can continue to grow with the customers we have. We have a long runway to add additional services with the customers we have and then continue to execute on our pipeline. Our pipeline grew 13% quarter-over-quarter in Q1 from Q4. We're gonna continue to execute on that. Okay.
If I leave you with five things, these would be them. We're bringing care to any address. We're treating patients where they are when they need it, which is a great experience for patients. When you meet patients where they are, you can improve their health. If you improve their health, you can lower the cost for the system. Insurance companies, hospitals, CMS all want to provide great care at a lower cost. The way you lower the cost is if you have healthier patients. That's exactly what we're doing. We have a defensible competitive technology advantage.
As I mentioned, all the software we're building, how it's integrated, how we leverage it to manage the symphony of almost 1,000 vehicles in the field, thousands of clinicians, making sure that, you know, we could stack the visits in a way that's very, very efficient and being very, very optimized in how we manage all of those resources in the field. We have a very unique value proposition with health systems and payers and providers. We are building a recurring revenue base, again, from that COVID and migrant work into this healthcare at any address platform and medical transportation platform with great customers that we're very, very proud to work with.
Every day we talk about patients that we've been able to help, gaps in care that we've been able to close, patients that we've been able to transport and take home, that's what drives us, and the entire team is oriented around that mission. This is, you know, bring it to patients and their experience. We think the living room is so much better than the waiting room, and we're excited on the journey we're on. Thank you so much. See if we have any questions in the chat. Ryan, anything that I know you know us well. Anything that I didn't touch on?
No, no, very thorough. I really appreciate it, Lee. Again, for those, folks who are listening in, if you've got questions for Lee, feel free to put them into the chat. Lee, maybe to start, I thought it was an interesting statistic you brought up during there about the level of demand you're seeing and that it was a 13% increase in the pipeline on a quarter-over-quarter basis. Maybe just talk about some of the areas where you're seeing sort of the most incremental demand, whether it's from SteadyMD or in the sort of the core mobile health business with the payer business, or maybe it's on the med transport side. We'd love to hear more color about where that incremental pipeline is really building.
Yeah, I mean, it really is coming from across the board. On the medical transportation side, we are working with a growing list of hospitals to provide that medical transportation. There are some RFPs out that hospital systems have put out that we've responded to. We also have two very large RFPs that we're waiting on in the U.K. that are out. We're always submitting to those RFPs. There is even a large one out right now specifically on the tech platform, on the ordering platform. We've been responding to those, we've been seeing an uptick in those. As you mentioned, I think there is absolutely a growing demand. The majority of the customers we have right now want to expand with us this year.
into new states, into new geographies, into expanded patient lists, into additional service offerings. You know, we're seeing growth there because of the data now that we're able to provide. You know, when you and I were talking, Ryan, let's say call it 18 months ago, we were still waiting for some of that data to come in, you know? Some of the data I shared about reducing hospital readmissions, some of the data I shared about undocumented chronic conditions. Now that data's starting to come in for us, and that is very valuable. A, for the health plans to know, and then B, of course, the fact that we're able to provide that insight and meet those patients and uncover that, you know, there's a lot of opportunity there. That's, you know, that's driving, you know, the interest.
Oh, that's great to hear. We talk about this often, Lee, but as you think about those opportunities in the pipeline, and the fact that you're really trying to focus on driving profitable growth, you know, as you move on, how do you think about the opportunity mix between focusing opportunities maybe that are expansions within existing regions or states where you already have some density, you can leverage the existing workforce you have there, versus, you know, let's call it net new territory expansion and opportunities there? How do you think about that balance?
Yeah, we're being very thoughtful and measured about us going into new geographies, particularly as we really wanna bring that Care Anywhere platform into profitability.
We're being very thoughtful about that. I think, we're not simply going to new geographies for the sake of going to new geographies. We've been going to new geographies specifically when one of our large customers, like the health plan we're working with in California, wants us to expand into additional geographies.
Also on the Steady side, on the SteadyMD side, when we want to bring a new customer on, even though it's a virtual geography, if you will, we really are looking for some minimums on, you know, number of visits that they're gonna provide. You know? We need to see that minimum level of visits or we need to see that minimum level of patient lists so that we know there's enough for us to be able to scale. For the most part, particularly on the in-person side, the Care Anywhere side, you know, we're really being very thoughtful and measured and really thinking long and hard before we go into new geographies because we really wanna focus on the geographies we're in right now with the density to drive the profitability.
That's a big focus for us.
For sure. You mentioned SteadyMD. Obviously that's been a home run of an acquisition for the business and it continues to grow really, really well. I think on the quarter you talked about sort of a new partner in the pharma space, you know, in the weight loss opportunity addressing that with SteadyMD. Can you just provide a little bit more color on that sort of new customer relationship and how that is going to differ if there's much difference in terms of the revenue model versus the traditional sort of SteadyMD basic customers?
Yeah. For SteadyMD, in addition to overseeing our visits in the home, on the DocGo side, they also provide telehealth and lab ordering and lab review services for digital health companies, consumer health companies. On that side, we charge a per visit rate. When we do a visit, we charge a per visit rate. That's pretty consistent across all the customers, both the ones we have and the ones in the pipeline or the ones we've just signed. I think, you mentioned the online pharmacy, obviously a huge tailwind in the healthcare space right now is the GLP-1 meds and some of the other consumerization of healthcare that's happening. Also, the wearable devices are driving a lot of consumerization and patients leaning in to healthcare. SteadyMD is a big component of that.
Before someone is able to receive that prescription, let's say from that online pharmacy, they need to actually meet with a clinician. It has to be prescribed to them. It has to be efficacious. It has to be reviewed by a clinician, and that's what our network does for online pharmacies and other, you know, wearable tech companies, consumer tech, and healthcare companies and that's basically what SteadyMD's platform's been doing and that space is a very rapidly growing space.
One question we got in from the audience is just, can you Obviously there's a lot of focus on sort of cost-savings initiatives and improving the EBITDA margin profile of the business. Can you just talk about some of those initiatives and then your confidence sort of in the strength of the balance sheet as your kind of working towards some of those margin improvements?
Yeah. One of the big areas is we're integrating SteadyMD's clinical practice group with our legacy clinical practice group, right? We only need one clinical practice group across the business; we're engaged deeply in that work. Some of the other work we're doing is, you know, historically, I know you know this well, we've been sending a nurse into the home, a licensed practical nurse into the home for every visit we do. They're more expensive than the phlebotomists or the medical assistants. We're starting now to leverage SteadyMD's platform and then also sending lower cost clinicians when it's, again, efficacious to do so. We're starting to do that, which is gonna really improve the margins of the care in the home business.
We've also really undertaken a thorough review of all of the headcount we have and all the vendors that we use to support the business. In many cases we're replacing vendors or renegotiating with vendors and that's taking us some time, but we think that's gonna show up, you know, as we go throughout the year here. We do have an efficiency meeting every single day. Myself, our CFO is on with the team, you know, to review all the things that we think we can be more efficient and take costs out of the business and ultimately, drive that leverage, drive that profitability.
Thanks. That's awesome.
Yeah.
Maybe just to close it out, like, you know, you mentioned the ACCESS Model is being included in that, as one of the first 150 companies. Would love to hear more about the opportunity there, like, and what gets you most excited about ACCESS, you know? How should we think about that sort of ramping over time, as the program, you know, gets kicked off later this summer?
Yeah, I mean, it's really an exciting program. CMS basically launched this program, the Access Program, which really is meant to reward companies when the health outcomes, like the physician groups reward them when the health outcomes are improved.
I applaud CMS for sort of pushing that program forward because what everyone thinks about the healthcare system, clinicians and providers like us, the more tests we do, the more visits we do for sick patients, the more that gets billed. I think the whole system needs to move to actually the healthier the patient is, perhaps maybe even the less the system is doing, the more rewarding it should be for providers like us. That's what the ACCESS Model is all about. It's basically about there's a small payment that happens up front, but if you're able to drive outcomes, you get rewarded for perhaps patients managing their obesity, for patients managing their chronic conditions like diabetes and heart disease, for patients that keep their blood pressure under control.
If you're able to sort of show that, you're lowering patients' blood pressure, you're lowering their weight, you're lowering their A1C levels, then you get rewarded on the back end for that improved health outcome, not for going to see a patient that's just getting sicker and sicker. That's what we're excited about. I think that change, that's the only way everyone kind of complains about the healthcare system.
This is really the major way that it would change is that everyone is rewarded. Everyone in the value chain is rewarded when the patient's healthier and actually using the system less, not more.
Yeah.
That's really what CMS is driving with this program. It remains to be seen, I know, Ryan, you and I have talked about this. We have to see how the economics shake out. I think a lot of our peers have been sharing that that's sort of that first initial payment is tough.
A little low. But at the same time, I know what CMS is doing. They're actually trying to really push the market to adopt lower cost, automated AI, technology-driven care that can lower the cost. We're trying to push the industry that way. It remains to be seen. It's very new. We're excited we're included in it. We're going to test into it. We're going to, you know, provide care to it. We're gonna be one of the providers. Then as we learn, you know, we'll continue to give feedback to the market, continue to give feedback to CMS. But ultimately it's where the industry needs to go. It's definitely a move in the right direction.
Yeah. It's great to see them continue to test out new models and structures, and I think all of this just kind of goes towards moving ever closer to aligning incentives and working towards, you know, a model that's appropriately balanced for all parties. I think it's great to see and glad to see that DocGo is participating as well. With that, Lee, I'm not seeing any other questions in the queue, we'll leave it there. I really appreciate you taking the time to walk us and the investors on the call through the DocGo story. Thanks everyone who listened in and asked questions as well. All have a good day.
Thank you.