DocGo outlines $280M–$300M 2026 revenue target as SteadyMD integration expands virtual care reach

Earnings Call Insights: DocGo Inc. (DCGO) Q3 2025

MANAGEMENT VIEW

* CEO Lee Bienstock emphasized that 2025 has been a year of transition, highlighting “record volumes across all of our base business offerings in the quarter” and the successful execution of the company’s evergreen healthcare strategy. He announced, “today, we announced 2026 guidance of $280 million to $300 million in revenue and a full year 2026 adjusted EBITDA loss of $15 million to $25 million, with the majority of this adjusted EBITDA loss expected to be realized in the first half of the year.”
* Bienstock called out the acquisition of SteadyMD, stating it “will allow us to scale more efficiently,” and described SteadyMD’s 50-state virtual care network and over 500 advanced practice providers as key assets for future integration and service expansion.
* The Medical Transportation business achieved record volumes in Q3, supported by long-term contracts with major health systems. Bienstock stated, “We expect this business will generate more than $200 million of revenue in 2025.”
* The Payer and Provider vertical is expected to generate approximately $50 million of revenue in 2025, including a contribution from SteadyMD, and “is expected to grow to $85 million next year.”
* SteadyMD is projected to generate approximately $25 million in revenue in 2025 and “is expected to service over 3 million patients in 2025.”
* CFO Norman Rosenberg reported, “Total revenue for the third quarter of 2025 was $70.8 million compared to $138.7 million in the third quarter of 2024. The year-over-year revenue decline was entirely due to the sunset of migrant-related projects. Excluding revenue from migrant-related programs, revenue increased by 8% to $62.4 million in Q3 of 2025 from $58 million in Q3 of 2024.”

OUTLOOK

* Management’s 2026 guidance is for $280 million to $300 million in revenue and a full year 2026 adjusted EBITDA loss of $15 million to $25 million, with the potential to exit 2026 on an adjusted EBITDA positive run rate if revenues reach the upper end of guidance. Bienstock stated, “Any potential acquisitions or new contract wins would be incremental to that amount.”
* No migrant-related revenues are expected in 2026, and the guidance assumes the current baseline of contracts and operations, with 2/3 to come from Transport and 1/3 from Mobile Health.

FINANCIAL RESULTS

* Medical Transportation services revenue was $50.1 million in Q3 2025, up from $48 million a year prior, driven by gains in U.S. markets such as Texas and Tennessee.
* Mobile Health revenue was $20.7 million, down from $90.7 million in Q3 2024 due to the wind down of migrant services, but non-migrant Mobile Health revenues increased by more than 20% year-over-year.
* Adjusted EBITDA for the third quarter of 2025 was a loss of $7.1 million, compared to adjusted EBITDA of $17.9 million in the third quarter of 2024.
* The company reported an adjusted gross margin of 33%, with Medical Transportation at 31.7% and Mobile Health at 36.2%. Mobile Health margins improved from 32.5% in Q2 2025.
* Rosenberg noted, “We incurred increased insurance costs in the amount of approximately $5.2 million… and the settlement of a large auto insurance claim for an incident in 2022.” Intangible asset and goodwill write-downs totaled $16.7 million.
* Accounts receivable from migrant programs dropped to $37 million at quarter end, down from $54 million at the end of Q2. Cash and cash equivalents were $95.2 million at September 30, 2025.

Q&A

* Philip Chickering, Scotiabank, asked about margin changes from Q3 to Q4 and the impact of the SteadyMD acquisition. Rosenberg explained, “SteadyMD showed up in October… It’s going to have an impact on the margin percentage. But otherwise, it’s not going to have much of an impact.” He also said Q4 will see “basically no revenue from… migrant-related revenue.”
* Chickering questioned EBITDA margin improvement in 2026. Rosenberg said, “the bulk of the expectation for a negative EBITDA number is going to come in the first half of the year… profitability will improve every quarter as we go Q1, 2, 3 and 4.”
* Chickering inquired about transport versus Mobile Health breakdown. Bienstock said, “The breakdown is about 2/3 Transport, 1/3 Mobile Health.”
* Sarah James, Cantor Fitzgerald, asked about the Payer-Provider growth. Bienstock replied, “$25 million of the $85 million as SteadyMD contribution for next year and the remaining would be the $60 million from our current Payer and Provider baseline business.”
* Ryan MacDonald, Needham, asked about supply/demand balance in transportation hiring. Bienstock stated, “We looked at that number over the last 12 months. It’s added up to about 26,000 trips. So that’s really the number we’re using as sort of the embedded demand we have.”
* Jenny Shen, BTIG, asked about the hospital spending environment. Bienstock said, “Our core focus is on how we can save them money and be more efficient.”
* Aditya Dagaonkar, Northland, asked about bookings and cash. Rosenberg said, “We saw sequential growth in almost all of our businesses. In Transport, we would see, let’s say, in the U.S., and we look at it in terms of the number of trips that we carried. So we saw like a mid-single-digit sequential growth in trip count.”

SENTIMENT ANALYSIS

* Analysts pressed management on margin improvement timelines, the impact of SteadyMD, and visibility into payer-provider growth, with a tone of cautious optimism and focus on operational details.
* Management’s tone during prepared remarks was confident and focused on strategic growth, while answers in the Q&A included clarifications and more cautious language regarding timing and margin improvement, with Rosenberg explaining loss phasing and Bienstock emphasizing the need to scale operations to meet demand.
* Compared to the previous quarter, management maintained a confident tone about long-term growth but was more explicit about near-term losses and operational transition challenges; analysts remained focused on execution and profitability.

QUARTER-OVER-QUARTER COMPARISON

* The company’s revenue for the quarter declined compared to Q2 2025 due to the sunset of migrant-related projects, but non-migrant core business revenue increased.
* Guidance shifted from an expectation of positive adjusted EBITDA in the back half of 2026 to a projection for an adjusted EBITDA loss of $15 million to $25 million for the full year, with the potential to exit the year at breakeven at the high end of revenue guidance.
* Management highlighted SteadyMD’s acquisition and integration as a new strategic priority, with a clear focus on expanding virtual care and cross-selling between DocGo and SteadyMD customer bases.
* Analysts’ questions continued to focus on margin improvement and revenue visibility, but the tone reflected increased scrutiny of execution against new contracts and integration of acquired operations.

RISKS AND CONCERNS

* Management reported increased insurance costs and non-cash charges, including a $5.2 million workers’ comp adjustment and $16.7 million in asset write-downs.
* The company highlighted the need to expand field labor to meet demand, particularly in medical transportation, and noted that underutilization could impact margins.
* Executives acknowledged the challenge of ramping new payer-provider contracts and the time required for these to reach full potential.
* Analysts noted the uncertainty in hospital budgets and queried about the impact of potential government shutdowns, with management stating no material effect observed thus far.

FINAL TAKEAWAY

DocGo’s management communicated that 2025 was a year of transition with a strategic shift toward a sustainable, technology-driven healthcare model, underpinned by record core business volumes and the integration of SteadyMD’s virtual care capabilities. The company’s 2026 guidance targets $280 million to $300 million in revenue and anticipates a declining adjusted EBITDA loss, with expectations of reaching profitability by the end of next year if growth targets are met. Key risks include the need to scale staff to convert embedded demand into revenue, continued reduction of exposure to non-core migrant-related programs, and successful integration of new acquisitions. Management maintains a confident outlook that the investments made in 2025 will drive long-term growth and position DocGo as a leader in technology-enabled healthcare delivery.

Read the full Earnings Call Transcript [https://seekingalpha.com/symbol/dcgo/earnings/transcripts]

MORE ON DOCGO

* DocGo Inc. (DCGO) Q3 2025 Earnings Call Transcript [https://seekingalpha.com/article/4841639-docgo-inc-dcgo-q3-2025-earnings-call-transcript]
* DocGo: Revenue Collapse Overshadows Acquisition, Is Cheap But Still A Hold [https://seekingalpha.com/article/4833060-docgo-revenue-collapse-overshadows-acquisition-is-cheap-but-still-a-hold]
* DocGo: A Great Value Play In Motion [https://seekingalpha.com/article/4831611-docgo-a-great-value-play-in-motion]
* Key deals this week: United States Antimony, Grindr, Eli Lilly, Hologic and more [https://seekingalpha.com/news/4508433-key-deals-this-week-united-states-antimony-grindr-eli-lilly-hologic-and-more]
* DocGo stock surges on deal to acquire virtual care platform SteadyMD [https://seekingalpha.com/news/4505818-docgo-stock-surges-on-deal-to-acquire-virtual-care-platform-steadymd]