2026-02-13, 2:37:27 p.m.
Melville, New York — February 13, 2026 — Leads & Copy — FONAR Corporation (NASDAQ: FONR) reported its financial results for the second quarter of fiscal 2026, which ended December 31, 2025.
The company’s primary source of income is its wholly-owned diagnostic imaging management subsidiary, Health Management Company of America (HMCA). HMCA, which managed nine MRI scanners in 2009, currently manages 45 MRI scanners in New York and Florida.
Cash and cash equivalents decreased 6% to $53.0 million as of December 31, 2025, compared to $56.3 million at the end of the fiscal year on June 30, 2025.
Total revenues-net increased 2% to $25.5 million for the quarter ended December 31, 2025, versus the corresponding quarter one year earlier. Total revenues-net increased 3% to $51.6 million for the six-month period ended December 31, 2025, versus the corresponding six-month period one year earlier.
Net income increased 15% to $2.5 million for the quarter ended December 31, 2025, versus the corresponding quarter one year earlier. Net income decreased by 16% to $5.2 million for the six-month period ended December 31, 2025, versus the corresponding six-month period one year earlier.
Diluted net income per common share increased 7% to $0.31 for the quarter ended December 31, 2025, versus the corresponding quarter one year earlier. Diluted net income per common share decreased 11% to $0.66 for the six-month period ended December 31, 2025, versus the corresponding six-month period one year earlier.
Income from operations for the quarter ended December 31, 2025, increased 23% to $3.0 million, compared to $2.4 million for the corresponding quarter ended December 31, 2024. Income from operations for the six-month period ended December 31, 2025, decreased 12% to $6.2 million, compared to $7.0 million for the corresponding six-month period ended December 31, 2024.
Selling, general, and administrative expenses (SG&A) for the quarter ended December 31, 2025, decreased 10% to $6.2 million, compared to $6.9 million for the corresponding quarter ended December 31, 2024. SG&A for the six-month period ended December 31, 2025, increased 8% to $13.1 million, compared to $12.1 million for the corresponding six-month period ended December 31, 2024.
Operating cash flow for the six-month period ended December 31, 2025, decreased 52% to $1.9 million, compared to $3.9 million for the six-month period ended December 31, 2024.
Total current assets at December 31, 2025, were $143.7 million, compared to $144.7 million at June 30, 2025. Total assets were $217.2 million at December 31, 2025, compared to $216.9 million at June 30, 2025.
Total current liabilities were $14.4 million at December 31, 2025, compared to $17.1 million at June 30, 2025. Total liabilities at December 31, 2025, were $54.4 million, compared to $56.8 million at June 30, 2025. Total stockholders’ equity at December 31, 2025, was $162.9 million, compared to $160.1 million at June 30, 2025.
The ratio of total assets to total liabilities at December 31, 2025, was 4.0, compared to 3.8 at June 30, 2024. Working capital was $129.3 million at December 31, 2025, compared to $127.5 million at June 30, 2024. Net book value per common share was $25.69 per share at December 31, 2025, compared to $24.68 at December 31, 2024.
On December 29, 2025, the company announced a definitive merger agreement for the previously announced “Take Private” offer was signed. The agreement included an increase per common share of $19.00 per common share in cash, from the price previously offered in July of 2025 of $17.25 per common share.
FONAR Chairman and CEO Timothy Damadian said HMCA, the company’s primary source of revenue and profit, continues to grow. Scan volume in the second quarter of fiscal 2026 was 54,846, 0.5% lower than the previous quarter (55,106), and 3.3% higher than the corresponding quarter of fiscal 2025, and the third highest quarterly scan volume in HMCA history.
In October 2025, a high-field MRI was added at an existing STAND-UP® site in Lynbrook, Nassau County, New York. The average monthly scan volume in the quarter preceding its installation was 579. Since the installation, scan volume has grown steadily, reaching 752 in January 2026, a 30% increase.
Damadian said that for instances where extra-high-resolution imaging or special applications are required, a high-field MRI meets those needs and also perfectly complements the STAND-UP® MRI. The STAND-UP® MRI is the most patient-friendly MRI, the only MRI that can scan patients in weight-bearing positions, and the only MRI that can scan spines in flexion and extension. With both the STAND-UP® MRI and high-field MRI at the same location, patients and their referring doctors have easy access to the best of both MRI worlds. The addition of second or even third MRI at an existing site also reduces patient backlogs. Doctors know that if they refer their patients to a multi-scanner center managed by HMCA, the patients will get their MRIs completed without delay.
The company continues to search for locations where the introduction of its technology and services would profitably enhance its existing New York and Florida networks.
Damadian concluded by thanking the management team and all employees.
Please refer to the Company’s Form 8-K filed with the SEC on December 30, 2025 for information about the Company’s recent entry into a definitive merger agreement for the proposed “Take Private” transaction.
Source: FONAR Corporation
