RadNet Experiences Significant Growth in Advanced Imaging Procedures

RadNet Inc., a leading operator of imaging centers, has reported substantial growth in advanced imaging techniques, such as MRI, CT, and PET/CT, compared to routine imaging exams. This development has prompted the company to adjust its financial forecasts upwards for the remainder of the fiscal year.

In its recent earnings release, RadNet shared that for the second quarter of 2026, aggregate advanced imaging procedural volumes surged by 21.2% compared to the same timeframe last year. When considering only the centers operating during both periods, this increase is approximately 9.6%. This uptick reflects a notable shift in the company's procedural volume mix toward advanced imaging modalities. By the end of the second quarter, 29.9% of all imaging procedures conducted by RadNet consisted of advanced methods, up from 27.5% the previous year.

The company's digital health division, which encompasses artificial intelligence and various technology tools, also contributed to a record-breaking financial quarter. RadNet's total revenue increased by 25% year-over-year, reaching nearly $623 million. Dr Howard Berger, RadNet's President and CEO, attributed this growth to a combination of factors. "Our imaging center and digital health segments have achieved strong growth, driven by increased procedural volumes at both new acquisitions and existing centers, alongside advancements in our digital health and AI solutions," stated Berger.

Performance at same-center locations highlighted measurable improvements. MRI volumes at these centers rose by 10.2%, CT by 8.6%, and PET/CT by 8.8%. Routine imaging, including procedures such as ultrasound and mammography, saw a more modest increase of about 1.7%. The overall contribution of advanced imaging to RadNet’s earnings resulted in a 16.1% adjusted earnings margin for the imaging center division in the second quarter, marking a 17 basis-point improvement from last year.

The expansion of joint venture partnerships with hospital systems was identified as a key component of this success. By June 30, RadNet held around 36% (157 out of 442) of its imaging centers through partnerships with health systems. A notable collaboration announced during this period was a multisite venture with Trinity Health’s Saint Alphonsus Health System in Boise, Idaho. This partnership initially involves the operation of five multimodality outpatient centers, integrating AI solutions provided by RadNet’s subsidiary, DeepHealth.

Reflecting on the strong performance in the second quarter, RadNet has revised its financial outlook for 2026, now projecting total net revenue from its imaging center segment to exceed $2.42 billion, up from an earlier estimate of $2.375 billion. The adjusted earnings expectation has also been increased to $358 million, surpassing the previous forecast of $348 million.