What caused the $11.1 million net loss in Q1 2025 compared to Q1 2024's net income?

DocGo Inc. (NASDAQ: DCGO) reported a net loss of $11.1 million in Q1 2025, a significant shift from the net income of $10.6 million reported in Q1 2024. This change was primarily driven by a substantial decrease in net revenue, which nearly halved year-over-year.1

Key factors contributing to this financial performance include:

• Revenue Decline: Net revenues decreased from $192.1 million in Q1 2024 to $96.0 million in Q1 2025.1
• Government Population Health Vertical: DocGo's CEO, Lee Bienstock, attributed the revenue decline to "ongoing policy changes in Washington and adjustments to public spending on healthcare-related projects." This led the company to remove all non-migrant Government Population Health revenue from its 2025 guidance.1
• Operating Expenses: While cost of revenues also decreased, the proportional drop in revenue was more significant. General and administrative expenses saw a reduction from $40.2 million in Q1 2024 to $32.9 million in Q1 2025, and depreciation and amortization also decreased. However, technology and development expenses increased from $2.4 million to $3.6 million during the same period.1

Despite the challenges in the Government Population Health vertical, DocGo's CEO noted that their Hospital and Payer & Provider verticals continued to perform in line with expectations and were on a solid growth trajectory.1

For further details, investors can review the company's Q1 2025 earnings release and the corresponding 10-Q filing on Fintel's platform.