Cash-strapped Cano Health, which on March 1 reported a 2022 loss of $428 million, said it will be looking at all its value-based care operations in a bid to become more profitable.
In an investor call following the release of its results, Marlow Hernandez, DO, chair and CEO of the Miami-based value-based primary care provider, said the review will cover all its clinics, both in its core home market of Florida and elsewhere.
"We will be availing ourselves of all the options — that's more of an all-inclusive comment," he said.
Some of the company's clinics outside of Florida are more lucrative but are also using up more cash than some of the more mature facilities in Florida, Dr. Hernandez added. Unlocking hidden profitability could be a case of closing some clinics or consolidating operations, he said.
"We will take a deeper look at our more established centers and take a more cautious look at how we will deploy cash," Dr. Hernandez said.
Cano Health, which trades on the New York Stock Exchange under the ticker CANO, took out a $150 million loan at an initial interest rate of 14 percent Feb. 28. The fast-expanding company has been the source of takeover speculation.