Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2022 | May 09, 2022 | |
Document Information Line Items | ||
Entity Registrant Name | DocGo Inc. | |
Trading Symbol | DCGO | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --12-31 | |
Entity Common Stock, Shares Outstanding | 100,534,637 | |
Amendment Flag | false | |
Entity Central Index Key | 0001822359 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Document Period End Date | Mar. 31, 2022 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q1 | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Shell Company | false | |
Entity Ex Transition Period | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 001-39618 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 85-2515483 | |
Entity Address, Address Line One | 35 West 35th Street | |
Entity Address, Address Line Two | Floor 6 | |
Entity Address, City or Town | New York | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 10001 | |
City Area Code | 844 | |
Local Phone Number | 443-6246 | |
Title of 12(b) Security | Common Stock, par value $0.0001 per share | |
Security Exchange Name | NASDAQ | |
Entity Interactive Data Current | Yes |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 188,353,909 | $ 175,537,221 |
Accounts receivable, net of allowance of $8,023,348 and $7,377,389 as of March 31, 2022 and December 31, 2021, respectively | 76,167,670 | 78,383,614 |
Prepaid expenses and other current assets | 3,649,206 | 2,111,656 |
Total current assets | 268,170,785 | 256,032,491 |
Property and equipment, net | 12,624,427 | 12,733,889 |
Intangibles, net | 10,579,310 | 10,678,049 |
Goodwill | 8,686,966 | 8,686,966 |
Restricted cash | 10,370,398 | 3,568,509 |
Operating lease right-of-use assets | 3,962,805 | 4,195,682 |
Finance lease right-of-use assets | 8,658,897 | 9,307,113 |
Equity method investment | 520,063 | 589,058 |
Other assets | 1,622,653 | 3,810,895 |
Total assets | 325,196,304 | 309,602,652 |
Current liabilities: | ||
Accounts payable | 15,120,928 | 15,833,970 |
Accrued liabilities | 38,174,025 | 35,110,877 |
Line of credit | 1,025,881 | 25,881 |
Notes payable, current | 593,831 | 600,449 |
Due to seller | 1,411,169 | 1,571,419 |
Operating lease liability, current | 1,404,651 | 1,461,335 |
Finance lease liability, current | 3,262,004 | 3,271,990 |
Total current liabilities | 60,992,489 | 57,875,921 |
Notes payable, non-current | 1,171,306 | 1,302,839 |
Operating lease liability, non-current | 2,788,103 | 2,980,946 |
Finance lease liability, non-current | 6,402,846 | 6,867,420 |
Warrant liabilities | 13,577,251 | 13,518,502 |
Total liabilities | 84,931,995 | 82,545,628 |
Commitments and Contingencies | ||
STOCKHOLDERS’ EQUITY: | ||
Common stock ($0.0001 par value; 500,000,000 shares authorized as of March 31, 2022 and December 31,2021; 100,475,958 and 100,133,953 shares issued and outstanding as of March 31, 2022 and December 31,2021, respectively) | 10,208 | 10,013 |
Additional paid-in-capital | 284,938,732 | 283,161,216 |
Accumulated deficit | (52,927,020) | (63,556,714) |
Accumulated other comprehensive loss | (38,364) | (32,501) |
Total stockholders’ equity attributable to DocGo Inc. and Subsidiaries | 231,983,556 | 219,582,014 |
Noncontrolling interests | 8,280,753 | 7,475,010 |
Total stockholders’ equity | 240,264,309 | 227,057,024 |
Total liabilities and stockholders’ equity | $ 325,196,304 | $ 309,602,652 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parentheticals) - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Net of allowance (in Dollars) | $ 8,023,348 | $ 7,377,389 |
Common stock, par value (in Dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 100,475,958 | 100,133,953 |
Common stock, shares outstanding | 100,475,958 | 100,133,953 |
Unaudited Condensed Consolidate
Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Income Statement [Abstract] | ||
Revenue, net | $ 117,891,552 | $ 49,688,856 |
Expenses: | ||
Cost of revenues (exclusive of depreciation and amortization, which is shown separately below) | 77,987,573 | 35,860,742 |
Operating expenses: | ||
General and administrative | 23,860,616 | 12,035,526 |
Depreciation and amortization | 2,201,021 | 1,597,676 |
Legal and regulatory | 1,347,983 | 656,658 |
Technology and development | 1,141,833 | 569,351 |
Sales, advertising and marketing | 1,257,961 | 842,861 |
Total expenses | 107,796,987 | 51,562,814 |
Income (loss) from operations | 10,094,565 | (1,873,958) |
Other income (expenses): | ||
Interest income (expense), net | (135,606) | (115,009) |
Loss on remeasurement of warrant liabilities | (58,749) | |
Loss on initial equity method investments | (83,341) | |
Other income (loss) | (4,253) | |
Total other income (expense) | (281,949) | (115,009) |
Net income (loss) before income tax benefit (expense) | 9,812,616 | (1,988,967) |
Income tax expense | (440,179) | (10,029) |
Net income (loss) | 9,372,437 | (1,998,996) |
Net loss attributable to noncontrolling interests | (1,257,257) | (320,632) |
Net income (loss) attributable to stockholders of DocGo Inc. and Subsidiaries | 10,629,694 | (1,678,364) |
Other comprehensive income (loss) | ||
Foreign currency translation adjustment | (5,863) | 7,998 |
Total comprehensive gain (loss) | $ 10,623,831 | $ (1,670,366) |
Net income (loss) per share attributable to DocGo Inc. and Subsidiaries - Basic (in Dollars per share) | $ 0.11 | $ (0.03) |
Weighted-average shares outstanding - Basic (in Shares) | 100,177,082 | 58,388,866 |
Net income (loss) per share attributable to DocGo Inc. and Subsidiaries - Diluted (in Dollars per share) | $ 0.09 | $ (0.03) |
Weighted-average shares outstanding - Diluted (in Shares) | 115,652,049 | 58,388,866 |
Unaudited Condensed Consolida_2
Unaudited Condensed Consolidated Statements of Changes in Stockholders’ Equity - USD ($) | Series APreferred Stock | Class ACommon Stock | Class BCommon Stock | Additional Paid-in-Capital | Accumulated Deficit | Accumulated Other Comprehensive Income | Noncontrolling Interests | Total |
Balance at Dec. 31, 2020 | $ 142,346,852 | $ (87,300,472) | $ (48,539) | $ 11,949,200 | $ 66,947,041 | |||
Balance (in Shares) at Dec. 31, 2020 | 28,055 | 35,497 | 55,008 | |||||
Effect of reverse acquisition | ||||||||
Effect of reverse acquisition (in Shares) | 18,099,548 | 22,900,719 | 35,488,938 | |||||
Conversion of share due to merger recapitalization | $ 7,649 | 7,649 | ||||||
Conversion of share due to merger recapitalization (in Shares) | (18,099,548) | (22,900,719) | (35,488,938) | |||||
Effect of reverse acquisition | $ 7,649 | 142,346,852 | (87,300,472) | (48,539) | 11,949,200 | 66,954,690 | ||
Effect of reverse acquisition (in Shares) | 76,489,205 | |||||||
Share issued for services | $ 17 | 17 | ||||||
Share issued for services (in Shares) | 171,608 | |||||||
Stock based compensation | 391,534 | 391,534 | ||||||
Noncontrolling interest contribution | 333,025 | 333,025 | ||||||
Foreign currency translation | 7,998 | 7,998 | ||||||
Net loss attributable to Noncontrolling interests | (320,632) | (320,632) | ||||||
Net income attributable to stockholders of DocGo Inc. and Subsidiaries | (1,678,364) | (1,678,364) | ||||||
Balance at Mar. 31, 2021 | $ 7,666 | 142,738,386 | (88,978,836) | (40,541) | 11,961,593 | 65,688,268 | ||
Balance (in Shares) at Mar. 31, 2021 | 76,660,813 | |||||||
Balance at Dec. 31, 2021 | $ 10,013 | 283,161,216 | (63,556,714) | (32,501) | 7,475,010 | 227,057,024 | ||
Balance (in Shares) at Dec. 31, 2021 | 100,133,953 | |||||||
Exercise of stock options | $ 195 | 374,149 | 374,344 | |||||
Exercise of stock options (in Shares) | 195,152 | |||||||
Stock based compensation | 1,422,937 | 1,422,937 | ||||||
Equity cost | (19,570) | (19,570) | ||||||
UK Ltd. Restricted Stock | ||||||||
UK Ltd. Restricted Stock (in Shares) | 146,853 | |||||||
Noncontrolling interest contribution | 2,063,000 | 2,063,000 | ||||||
Foreign currency translation | (5,863) | (5,863) | ||||||
Net loss attributable to Noncontrolling interests | (1,257,257) | (1,257,257) | ||||||
Net income attributable to stockholders of DocGo Inc. and Subsidiaries | 10,629,694 | 10,629,694 | ||||||
Balance at Mar. 31, 2022 | $ 10,208 | $ 284,938,732 | $ (52,927,020) | $ (38,364) | $ 8,280,753 | $ 240,264,309 | ||
Balance (in Shares) at Mar. 31, 2022 | 100,475,958 |
Unaudited Condensed Consolida_3
Unaudited Condensed Consolidated Statements of Cash Flows - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income (loss) | $ 9,372,437 | $ (1,998,996) |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation of property and equipment | 711,878 | 528,840 |
Amortization of intangible assets | 633,363 | 422,024 |
Amortization of finance lease right-of-use assets | 855,781 | 646,812 |
Loss from equity method investment | 68,995 | |
Bad debt expense | 1,154,235 | 678,840 |
Stock based compensation | 1,422,937 | 391,534 |
Loss on remeasurement of warrant liabilities | (58,749) | |
Changes in operating assets and liabilities: | ||
Accounts receivable | 1,061,709 | (7,138,675) |
Prepaid expenses and other current assets | (1,537,550) | (2,121,543) |
Other assets | 2,188,242 | (113,384) |
Accounts payable | (671,744) | (583,363) |
Accrued liabilities | 3,063,148 | 7,903,736 |
Net cash provided by (used in) operating activities | 18,264,682 | (1,384,175) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Acquisition of property and equipment | (602,416) | (760,049) |
Acquisition of intangibles | (534,624) | (515,246) |
Acquisition of businesses | (759) | |
Net cash used in investing activities | (1,137,040) | (1,276,054) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from revolving credit line | 1,000,000 | |
Repayments of notes payable | (138,151) | (282,115) |
Due to seller | (160,250) | |
Noncontrolling interest contributions | 2,063,000 | 333,025 |
Proceeds from exercise of stock options | 374,344 | |
Equity costs | (19,570) | |
Payments on obligations under finance lease | (622,575) | (601,501) |
Net cash provided by (used in) financing activities | 2,496,798 | (550,591) |
Effect of exchange rate changes on cash and cash equivalents | (5,863) | 7,998 |
Net increase (decrease) in cash and restricted cash | 19,618,577 | (3,202,822) |
Cash and restricted cash at beginning of period | 179,105,730 | 34,457,273 |
Cash and restricted cash at end of period | 198,724,307 | 31,254,451 |
Supplemental disclosure of cash and non-cash transactions: | ||
Cash paid for interest | 68,222 | 2,365 |
Cash paid for interest on finance lease liabilities | 153,327 | 121,356 |
Cash paid for income taxes | 440,179 | 7,225 |
Right-of-use assets obtained in exchange for lease liabilities | 722,716 | 1,454,029 |
Reconciliation of cash and restricted cash | ||
Cash | 188,353,909 | 28,134,967 |
Restricted Cash | 10,370,398 | 3,119,484 |
Total cash and restricted cash shown in statement of cash flows | $ 198,724,307 | $ 31,254,451 |
Description of Organization and
Description of Organization and Business Operations | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Description of Organization and Business Operations | 1. Description of Organization and Business Operations The Business On November 5, 2021 (the “Closing Date”), DocGo Inc., a Delaware corporation (formerly known as Motion Acquisition Corp) (prior to the Closing Date, “Motion” and after the Closing Date, “DocGo”), consummated the previously announced business combination (the “Closing”) pursuant to that certain Agreement and Plan of Merger dated March 8, 2021 (the “Merger Agreement”), by and among Motion Acquisition Corp., a Delaware corporation (“Motion”), Motion Merger Sub Corp., a Delaware corporation and a direct wholly owned subsidiary of Motion (“Merger Sub”), and Ambulnz, Inc., a Delaware corporation (“Ambulnz”). In connection with the Closing, the registrant changed its name from Motion Acquisition Corp. to DocGo Inc. As contemplated by the Merger Agreement and as described in Motion’s definitive proxy statement/consent solicitation/prospectus filed with the U.S. Securities and Exchange Commission (the “SEC”) on October 14, 2021 (the “Prospectus”), Merger Sub was merged with and into Ambulnz, with Ambulnz continuing as the surviving corporation (the “Merger” and, together with the other transactions contemplated by the Merger Agreement, the “Business Combination”). As a result of the Merger, Ambulnz is a wholly-owned subsidiary of DocGo and each share of Series A preferred stock of Ambulnz, no par value (“Ambulnz Preferred Stock”), Class A common stock of Ambulnz, no par value (“Ambulnz Class A Common Stock”), and Class B common stock of Ambulnz, no par value (“Ambulnz Class B Common Stock,” together with Ambulnz Class A Common Stock, “Ambulnz Common Stock”) was cancelled and converted into the right to receive a portion of merger consideration issuable as common stock of DocGo, par value $0.0001 (“Common Stock”), pursuant to the terms and conditions set forth in the Merger Agreement. In connection with the Business Combination, DocGo raised $158.0 million of net proceeds. This amount was comprised of $43.4 million of cash held in Motion’s trust account from its initial public offering, net of DocGo’s transaction costs and underwriters’ fees of $9.6 million, and $114.6 million of cash in connection with the PIPE Financing. The transaction costs consisted of banking, legal, and other professional fees, which were recorded as a reduction to additional paid-in capital. The Business DocGo Inc. and its Subsidiaries (collectively, the “Company”) is a healthcare transportation and mobile health services (“Mobile Health”) company that uses proprietary dispatch and communication technology to provide quality healthcare transportation and healthcare services in major metropolitan cities in the United States and the United Kingdom. Mobile Health performs in-person care directly to patients in the comfort of their homes, workplaces and other non-traditional locations. Ambulnz, LLC was originally formed in Delaware on June 17, 2015, as a limited liability company. On November 1, 2017, with an effective date of January 1, 2017, Ambulnz converted its legal structure from a limited liability company to a C-corporation and changed its name to Ambulnz, Inc. Ambulnz is the sole owner of Ambulnz Holdings, LLC (“Holdings”) which was formed in the state of Delaware on August 5, 2015, as a limited liability company. Holdings is the owner of multiple operating entities incorporated in various states in the United States as well as within England and Wales, United Kingdom. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with generally accepted accounting principles in the United States (“U.S. GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Certain information and disclosures normally included in the financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. As such, the information included in this Quarterly Report on Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes included in our Annual Report on Form 10-K for the year ended December 31, 2021. The Condensed Consolidated Balance Sheet as of December 31, 2021 included herein was derived from the audited financial statements as of that date, but does not include all disclosures including notes required by U.S. GAAP. The Condensed Consolidated Financial Statements include the accounts and operations of the Company and its wholly owned subsidiaries. All intercompany accounts and transactions are eliminated upon consolidation. Noncontrolling interests (“NCI”) on the Condensed Consolidated Financial Statements represent a portion of consolidated joint ventures and a variable interest entity in which the Company does not have direct equity ownership. Accounts and transactions between consolidated entities have been eliminated. Certain amounts in the prior years’ consolidated statements of changes in stockholders’ equity and statements of cash flows have been reclassified to conform to the current year presentation. Pursuant to the Business Combination, the merger between Motion and Ambulnz, Inc. was accounted for as a reverse recapitalization in accordance with U.S. GAAP (the “Reverse Recapitalization”). Under this method of accounting, Motion was treated as the “acquired” company for financial reporting purposes. Accordingly, for accounting purposes, the Reverse Recapitalization was treated as the equivalent of Ambulnz, Inc. stock for the net assets of Motion, accompanied by a recapitalization. The net assets of Motion are stated at historical cost, with no goodwill or other intangible assets recorded. The consolidated assets, liabilities and results of operations prior to the Reverse Recapitalization are those of Ambulnz, Inc. The shares and corresponding capital amounts and earnings per share available for common stockholders, prior to the Business Combination, have been retroactively restated as shares reflecting the exchange ratio (645.1452 to 1) established in the Business Combination. Further, Ambulnz, Inc. was determined to be the accounting acquirer in the transaction, as such, the acquisition is considered a business combination under Accounting Standards Codification (“ASC”), Topic 805, Business Combinations, (“ASC 805”) and was accounted for using the acquisition method of accounting. Principles of Consolidation The accompanying Condensed Consolidated Financial Statements include the accounts of DocGo Inc. and its subsidiaries. All significant intercompany transactions and balances have been eliminated in these Condensed Consolidated Financial Statements. The Company holds a variable interest in MD1 Medical Care P.C. (“MD1”) which contracts with physicians and other health professionals in order to provide services to the Company. MD1 is considered a variable interest entity (“VIE”) since it does not have sufficient equity to finance its activities without additional subordinated financial support. An enterprise having a controlling financial interest in a VIE must consolidate the VIE if it has both power and benefits—that is, it has (1) the power to direct the activities of a VIE that most significantly impacts the VIE’s economic performance (power) and (2) the obligation to absorb losses of the VIE that potentially could be significant to the VIE or the right to receive benefits from the VIE that potentially could be significant to the VIE (benefits). The Company has the power and rights to control all activities of MD1 and funds and absorbs all losses of the VIE and appropriately consolidates MD1. Net loss for the VIE was $85,379 as of March 31, 2022. The VIE’s total assets, all of which were current, amounted to $509,769 on March 31, 2022. Total liabilities, all of which were current for the VIE, was $1,020,254 on March 31, 2022. The VIE’s total stockholders’ deficit was $510,485 on March 31, 2022. Foreign Currency The Company’s functional currency is the U.S. dollar. The functional currency of our foreign operation is the respective local currency. Assets and liabilities of foreign operations denominated in local currencies are translated at the spot rate in effect at the applicable reporting date, except for equity accounts which are translated at historical rates. The Condensed Consolidated Statements of Operations and Comprehensive Income are translated at the weighted average rate of exchange during the applicable period. The resulting unrealized cumulative translation adjustment is not material to the financial statements. Use of Estimates The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and expenses and the disclosure of contingent assets and liabilities in its financial statements and the reported amounts of expenses during the reporting period. The most significant estimates in the Company’s financial statements relate to revenue recognition related to the allowance for doubtful accounts, stock based compensation, calculations related to the incremental borrowing rate for the Company’s lease agreements, estimates related to ongoing lease terms, software development costs, impairment of long-lived assets, goodwill and indefinite-lived intangible assets, business combinations, reserve for losses within the Company’s insurance deductibles, income taxes, and deferred income tax. These estimates and assumptions are based on current facts, historical experience and various other factors believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the recording of expenses that are not readily apparent from other sources. Actual results may differ materially and adversely from these estimates. To the extent there are material differences between the estimates and actual results, the Company’s future results of operations will be affected. Concentration of Credit Risk and Off-Balance Sheet Risk The Company is potentially subject to concentration of credit risk with respect to its cash, cash equivalents and restricted cash, which the Company attempts to minimize by maintaining cash, cash equivalents and restricted cash with institutions of sound financial quality. At times, cash balances may exceed limits federally insured by the Federal Deposit Insurance Corporation (“FDIC”). The Company believes it is not exposed to significant credit risk due to the financial strength of the depository institutions in which the funds are held. The Company has no financial instruments with off-balance sheet risk of loss. Major Customers The Company has one customer that accounted for approximately 34% of sales and 22% of net accounts receivable, and another customer that accounted for 19% of sales and 17% of net accounts receivable for the period ended March 31, 2022. As of the period ended March 31, 2021, one customer accounted for approximately 26% of sales and 13% of net accounts receivable, and another customer that accounted for 10% of sales and 3% of net accounts receivable. The Company expects to maintain its relationships with these customers. Emerging Growth Company The Company is an “emerging growth company,” as defined in Section 2(a) of the Securities Act of 1933, as amended (the “Securities Act”), as modified by the Jumpstart our Business Startups Act of 2012 (the “JOBS Act”), and it may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act of 2002, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved. Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that an emerging growth company can elect to opt out of the extended transition period and comply with the requirements that apply to non- emerging growth companies but any such an election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period, which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of the Company’s financial statements with another public company, which is neither an emerging growth company nor an emerging growth company which has opted out of using the extended transition period, difficult or impossible because of the potential differences in accounting standards used. Reclassifications Certain reclassifications of amounts previously reported have been made to the accompanying Condensed Consolidated Financial Statements to maintain consistency between periods presented. The reclassifications had no impact on previously reported net income or retained earnings. Cash and Cash Equivalents Cash and cash equivalents include all highly liquid investments with an original maturity of three months or less. The Company maintains most of its cash and cash equivalents with financial institutions in the United States. The accounts at financial institutions in the United States are insured by the Federal Deposit Insurance Corporation (“FDIC”) and are in excess of FDIC limits. The Company had cash balances of approximately $1,029,825 and $803,000 with foreign financial institutions on March 31, 2022 and December 31, 2021, respectively. Restricted Cash and Insurance Reserves Cash and cash equivalents subject to contractual restrictions and not readily available are classified as restricted cash in the Condensed Consolidated Balance Sheets. Restricted cash is classified as either a current or non-current asset depending on the restriction period. The Company is required to pledge or otherwise restrict a portion of cash and cash equivalents as collateral for its line of credit, transportation equipment leases and a standby letter of credit as required by its insurance carrier (see Notes 8 and 13). The Company utilizes a combination of insurance and self-insurance programs, including a wholly-owned captive insurance entity, to provide for the potential liabilities for certain risks, including workers’ compensation, automobile liability, general liability and professional liability. Liabilities associated with the risks that are retained by the Company within its high deductible limits are not discounted and are estimated, in part, by considering claims experience, exposure and severity factors and other actuarial assumptions. The Company has commercial insurance in place for catastrophic claims above its deductible limits. ARM Insurance, Inc. a Vermont-based wholly-owned captive insurance subsidiary of the Company, charges the operating subsidiaries premiums to insure the retained workers’ compensation, automobile liability, general liability and professional liability exposures. Pursuant to Vermont insurance regulations, ARM Insurance, Inc. maintains certain levels of cash and cash equivalents related to its self-insurance exposures. The Company also maintains certain cash balances related to its insurance programs, which are held in a self-depleting trust and restricted as to withdrawal or use by the Company other than to pay or settle self-insured claims and costs. These amounts are reflected in “Restricted cash” in the accompanying Condensed Consolidated Balance Sheets. Fair Value of Financial Instruments ASC 820, Fair Value Measurements The accounting guidance classifies fair value measurements in one of the following three categories for disclosure purposes: Level 1: Quoted prices in active markets for identical assets or liabilities. Level 2: Inputs other than Level 1 prices for similar assets or liabilities that are directly or indirectly observable in the marketplace. Level 3: Unobservable inputs which are supported by little or no market activity and values determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant judgment or estimation. Fair value measurements discussed herein are based upon certain market assumptions and pertinent information available to management as of March 31, 2022 and December 31, 2021. For certain financial instruments, including cash and cash equivalents, accounts receivable, prepaid expenses and other current assets, restricted cash, accounts payable and accrued expenses, and due to seller, the carrying amounts approximate their fair values as it is short term in nature. The notes payable are presented at their carrying value, which based on borrowing rates currently available to the Company for loans with similar terms, approximates its fair values. Accounts Receivable The Company contracts with hospitals, healthcare facilities, businesses, state and local government entities, and insurance providers to transport patients and to provide Mobile Health services at specified rates. Accounts receivable consist of billings for transportation and healthcare services provided to patients. The billings will either be paid or settled on the patient’s behalf by health insurance providers, managed care organizations, treatment facilities, government sponsored programs, businesses, or patients directly. Accounts receivable are net of insurance provider contractual allowances, which are estimated at the time of billing based on contractual terms or other arrangements. Accounts receivable are periodically evaluated for collectability based on past credit history with payors and their current financial condition. Changes in the estimated collectability of accounts receivable are recorded in the results of operations for the period in which the estimate is revised. Accounts receivable deemed uncollectible are offset against the allowance for uncollectible accounts. The Company generally does not require collateral for accounts receivable. Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation and amortization. When an item is sold or retired, the costs and related accumulated depreciation or amortization are eliminated, and the resulting gain or loss, if any, is recorded in operating expenses in the Condensed Consolidated Statement of Operations and Comprehensive Income. The Company provides for depreciation and amortization using the straight-line method over the estimated useful lives of the respective assets. A summary of estimated useful lives is as follows: Asset Category Estimated Useful Life Buildings 39 years Office equipment and furniture 3 years Vehicles 5-8 years Medical equipment 5 years Leasehold improvements Shorter of useful life of asset or lease term Expenditures for repairs and maintenance are expensed as incurred. Expenditures that improve an asset or extend its estimated useful life are capitalized. Software Development Costs Costs incurred during the preliminary project stage, maintenance costs and routine updates and enhancements of products are expensed as incurred. The Company capitalizes software development costs intended for internal use in accordance with ASC 350-40, Internal-Use Software Estimated useful life of software development activities are reviewed annually or whenever events or changes in circumstances indicate that intangible assets may be impaired and adjusted as appropriate to reflect upcoming development activities that may include significant upgrades or enhancements to the existing functionality. Business Combinations The Company accounts for its business combinations under the provisions of ASC 805-10, Business Combinations Goodwill represents the excess purchase price over the fair value of the tangible net assets and intangible assets acquired in a business combination. If the business combination provides for contingent consideration, the Company records the contingent consideration at fair value at the acquisition date and any changes in fair value after the acquisition date are accounted for as measurement-period adjustments. Changes in fair value of contingent consideration resulting from events after the acquisition date, such as earn-outs, are recognized as follows: (1) if the contingent consideration is classified as equity, the contingent consideration is not re-measured and its subsequent settlement is accounted for within equity, or (2) if the contingent consideration is classified as a liability, the changes in fair value are recognized in earnings. For transactions that are business combinations, the Company evaluates the existence of goodwill or a gain from a bargain purchase. The Company capitalizes acquisition-related costs and fees associated with asset acquisitions and immediately expenses acquisition-related costs and fees associated with business combinations. The estimated fair value of net assets to be acquired, including the allocation of the fair value to identifiable assets and liabilities, is determined using established valuation techniques. Management uses assumptions based on historical knowledge of the business and projected financial information of the target. These assumptions may vary based on future events, perceptions of different market participants and other factors outside the control of management, and such variations may be significant to estimated values. Impairment of Long-Lived Assets The Company evaluates the recoverability of the recorded amount of long-lived assets, primarily property and equipment and finite-lived intangible assets, whenever events or changes in circumstance indicate that the recorded amount of an asset may not be fully recoverable. An impairment is assessed when the undiscounted expected future cash flows derived from an asset are less than its carrying amount. If an asset is determined to be impaired, the impairment to be recognized is measured as the amount by which the carrying amount of the asset exceeds its fair value. Assets targeted for disposal are reported at the lower of the carrying amount or fair value less cost to sell. For the periods ending March 31, 2022 and December 31, 2021, management determined that there was no impairment loss required to be recognized for the carrying value of long-lived assets. Goodwill and Indefinite-Lived Intangible Assets Goodwill represents the excess of the purchase price of an acquired business over the fair value of amounts assigned to assets acquired and liabilities assumed. Goodwill and indefinite-lived intangible assets, consisting primarily of operating licenses, are not amortized, but are evaluated for impairment on an annual basis, or on an interim basis when events or changes in circumstances indicate that the carrying value may not be recoverable. In assessing the recoverability of goodwill and indefinite-lived intangible assets, the Company makes assumptions regarding the estimated future cash flows, including forecasted revenue growth, projected gross margin and the discount rate to determine the fair value of these assets. If these estimates or their related assumptions change in the future, the Company may be required to record impairment charges against these assets in the reporting period in which the impairment is determined. The Company tests goodwill for impairment at the reporting unit level, which is one level below the operating segment. The Company has the option of performing a qualitative assessment to determine whether further impairment testing is necessary before performing the one-step quantitative assessment. If as a result of the qualitative assessment, it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, a quantitative impairment test will be required. Otherwise, no further testing will be required. If a quantitative impairment test is performed, the Company compares the fair values of the applicable reporting units with their aggregate carrying values, including goodwill. Estimating the fair value of the reporting units requires significant judgment by management. If the carrying amount of a reporting unit exceeds the fair value of the reporting unit, goodwill impairment is recognized. Any excess in carrying value over the estimated fair value is recorded as impairment loss and charged to the results of operations in the period such determination is made. For the periods ended March 31, 2022 and 2021, management determined that there was no impairment loss required to be recognized in the carrying value of goodwill or other intangible assets. The Company selected December 31 as its annual testing date. Line of Credit The costs associated with the Company’s line of credit are deferred and recognized over the term of the line of credit as interest expense. Derivative Financial Instruments The Company does not use derivative instruments to hedge exposures to interest rate, market, or foreign currency risks. The Company evaluates its financial instruments to determine if such instruments contain features that qualify as embedded derivatives. Related Party Transactions The Company defines related parties as affiliates of the Company, entities for which investments are accounted for by the equity method, trusts for the benefit of employees, principal owners (beneficial owners of more than 10% of the voting interest), management, and members of immediate families of principal owners or management, other parties with which the Company may deal with if one party controls or can significantly influence management or operating policies of the other to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests. Related party transactions are recorded within operating expenses in the Company’s Condensed Consolidated Statement of Operations and Comprehensive Income. For details regarding the related party transactions that occurred during the periods ended March 31, 2022 and 2021, refer to Note 15. Revenue Recognition On January 1, 2019, the Company adopted ASU 2014-09, Revenue from Contracts with Customers To determine revenue recognition for contractual arrangements that the Company determines are within the scope of ASC 606, the Company performs the following five steps: (1) identify each contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to performance obligations in the contract; and (5) recognize revenue when (or as) the relevant performance obligation is satisfied. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the goods or services the Company provides to the customer. The Company generates revenues from the provision of (1) ambulance and medical transportation services (“Transportation Services”) and (2) Mobile Health services. The customer simultaneously receives and consumes the benefits provided by the Company as the performance obligations are fulfilled, therefore the Company satisfies performance obligations immediately. The Company has utilized the “right to invoice” expedient which allows an entity to recognize revenue in the amount of consideration to which the entity has the right to invoice when the amount that the Company has the right to invoice corresponds directly to the value transferred to the customer. Revenues are recorded net of an estimated contractual allowances for claims subject to contracts with responsible paying entities. The Company estimates contractual allowances at the time of billing based on contractual terms, historical collections, or other arrangements. All transaction prices are fixed and determinable which includes a fixed base rate, fixed mileage rate and an evaluation of historical collections by each payer. Nature of Our Services Revenue is primarily derived from: i. Transportation Services ii. Mobile Health Services The Company concluded that Transportation Services and any related support activities are a single performance obligation under ASC 606. The transaction price is determined by the fixed rate usage-based fees or fixed fees which are agreed upon in the Company’s executed contracts. For Mobile Health, the performance of the services and any related support activities are a single performance obligation under ASC 606. Mobile Health services are typically billed based on a fixed rate (i.e., time and materials separately or combined) fee structure taking into consideration staff and materials utilized. As the performance associated with such services is known and quantifiable at the end of a period in which the services occurred (i.e., monthly or quarterly), revenues are typically recognized in the respective period performed. The typical billing cycle for Transportation Services and Mobile Health services is same day to 5 days with payments generally due within 30 days. For Transportation Services, the Company estimates the amount of revenues unbilled at month end and recognizes such amounts as revenue, based on available data and customer history. The Company’s Transportation Services and Mobile Health services each represent a single performance obligation. Therefore, allocation is not necessary as the transaction price (fees) for the services provided is standard and explicitly stated in the contractual fee schedule and/or invoice. The Company monitors and evaluate all contracts on a case-by-case basis to determine if multiple performance obligations are present in a contractual arrangement. For Transportation Services, the customer simultaneously receives and consumes the benefits provided by the Company as the performance obligations are fulfilled, therefore the Company satisfies performance obligations at the same time. For Transportation Services, where the customer pays fixed rate usage-based fees, the actual usage in the period represents the best measure of progress. Generally, for Mobile Health services, the customer simultaneously receives and consumes the benefits provided by the Company as the performance obligations are fulfilled, therefore the Company satisfies performance obligations at the same time. For certain Mobile Health services that have a fixed fee arrangement, and the services are provided over time, revenue is recognized over time as the services are provided to the customer. In the following table, revenue is disaggregated by as follows: Three Months Ended 2022 2021 Primary Geographical Markets United States $ 115,053,431 $ 47,681,374 United Kingdom 2,838,121 2,007,482 Total revenue $ 117,891,552 $ 49,688,856 Major Segments/Service Lines Transportation Services $ 27,812,510 $ 19,124,020 Mobile Health 90,079,042 30,564,836 Total revenue $ 117,891,552 $ 49,688,856 Stock Based Compensation The Company expenses stock-based compensation over the requisite service period based on the estimated grant-date fair value of the awards. The Company estimates the fair value of stock option grants using the Black-Scholes option pricing model, and the assumptions used in calculating the fair value of stock-based awards represent management’s best estimates and involve inherent uncertainties and the application of management’s judgment. The Company accounts for forfeitures as they occur. All stock-based compensation costs are recorded in operating expenses in the Condensed Consolidated Statements of Operations and Comprehensive Income. Earnings per Share Earnings per share represents the net income attributable to stockholders divided by the weighted-average number of shares outstanding during the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock of the Company during the reporting periods. Potential dilutive common stock equivalents consist of the incremental common shares issuable upon exercise of warrants and the incremental shares issuable upon conversion of stock options. In reporting periods in which the Company has a net loss, the effect is considered anti-dilutive and excluded from the diluted earnings per share calculation. On March 31, 2021, the Company excluded from its calculation 25,555,492 shares because their inclusion would have been anti-dilutive. Equity Method Investment On October 26, 2021, the Company acquired a 50% interest in RND Health Services Inc. (“RND”) for $655,876. The Company uses the equity method to account for investments in which the Company has the ability to exercise significant influence over the operating and financial policies of the investee but does not exercise control. The Company’s carrying value in the equity method investee is reflected in the caption “Equity method investment” on the condensed consolidated balance sheets. Changes in value of RND are recorded in “Loss from equity method investment” on the Condensed Consolidated Statements of Operations and Comprehensive Income. The Company’s judgment regarding its level of influence over the equity method investee includes considering key factors, such as ownership interest, representation on the board of directors, and participation in policy-making decisions. On November 1, 2021, the Company acquired a 20% interest in National Providers Association, LLC (“NPA”) for $30,000. The Company uses the equity method to account for investments in which the Company has the ability to exercise significant influence over the operating and financial policies of the investee but does not exercise control. The Company’s carrying value in the equity method investee is reflected in the caption “Equity method investment” on the condensed consolidated balance sheets. Changes in value of NPA are recorded in “Loss from equity method investment” on the Condensed Consolidated Statements of Operations and Comprehensive Income. The Company’s judgment regarding its level of influence over the equity method investee includes considering key factors, such as ownership interest, representation on the board of directors, and participation in policy-making decisions. Effective December 21, 2021, three members withdrew from NPA resulting in the remaining two members obtaining the remaining ownership percentage. On December 31, 2021, and March 31, 2022, DocGo owned 50% of NPA. Under the equity method, the Company’s investment is initially measured at cost and subsequently increased or decreased to recognize the Company’s share of income and losses of the investee, capital contributions and distributions and impairment losses. The Company performs a qualitative assessment annually and recognizes an impairment if there are sufficient indicators that the fair value of the investment is less than carrying value. Leases The Company categorizes leases at its inception as either operating or finance leases based on the criteria in FASB ASC 842, Leases The Company has lease arrangements for vehicles, equipment, and facilities. These leases typically have original terms not exceeding 10 years and, in some cases contain multi-year renewal options, none of which are reasonably certain of ex |
Property and Equipment, net
Property and Equipment, net | 3 Months Ended |
Mar. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, net | 3. Property and Equipment, net Property and equipment, net, as of March 31, 2022 and December 31, 2021 are as follows: March 31, December 31, Office equipment and furniture $ 2,165,146 $ 1,977,808 Buildings 527,283 527,284 Land 37,800 37,800 Transportation equipment 13,907,405 13,772,251 Medical equipment 4,206,670 3,949,566 Leasehold improvements 595,914 616,446 21,440,218 20,881,155 Less: Accumulated depreciation (8,815,791 ) (8,147,266 ) Property and equipment, net $ 12,624,427 $ 12,733,889 The Company recorded depreciation expense of $711,878 and $528,840 for three months ended March 31, 2022 and 2021, respectively. |
Acquisition of Businesses and A
Acquisition of Businesses and Asset Acquisitions | 3 Months Ended |
Mar. 31, 2022 | |
Business Combinations [Abstract] | |
Acquisition of Businesses and Asset Acquisitions | 4. Acquisition of Businesses and Asset Acquisitions LJH Ambulance Acquisition On November 20, 2020, AF WI LNZ, LLC, a subsidiary of Ambulnz-FMC North America LLC (“FMC NA”), a subsidiary of Holdings, entered into the Share Purchase Agreement (the “Agreement”) with LJH Ambulance (“LJH”). LJH was in the business of providing medical transportation services. The purchase price consisted of $465,000 cash consideration. The Company also agreed to pay the Seller 50% of all proceeds from accounts receivable that were outstanding as of the Agreement signing date that are actually received by the Company after the Agreement closing date. The LJH transaction closed on January 12, 2022 with the outstanding acquisition payable balance of $282,518 being paid off on March 4, 2022. |
Goodwill
Goodwill | 3 Months Ended |
Mar. 31, 2022 | |
Disclosure of Goodwill [Abstract] | |
Goodwill | 5. Goodwill The Company recorded goodwill in connection with its acquisitions. The changes in the carrying value of goodwill for the period ended March 31, 2022 are as noted in the tables below: Carrying Value Balance at December 31, 2021 $ 8,686,966 Goodwill acquired during the period - Balance at March 31, 2022 $ 8,686,966 |
Intangibles
Intangibles | 3 Months Ended |
Mar. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangibles | 6. Intangibles Intangible assets consist of the following as of March 31, 2022 and December 31, 2021: March 31, 2022 Estimated Gross Additions Accumulated Net Patents 15 years $ 48,668 $ 4,050 $ (7,205 ) $ 45,513 Computer software 5 years $ 294,147 - (233,902 ) 60,245 Operating licenses Indefinite $ 8,375,514 - - 8,375,514 Internally developed software 4-5 years $ 6,013,513 530,574 (4,446,049 ) 2,098,038 $ 14,731,842 $ 534,624 $ (4,687,156 ) $ 10,579,310 December 31, 2021 Estimated Gross Additions Accumulated Net Patents 15 years $ 19,275 $ 29,393 $ (6,367 ) $ 42,301 Computer software 5 years 132,816 161,331 (219,388 ) 74,759 Operating licenses Indefinite 8,375,514 - - 8,375,514 Internally developed software 4-5 years 2,146,501 3,867,012 (3,828,038 ) 2,185,475 $ 10,674,106 $ 4,057,736 $ (4,053,793 ) $ 10,678,049 The Company recorded amortization expense of $633,363 and $422,024 for the three months ended March 31, 2022 and 2021, respectively. Future amortization expense at March 31, 2022 for the next five years and in the aggregate are as follow: Amortization Expense 2022, remaining $ 1,024,937 2023 757,584 2024 235,800 2025 153,145 2026 3,515 Thereafter 28,815 Total $ 2,203,796 |
Accrued Liabilities
Accrued Liabilities | 3 Months Ended |
Mar. 31, 2022 | |
Disclosure of Accrued Liabilities [Abstract] | |
Accrued Liabilities | 7. Accrued Liabilities Accrued liabilities consist of the following as of March 31, 2022 and December 31, 2021: March 31, December 31, Accrued bonus $ 5,946,829 $ 7,260,456 Accrued lab fees 4,437,588 4,885,539 Accrued payroll 5,159,240 3,539,301 Medicare advance 290,582 975,415 FICA/Medicare liability 739,629 739,629 Accrued general expenses 5,055,226 3,497,418 Accrued subcontractors 10,500,202 9,564,833 Accrued fuel and maintenance 463,555 450,842 Accrued workers compensation 3,229,861 2,259,571 Other current liabilities 772,965 736,021 Accrued legal fees 1,471,053 1,143,629 Credit card payable 107,294 58,223 Total accrued liabilities $ 38,174,025 $ 35,110,877 |
Line of Credit
Line of Credit | 3 Months Ended |
Mar. 31, 2022 | |
Line of Credit Facility [Abstract] | |
Line of Credit | 8. Line of Credit On May 13, 2021, the Company entered into a revolving loan and security agreement with a bank (the “Lender”), with a maximum revolving advance amount of $12,000,000. Each Revolving Advance shall bear interest at a per annum rate equal to the Wall Street Journal Prime Rate (3.50% as of March 31, 2022), as the same may change from time to time, plus one percent (1.00%), but in no event less than five percent (5.00%) per annum, calculated on the basis of a 360-day year for the actual number of days elapsed (“Contract Rate”). The revolving loan has a maturity date of May 12, 2022 (“Maturity Date”). This loan is secured by all assets of entities owned 100% by DocGo Inc. This loan is subject to certain financial covenants such as a Fixed Charge Coverage Ratio and Debt to Effective Tangible Net Worth. As of March 31, 2022 the outstanding balance was zero. On December 17, 2021, Ambulnz-FMC North America, LLC (“FMC NA”), entered into a revolving loan and bridge credit and security agreement with a subsidiary of one of its members with a maximum revolving advance amount of $12,000,000. Each Revolving Advance shall bear interest at a per annum rate equal to the Wall Street Journal Prime Rate (3.25% at December 31, 2021), as the same may change from time to time, plus one percent (1.00%), but in no event less than five percent (5.00%) per annum, calculated on the basis of a 360-day year for the actual number of days in the applicable period. The agreement is subject to certain financial covenants such as an unused fee, whereas the Company shall pay to the subsidiary of one of its members an unused fee in the amount of 0.5% of the average daily amount by which the Revolving Commitment Amount ($12 million) exceeds the principal balance of the aggregate outstanding advances. All accrued and unpaid interest and unused fee shall be due and payable on the first anniversary of the date of the agreement (“Revolving Credit Maturity Date”). This loan is secured by all assets of entities owned 100% by DocGo Inc. As of December 31, 2021, the outstanding balance of the line of credit was zero. On January 26, 2022, the Company drew $1,000,000 to fund operations and meet short-term obligations. As of March 31, 2022, the outstanding balance of the line of credit was $1,000,000. |
Notes Payable
Notes Payable | 3 Months Ended |
Mar. 31, 2022 | |
Notes Payable [Abstract] | |
Notes Payable | 9. Notes Payable The Company has various loans with finance companies with monthly installments aggregating $60,499, inclusive of interest ranging from 2.5% through 7.5%. The notes mature at various times through 2051 and are secured by transportation equipment. The following table summarizes the Company’s notes payable: March 31, December 31, Equipment and financing loans payable, between 2.5% and 7.5% interest and maturing through May 2051 $ 1,765,137 $ 1,903,288 Total notes payable 1,765,137 1,903,288 Less: current portion of notes payable $ 593,831 $ 600,449 Total non-current portion of notes payable $ 1,171,306 $ 1,302,839 Interest expense was $22,559 and $61,324 for the periods ended March 31, 2022 and December 31, 2021, respectively. Future minimum annual maturities of notes payable as of March 31, 2022 are as follows: Notes Payable 2022, remaining 423,712 2023 485,390 2024 326,565 2025 248,120 2026 149,536 Thereafter 131,814 Total maturities $ 1,765,137 Current portion of notes payable (593,831 ) Long-term portion of notes payable $ 1,171,306 |
Business Segment Information
Business Segment Information | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Business Segment Information | 10. Business Segment Information The Company conducts business as two operating segments, Transportation Services and Mobile Health services. In accordance with ASC 280, Segment Reporting The accounting policies of the segments are the same as the accounting policies of the Company as a whole. The Company evaluates the performance of its Transportation Services and Mobile Health services segments based primarily on results of operations. Operating results for the business segments of the Company are as follows: Transportation Mobile Health Total Three Months Ended March 31, 2022 Revenues $ 27,812,510 $ 90,079,042 $ 117,891,552 Income (loss) from operations (9,328,377 ) 19,422,942 $ 10,094,565 Total assets $ 215,635,997 $ 109,560,307 $ 325,196,304 Depreciation and amortization expense $ 1,987,321 $ 213,700 $ 2,201,021 Stock compensation $ 367,818 $ 1,055,119 $ 1,422,937 Long-lived assets $ 28,665,748 $ 3,224,955 $ 31,890,703 Three Months Ended March 31, 2021 Revenues $ 19,124,020 30,564,836 $ 49,688,856 Income (loss) from operations (3,402,200 ) 1,528,242 (1,873,958 ) Total assets $ 87,627,899 $ 18,975,128 $ 106,603,027 Depreciation and amortization expense $ 1,329,398 $ 268,278 $ 1,597,676 Stock compensation $ 195,767 $ 195,767 $ 391,534 Long-lived assets $ 25,946,257 $ 822,231 $ 26,768,488 Long-lived assets include property, plant and equipment, goodwill and intangible assets. Geographic Information Revenues by geographic location are included in Note 2. |
Equity
Equity | 3 Months Ended |
Mar. 31, 2022 | |
Stockholders' Equity Note [Abstract] | |
Equity | 11. Equity Preferred Stock In November 2021, the Company’s Series A preferred stock was cancelled and converted into the right to receive a portion of merger consideration issuable as common stock of DocGo, par value $0.0001 (the “Common Stock”), pursuant to the terms and conditions set forth in the Merger Agreement. The Company’s Condensed Consolidated Statements of Changes in Stockholders’ Equity reflect the 2020 shares as if the Merger occurred in 2020. Prior to the reverse merger, on May 23, 2019, the Series A preferred stock was formed, and 40,000 shares were authorized. Each share of Series A preferred stock was convertible into Class A common stock at a conversion price of $3,000 per share, subject to adjustment as defined in the articles of incorporation. Series A preferred stockholders had voting rights equivalent to the number of common stock shares issuable upon conversion. The Series A preferred stockholders were entitled to a non-cumulative dividend equal to 8% of the original issue price as defined in the agreement when declared by the board of directors. The holders of the Series A preferred stock had preferential liquidation rights and rank senior to the holders of common stock. If a liquidation were to occur, the holders of the Series A preferred stock would have been paid an amount equal to $3,000 per share, subject to adjustment as defined in the articles of incorporation, plus all accrued and unpaid dividends thereon. After the payment of the Series A preferred stockholders, the common stockholders would have been paid out on a pro-rate basis. Common Stock On November 1, 2017, Ambulnz, Inc. converted its legal structure from a limited liability company to a corporation and converted its membership units into shares of common stock at a rate of 1,000 shares per membership unit. The total authorized number of shares of common stock converted was 100,000 shares, comprised of 35,597 shares of Class A common stock and 64,402 shares of Class B common stock. Prior to the reverse merger, on May 23, 2019, the Ambulnz, Inc amended and restated its articles of incorporation and the total authorized common shares increased to 154,503 shares, comprised of 78,000 shares of Class A common stock and 76,503 shares of Class B common stock. The Class A common stockholders had voting rights equivalent to one vote per share of common stock and the Class B common stockholders have no voting rights. Dividends may be paid to the common stockholders out of funds legally available, when declared by the board of directors. Preacquisition Warrants On February 15, 2018, the Company issued warrants to purchase 1,367 shares of Class B common stock at a purchase price of $0.01 per share to an investor in conjunction with a capital investment. The warrants had no expiration date. The fair value on the date of issuance was $5,400 per share, for a total fair value of $7,381,800. On May 23, 2019, the warrants were exchanged for warrants to purchase 2,461 shares of Series A preferred stock at a purchase price of $0.01 per share. The exchanged warrants has no expiration date, and had a fair value on the date of issuance of $3,000 per share for a total fair value of $7,383,000. These warrants were cashless exercised in November 2021 for 1,587,700 shares of common DocGo Inc. common stock. On June 5, 2019, the Company issued warrants to purchase 667 shares of Series A preferred stock at a purchase price of $3,000 per share to an investor in conjunction with a capital investment. The warrants would have expired on June 6, 2029. The fair value on the date of issuance was $2,078 per warrant for a total fair value of $1,386,026. These warrants were cashless exercised in November 2021 for 229,807 shares of common DocGo Inc. common stock. |
Stock Based Compensation
Stock Based Compensation | 3 Months Ended |
Mar. 31, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Stock Based Compensation | 12. Stock Based Compensation Stock Options In 2021, the Company established the DocGo Inc. Equity Incentive Plan (the “Plan”), which replaced Ambulnz, Inc’s 2017 Equity Incentive Plan. The Company reserved 16,607,894 shares of common stock for issuance under the Plan. The Company’s stock options generally vest on various terms based on continuous services over periods ranging from three to five years. The stock options are subject to time vesting requirements through 2031 and are nontransferable. Stock options granted have a maximum contractual term of 10 years. On March 31, 2022, approximately 2.7 million employee stock options on a converted basis had vested. The fair value of each stock option grant is estimated on the date of grant using the Black-Scholes option-pricing model. Before the Company’s shares of stock were publicly traded, management took the average of several publicly traded companies that were representative of the Company’s size and industry in order to estimate its expected stock volatility. The expected term of the options represented the period of time the instruments are expected to be outstanding. The Company based the risk-free interest rate on the rate payable on the U.S. Treasury securities corresponding to the expected term of the awards at the date of grant. Expected dividend yield was zero based on the fact that the Company had not historically paid and does not intend to pay a dividend in the foreseeable future. The Company utilized contemporaneous valuations in determining the fair value of its shares at the date of option grants. Prior to the Merger, each valuation utilized both the discounted cash flow and guideline public company methodologies to estimate the fair value of its shares on a non-controlling and marketable basis. The December 31, 2020 valuations also included an approach that took into consideration a pending non-binding letter of intent from Motion Acquisition Corp. The March 11, 2021 valuation report relied solely on the fair value of the Company’s shares implied by the March 8, 2021 Merger Agreement with Motion Acquisition Corp. A discount for lack of marketability was applied to the non-controlling and marketable fair value estimates determined above. The determination of an appropriate discount for lack of marketability was based on a review of discounts on the sale of restricted shares of publicly traded companies and put-based quantitative methods. Factors that influenced the size of the discount for lack of marketability included (a) the estimated time it would take for a Company stockholder to achieve marketability, and (b) the volatility of the Company’s business. The following assumptions were used to compute the fair value of the stock option grants during the period ended March 31, 2022 and 2021: Three Months Ended 2022 2021 Risk-free interest rate 0.71 % 0.06 % Expected term (in years) 4 .5 - 2 Volatility 60 % 65 % Dividend yield 0 % 0 % The following table summarizes the Company’s stock option activity under the Plan for the period ended March 31, 2022: Options Weighted Weighted Aggregate Balance as of, December 31, 2021 8,422,972 $ 6.21 8.77 $ 24,706,020 Granted/ Vested during the year 650,122 3.61 9.89 - Exercised during the year 195,152 1.92 6.77 - Cancelled during the year (47,195 ) 6.78 8.83 - Balance as of, March 31, 2022 9,221,051 6.37 8.66 $ 25,461,022 Options vested and exercisable at March 31, 2022 2,757,391 $ 4.04 7.05 $ 15,040,545 The aggregate intrinsic value in the above table is calculated as the difference between fair value of the Company’s common stock price and the exercise price of the stock options. The weighted average grant date fair value per share for stock option grants during the periods ended March 31, 2022 and December 31, 2021 was $7.15 and $2.80, respectively. At March 31, 2022 and December 31, 2021, the total unrecognized compensation related to unvested stock option awards granted was $22,868,377 and $20,792,804, respectively, which the Company expects to recognize over a weighted-average period of approximately 3.58 years. Restricted Stock Units The fair value of restricted stock units (“RSUs”) is determined on the date of grant. The Company records compensation expense in the Condensed Consolidated Statement of Operations and Comprehensive Income on a straight-line basis over the vesting period for RSUs. The vesting period for employees and members of the Board of Directors ranges from one to four years. Activity under RSUs was as follows: RSUs Weighted- Balance as of, December 31, 2021 50,192 $ 9.97 Granted 146,853 7.15 Vested and issued (8,258 ) 9.97 Forfeited - - Balance as of, March 31, 2022 188,787 7.78 Vested and unissued at March 31, 2022 - - Non-vested at March 31, 2022 188,787 7.78 The total grant-date fair value of RSUs granted during the period ended March 31, 2022 was $1,049,999. For the period ended March 31, 2022, the Company recorded stock-based compensation expense related to RSUs of $82,304. As of March 31, 2022, the Company had $1,467,949 in unrecognized compensation cost related to non-vested RSUs, which is expected to be recognized over a weighted-average period of approximately 3.4 years. |
Leases
Leases | 3 Months Ended |
Mar. 31, 2022 | |
Disclosure of Leases [Abstract] | |
Leases | 13. Leases Operating Leases The Company is obligated to make rental payments under non-cancellable operating leases for office, dispatch station space, and transportation equipment, expiring at various dates through 2026 Certain leases for property and transportation equipment contain options to purchase, extend or terminate the lease. Determining the lease term and amount of lease payments to include in the calculation of the right-of-use (ROU) asset and lease obligations for leases containing options requires the use of judgment to determine whether the exercise of an option is reasonably certain and whether the optional period and payments should be included in the calculation of the associated ROU asset and lease obligation. In making such judgment, the Company considers all relevant economic factors that would require whether to exercise or not exercise the option. The Company’s lease agreements generally do not provide an implicit borrowing rate. Therefore, the Company used a benchmark approach to derive an appropriate imputed discount rate. The Company benchmarked itself against other companies of similar credit ratings and comparable quality and derived imputed rates, which were used to discount its real estate lease liabilities. The Company used estimated borrowing rates of 6% on January 1, 2019, for all leases that commenced prior to that date, for office spaces and transportation equipment. Lease Costs The table below comprise lease expenses for the periods ended March 31, 2022 and 2021: Components of total lease cost: March 31, March 31, Operating lease expense $ 462,625 $ 491,375 Short-term lease expense 255,096 68,050 Total lease cost $ 717,721 $ 559,425 Lease Position as of March 31, 2022 Right-of-use lease assets and lease liabilities for the Company’s operating leases were recorded in the consolidated balance sheets as follows: March 31, December 31, Assets Lease right-of-use assets $ 3,962,805 $ 4,195,682 Total lease assets $ 3,962,805 $ 4,195,682 Liabilities Current liabilities: Lease liability - current portion $ 1,404,651 $ 1,461,335 Noncurrent liabilities: Lease liability, net of current portion 2,788,103 2,980,946 Total lease liability $ 4,192,754 $ 4,442,281 Lease Terms and Discount Rate Weighted average remaining lease term (in years) - operating leases 3.99 Weighted average discount rate - operating leases 6.00 % Undiscounted Cash Flows Future minimum lease payments under the operating leases at March 31, 2022 are as follows: Operating Leases 2022, remaining $ 1,247,425 2023 1,262,727 2024 856,310 2025 859,095 2026 449,473 2027 and thereafter - Total future minimum lease payments 4,675,030 Less effects of discounting (482,276 ) Present value of future minimum lease payments $ 4,192,754 Operating lease expense were approximately $462,625 and $491,375 for the period ended March 31, 2022 and 2021, respectively. For the quarter ended March 31, 2022, the Company made $462,625 of fixed cash payments related to operating leases and $622,575 related to finance leases. Finance Leases The Company leases vehicles under a non-cancelable finance lease agreements with a liability of $9,664,850 and $10,139,410 for the quarter ended March 31, 2022 and December 31, 2021, respectively. This includes accumulated depreciation expense of $7,951,023 and $7,095,242 as of March 31, 2022 and December 31, 2021, respectively. Depreciation expense for the vehicles under non-cancelable lease agreements amounted to $855,781 and $646,812 for the quarter ended March 31, 2022 and 2021, respectively. Lease Payments The table below presents lease payments for the periods ended March 31, 2022 and 2021: Components of total lease payment: March 31, March 31, Finance lease payment $ 622,575 $ 601,501 Short-term lease payment - - Total lease payments $ 622,575 $ 601,501 Lease Position as of March 31, 2022 Right-of-use lease assets and lease liabilities for the Company’s finance leases were recorded in the consolidated balance sheet as follows: March 31, December 31, Assets Lease right-of-use assets $ 8,658,897 $ 9,307,113 Total lease assets $ 8,658,897 $ 9,307,113 Liabilities Current liabilities: Lease liability - current portion $ 3,262,004 $ 3,271,990 Noncurrent liabilities: Lease liability, net of current portion 6,402,846 6,867,420 Total lease liability $ 9,664,850 $ 10,139,410 Lease Terms and Discount Rate The table below presents certain information related to the weighted average remaining lease term and the weighted average discount rate for the Company’s finance leases as of March 31, 2022: Weighted average remaining lease term (in years) - finance leases 3.6 Weighted average discount rate - finance leases 6.01 % Undiscounted Cash Flows Future minimum lease payments under the finance leases at March 31, 2022 are as follows: Finance Leases 2022, remaining $ 2,945,992 2023 3,001,011 2024 1,834,762 2025 1,843,202 2026 1,150,387 2027 and thereafter 9,549 Total future minimum lease payments 10,784,903 Less effects of discounting (1,120,053 ) Present value of future minimum lease payments $ 9,664,850 |
Other Income
Other Income | 3 Months Ended |
Mar. 31, 2022 | |
Other Income and Expenses [Abstract] | |
Other Income | 14. Other Income As of March 31, 2022, the Company recognized other loss of $4,253, net of $20,805 from realized foreign exchange loss offset by rental income of $16,552. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2022 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 15. Related Party Transactions Historically, the Company has been involved in transactions with various related parties. Pride Staff provides subcontractor services to the Company. Pride Staff is owned by an operations manager of the Company and his spouse, and therefore, is a related party. The Company made subcontractor payments to Pride Staff totaling $209,153 and $163,125 for the three months ended March 31, 2022 and 2021, respectively. There were no amounts due in accounts payable to related parties as of March 31, 2022 and December 31, 2021, respectively. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 16. Income Taxes As a result of the Company’s history of net operating losses (“NOL”), the Company had historically provided for a full valuation allowance against its deferred tax assets for assets that were not more-likely-than-not to be realized. The Company’s income tax expense for the three months ended March 31, 2022 and 2021 was $440,179 and $10,029 respectively. Our effective tax rate for the three months ended March 31, 2022 and 2021 was 4.85% and 2.53%. |
401(K) Plan
401(K) Plan | 3 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
401(K) Plan | 17. 401(K) Plan The Company has established a 401(k) plan in January 2022 that qualifies as a deferred compensation arrangement under Section 401 of the Internal Revenue Code. All U.S. employees that complete two months of service with the Company are eligible to participate in the plan. The Company did not make any employer contributions to this plan as of March 31, 2022. |
Legal Proceedings
Legal Proceedings | 3 Months Ended |
Mar. 31, 2022 | |
Legal Proceedings [Abstract] | |
Legal Proceedings | 18. Legal Proceedings From time to time, the Company may be involved as a defendant in legal actions that arise in the normal course of business. In the opinion of management, the Company has adequate legal defense on all legal actions, and the results of any such proceedings would not materially impact the Condensed Consolidated Financial Statements of the Company. The Company provides disclosure and records loss contingencies in accordance with the loss contingencies accounting guidance. In accordance with such guidance, the Company establishes accruals for such matters when potential losses become probable and can be reasonably estimated. If the Company determines that a loss is reasonably possible and the loss or range of loss can be estimated, the Company discloses the possible loss in the Condensed Consolidated Financial Statements. As of March 31, 2022 and December 31, 2021, the Company recorded a liability of $1,000,000, which represents an amount for an agreed settlement, under the terms of a memorandum of understanding, of various class-based claims, both actual and potential, under Federal and California State law over a historical period. The settlement is subject to court approval. |
Risk and Uncertainties
Risk and Uncertainties | 3 Months Ended |
Mar. 31, 2022 | |
Risks and Uncertainties [Abstract] | |
Risk and Uncertainties | 19. Risk and Uncertainties COVID-19 Risks, Impacts and Uncertainties On January 30, 2020, the World Health Organization (“WHO”) announced a global health emergency because of a new strain of coronavirus (the “COVID-19 Outbreak”) and the risks to the international community as the virus spreads globally. In March 2020, the WHO classified the COVID-19 Outbreak as a pandemic, based on the rapid increase in exposure globally. The spread of COVID-19 and the related country-wide shutdowns and restrictions have had a mixed impact on the Company’s business. In the ambulance transportation business, which predominantly comprises non-emergency medical transportation, the Company has seen a decline in volumes from historical and expected levels, as elective surgeries and other procedures have been postponed. In some of the Company’s larger markets, such as New York and California, there have been declines in trip volume. In addition, the Company experienced lost revenues associated with sporting, concerts and other events, as those events have been cancelled or have a significantly restricted (or entirely eliminated) the number of permitted attendees. There are two areas where the Company has experienced positive business impacts from COVID-19. In April and May 2020, the Company participated in an emergency project with Federal Emergency Management Agency (“FEMA”) in the New York City area. This engagement resulted in incremental transportation revenue. In addition, in response to the need for widespread COVID-19 testing and available Emergency Medical Technicians (“EMT”) and Paramedics, the Company formed a new subsidiary, Rapid Reliable Testing, LLC (“RRT”), with the goal to perform COVID-19 tests at nursing homes, municipal sites, businesses, schools and other venues. RRT is part of the Mobile Health segment. Medicare Accelerated Payments Medicare accelerated payments of approximately $2,397,024 were received by the Company in April 2020. Effective October 8, 2020, CMS is no longer accepting new applications for accelerated payments. Accordingly, the Company does not expect to receive additional Medicare accelerated payments. Payments under the Medicare Accelerated and Advance Payment program are advances that must be repaid. Effective October 1, 2020, the program was amended such that providers are required to repay accelerated payments beginning one year after the payment was issued. After such one-year period, Medicare payments owed to providers will be recouped according to the repayment terms. The repayment terms specify that for the first 11 months after repayment begins, repayment will occur through an automatic recoupment of 25% of Medicare payments otherwise owed to the provider. At the end of the eleven-month period, recoupment will increase to 50% for six months. At the end of the six months (or 29 months from the receipt of the initial accelerated payment), Medicare will issue a letter for full repayment of any remaining balance, as applicable. In such event, if payment is not received within 30 days, interest will accrue at the annual percentage rate of four percent (4%) from the date the letter was issued and will be assessed for each full 30-day period that the balance remains unpaid. As of March 31, 2022 and December 31, 2021, $290,582 and $975,415 of Medicare accelerated payments were reflected within accrued liabilities, respectively, in the Condensed Consolidated Balance Sheets, as the Company expects to repay the balance by December 31, 2022. The Company’s estimate of the current liability is a function of historical cash receipts from Medicare and the repayment terms set forth above. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with generally accepted accounting principles in the United States (“U.S. GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Certain information and disclosures normally included in the financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. As such, the information included in this Quarterly Report on Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes included in our Annual Report on Form 10-K for the year ended December 31, 2021. The Condensed Consolidated Balance Sheet as of December 31, 2021 included herein was derived from the audited financial statements as of that date, but does not include all disclosures including notes required by U.S. GAAP. The Condensed Consolidated Financial Statements include the accounts and operations of the Company and its wholly owned subsidiaries. All intercompany accounts and transactions are eliminated upon consolidation. Noncontrolling interests (“NCI”) on the Condensed Consolidated Financial Statements represent a portion of consolidated joint ventures and a variable interest entity in which the Company does not have direct equity ownership. Accounts and transactions between consolidated entities have been eliminated. Certain amounts in the prior years’ consolidated statements of changes in stockholders’ equity and statements of cash flows have been reclassified to conform to the current year presentation. Pursuant to the Business Combination, the merger between Motion and Ambulnz, Inc. was accounted for as a reverse recapitalization in accordance with U.S. GAAP (the “Reverse Recapitalization”). Under this method of accounting, Motion was treated as the “acquired” company for financial reporting purposes. Accordingly, for accounting purposes, the Reverse Recapitalization was treated as the equivalent of Ambulnz, Inc. stock for the net assets of Motion, accompanied by a recapitalization. The net assets of Motion are stated at historical cost, with no goodwill or other intangible assets recorded. The consolidated assets, liabilities and results of operations prior to the Reverse Recapitalization are those of Ambulnz, Inc. The shares and corresponding capital amounts and earnings per share available for common stockholders, prior to the Business Combination, have been retroactively restated as shares reflecting the exchange ratio (645.1452 to 1) established in the Business Combination. Further, Ambulnz, Inc. was determined to be the accounting acquirer in the transaction, as such, the acquisition is considered a business combination under Accounting Standards Codification (“ASC”), Topic 805, Business Combinations, (“ASC 805”) and was accounted for using the acquisition method of accounting. |
Principles of Consolidation | Principles of Consolidation The accompanying Condensed Consolidated Financial Statements include the accounts of DocGo Inc. and its subsidiaries. All significant intercompany transactions and balances have been eliminated in these Condensed Consolidated Financial Statements. The Company holds a variable interest in MD1 Medical Care P.C. (“MD1”) which contracts with physicians and other health professionals in order to provide services to the Company. MD1 is considered a variable interest entity (“VIE”) since it does not have sufficient equity to finance its activities without additional subordinated financial support. An enterprise having a controlling financial interest in a VIE must consolidate the VIE if it has both power and benefits—that is, it has (1) the power to direct the activities of a VIE that most significantly impacts the VIE’s economic performance (power) and (2) the obligation to absorb losses of the VIE that potentially could be significant to the VIE or the right to receive benefits from the VIE that potentially could be significant to the VIE (benefits). The Company has the power and rights to control all activities of MD1 and funds and absorbs all losses of the VIE and appropriately consolidates MD1. Net loss for the VIE was $85,379 as of March 31, 2022. The VIE’s total assets, all of which were current, amounted to $509,769 on March 31, 2022. Total liabilities, all of which were current for the VIE, was $1,020,254 on March 31, 2022. The VIE’s total stockholders’ deficit was $510,485 on March 31, 2022. |
Foreign Currency | Foreign Currency The Company’s functional currency is the U.S. dollar. The functional currency of our foreign operation is the respective local currency. Assets and liabilities of foreign operations denominated in local currencies are translated at the spot rate in effect at the applicable reporting date, except for equity accounts which are translated at historical rates. The Condensed Consolidated Statements of Operations and Comprehensive Income are translated at the weighted average rate of exchange during the applicable period. The resulting unrealized cumulative translation adjustment is not material to the financial statements. |
Use of Estimates | Use of Estimates The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and expenses and the disclosure of contingent assets and liabilities in its financial statements and the reported amounts of expenses during the reporting period. The most significant estimates in the Company’s financial statements relate to revenue recognition related to the allowance for doubtful accounts, stock based compensation, calculations related to the incremental borrowing rate for the Company’s lease agreements, estimates related to ongoing lease terms, software development costs, impairment of long-lived assets, goodwill and indefinite-lived intangible assets, business combinations, reserve for losses within the Company’s insurance deductibles, income taxes, and deferred income tax. These estimates and assumptions are based on current facts, historical experience and various other factors believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the recording of expenses that are not readily apparent from other sources. Actual results may differ materially and adversely from these estimates. To the extent there are material differences between the estimates and actual results, the Company’s future results of operations will be affected. |
Concentration of Credit Risk and Off-Balance Sheet Risk | Concentration of Credit Risk and Off-Balance Sheet Risk The Company is potentially subject to concentration of credit risk with respect to its cash, cash equivalents and restricted cash, which the Company attempts to minimize by maintaining cash, cash equivalents and restricted cash with institutions of sound financial quality. At times, cash balances may exceed limits federally insured by the Federal Deposit Insurance Corporation (“FDIC”). The Company believes it is not exposed to significant credit risk due to the financial strength of the depository institutions in which the funds are held. The Company has no financial instruments with off-balance sheet risk of loss. |
Major Customers | Major Customers The Company has one customer that accounted for approximately 34% of sales and 22% of net accounts receivable, and another customer that accounted for 19% of sales and 17% of net accounts receivable for the period ended March 31, 2022. As of the period ended March 31, 2021, one customer accounted for approximately 26% of sales and 13% of net accounts receivable, and another customer that accounted for 10% of sales and 3% of net accounts receivable. The Company expects to maintain its relationships with these customers. |
Emerging Growth Company | Emerging Growth Company The Company is an “emerging growth company,” as defined in Section 2(a) of the Securities Act of 1933, as amended (the “Securities Act”), as modified by the Jumpstart our Business Startups Act of 2012 (the “JOBS Act”), and it may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act of 2002, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved. Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that an emerging growth company can elect to opt out of the extended transition period and comply with the requirements that apply to non- emerging growth companies but any such an election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period, which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of the Company’s financial statements with another public company, which is neither an emerging growth company nor an emerging growth company which has opted out of using the extended transition period, difficult or impossible because of the potential differences in accounting standards used. |
Reclassifications | Reclassifications Certain reclassifications of amounts previously reported have been made to the accompanying Condensed Consolidated Financial Statements to maintain consistency between periods presented. The reclassifications had no impact on previously reported net income or retained earnings. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include all highly liquid investments with an original maturity of three months or less. The Company maintains most of its cash and cash equivalents with financial institutions in the United States. The accounts at financial institutions in the United States are insured by the Federal Deposit Insurance Corporation (“FDIC”) and are in excess of FDIC limits. The Company had cash balances of approximately $1,029,825 and $803,000 with foreign financial institutions on March 31, 2022 and December 31, 2021, respectively. |
Restricted Cash and Insurance Reserves | Restricted Cash and Insurance Reserves Cash and cash equivalents subject to contractual restrictions and not readily available are classified as restricted cash in the Condensed Consolidated Balance Sheets. Restricted cash is classified as either a current or non-current asset depending on the restriction period. The Company is required to pledge or otherwise restrict a portion of cash and cash equivalents as collateral for its line of credit, transportation equipment leases and a standby letter of credit as required by its insurance carrier (see Notes 8 and 13). The Company utilizes a combination of insurance and self-insurance programs, including a wholly-owned captive insurance entity, to provide for the potential liabilities for certain risks, including workers’ compensation, automobile liability, general liability and professional liability. Liabilities associated with the risks that are retained by the Company within its high deductible limits are not discounted and are estimated, in part, by considering claims experience, exposure and severity factors and other actuarial assumptions. The Company has commercial insurance in place for catastrophic claims above its deductible limits. ARM Insurance, Inc. a Vermont-based wholly-owned captive insurance subsidiary of the Company, charges the operating subsidiaries premiums to insure the retained workers’ compensation, automobile liability, general liability and professional liability exposures. Pursuant to Vermont insurance regulations, ARM Insurance, Inc. maintains certain levels of cash and cash equivalents related to its self-insurance exposures. The Company also maintains certain cash balances related to its insurance programs, which are held in a self-depleting trust and restricted as to withdrawal or use by the Company other than to pay or settle self-insured claims and costs. These amounts are reflected in “Restricted cash” in the accompanying Condensed Consolidated Balance Sheets. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments ASC 820, Fair Value Measurements The accounting guidance classifies fair value measurements in one of the following three categories for disclosure purposes: Level 1: Quoted prices in active markets for identical assets or liabilities. Level 2: Inputs other than Level 1 prices for similar assets or liabilities that are directly or indirectly observable in the marketplace. Level 3: Unobservable inputs which are supported by little or no market activity and values determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant judgment or estimation. Fair value measurements discussed herein are based upon certain market assumptions and pertinent information available to management as of March 31, 2022 and December 31, 2021. For certain financial instruments, including cash and cash equivalents, accounts receivable, prepaid expenses and other current assets, restricted cash, accounts payable and accrued expenses, and due to seller, the carrying amounts approximate their fair values as it is short term in nature. The notes payable are presented at their carrying value, which based on borrowing rates currently available to the Company for loans with similar terms, approximates its fair values. |
Accounts Receivable | Accounts Receivable The Company contracts with hospitals, healthcare facilities, businesses, state and local government entities, and insurance providers to transport patients and to provide Mobile Health services at specified rates. Accounts receivable consist of billings for transportation and healthcare services provided to patients. The billings will either be paid or settled on the patient’s behalf by health insurance providers, managed care organizations, treatment facilities, government sponsored programs, businesses, or patients directly. Accounts receivable are net of insurance provider contractual allowances, which are estimated at the time of billing based on contractual terms or other arrangements. Accounts receivable are periodically evaluated for collectability based on past credit history with payors and their current financial condition. Changes in the estimated collectability of accounts receivable are recorded in the results of operations for the period in which the estimate is revised. Accounts receivable deemed uncollectible are offset against the allowance for uncollectible accounts. The Company generally does not require collateral for accounts receivable. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation and amortization. When an item is sold or retired, the costs and related accumulated depreciation or amortization are eliminated, and the resulting gain or loss, if any, is recorded in operating expenses in the Condensed Consolidated Statement of Operations and Comprehensive Income. The Company provides for depreciation and amortization using the straight-line method over the estimated useful lives of the respective assets. A summary of estimated useful lives is as follows: Asset Category Estimated Useful Life Buildings 39 years Office equipment and furniture 3 years Vehicles 5-8 years Medical equipment 5 years Leasehold improvements Shorter of useful life of asset or lease term Expenditures for repairs and maintenance are expensed as incurred. Expenditures that improve an asset or extend its estimated useful life are capitalized. |
Software Development Costs | Software Development Costs Costs incurred during the preliminary project stage, maintenance costs and routine updates and enhancements of products are expensed as incurred. The Company capitalizes software development costs intended for internal use in accordance with ASC 350-40, Internal-Use Software Estimated useful life of software development activities are reviewed annually or whenever events or changes in circumstances indicate that intangible assets may be impaired and adjusted as appropriate to reflect upcoming development activities that may include significant upgrades or enhancements to the existing functionality. |
Business Combinations | Business Combinations The Company accounts for its business combinations under the provisions of ASC 805-10, Business Combinations Goodwill represents the excess purchase price over the fair value of the tangible net assets and intangible assets acquired in a business combination. If the business combination provides for contingent consideration, the Company records the contingent consideration at fair value at the acquisition date and any changes in fair value after the acquisition date are accounted for as measurement-period adjustments. Changes in fair value of contingent consideration resulting from events after the acquisition date, such as earn-outs, are recognized as follows: (1) if the contingent consideration is classified as equity, the contingent consideration is not re-measured and its subsequent settlement is accounted for within equity, or (2) if the contingent consideration is classified as a liability, the changes in fair value are recognized in earnings. For transactions that are business combinations, the Company evaluates the existence of goodwill or a gain from a bargain purchase. The Company capitalizes acquisition-related costs and fees associated with asset acquisitions and immediately expenses acquisition-related costs and fees associated with business combinations. The estimated fair value of net assets to be acquired, including the allocation of the fair value to identifiable assets and liabilities, is determined using established valuation techniques. Management uses assumptions based on historical knowledge of the business and projected financial information of the target. These assumptions may vary based on future events, perceptions of different market participants and other factors outside the control of management, and such variations may be significant to estimated values. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets The Company evaluates the recoverability of the recorded amount of long-lived assets, primarily property and equipment and finite-lived intangible assets, whenever events or changes in circumstance indicate that the recorded amount of an asset may not be fully recoverable. An impairment is assessed when the undiscounted expected future cash flows derived from an asset are less than its carrying amount. If an asset is determined to be impaired, the impairment to be recognized is measured as the amount by which the carrying amount of the asset exceeds its fair value. Assets targeted for disposal are reported at the lower of the carrying amount or fair value less cost to sell. For the periods ending March 31, 2022 and December 31, 2021, management determined that there was no impairment loss required to be recognized for the carrying value of long-lived assets. |
Goodwill and Indefinite-Lived Intangible Assets | Goodwill and Indefinite-Lived Intangible Assets Goodwill represents the excess of the purchase price of an acquired business over the fair value of amounts assigned to assets acquired and liabilities assumed. Goodwill and indefinite-lived intangible assets, consisting primarily of operating licenses, are not amortized, but are evaluated for impairment on an annual basis, or on an interim basis when events or changes in circumstances indicate that the carrying value may not be recoverable. In assessing the recoverability of goodwill and indefinite-lived intangible assets, the Company makes assumptions regarding the estimated future cash flows, including forecasted revenue growth, projected gross margin and the discount rate to determine the fair value of these assets. If these estimates or their related assumptions change in the future, the Company may be required to record impairment charges against these assets in the reporting period in which the impairment is determined. The Company tests goodwill for impairment at the reporting unit level, which is one level below the operating segment. The Company has the option of performing a qualitative assessment to determine whether further impairment testing is necessary before performing the one-step quantitative assessment. If as a result of the qualitative assessment, it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, a quantitative impairment test will be required. Otherwise, no further testing will be required. If a quantitative impairment test is performed, the Company compares the fair values of the applicable reporting units with their aggregate carrying values, including goodwill. Estimating the fair value of the reporting units requires significant judgment by management. If the carrying amount of a reporting unit exceeds the fair value of the reporting unit, goodwill impairment is recognized. Any excess in carrying value over the estimated fair value is recorded as impairment loss and charged to the results of operations in the period such determination is made. For the periods ended March 31, 2022 and 2021, management determined that there was no impairment loss required to be recognized in the carrying value of goodwill or other intangible assets. The Company selected December 31 as its annual testing date. |
Line of Credit | Line of Credit The costs associated with the Company’s line of credit are deferred and recognized over the term of the line of credit as interest expense. |
Derivative Financial Instruments | Derivative Financial Instruments The Company does not use derivative instruments to hedge exposures to interest rate, market, or foreign currency risks. The Company evaluates its financial instruments to determine if such instruments contain features that qualify as embedded derivatives. |
Related Party Transactions | Related Party Transactions The Company defines related parties as affiliates of the Company, entities for which investments are accounted for by the equity method, trusts for the benefit of employees, principal owners (beneficial owners of more than 10% of the voting interest), management, and members of immediate families of principal owners or management, other parties with which the Company may deal with if one party controls or can significantly influence management or operating policies of the other to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests. Related party transactions are recorded within operating expenses in the Company’s Condensed Consolidated Statement of Operations and Comprehensive Income. For details regarding the related party transactions that occurred during the periods ended March 31, 2022 and 2021, refer to Note 15. |
Revenue Recognition | Revenue Recognition On January 1, 2019, the Company adopted ASU 2014-09, Revenue from Contracts with Customers To determine revenue recognition for contractual arrangements that the Company determines are within the scope of ASC 606, the Company performs the following five steps: (1) identify each contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to performance obligations in the contract; and (5) recognize revenue when (or as) the relevant performance obligation is satisfied. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the goods or services the Company provides to the customer. The Company generates revenues from the provision of (1) ambulance and medical transportation services (“Transportation Services”) and (2) Mobile Health services. The customer simultaneously receives and consumes the benefits provided by the Company as the performance obligations are fulfilled, therefore the Company satisfies performance obligations immediately. The Company has utilized the “right to invoice” expedient which allows an entity to recognize revenue in the amount of consideration to which the entity has the right to invoice when the amount that the Company has the right to invoice corresponds directly to the value transferred to the customer. Revenues are recorded net of an estimated contractual allowances for claims subject to contracts with responsible paying entities. The Company estimates contractual allowances at the time of billing based on contractual terms, historical collections, or other arrangements. All transaction prices are fixed and determinable which includes a fixed base rate, fixed mileage rate and an evaluation of historical collections by each payer. Nature of Our Services Revenue is primarily derived from: i. Transportation Services ii. Mobile Health Services The Company concluded that Transportation Services and any related support activities are a single performance obligation under ASC 606. The transaction price is determined by the fixed rate usage-based fees or fixed fees which are agreed upon in the Company’s executed contracts. For Mobile Health, the performance of the services and any related support activities are a single performance obligation under ASC 606. Mobile Health services are typically billed based on a fixed rate (i.e., time and materials separately or combined) fee structure taking into consideration staff and materials utilized. As the performance associated with such services is known and quantifiable at the end of a period in which the services occurred (i.e., monthly or quarterly), revenues are typically recognized in the respective period performed. The typical billing cycle for Transportation Services and Mobile Health services is same day to 5 days with payments generally due within 30 days. For Transportation Services, the Company estimates the amount of revenues unbilled at month end and recognizes such amounts as revenue, based on available data and customer history. The Company’s Transportation Services and Mobile Health services each represent a single performance obligation. Therefore, allocation is not necessary as the transaction price (fees) for the services provided is standard and explicitly stated in the contractual fee schedule and/or invoice. The Company monitors and evaluate all contracts on a case-by-case basis to determine if multiple performance obligations are present in a contractual arrangement. For Transportation Services, the customer simultaneously receives and consumes the benefits provided by the Company as the performance obligations are fulfilled, therefore the Company satisfies performance obligations at the same time. For Transportation Services, where the customer pays fixed rate usage-based fees, the actual usage in the period represents the best measure of progress. Generally, for Mobile Health services, the customer simultaneously receives and consumes the benefits provided by the Company as the performance obligations are fulfilled, therefore the Company satisfies performance obligations at the same time. For certain Mobile Health services that have a fixed fee arrangement, and the services are provided over time, revenue is recognized over time as the services are provided to the customer. In the following table, revenue is disaggregated by as follows: Three Months Ended 2022 2021 Primary Geographical Markets United States $ 115,053,431 $ 47,681,374 United Kingdom 2,838,121 2,007,482 Total revenue $ 117,891,552 $ 49,688,856 Major Segments/Service Lines Transportation Services $ 27,812,510 $ 19,124,020 Mobile Health 90,079,042 30,564,836 Total revenue $ 117,891,552 $ 49,688,856 |
Stock Based Compensation | Stock Based Compensation The Company expenses stock-based compensation over the requisite service period based on the estimated grant-date fair value of the awards. The Company estimates the fair value of stock option grants using the Black-Scholes option pricing model, and the assumptions used in calculating the fair value of stock-based awards represent management’s best estimates and involve inherent uncertainties and the application of management’s judgment. The Company accounts for forfeitures as they occur. All stock-based compensation costs are recorded in operating expenses in the Condensed Consolidated Statements of Operations and Comprehensive Income. |
Earnings per Share | Earnings per Share Earnings per share represents the net income attributable to stockholders divided by the weighted-average number of shares outstanding during the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock of the Company during the reporting periods. Potential dilutive common stock equivalents consist of the incremental common shares issuable upon exercise of warrants and the incremental shares issuable upon conversion of stock options. In reporting periods in which the Company has a net loss, the effect is considered anti-dilutive and excluded from the diluted earnings per share calculation. On March 31, 2021, the Company excluded from its calculation 25,555,492 shares because their inclusion would have been anti-dilutive. |
Equity Method Investment | Equity Method Investment On October 26, 2021, the Company acquired a 50% interest in RND Health Services Inc. (“RND”) for $655,876. The Company uses the equity method to account for investments in which the Company has the ability to exercise significant influence over the operating and financial policies of the investee but does not exercise control. The Company’s carrying value in the equity method investee is reflected in the caption “Equity method investment” on the condensed consolidated balance sheets. Changes in value of RND are recorded in “Loss from equity method investment” on the Condensed Consolidated Statements of Operations and Comprehensive Income. The Company’s judgment regarding its level of influence over the equity method investee includes considering key factors, such as ownership interest, representation on the board of directors, and participation in policy-making decisions. On November 1, 2021, the Company acquired a 20% interest in National Providers Association, LLC (“NPA”) for $30,000. The Company uses the equity method to account for investments in which the Company has the ability to exercise significant influence over the operating and financial policies of the investee but does not exercise control. The Company’s carrying value in the equity method investee is reflected in the caption “Equity method investment” on the condensed consolidated balance sheets. Changes in value of NPA are recorded in “Loss from equity method investment” on the Condensed Consolidated Statements of Operations and Comprehensive Income. The Company’s judgment regarding its level of influence over the equity method investee includes considering key factors, such as ownership interest, representation on the board of directors, and participation in policy-making decisions. Effective December 21, 2021, three members withdrew from NPA resulting in the remaining two members obtaining the remaining ownership percentage. On December 31, 2021, and March 31, 2022, DocGo owned 50% of NPA. Under the equity method, the Company’s investment is initially measured at cost and subsequently increased or decreased to recognize the Company’s share of income and losses of the investee, capital contributions and distributions and impairment losses. The Company performs a qualitative assessment annually and recognizes an impairment if there are sufficient indicators that the fair value of the investment is less than carrying value. |
Leases | Leases The Company categorizes leases at its inception as either operating or finance leases based on the criteria in FASB ASC 842, Leases The Company has lease arrangements for vehicles, equipment, and facilities. These leases typically have original terms not exceeding 10 years and, in some cases contain multi-year renewal options, none of which are reasonably certain of exercise. The Company’s lease arrangements may contain both lease and non-lease components. The Company has elected to combine and account for lease and non-lease components as a single lease component. The Company has incorporated residual value obligations in leases for which there is such occurrences. Regarding short-term leases, ASC 842-10-25-2 permits an entity to make a policy election not to apply the recognition requirements of ASC 842 to short-term leases. The Company has elected not to apply the ASC 842 recognition criteria to any leases that qualify as short-term leases. |
Income Taxes | Income Taxes Income taxes are recorded in accordance with ASC 740, Income Taxes |
Recently Issued Accounting Standards Not Yet Adopted | Recently Issued Accounting Standards Not Yet Adopted In March 2022, the FASB issued ASU 2022-02, Financial Instruments – Credit Losses Troubled Debt Restructurings and Vintage Disclosures (“ASU 2022-02”) Subtopic 310-40 Receivables—Troubled Debt Restructurings by Creditors Subtopic 326-20, Financial Instruments—Credit Losses—Measured at Amortized Cost |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Schedule of depreciation and amortization using the straight-line method over the estimated useful lives of the respective assets | Asset Category Estimated Useful Life Buildings 39 years Office equipment and furniture 3 years Vehicles 5-8 years Medical equipment 5 years Leasehold improvements Shorter of useful life of asset or lease term |
Schedule of revenue is disaggregated | Three Months Ended 2022 2021 Primary Geographical Markets United States $ 115,053,431 $ 47,681,374 United Kingdom 2,838,121 2,007,482 Total revenue $ 117,891,552 $ 49,688,856 Major Segments/Service Lines Transportation Services $ 27,812,510 $ 19,124,020 Mobile Health 90,079,042 30,564,836 Total revenue $ 117,891,552 $ 49,688,856 |
Property and Equipment, net (Ta
Property and Equipment, net (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property and equipment, net | March 31, December 31, Office equipment and furniture $ 2,165,146 $ 1,977,808 Buildings 527,283 527,284 Land 37,800 37,800 Transportation equipment 13,907,405 13,772,251 Medical equipment 4,206,670 3,949,566 Leasehold improvements 595,914 616,446 21,440,218 20,881,155 Less: Accumulated depreciation (8,815,791 ) (8,147,266 ) Property and equipment, net $ 12,624,427 $ 12,733,889 |
Goodwill (Tables)
Goodwill (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Goodwill [Abstract] | |
Schedule of changes in the carrying value of goodwill | Carrying Value Balance at December 31, 2021 $ 8,686,966 Goodwill acquired during the period - Balance at March 31, 2022 $ 8,686,966 |
Intangibles (Tables)
Intangibles (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of amortization expense | March 31, 2022 Estimated Gross Additions Accumulated Net Patents 15 years $ 48,668 $ 4,050 $ (7,205 ) $ 45,513 Computer software 5 years $ 294,147 - (233,902 ) 60,245 Operating licenses Indefinite $ 8,375,514 - - 8,375,514 Internally developed software 4-5 years $ 6,013,513 530,574 (4,446,049 ) 2,098,038 $ 14,731,842 $ 534,624 $ (4,687,156 ) $ 10,579,310 December 31, 2021 Estimated Gross Additions Accumulated Net Patents 15 years $ 19,275 $ 29,393 $ (6,367 ) $ 42,301 Computer software 5 years 132,816 161,331 (219,388 ) 74,759 Operating licenses Indefinite 8,375,514 - - 8,375,514 Internally developed software 4-5 years 2,146,501 3,867,012 (3,828,038 ) 2,185,475 $ 10,674,106 $ 4,057,736 $ (4,053,793 ) $ 10,678,049 |
Schedule of amortization expense for the next five years in aggregate | Amortization Expense 2022, remaining $ 1,024,937 2023 757,584 2024 235,800 2025 153,145 2026 3,515 Thereafter 28,815 Total $ 2,203,796 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Accrued Liabilities [Abstract] | |
Schedule of accrued liabilities | March 31, December 31, Accrued bonus $ 5,946,829 $ 7,260,456 Accrued lab fees 4,437,588 4,885,539 Accrued payroll 5,159,240 3,539,301 Medicare advance 290,582 975,415 FICA/Medicare liability 739,629 739,629 Accrued general expenses 5,055,226 3,497,418 Accrued subcontractors 10,500,202 9,564,833 Accrued fuel and maintenance 463,555 450,842 Accrued workers compensation 3,229,861 2,259,571 Other current liabilities 772,965 736,021 Accrued legal fees 1,471,053 1,143,629 Credit card payable 107,294 58,223 Total accrued liabilities $ 38,174,025 $ 35,110,877 |
Notes Payable (Tables)
Notes Payable (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Notes Payable [Abstract] | |
Schedule of notes payable | March 31, December 31, Equipment and financing loans payable, between 2.5% and 7.5% interest and maturing through May 2051 $ 1,765,137 $ 1,903,288 Total notes payable 1,765,137 1,903,288 Less: current portion of notes payable $ 593,831 $ 600,449 Total non-current portion of notes payable $ 1,171,306 $ 1,302,839 |
Schedule of future minimum annual maturites of notes payable | Notes Payable 2022, remaining 423,712 2023 485,390 2024 326,565 2025 248,120 2026 149,536 Thereafter 131,814 Total maturities $ 1,765,137 Current portion of notes payable (593,831 ) Long-term portion of notes payable $ 1,171,306 |
Business Segment Information (T
Business Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Schedule of operating results for the business segments | Transportation Mobile Health Total Three Months Ended March 31, 2022 Revenues $ 27,812,510 $ 90,079,042 $ 117,891,552 Income (loss) from operations (9,328,377 ) 19,422,942 $ 10,094,565 Total assets $ 215,635,997 $ 109,560,307 $ 325,196,304 Depreciation and amortization expense $ 1,987,321 $ 213,700 $ 2,201,021 Stock compensation $ 367,818 $ 1,055,119 $ 1,422,937 Long-lived assets $ 28,665,748 $ 3,224,955 $ 31,890,703 Three Months Ended March 31, 2021 Revenues $ 19,124,020 30,564,836 $ 49,688,856 Income (loss) from operations (3,402,200 ) 1,528,242 (1,873,958 ) Total assets $ 87,627,899 $ 18,975,128 $ 106,603,027 Depreciation and amortization expense $ 1,329,398 $ 268,278 $ 1,597,676 Stock compensation $ 195,767 $ 195,767 $ 391,534 Long-lived assets $ 25,946,257 $ 822,231 $ 26,768,488 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of fair value of the sole stock option grant | Three Months Ended 2022 2021 Risk-free interest rate 0.71 % 0.06 % Expected term (in years) 4 .5 - 2 Volatility 60 % 65 % Dividend yield 0 % 0 % |
Schedule of company’s stock option activity | Options Weighted Weighted Aggregate Balance as of, December 31, 2021 8,422,972 $ 6.21 8.77 $ 24,706,020 Granted/ Vested during the year 650,122 3.61 9.89 - Exercised during the year 195,152 1.92 6.77 - Cancelled during the year (47,195 ) 6.78 8.83 - Balance as of, March 31, 2022 9,221,051 6.37 8.66 $ 25,461,022 Options vested and exercisable at March 31, 2022 2,757,391 $ 4.04 7.05 $ 15,040,545 |
Schedule of activity under RSUs | RSUs Weighted- Balance as of, December 31, 2021 50,192 $ 9.97 Granted 146,853 7.15 Vested and issued (8,258 ) 9.97 Forfeited - - Balance as of, March 31, 2022 188,787 7.78 Vested and unissued at March 31, 2022 - - Non-vested at March 31, 2022 188,787 7.78 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Leases [Abstract] | |
Schedule of comprise lease expenses | Components of total lease cost: March 31, March 31, Operating lease expense $ 462,625 $ 491,375 Short-term lease expense 255,096 68,050 Total lease cost $ 717,721 $ 559,425 Components of total lease payment: March 31, March 31, Finance lease payment $ 622,575 $ 601,501 Short-term lease payment - - Total lease payments $ 622,575 $ 601,501 |
Schedule of company’s operating leases were recorded in the consolidated balance sheets | March 31, December 31, Assets Lease right-of-use assets $ 3,962,805 $ 4,195,682 Total lease assets $ 3,962,805 $ 4,195,682 Liabilities Current liabilities: Lease liability - current portion $ 1,404,651 $ 1,461,335 Noncurrent liabilities: Lease liability, net of current portion 2,788,103 2,980,946 Total lease liability $ 4,192,754 $ 4,442,281 March 31, December 31, Assets Lease right-of-use assets $ 8,658,897 $ 9,307,113 Total lease assets $ 8,658,897 $ 9,307,113 Liabilities Current liabilities: Lease liability - current portion $ 3,262,004 $ 3,271,990 Noncurrent liabilities: Lease liability, net of current portion 6,402,846 6,867,420 Total lease liability $ 9,664,850 $ 10,139,410 |
Schedule of weighted average remaining lease term and the weighted average discount rate | Weighted average remaining lease term (in years) - operating leases 3.99 Weighted average discount rate - operating leases 6.00 % Weighted average remaining lease term (in years) - finance leases 3.6 Weighted average discount rate - finance leases 6.01 % |
Schedule of future minimum lease payments under the operating leases | Operating Leases 2022, remaining $ 1,247,425 2023 1,262,727 2024 856,310 2025 859,095 2026 449,473 2027 and thereafter - Total future minimum lease payments 4,675,030 Less effects of discounting (482,276 ) Present value of future minimum lease payments $ 4,192,754 Finance Leases 2022, remaining $ 2,945,992 2023 3,001,011 2024 1,834,762 2025 1,843,202 2026 1,150,387 2027 and thereafter 9,549 Total future minimum lease payments 10,784,903 Less effects of discounting (1,120,053 ) Present value of future minimum lease payments $ 9,664,850 |
Description of Organization a_2
Description of Organization and Business Operations (Details) $ / shares in Units, $ in Millions | 3 Months Ended |
Mar. 31, 2022USD ($)$ / shares | |
Accounting Policies [Abstract] | |
Price per unit (in Dollars per share) | $ / shares | $ 0.0001 |
Net proceeds | $ 158 |
Cash held in trust account | 43.4 |
Transaction costs | 9.6 |
Underwriters’ fees | $ 114.6 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) | Nov. 01, 2021 | Oct. 26, 2021USD ($) | Mar. 31, 2022USD ($)shares | Mar. 31, 2021 | Dec. 31, 2021USD ($) |
Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Number of customers | 1 | 1 | |||
Cash balances (in Dollars) | $ 1,029,825 | $ 803,000 | |||
Anti-dilutive shares (in Shares) | shares | 25,555,492 | ||||
National Providers Association, LLC description | The Company uses the equity method to account for investments in which the Company has the ability to exercise significant influence over the operating and financial policies of the investee but does not exercise control. The Company’s carrying value in the equity method investee is reflected in the caption “Equity method investment” on the condensed consolidated balance sheets. Changes in value of RND are recorded in “Loss from equity method investment” on the Condensed Consolidated Statements of Operations and Comprehensive Income. The Company’s judgment regarding its level of influence over the equity method investee includes considering key factors, such as ownership interest, representation on the board of directors, and participation in policy-making decisions.On November 1, 2021, the Company acquired a 20% interest in National Providers Association, LLC (“NPA”) for $30,000. The Company uses the equity method to account for investments in which the Company has the ability to exercise significant influence over the operating and financial policies of the investee but does not exercise control. The Company’s carrying value in the equity method investee is reflected in the caption “Equity method investment” on the condensed consolidated balance sheets. Changes in value of NPA are recorded in “Loss from equity method investment” on the Condensed Consolidated Statements of Operations and Comprehensive Income. The Company’s judgment regarding its level of influence over the equity method investee includes considering key factors, such as ownership interest, representation on the board of directors, and participation in policy-making decisions. Effective December 21, 2021, three members withdrew from NPA resulting in the remaining two members obtaining the remaining ownership percentage. | ||||
Customer One [Member] | |||||
Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Concentration risk, percentage | 34.00% | 26.00% | |||
Customer [Member] | |||||
Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Concentration risk, percentage | 10.00% | ||||
Concentration risk, percentage | 19% | ||||
RND Health Services Inc. [Member] | |||||
Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Percentage of Interest | 50.00% | ||||
Acquired amount (in Dollars) | $ 655,876 | ||||
Business Combination [Member] | |||||
Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Voting interest | 10.00% | ||||
Variable Interest Entity [Member] | |||||
Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Net Loss (in Dollars) | $ 85,379 | ||||
Total assets (in Dollars) | 509,769 | ||||
Total liabilities (in Dollars) | 1,020,254 | ||||
Total Stockholders deficit (in Dollars) | $ 510,485 | ||||
Sales [Member] | |||||
Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Concentration risk, percentage | 22.00% | 13.00% | |||
Sales [Member] | Customer [Member] | |||||
Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Concentration risk, percentage | 17.00% | 3.00% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - Schedule of depreciation and amortization using the straight-line method over the estimated useful lives of the respective assets | 3 Months Ended |
Mar. 31, 2022 | |
Buildings [Member] | |
Summary of Significant Accounting Policies (Details) - Schedule of depreciation and amortization using the straight-line method over the estimated useful lives of the respective assets [Line Items] | |
Property, Plant and Equipment | 39 years |
Office equipment and furniture [Member] | |
Summary of Significant Accounting Policies (Details) - Schedule of depreciation and amortization using the straight-line method over the estimated useful lives of the respective assets [Line Items] | |
Property, Plant and Equipment | 3 years |
Vehicles [Member] | Minimum [Member] | |
Summary of Significant Accounting Policies (Details) - Schedule of depreciation and amortization using the straight-line method over the estimated useful lives of the respective assets [Line Items] | |
Property, Plant and Equipment | 5 years |
Vehicles [Member] | Maximum [Member] | |
Summary of Significant Accounting Policies (Details) - Schedule of depreciation and amortization using the straight-line method over the estimated useful lives of the respective assets [Line Items] | |
Property, Plant and Equipment | 8 years |
Medical equipment [Member] | |
Summary of Significant Accounting Policies (Details) - Schedule of depreciation and amortization using the straight-line method over the estimated useful lives of the respective assets [Line Items] | |
Property, Plant and Equipment | 5 years |
Leasehold improvements [Member] | |
Summary of Significant Accounting Policies (Details) - Schedule of depreciation and amortization using the straight-line method over the estimated useful lives of the respective assets [Line Items] | |
Property, Plant and Equipment | Shorter of useful life of asset or lease term |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Details) - Schedule of revenue is disaggregated - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Primary Geographical Markets [Member] | ||
Primary Geographical Markets | ||
Total revenue | $ 117,891,552 | $ 49,688,856 |
Major Segments/Service Lines [Member] | ||
Primary Geographical Markets | ||
Total revenue | 117,891,552 | 49,688,856 |
Transportation Services [Member] | Major Segments/Service Lines [Member] | ||
Primary Geographical Markets | ||
Total revenue | 27,812,510 | 19,124,020 |
Mobile Health [Member] | Major Segments/Service Lines [Member] | ||
Primary Geographical Markets | ||
Total revenue | 90,079,042 | 30,564,836 |
United States [Member] | Primary Geographical Markets [Member] | ||
Primary Geographical Markets | ||
Total revenue | 115,053,431 | 47,681,374 |
United Kingdom [Member] | Primary Geographical Markets [Member] | ||
Primary Geographical Markets | ||
Total revenue | $ 2,838,121 | $ 2,007,482 |
Property and Equipment, net (De
Property and Equipment, net (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation expense | $ 711,878 | $ 528,840 |
Property and Equipment, net (_2
Property and Equipment, net (Details) - Schedule of property and equipment, net - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment | $ 21,440,218 | $ 20,881,155 |
Less: Accumulated depreciation | (8,815,791) | (8,147,266) |
Property and equipment, net | 12,624,427 | 12,733,889 |
Office equipment and furniture [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 2,165,146 | 1,977,808 |
Buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 527,283 | 527,284 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 37,800 | 37,800 |
Transportation equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 13,907,405 | 13,772,251 |
Medical equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 4,206,670 | 3,949,566 |
Leasehold improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | $ 595,914 | $ 616,446 |
Acquisition of Businesses and_2
Acquisition of Businesses and Asset Acquisitions (Details) - USD ($) | Jan. 12, 2022 | Nov. 20, 2020 |
Acquisition of Businesses and Asset Acquisitions (Details) [Line Items] | ||
Cash consideration | $ 465,000 | |
Percentage pay to seller | 50.00% | |
LJH [Member] | ||
Acquisition of Businesses and Asset Acquisitions (Details) [Line Items] | ||
Balance payable | $ 282,518 |
Goodwill (Details) - Schedule o
Goodwill (Details) - Schedule of changes in the carrying value of goodwill | 3 Months Ended |
Mar. 31, 2022USD ($) | |
Schedule of changes in the carrying value of goodwill [Abstract] | |
Balance at beginning | $ 8,686,966 |
Goodwill acquired during the period | |
Balance at ending | $ 8,686,966 |
Intangibles (Details)
Intangibles (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization expense | $ 633,363 | $ 422,024 |
Intangibles (Details) - Schedul
Intangibles (Details) - Schedule of amortization expense - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Dec. 31, 2021 | |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 14,731,842 | $ 10,674,106 |
Additions | 534,624 | 4,057,736 |
Accumulated Amortization | (4,687,156) | (4,053,793) |
Net Carrying Amount | $ 10,579,310 | $ 10,678,049 |
Patents [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Useful Life (Years) | 15 years | 15 years |
Gross Carrying Amount | $ 48,668 | $ 19,275 |
Additions | 4,050 | 29,393 |
Accumulated Amortization | (7,205) | (6,367) |
Net Carrying Amount | $ 45,513 | $ 42,301 |
Computer software [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Useful Life (Years) | 5 years | 5 years |
Gross Carrying Amount | $ 294,147 | $ 132,816 |
Additions | 161,331 | |
Accumulated Amortization | (233,902) | (219,388) |
Net Carrying Amount | 60,245 | 74,759 |
Operating licenses [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 8,375,514 | 8,375,514 |
Additions | ||
Accumulated Amortization | ||
Net Carrying Amount | $ 8,375,514 | $ 8,375,514 |
Estimated Useful Life (Years) | Indefinite | Indefinite |
Internally developed software [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 6,013,513 | $ 2,146,501 |
Additions | 530,574 | 3,867,012 |
Accumulated Amortization | (4,446,049) | (3,828,038) |
Net Carrying Amount | $ 2,098,038 | $ 2,185,475 |
Internally developed software [Member] | Minimum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Useful Life (Years) | 4 years | 4 years |
Internally developed software [Member] | Maximum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Useful Life (Years) | 5 years | 5 years |
Intangibles (Details) - Sched_2
Intangibles (Details) - Schedule of amortization expense for the next five years in aggregate | Mar. 31, 2022USD ($) |
Schedule of amortization expense for the next five years in aggregate [Abstract] | |
2022, remaining | $ 1,024,937 |
2023 | 757,584 |
2024 | 235,800 |
2025 | 153,145 |
2026 | 3,515 |
Thereafter | 28,815 |
Total | $ 2,203,796 |
Accrued Liabilities (Details) -
Accrued Liabilities (Details) - Schedule of accrued liabilities - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
Schedule of accrued liabilities [Abstract] | ||
Accrued bonus | $ 5,946,829 | $ 7,260,456 |
Accrued lab fees | 4,437,588 | 4,885,539 |
Accrued payroll | 5,159,240 | 3,539,301 |
Medicare advance | 290,582 | 975,415 |
FICA/Medicare liability | 739,629 | 739,629 |
Accrued general expenses | 5,055,226 | 3,497,418 |
Accrued subcontractors | 10,500,202 | 9,564,833 |
Accrued fuel and maintenance | 463,555 | 450,842 |
Accrued workers compensation | 3,229,861 | 2,259,571 |
Other current liabilities | 772,965 | 736,021 |
Accrued legal fees | 1,471,053 | 1,143,629 |
Credit card payable | 107,294 | 58,223 |
Total accrued liabilities | $ 38,174,025 | $ 35,110,877 |
Line of Credit (Details)
Line of Credit (Details) - USD ($) | Dec. 17, 2021 | May 13, 2021 | Jan. 26, 2022 | Mar. 31, 2022 |
Line of Credit (Details) [Line Items] | ||||
Revolving advance amount | $ 12,000,000 | $ 12,000,000 | ||
Each revolving advances | Each Revolving Advance shall bear interest at a per annum rate equal to the Wall Street Journal Prime Rate (3.25% at December 31, 2021), as the same may change from time to time, plus one percent (1.00%), but in no event less than five percent (5.00%) per annum, calculated on the basis of a 360-day year for the actual number of days in the applicable period. | Each Revolving Advance shall bear interest at a per annum rate equal to the Wall Street Journal Prime Rate (3.50% as of March 31, 2022), as the same may change from time to time, plus one percent (1.00%), but in no event less than five percent (5.00%) per annum, calculated on the basis of a 360-day year for the actual number of days elapsed (“Contract Rate”). | ||
Revolving loan maturity date | May 12, 2022 | |||
Loan secured by assets | 100.00% | |||
Outstanding balance | $ 0 | |||
Unused fee | 0.50% | |||
Revolving commitment amount | $ 12,000,000 | |||
Fund operations | $ 1,000,000 | |||
Outstanding balance | $ 1,000,000 | |||
DocGo Inc [Member] | ||||
Line of Credit (Details) [Line Items] | ||||
Loan secured by assets | 100.00% |
Notes Payable (Details)
Notes Payable (Details) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Dec. 31, 2021 | |
Notes Payable (Details) [Line Items] | ||
Aggregate installment amount | $ 60,499 | |
Interest expense | $ 22,559 | $ 61,324 |
Minimum [Member] | ||
Notes Payable (Details) [Line Items] | ||
Interest range percentage | 2.50% | 2.50% |
Maximum [Member] | ||
Notes Payable (Details) [Line Items] | ||
Interest range percentage | 7.50% | 7.50% |
Notes Payable (Details) - Sched
Notes Payable (Details) - Schedule of notes payable - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
Schedule of notes payable [Abstract] | ||
Equipment and financing loans payable, between 2.5% and 7.5% interest and maturing through May 2051 | $ 1,765,137 | $ 1,903,288 |
Total notes payable | 1,765,137 | 1,903,288 |
Less: current portion of notes payable | 593,831 | 600,449 |
Total non-current portion of notes payable | $ 1,171,306 | $ 1,302,839 |
Notes Payable (Details) - Sch_2
Notes Payable (Details) - Schedule of notes payable (Parentheticals) | Mar. 31, 2022 | Dec. 31, 2021 |
Minimum [Member] | ||
Notes Payable (Details) - Schedule of notes payable (Parentheticals) [Line Items] | ||
Equipment and financing loans payable | 2.50% | 2.50% |
Maximum [Member] | ||
Notes Payable (Details) - Schedule of notes payable (Parentheticals) [Line Items] | ||
Equipment and financing loans payable | 7.50% | 7.50% |
Notes Payable (Details) - Sch_3
Notes Payable (Details) - Schedule of future minimum annual maturites of notes payable | Mar. 31, 2022USD ($) |
Schedule of future minimum annual maturites of notes payable [Abstract] | |
2022, remaining | $ 423,712 |
2023 | 485,390 |
2024 | 326,565 |
2025 | 248,120 |
2026 | 149,536 |
Thereafter | 131,814 |
Total maturities | 1,765,137 |
Current portion of notes payable | (593,831) |
Long-term portion of notes payable | $ 1,171,306 |
Business Segment Information (D
Business Segment Information (Details) | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Business Segment Information _2
Business Segment Information (Details) - Schedule of operating results for the business segments - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Segment Reporting Information [Line Items] | ||
Revenues | $ 117,891,552 | $ 49,688,856 |
Income (loss) from operations | 10,094,565 | (1,873,958) |
Total assets | 325,196,304 | 106,603,027 |
Depreciation and amortization expense | 2,201,021 | 1,597,676 |
Stock compensation | 1,422,937 | 391,534 |
Long-lived assets | 31,890,703 | 26,768,488 |
Transportation Services [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenues | 27,812,510 | 19,124,020 |
Income (loss) from operations | (9,328,377) | (3,402,200) |
Total assets | 215,635,997 | 87,627,899 |
Depreciation and amortization expense | 1,987,321 | 1,329,398 |
Stock compensation | 367,818 | 195,767 |
Long-lived assets | 28,665,748 | 25,946,257 |
Mobile Health Services [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenues | 90,079,042 | 30,564,836 |
Income (loss) from operations | 19,422,942 | 1,528,242 |
Total assets | 109,560,307 | 18,975,128 |
Depreciation and amortization expense | 213,700 | 268,278 |
Stock compensation | 1,055,119 | 195,767 |
Long-lived assets | $ 3,224,955 | $ 822,231 |
Equity (Details)
Equity (Details) - USD ($) | Jun. 05, 2019 | Nov. 01, 2017 | Nov. 30, 2021 | May 23, 2019 | Feb. 15, 2018 | Mar. 31, 2022 | Dec. 31, 2021 |
Equity (Details) [Line Items] | |||||||
Common stock par value (in Dollars per share) | $ 0.0001 | $ 0.0001 | |||||
Authorized common shares | 500,000,000 | 500,000,000 | |||||
Common Stock [Member] | |||||||
Equity (Details) [Line Items] | |||||||
Number of common stock rate | 1,000 | ||||||
Common stock converted | 100,000 | ||||||
Total authorized common shares increased | 154,503 | ||||||
Common stock voting rights | The Class A common stockholders had voting rights equivalent to one vote per share of common stock and the Class B common stockholders have no voting rights. | ||||||
Warrant [Member] | |||||||
Equity (Details) [Line Items] | |||||||
Number of warrant to purchase shares | 667 | ||||||
Purchase price (in Dollars per share) | $ 3,000 | ||||||
Issuance of fair value (in Dollars per share) | $ 2,078 | $ 3,000 | $ 5,400 | ||||
Total fair value (in Dollars) | $ 1,386,026 | $ 7,383,000 | $ 7,381,800 | ||||
Warrant cashless exercised | 229,807 | 1,587,700 | |||||
Convertible Common Stock [Member] | |||||||
Equity (Details) [Line Items] | |||||||
Common stock par value (in Dollars per share) | $ 0.0001 | ||||||
Series A Preferred Stock [Member] | |||||||
Equity (Details) [Line Items] | |||||||
Preferred stock share authorized | 40,000 | ||||||
Percentage non-cumulative dividends | 8.00% | ||||||
Paid preferred stock value | 3,000 | ||||||
Number of warrant to purchase shares | 2,461 | ||||||
Purchase price (in Dollars per share) | $ 0.01 | ||||||
Class A Common Stock [Member] | |||||||
Equity (Details) [Line Items] | |||||||
Conversion price per share (in Dollars per share) | $ 3,000 | ||||||
Common stock converted | 35,597 | ||||||
Authorized common shares | 78,000 | ||||||
Class B Common Stock [Member] | |||||||
Equity (Details) [Line Items] | |||||||
Common stock converted | 64,402 | ||||||
Authorized common shares | 76,503 | ||||||
Number of warrant to purchase shares | 1,367 | ||||||
Purchase price (in Dollars per share) | $ 0.01 |
Stock Based Compensation (Detai
Stock Based Compensation (Details) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Dec. 31, 2021 | |
Share-Based Payment Arrangement [Abstract] | ||
Reserved shares (in Shares) | 16,607,894 | |
Stock options granted contractual term | 10 years | |
Employee options (in Shares) | 2,700,000 | |
Weighted average fair value per share (in Dollars per share) | $ 7.15 | $ 2.8 |
Stock option awards granted | $ 22,868,377 | $ 20,792,804 |
Weighted-average period | 3 years 6 months 29 days | |
Total grant-date fair value | $ 1,049,999 | |
Stock-based compensation expense | 82,304 | |
Unrecognized compensation cost | $ 1,467,949 | |
Weighted-average period | 3 years 4 months 24 days |
Stock Based Compensation (Det_2
Stock Based Compensation (Details) - Schedule of fair value of the sole stock option grant | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Stock Based Compensation (Details) - Schedule of fair value of the sole stock option grant [Line Items] | ||
Risk-free interest rate | 0.06% | |
Volatility | 65.00% | |
Dividend yield | 0.00% | |
Minimum [Member] | ||
Stock Based Compensation (Details) - Schedule of fair value of the sole stock option grant [Line Items] | ||
Risk-free interest rate | 0.71% | |
Expected term (in years) | 4 years | 5 years |
Volatility | 60.00% | |
Dividend yield | 0.00% | |
Maximum [Member] | ||
Stock Based Compensation (Details) - Schedule of fair value of the sole stock option grant [Line Items] | ||
Expected term (in years) | 2 years |
Stock Based Compensation (Det_3
Stock Based Compensation (Details) - Schedule of company’s stock option activity | 3 Months Ended |
Mar. 31, 2022USD ($)$ / sharesshares | |
Schedule of company’s stock option activity [Abstract] | |
Options Shares, Beginning | 8,422,972 |
Weighted Average Exercise Price, Beginning (in Dollars per share) | $ / shares | $ 6.21 |
Weighted Average Remaining Contractual Life in Years, Beginning | 8 years 9 months 7 days |
Aggregate Intrinsic Value, Beginning (in Dollars) | $ | $ 24,706,020 |
Options Shares, Granted/ Vested during the year | 650,122 |
Weighted Average Exercise Price, Granted/ Vested during the year (in Dollars per share) | $ / shares | $ 3.61 |
Weighted Average Remaining Contractual Life in Years, Granted/ Vested during the year | 9 years 10 months 20 days |
Aggregate Intrinsic Value, Granted/ Vested during the year (in Dollars) | $ | |
Options Shares, Exercised during the year | 195,152 |
Weighted Average Exercise Price, Exercised during the year (in Dollars per share) | $ / shares | $ 1.92 |
Weighted Average Remaining Contractual Life in Years, Exercised during the year | 6 years 9 months 7 days |
Aggregate Intrinsic Value, Exercised during the year | |
Options Shares, Cancelled during the year | (47,195) |
Weighted Average Exercise Price, Cancelled during the year (in Dollars per share) | $ / shares | $ 6.78 |
Weighted Average Remaining Contractual Life in Years, Cancelled during the year | 8 years 9 months 29 days |
Aggregate Intrinsic Value, Cancelled during the year | |
Options Shares, Ending | 9,221,051 |
Weighted Average Exercise Price, Ending (in Dollars per share) | $ / shares | $ 6.37 |
Weighted Average Remaining Contractual Life in Years, Ending | 8 years 7 months 28 days |
Aggregate Intrinsic Value, Ending (in Dollars) | $ | $ 25,461,022 |
Options Shares, Options vested and exercisable | 2,757,391 |
Weighted Average Exercise Price, Options vested and exercisable | 4.04 |
Weighted Average Remaining Contractual Life in Years, Options vested and exercisable | 7 years 18 days |
Aggregate Intrinsic Value, Options vested and exercisable (in Dollars) | $ | $ 15,040,545 |
Stock Based Compensation (Det_4
Stock Based Compensation (Details) - Schedule of activity under RSUs | 3 Months Ended |
Mar. 31, 2022$ / sharesshares | |
Schedule of activity under RSUs [Abstract] | |
RSUs, Balance | shares | 50,192 |
Weighted- Average Grant Date Fair Value Per RSU, Balance | $ / shares | $ 9.97 |
RSUs, Granted | shares | 146,853 |
Weighted- Average Grant Date Fair Value Per RSU, Granted | $ / shares | $ 7.15 |
RSUs, Vested and issued | shares | (8,258) |
Weighted- Average Grant Date Fair Value Per RSU, Vested and issued | $ / shares | $ 9.97 |
RSUs, Forfeited | shares | |
Weighted- Average Grant Date Fair Value Per RSU, Forfeited | $ / shares | |
RSUs, Balance | shares | 188,787 |
Weighted- Average Grant Date Fair Value Per RSU, Balance | $ / shares | $ 7.78 |
RSUs, Vested and unissued | shares | |
Weighted- Average Grant Date Fair Value Per RSU, Vested and unissued | $ / shares | |
RSUs, Non-vested | shares | 188,787 |
Weighted- Average Grant Date Fair Value Per RSU, Non-vested | $ / shares | $ 7.78 |
Leases (Details)
Leases (Details) - USD ($) | Jan. 01, 2019 | Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 |
Disclosure Text Block [Abstract] | ||||
Expiring Date | 2026 | |||
Estimated borrowing rate | 6.00% | |||
Operating lease expense | $ 462,625 | $ 491,375 | ||
Operating lease payment | 462,625 | |||
Financing lease payments | 622,575 | |||
Finance lease agreement with liability | 9,664,850 | $ 10,139,410 | ||
Accumulated depreciation | 7,951,023 | 7,095,242 | ||
Depreciation expense | $ 855,781 | $ 646,812 |
Leases (Details) - Schedule of
Leases (Details) - Schedule of comprise lease expenses - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Schedule of comprise lease expenses [Abstract] | ||
Operating lease expense | $ 462,625 | $ 491,375 |
Short-term lease expense | 255,096 | 68,050 |
Total lease cost | 717,721 | 559,425 |
Finance lease payment | 622,575 | 601,501 |
Short-term lease payment | ||
Total lease payments | $ 622,575 | $ 601,501 |
Leases (Details) - Schedule o_2
Leases (Details) - Schedule of company’s operating leases were recorded in the consolidated balance sheets - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
Assets | ||
Lease right-of-use assets | $ 3,962,805 | $ 4,195,682 |
Total lease assets | 3,962,805 | 4,195,682 |
Current liabilities: | ||
Lease liability - current portion | 1,404,651 | 1,461,335 |
Noncurrent liabilities: | ||
Lease liability, net of current portion | 2,788,103 | 2,980,946 |
Total lease liability | 4,192,754 | 4,442,281 |
Assets | ||
Lease right-of-use assets | 8,658,897 | 9,307,113 |
Total lease assets | 8,658,897 | 9,307,113 |
Current liabilities: | ||
Lease liability - current portion | 3,262,004 | 3,271,990 |
Noncurrent liabilities: | ||
Lease liability, net of current portion | 6,402,846 | 6,867,420 |
Total lease liability | $ 9,664,850 | $ 10,139,410 |
Leases (Details) - Schedule o_3
Leases (Details) - Schedule of weighted average remaining lease term and the weighted average discount rate | Mar. 31, 2022 |
Schedule of weighted average remaining lease term and the weighted average discount rate [Abstract] | |
Weighted average remaining lease term (in years) - operating leases | 3 years 11 months 26 days |
Weighted average discount rate - operating leases | 6.00% |
Weighted average remaining lease term (in years) - finance leases | 3 years 7 months 6 days |
Weighted average discount rate - finance leases | 6.01% |
Leases (Details) - Schedule o_4
Leases (Details) - Schedule of future minimum lease payments under the operating leases | Mar. 31, 2022USD ($) |
Operating Leases [Member] | |
Leases (Details) - Schedule of future minimum lease payments under the operating leases [Line Items] | |
2022, remaining | $ 1,247,425 |
2023 | 1,262,727 |
2024 | 856,310 |
2025 | 859,095 |
2026 | 449,473 |
2027 and thereafter | |
Total future minimum lease payments | 4,675,030 |
Less effects of discounting | (482,276) |
Present value of future minimum lease payments | 4,192,754 |
Finance Leases [Member] | |
Leases (Details) - Schedule of future minimum lease payments under the operating leases [Line Items] | |
2022, remaining | 2,945,992 |
2023 | 3,001,011 |
2024 | 1,834,762 |
2025 | 1,843,202 |
2026 | 1,150,387 |
2027 and thereafter | 9,549 |
Total future minimum lease payments | 10,784,903 |
Less effects of discounting | (1,120,053) |
Present value of future minimum lease payments | $ 9,664,850 |
Other Income (Details)
Other Income (Details) | 3 Months Ended |
Mar. 31, 2022USD ($) | |
Other Income and Expenses [Abstract] | |
Company recognized other loss | $ (4,253) |
Net of realized foreign exchange loss | 20,805 |
Rental income | $ 16,552 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Related Party Transactions [Abstract] | ||
Medical supplies amount | $ 209,153 | $ 163,125 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Income Tax Disclosure [Abstract] | ||
Income tax expense/(benefit) | $ 440,179 | $ 10,029 |
Effective tax rate | 4.85% | 2.53% |
Legal Proceedings (Details)
Legal Proceedings (Details) - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
Legal Proceedings (Details) | ||
Recorded liability | $ 1,000,000 | $ 1,000,000 |
Risk and Uncertainties (Details
Risk and Uncertainties (Details) - USD ($) | 1 Months Ended | 3 Months Ended | |
Apr. 30, 2020 | Mar. 31, 2022 | Dec. 31, 2021 | |
Risk and Uncertainties (Details) [Line Items] | |||
Medicare accelerated payments | $ 290,582 | $ 975,415 | |
AmbuInz, Inc. [Member] | |||
Risk and Uncertainties (Details) [Line Items] | |||
Proceeds from payments received | $ 2,397,024 | ||
Repayment terms | 11 months | ||
Medicare payment percentage | 25.00% | ||
Medicare accelerated payments description | At the end of the eleven-month period, recoupment will increase to 50% for six months. At the end of the six months (or 29 months from the receipt of the initial accelerated payment), Medicare will issue a letter for full repayment of any remaining balance, as applicable. In such event, if payment is not received within 30 days, interest will accrue at the annual percentage rate of four percent (4%) from the date the letter was issued and will be assessed for each full 30-day period that the balance remains unpaid. |