RadNet Reports First Quarter Financial Results with Record First Quarter Revenue and Adjusted EBITDA (1) from Imaging Center Operations and Revises Upwards 2023 Financial Guidance Ranges for Revenue

RadNet Reports First Quarter Financial

Results with Record First Quarter Revenue and Adjusted EBITDA(1) from Imaging Center Operations and Revises Upwards 2023 Financial

Guidance Ranges for Revenue and Adjusted EBITDA(1)

LOS ANGELES, California, May 9, 2022 -

RadNet, Inc. (NASDAQ: RDNT), a national leader in providing high-quality, cost-effective, fixed-site outpatient

diagnostic imaging services through a network of 363 owned and operated outpatient imaging centers, today reported financial results

for its first quarter of 2023.

Dr. Howard Berger, President and Chief Executive

Officer of RadNet, commented, "I am very pleased with the continuing strength of our core imaging center business. In our Imaging

Center operating segment, Revenue increased almost 14% and Adjusted EBITDA(1) increased over 25% from last year's first

quarter. Our procedural volumes both on an aggregate and same-center basis demonstrated strong growth, in a quarter that is seasonally

our weakest. Though the cost and availability of labor continues to be challenging, we are having more success in filling open positions

and retaining talented team members."

"Given the positive trends we are experiencing

in our core business and the strong financial performance of the first quarter, we have elected to revise certain guidance levels upwards

in anticipation of financial results that we believe will exceed our original expectations. We have increased 2023 guidance ranges for

Revenue and Adjusted EBITDA(1)," added Dr. Berger.

Dr. Berger continued, "We are executing

on all facets of our strategic plan. In response to the heavy demand we are experiencing in our core imaging center geographies, we are

in process of growing capacity and access through the de novo strategy we embarked on last year. We also continue to grow our joint venture

offerings through establishing new health system partnerships and the expansion of existing ones. Furthermore, we believe that market

pressures from a challenging environment for labor, significant rising interest rates and a lack of availability of capital could accelerate

acquisition opportunities in an industry that remains highly fragmented and that is mainly comprised of smaller operators who lack the

economies of scale that we have achieved. We also continue to make strides in AI that should materially enhance the accuracy, efficiency

and margin profile of our service offerings in the coming years. In the coming quarters, we will be expanding our roll-out of the Enhanced

Breast Cancer Detection (EBCD) program we launched in November of last year, powered by our DeepHealth AI technologies, and we continue

to innovate new features and capabilities of our AI engines for breast, lung and prostate imaging."

For the first quarter of 2023, RadNet reported

Revenue from its Imaging Center reporting segment of $388.4 million and Adjusted EBITDA(1), excluding Losses from AI reporting

segment, of $52.7 million. Revenue increased $47.3 million (or 13.9%) and Adjusted EBITDA(1), excluding Losses from the AI

reporting segment, increased $10.9 million (or 26.2%). Including our AI reporting segment Revenue of $2.1 million, Revenue was $390.6

million in the first quarter of 2023, an increase of 14.3% from $341.8 million in last year's first quarter. Unadjusted for AI reporting

segment Adjusted EBITDA(1) losses of $4.5 million in the first quarter of 2023 and $3.6 million in the first quarter of 2022,

Adjusted EBITDA(1) for the first quarter of 2023 was $48.2 million as compared with $38.1 million in the first quarter of 2022.

Net Loss for the first quarter of 2023 was $21.0

million as compared with a Diluted Net Income of $3.0 million for the first quarter of 2022. Net Loss Per Share for

the first quarter of 2023 was $(0.36), compared with a Diluted Net Income per share of $0.05 in the first quarter of 2022, based upon

a weighted average number of diluted shares outstanding of 57.7 million shares in 2023 and 56.4 million shares in 2022.

of unusual or one-time items impacting the first quarter including: $4.1 million of non-cash loss from interest rate swaps; $959,000

expense related to leases for our de novo facilities under construction that have yet to open their operations; $1.6 million non-cash

increase to contingent consideration related to completed acquisitions; $719,000 expense related to the re-valuation of holdbacks related

to completed acquisitions; and $7.6 million of net pre-tax expenses related to our AI division. Adjusting for the above items, Adjusted

Loss(3) from the Imaging Center reporting segment was $4.7 million and diluted Adjusted Loss Per Share(3) was $(0.08)

during the first quarter of 2023. This compares with Adjusted Loss(3) from the Imaging Center reporting segment of $7.6 million

and diluted Adjusted Loss Per Share(3) of $(0.13) during the first quarter of 2022.

Income in the first quarter of 2023 were certain non-cash expenses and unusual items including: $12.2 million of non-cash employee stock

compensation expense resulting from the vesting of certain options and restricted stock; $134,000 of severance paid in connection

with headcount reductions related to cost savings initiatives; and $746,000 of non-cash amortization of deferred

financing costs and loan discounts related to financing fees paid as part of our existing credit facilities.

For the first quarter of 2023, as compared with

the prior year's first quarter, MRI volume increased 16.7%, CT volume increased 16.8% and PET/CT volume increased 20.9%. Overall

volume, taking into account routine imaging exams, inclusive of x-ray, ultrasound, mammography and other exams, increased 14.0% over the

prior year's first quarter. On a same-center basis, including only those centers which were part of RadNet for both the first quarters

of 2023 and 2022, MRI volume increased 11.9%, CT volume increased 10.6% and PET/CT volume increased 20.5%. Overall same-center volume,

taking into account routine imaging exams, inclusive of x-ray, ultrasound, mammography and other exams, increased 9.3% over the prior

year's same quarter.

2023 Revised Guidance

RadNet amends its previously announced guidance

Dr. Berger highlighted,

"We have increased our guidance ranges for Revenue and Adjusted EBITDA(1) to

reflect the first quarter's strong financial results as compared with our original budget. Though we remain vigilant about the economic

environment, supply chain disruptions, inflation and the possibility of further variants of COVID-19, we have opportunities to expand

our operations in all of our markets both organically and through new acquisitions and joint ventures. We also are increasing our guidance

levels for cash interest expense and capital expenditures to account for both the rising cost of interest on that portion of our debt

which is not subject to our interest rate swaps and to fund the completion of certain of our de novo facilities scheduled to open during

the remainder of 2023 and the first half of 2024."

Conference Call for Today

Dr. Howard Berger, President and Chief Executive

Officer, and Mark Stolper, Executive Vice President and Chief Financial Officer, will host a conference call to discuss its first quarter

2023 results on Tuesday, May 9th, 2023 at 7:30 a.m. Pacific Time (10:30 a.m. Eastern Time).

Conference Call Details:

Date: Tuesday, May 9, 2023

Time: 10:30 a.m. Eastern Time

Dial In-Number: 844-826-3035

International Dial-In Number: 412-317-5195

that participants dial in approximately 5 to 10 minutes prior to the start of the 10:30 a.m. call. There will also be simultaneous and

archived webcasts available at https://viavid.webcasts.com/starthere.jsp?ei=1612864&tp_key=c9dd50c578 or

http://www.radnet.com under the "Investors" menu section and "News Releases" sub-menu of the website. An archived

replay of the call will also be available and can be accessed by dialing 844-512-2921 from the U.S., or 412-317-6671 for international

callers, and using the passcode 10178605.

RadNet, Inc. is the leading national provider

of freestanding, fixed-site diagnostic imaging services in the United States based on the number of locations and annual imaging revenue.

RadNet has a network of 363 owned and/or operated outpatient imaging centers. RadNet's markets include California, Maryland, Delaware,

New Jersey, New York, Florida and Arizona. In addition, RadNet provides radiology information technology and artificial intelligence solutions,

teleradiology professional services and other related products and services to customers in the diagnostic imaging industry. Together

with affiliated radiologists, and inclusive of full-time and per diem employees and technologists, RadNet has a total of over 9,000 employees.

For more information, visit http://www.radnet.com.

Forward Looking Statements

This press release contains "forward-looking

statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking

statements are expressions of our current beliefs, expectations and assumptions regarding the future of our business, future plans and

strategies, projections, and anticipated future conditions, events and trends. Forward-looking statements can generally be identified

by words such as: "anticipate," "intend," "plan," "goal," "seek," "believe,"

"project," "estimate," "expect," "strategy," "future," "likely,"

"may," "should," "will" and similar references to future periods. Forward-looking statements in this

press release include, among others, statements we make regarding response to and the expected future impacts of COVID-19, including statements

about our anticipated business results, balance sheet and liquidity and our future liquidity, burn rate and our continuing ability to