Segment Information

3 Months Ended

Mar. 31, 2025

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company operates its business and reports its results through three operating and reportable segments: dispensary, patient services, and clinical trials & other in accordance with ASC 280. See Note 2 for a summary of the Company’s policy on segment information.

Summarized financial information for the Company’s segments is shown in the following tables:

(in thousands)	Three Months Ended March 31,
	2025		2024
Revenue
Patient services	$	53,068	$	52,453
Dispensary	49,293		39,679
Clinical trials & other	2,045		2,534
Consolidated revenue	$	104,406	$	94,666
Direct costs
Intravenous (IV) drug costs	$	31,413	$	32,724
Clinician salaries and benefits	14,074		15,461
Medical supplies and other	1,593		1,312
Total patient services (A)	$	47,080	$	49,497
Dispensary (B)	39,863		32,809
Clinical trials & other (C)	214		391
Total segment direct costs	$	87,157	$	82,697
Depreciation expense
Patient services	$	755	$	515
Dispensary	32		31
Clinical trials & other	2		—
Total segment depreciation expense	$	789	$	546
Amortization of intangible assets
Patient services	$	718	$	718
Clinical trials & other	55		55
Total segment amortization	$	773	$	773
Operating income
Patient services	$	4,515	$	1,723
Dispensary	9,398		6,839
Clinical trials & other	1,774		2,088

(in thousands)	Three Months Ended March 31,
	2025		2024
Total segment operating income	$	15,687	$	10,650
Other items not allocated to segments:
Selling, general and administrative expense	$	25,376	$	28,452
Non-segment depreciation and amortization	222		170
Total consolidated operating loss	$	(9,911)	$	(17,972)
Interest expense, net	5,570		1,985
Change in fair value of derivative warrant liabilities	43		—
Change in fair value of conversion option derivative liabilities	3,309		—
Other, net	752		(68)
Consolidated loss before provision for income taxes	$	(19,585)	$	(19,889)

(in thousands)	March 31, 2025		December 31, 2024
Assets
Capitated accounts receivable	$	3,883	$	3,695
FFS accounts receivable	28,593		26,532
IV drug inventory	6,518		6,556
Other assets	26,760		31,667
Patient services	65,754		68,450
Oral drug accounts receivable	7,623		6,371
Oral drug inventory	5,790		3,483
Other assets	3,328		4,574
Dispensary	16,741		14,428
Clinical trials & other	8,001		7,974
Non-segment assets	73,506		81,865
Total assets	$	164,002	$	172,717

The Company’s chief operating decision maker (CODM) is the Chief Executive Officer. The CODM uses segment operating income to allocate resources (including employees, property, and financial or capital resources) for each segment predominantly in the annual budget and forecasting process. The CODM considers budget-to-actual variances on a monthly basis when making decisions about allocating capital and personnel to the segments. The CODM also uses segment operating income for evaluating drug pricing to assess each segment’s performance by comparing the results and return on assets of each segment with one another and in the compensation of specific employees.

(A) Direct costs - patient services primarily includes chemotherapy drug costs, clinician salaries and benefits, and medical supplies. Clinicians include oncologists, advanced practice providers such as physician assistants and nurse practitioners, and registered nurses employed by the TOI PCs. These costs are regularly provided to the CODM to evaluate IV drug costs and clinician performance.

(B) Direct costs - dispensary primarily includes the cost of oral medications dispensed in the TOI PCs’ clinic locations. The CODM regularly reviews these costs evaluate drug margins, compression, and to evaluate suppliers.

(C) Direct costs - clinical trials & other primarily includes costs related to clinical trial contracts and medical supplies.