American Shared Hospital Services has entered into a third amendment and forbearance agreement with Fifth Third Bank that extends the maturity of its loans to June 30, 2027. The company reported second quarter revenue of approximately $8.4 million, up 19.2% year over year, with Direct Patient Services segment revenue rising about 40% to $4.9 million. Operating activities generated $4.4 million of cash in the first six months, and the cash balance increased over 80% since the beginning of the year to $6.8 million. The company also recorded a $909,000 allowance for credit losses against Rhode Island receivables prior to May 31, 2025, and incurred $285,000 in legal and professional costs related to the credit agreement amendment. Executive Chairman Raymond Stachowiak said the company is pursuing any and all options, including potential asset sales, while a new company he formed has invested $2 million of subordinated financing after quarter end.
American Shared Hospital ServiceLoan maturity extension and forbearance provide near-term relief but signal financial distress; revenue growth and cash increase are positive, offset by credit losses and legal costs.
Fifth Third Bancorp