At-home healthcare services provider AdaptHealth misses Q2 revenue estimates, signs new supply contract

Adapthealth

05/08/2025 12:30

Overview

AdaptHealth Q2 revenue declines 0.7%, missing analyst expectations, per LSEG data

Adjusted EBITDA falls 5.9% yr/yr, reflecting operational challenges

Operating income and pretax profit beat analyst estimates, per LSEG data

Signs 5-year deal to be exclusive provider of home medical equipment and supplies for a major national healthcare system's network

Outlook

Company updates fiscal 2025 net revenue guidance to $3.18 bln-$3.26 bln, from from $3.15 bln to $3.29 bln

AdaptHealth revises 2025 adjusted EBITDA forecast to $642 mln-$682 mln, from from $662 mln to $702 mln

Company maintains fiscal year free cash flow guidance at $170 mln-$190 mln

Result Drivers

ASSET SALES - Closed sales of certain incontinence and infusion assets in Wellness at Home segment

DEBT REDUCTION - Rapid progress in reducing debt and fortifying financial position, per CEO Suzanne Foster

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Miss
$800.37 mln
$803.80 mln (8 Analysts)
Q2 EPS
$0.1
Q2 Net Income
$15.83 mln
Q2 Operating Income
Beat
$79.25 mln
$53.40 mln (7 Analysts)
Q2 Pretax Profit
Beat
$51.72 mln
$26.80 mln (6 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the medical equipment, supplies & distribution peer group is "buy"

Wall Street's median 12-month price target for Adapthealth Corp is $13.00, about 29.9% above its August 4 closing price of $9.11

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release: ID:nBwbKhgmVa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)