Chemed Q2 revenue beats estimates, helped by VITAS segment growth

Chemed

28/07/2026 21:28

Overview
US hospice and plumbing firm's Q2 revenue rose 8.8%, beating analyst expectations
Adjusted EPS for Q2 beat consensus, rising 41.9% yr/yr
Company repurchased 210,000 shares for $89.8 mln in Q2

Outlook
Chemed raises full-year 2026 adj EPS guidance to $25.00-$25.75 from $24.00-$24.75
Company lifts VITAS full-year ADC growth guidance to 5.75%-6.25% from 4.5%-5.5%
Roto-Rooter full-year revenue growth guidance unchanged at 3.0%-3.5%

Result Drivers
VITAS PATIENT GROWTH - VITAS revenue rose mainly due to a 6.1% increase in days-of-care and a 9.0% rise in admissions
MEDICARE CAP IMPACT - Lower Medicare Cap billing limitation boosted VITAS revenue growth by 455 basis points
ROTO-ROOTER COMMERCIAL GROWTH - Roto-Rooter commercial revenue rose 6.8%, led by plumbing and drain cleaning services

Company press release: ID:nGNX1g9kGg

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Service Revenue and Sales
Beat
$673.30 mln
$665.04 mln (4 Analysts)
Q2 Adjusted EPS
Beat
$6.06
$5.60 (4 Analysts)
Q2 EPS
 
$5.13
 
Q2 Net Income
 
$67.70 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the healthcare facilities & services peer group is "buy"
Wall Street's median 12-month price target for Chemed Corp is $475.00, about 6.7% below its July 27 closing price of $509.34
The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 15 three months ago

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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)