Dialysis provider DaVita's Q2 results beat estimates, aided by higher average rates

Davita

04/08/2026 21:22

Overview
U.S. dialysis provider's Q2 revenue and adjusted EPS beat analyst expectations
Company repurchased 2.2 mln shares in Q2
Revenue growth driven by payor mix changes and higher average rates

Outlook
DaVita sees 2026 adjusted operating income between $2.15 bln and $2.25 bln
Company expects 2026 adjusted diluted EPS of $14.10 to $15.20
DaVita forecasts 2026 free cash flow of $1.0 bln to $1.25 bln

Result Drivers
PAYOR MIX AND RATES - Revenue growth was primarily driven by changes in payor mix and higher average rates
COST MANAGEMENT - Decrease in patient care costs per treatment was mainly due to lower payroll taxes and pharmaceutical costs, partially offset by higher health benefits expenses
INTEGRATED CARE GROWTH - Growth in integrated kidney care arrangements increased patient count and annualized medical spend

Company press release: ID:nPnNk5NSa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$3.55 bln
$3.50 bln (5 Analysts)
Q2 Adjusted EPS
Beat
$4.02
$3.88 (6 Analysts)
Q2 EPS
 
$4.02
 

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 5 "hold" and 1 "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 DaVita Inc is $218.00, about 6.7% below its August 3 closing price of $233.68
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 10 three months ago

Reuters Recommended Reads
Aug 4 - Dialysis firm FMC's shares slide despite earnings beat as US volumes disappoint again
Aug 3 - Germany's Fresenius Medical Q2 revenue beats; 2026 outlook reaffirmed
Aug 4 - Pediatrix Medical beats Q2 revenue estimates, reaffirms 2026 adjusted EBITDA outlook

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.)