Healthcare Services Group Q1 revenue up on client wins, slightly beats estimates

Healthcare Services

22/04/2026 12:11

Overview

US healthcare facility services provider's Q1 revenue rose 3.4% yr/yr, slightly beating analyst expectations

Net income and diluted EPS increased from the prior year

Company repurchased $24 mln of shares in Q1

Outlook

Company reiterates 2026 mid-single-digit revenue growth outlook

Company expects 2026 effective tax rate to be about 25%

Result Drivers

NEW CLIENT WINS - Co said new client wins contributed to Q1 revenue growth

HIGH RETENTION RATES - Co said high retention rates supported topline growth in Q1

OPERATIONAL EXCELLENCE - Co attributed consistent margins to operational performance by field-based teams

Company press release: ID:nBw7D99NKa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Slight Beat*
$462.77 mln
$459.93 mln (6 Analysts)
Q1 EPS
$0.37
Q1 Net Income
$26.06 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

Wall Street's median 12-month price target for Healthcare Services Group Inc is $23.00, about 18.9% above its April 21 closing price of $19.35

The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 20 three months ago

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.)