Healthcare Services Q4 revenue slightly misses

Healthcare Services

11/02/2026 12:07

Overview

Healthcare services manager's Q4 revenue slightly missed analyst expectations

Company announced new $75 mln share repurchase program

Company expects mid-single-digit revenue growth in 2026

Outlook

Healthcare Services Group expects mid-single-digit revenue growth in 2026

Company aims to manage 2026 cost of services at 86%

Healthcare Services Group anticipates 2026 effective tax rate of 25%

Result Drivers

CAMPUS DIVISION GROWTH - Revenue growth driven by Campus division reaching over $100 mln in revenue

COST MANAGEMENT - Successfully managed cost of services and SG&A within targeted ranges, contributing to free cash flow generation

SHARE REPURCHASE - Completed $50 mln buyback ahead of schedule and authorized new $75 mln program

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Slight Miss*
$466.68 mln
$467.23 mln (5 Analysts)
Q4 EPS
$0.44
Q4 Net Income
$31.24 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 "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the business support services peer group is "buy."

Wall Street's median 12-month price target for Healthcare Services Group Inc is $21.00, about 9.1% above its February 10 closing price of $19.24

The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 19 three months ago

Press Release: ID:nBw77cLlza

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.)