Select Medical slightly beats Q1 revenue estimates, maintains 2026 revenue outlook

Select Medical Holdings

30/04/2026 21:46

Overview

U.S. rehabilitation hospital operator's Q1 revenue rose 5%, slightly beating analyst expectations

Adjusted EPS for Q1 fell to $0.36 from $0.44 a year earlier

Company expects merger with WCAS XIV-led group to close mid-2026, pending approvals

Outlook

Select Medical maintains 2026 revenue outlook of $5.6 bln to $5.8 bln

Company expects 2026 Adjusted EBITDA of $520 mln to $540 mln

Select Medical sees 2026 fully diluted EPS between $1.22 and $1.32

Result Drivers

REHABILITATION HOSPITAL GROWTH - Revenue and Adjusted EBITDA in the rehabilitation hospital segment rose sharply, driven by higher patient days and admissions

CRITICAL ILLNESS SEGMENT PRESSURE - Critical illness recovery hospital segment saw flat revenue and a decline in Adjusted EBITDA and margin

OUTPATIENT REHABILITATION SOFTNESS - Outpatient rehabilitation segment posted modest revenue growth but lower Adjusted EBITDA and margin

Company press release: ID:nPn1Pvp7ha

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Slight Beat*
$1.42 bln
$1.41 bln (6 Analysts)
Q1 EPS
$0.35
Q1 Net Income
$63.80 mln
Q1 Adjusted EBITDA
$141.60 mln
Q1 Operating income
$98.40 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 1 "strong buy" or "buy", 4 "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 Select Medical Holdings Corp is $16.50, about 0.1% above its April 29 closing price of $16.49

The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 11 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.)