Key Highlights

  • Net Revenue rose 10.9% to USD 745.6 million, topping the consensus estimate of USD 725.87 million, with 12.8% organic growth.
  • EPS of USD 0.29 compared with a consensus estimate of negative USD 0.05, while GAAP diluted loss was USD 1.13.
  • A USD 184.8 million pre-tax Goodwill write down pushed continuing operations to a net loss of USD 167.0 million.
  • Adjusted EBITDA guidance rose to USD 510 to 525 million; free Cash Flow fell to USD 50 to 75 million.

AdaptHealth Corp. (NASDAQ:AHCO) reported third quarter 2026 net revenue of USD 745.6 million, up 10.9% from USD 672.4 million a year earlier and above a consensus estimate of USD 725.87 million. Organic revenue growth was 12.8%, with growth in each reportable segment. EPS of USD 0.29 compared with a consensus estimate of negative USD 0.05, while GAAP diluted loss per share was USD 1.13, including a loss of USD 1.23 from continuing operations and income of USD 0.10 from discontinued operations. Net loss attributable to the company from continuing operations was USD 168.2 million against Net Income of USD 10.2 million a year earlier.

Goodwill Charge and Margin Compression Mask Revenue Growth

The USD 184.8 million non-cash goodwill Impairment stemmed from fair values of the Respiratory Health and Wellness at Home reporting units falling below carrying values. Adjusted EBITDA was USD 141.9 million against USD 146.1 million, a 2.9% decline, and the adjusted margin was 19.0% against 21.7%. Cost of net revenue rose to USD 630.8 million from USD 533.8 million. Chief Executive Officer Suzanne Foster said the company exceeded its own guidance for revenue, adjusted EBITDA and free cash flow, and said the exclusive capitated agreement with a large national integrated delivery network made a positive contribution, helped by a tighter labor model and lower costs to serve. Registered myAPP users passed 615,000, up about 88% from year end 2025.

Revised 2026 Guidance and the Diabetes Health Sale

The company raised its fiscal 2026 net revenue guidance to USD 2.88 to 2.90 billion from USD 2.85 to 2.89 billion, and adjusted EBITDA guidance to USD 510 to 525 million from USD 490 to 520 million. Free cash flow guidance was lowered to USD 50 to 75 million from USD 80 to 120 million. These figures are on a continuing operations basis that excludes the Diabetes Health business, except for free cash flow. The company cleared the Hart-Scott-Rodino Waiting Period for the sale of Diabetes Health for USD 235.0 million in cash, with closing targeted for early 2027 subject to regulatory approvals and customary conditions.

Nine Month Actuals Against Revised Guidance

Nine month net revenue of USD 2.166 billion compares with full year guidance of USD 2.88 to 2.90 billion, which leaves roughly USD 714 to 734 million for the fourth quarter against USD 745.6 million in the third. Nine month adjusted EBITDA of USD 378.5 million against guidance of USD 510 to 525 million leaves roughly USD 131.5 to 146.5 million, against USD 141.9 million in the third quarter. Free cash flow of USD 2.6 million through September compares with USD 140.1 million a year earlier and guidance of USD 50 to 75 million. Long Term Debt less current portion stood at USD 1.868 billion against USD 1.716 billion at year end 2025, while cash fell to USD 80.7 million from USD 106.1 million.