Companies /Healthcare

AdaptHealth Corp

NASDAQ: AHCO Medical Devices
$5.60
▼ $0.07 (−1.23%) today
Markets open · 1:58pm ET

Q1 2025 Earnings

Reported May 6, 2025, 7:07am ET · SEC source
$-0.05
Miss −225.00%
EPS · est. $0.04
$777.9M
Beat +1.71%
Revenue · est. $764.8M
−6.7%
Trailing market
AHCO vs S&P since report
6 quarters
Consecutive EPS misses

Market Reaction

% change · around the report
0+7%+14%+21%May 6May 7report 7:07am ETearnings+0.2%−0.6%
0+7%+14%+21%May 6May 7earnings+0.2%−0.6%
AHCO −0.6%S&P 500 +0.2%
0+7%+14%+21%May 6May 7report 7:07am ETearnings+0.1%−0.6%
0+7%+14%+21%May 6May 7earnings+0.1%−0.6%
AHCO −0.6%NASDAQ +0.1%
−14%−7%0+7%May 5May 14report 7:07am ETearnings+5.1%−9.1%
−14%−7%0+7%May 5May 14earnings+5.1%−9.1%
AHCO −9.1%S&P 500 +5.1%
−16%−8%0+8%May 5May 14report 7:07am ETearnings+7.3%−9.1%
−16%−8%0+8%May 5May 14earnings+7.3%−9.1%
AHCO −9.1%NASDAQ +7.3%
+1.72%
Day of report
−6.95%
Next session
+1.98%
One week
+0.56%
30 days

S&P 500 over the same 30 days: +7.22%.

Did AHCO Beat Earnings? Q1 2025 Results

AdaptHealth delivered a split verdict in Q1 2025, posting revenue of $777.88 million that edged past the $764.77 million consensus by 1.71% and surged 30.9% year-over-year, yet stumbled badly on the bottom line, reporting an EPS of -$0.05 against an expected $0.04, a miss of 225.00%. The earnings shortfall was rooted in meaningful profitability compression, with Adjusted EBITDA falling 19.3% to $127.94 million and margins contracting to 16.4% from 20.0% a year earlier, as higher costs of net revenue weighed heavily on operating income. A bright spot was cash flow from operations, which nearly doubled to $95.53 million, reflecting tighter working capital management. Strategically, AdaptHealth continued reshaping its portfolio through asset divestitures in its Wellness at Home segment, which prompted a modest trim to full-year guidance, with net revenue now expected between $3.18 billion and $3.32 billion and Adjusted EBITDA between $665 million and $705 million, while free cash flow guidance of $180 million to $220 million held firm. Reports of a new DME acquisition suggest the company is quietly balancing dispositions with selective growth moves.

Key Takeaways
  • Diabetes Health segment showed signs of improvement for second consecutive quarter
  • Operating cash flow nearly doubled year-over-year to $95.5 million
  • Cost of net revenue increased to $657.4 million from $635.0 million, pressuring margins
  • Adjusted EBITDA margin contracted to 16.4% from 20.0%

“Amid elevated uncertainty in the external environment, we at AdaptHealth have stayed the course, with a relentless focus on improving our business and providing exceptional service to the 4.2 million patients that depend on us.”

AdaptHealth CEO, on the earnings call

Forward Guidance & Outlook

AdaptHealth updated FY2025 guidance to reflect disposition of certain incontinence assets: Net revenue of $3.18 billion to $3.32 billion (from $3.22 billion to $3.36 billion); Adjusted EBITDA of $665 million to $705 million (from $670 million to $710 million); Free cash flow of $180 million to $220 million (unchanged).

AHCO YoY Financials

Q1 2025 vs Q1 2024 · SEC filings Q1 2024 Q1 2025
$0$300.0M$600.0M$594.1M$777.9MRevenue$50.5M$23.2MOperating Income
$0$300.0M$600.0MRevenueOperating Income

Figures from SEC filings and company reports. Not investment advice.