Adjusted EBITDA was a loss of $6.1 million compared to a positive $17.2 million in Q2 2024.
Adjusted gross margin was 31.6% in Q2 2025 versus 33.9% in Q2 2024, with Mobile Health margins improving sequentially but down year-over-year.
Medical Transportation Services revenue increased to $49.6 million from $48.2 million year-over-year, with a 7% underlying growth excluding Colorado exit.
Mobile Health revenue declined to $30.8 million from $116.7 million year-over-year, driven by reduced migrant-related revenues.
SG&A expenses decreased 7% year-over-year and 5% sequentially on an absolute basis, with recurring SG&A down 9% sequentially and 18% year-over-year.
Strong cash flow from operations of $33.6 million in Q2 2025, with total cash and equivalents rising to $128.7 million.
Total revenue for Q2 2025 was $80.4 million, down from $164.9 million in Q2 2024, primarily due to the wind down of migrant-related government programs.
Addus HomeCare reported total revenue of $349.4 million for Q2 2025, a 21.8% increase from $286.9 million in Q2 2024.
Adjusted earnings per share increased 10.4% to $1.49 from $1.35 in the prior year quarter.
Adjusted EBITDA rose 24.5% to $43.9 million compared to $35.3 million in Q2 2024, with an adjusted EBITDA margin of 12.6%.
Cash on hand was approximately $91 million at quarter end, with bank debt reduced by $30 million to $173 million, resulting in net leverage under 1x adjusted EBITDA.
Gross margin was stable at 32.6%, with G&A expenses slightly improved to 20% of revenue on an adjusted basis.
Home Health segment revenue declined 6% year-over-year but showed improving profitability due to expense rightsizing.
Hospice segment showed 10% same-store revenue growth and a 7% increase in average daily census.
Personal Care Services segment drove growth with 7.4% organic revenue increase and represented 77% of total revenue.
Capital expenditures totaled $94 million, and depreciation and amortization were $119 million.
EBIT margin increased 50 basis points to 22.8% due to gross margin improvement and operating expense leverage.
Free cash flow was strong at $327 million, supported by earnings growth and working capital improvements.
Gross margin improved by 20 basis points to 45.3%, with positive price and productivity gains offsetting inflation and tariff costs.
Net income from continuing operations was $231.2 million, with adjusted EPS of $2.34, a 15% increase year-over-year.
The company announced its 20th consecutive year of dividend increases, raising the quarterly dividend by 10% to $0.63.
Total debt was reduced to $1.9 billion, with a gross debt to EBITDA ratio of 1.2x.
Total reported revenue grew 9% in Q1 2026, with constant currency organic revenue growth of 8%, driven by volume and 230 basis points of price increases.
Dafinchi