Accendra Health Q3 revenue misses; sees full-yr revenue at low end of outlook

Overview

• US home healthcare provider's Q3 revenue declined and missed analyst expectations

• Adjusted EBITDA for Q3 fell and missed analyst expectations

• Company expects full-yr revenue at low end of outlook, adjusted EBITDA up to 30% lower

Outlook

• Accendra Health expects 2026 net revenue at the bottom end of $2.45 bln-$2.55 bln range

• Company forecasts 2026 adj EBITDA could be up to 30% below $310 mln midpoint of prior outlook

Result Drivers

• TURNAROUND PLAN - Co said it has identified four key areas for transformation and is taking action to improve profitability, per CEO Kenny Gardner-Smith

• EXIT AND REALIGNMENT CHARGES - Q3 included $5.5 mln in exit and realignment charges, mainly related to sale of a non-core asset and costs tied to strategic initiatives

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "hold" and 2 "sell" or "strong sell"

• The average consensus recommendation for the medical equipment, supplies & distribution peer group is "buy."

• Wall Street's median 12-month price target for Accendra Health, Inc. is $1.40, about 408.4% above its November 4 closing price of $0.28

• The stock recently traded at 2 times the next 12-month earnings vs. a P/E of 5 three months ago

Reuters Recommended Reads

• Nov 3 - AdaptHealth posts Q3 loss due to goodwill impairment charge

• Nov 4 - Option Care Health Q3 revenue slightly beats estimates

• Nov 5 - US hospitals brace for tougher 2027 as coverage losses and Medicaid cuts loom

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(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.)