Healthcare Services Group Inc reported second-quarter 2026 results with revenue of $470.8M and net income of $22.7M, a marked turnaround from a loss in the prior-year quarter; diluted EPS was $0.32 for the quarter.
Financial Highlights
- Revenue was $470.8M for Q2 2026, up from $458.5M in Q2 2025 (2.7% YoY).
- Net income was $22.7M for Q2 2026, compared with a loss of $(32.4)M in Q2 2025 (turnaround YoY).
- Diluted earnings per share was $0.32 for Q2 2026, versus $(0.44) in Q2 2025.
Business Highlights
- Consolidated revenues rose roughly 3.0% year-to-date, driven by client wins, retention and contractual price/pass-through increases; Environmental Services (EVS) grew about 3.6% while Dietary grew about 1.6%.
- Channel mix shifted with Dietary representing about 55% of revenue and EVS about 45%, reflecting stronger relative growth in Dietary.
- Bad-debt expense declined significantly versus the prior year after large bankruptcies in 2025, reducing cost-of-services as a percentage of revenue.
- Operational focus on on-site management, training and district support improved segment margins and labor efficiency.
- Company continues to win new facilities and plans modest 2026 capital expenditures of $5–7M to support equipment, IT and service delivery growth.
Original SEC Filing:
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