Addus HomeCare Announces Fourth Quarter and Year End 2025 Financial Results

FRISCO, Texas--( BUSINESS WIRE)--Addus HomeCare Corporation (NASDAQ: ADUS), a provider of home care services, today announced its financial results for the fourth quarter and year ended December 31, 2025.

Fourth Quarter 2025 Highlights:

Overview

Net service revenues were $373.1 million for the fourth quarter of 2025, a 25.6% increase compared with $297.1 million for the fourth quarter of 2024. Net income was $29.8 million for the fourth quarter of 2025 compared with $19.5 million for the fourth quarter of 2024, while net income per diluted share was $1.61 compared with $1.07 for the same period a year ago. Adjusted EBITDA increased 33.3% to $50.3 million for the fourth quarter of 2025 from $37.8 million for the fourth quarter of 2024. Adjusted net income was $32.6 million for the fourth quarter of 2025 compared with $25.2 million for the prior-year period, while adjusted net income per diluted share was $1.77 compared with $1.38 for the fourth quarter of 2024. Adjusted net income per diluted share for the fourth quarter of 2025 excludes the impact of accounts receivable settlements related to divested New York operations of $(0.07), acquisition expenses of $0.05 and stock-based compensation expense of $0.18. (See the end of press release for a reconciliation of all non-GAAP and GAAP financial measures.)

For the full year 2025, net service revenues increased 23.2% to $1.42 billion from $1.15 billion for the prior-year period. Net income was $95.9 million for 2025 compared with $73.6 million for 2024, and net income per diluted share was $5.22 compared with $4.23 per diluted share. Adjusted EBITDA increased 28.3% to $180.0 million for 2025 from $140.3 million for 2024. Adjusted net income was $114.7 million for 2025 compared with $91.4 million for 2024, while adjusted net income per diluted share was $6.23 compared with $5.26 for the prior-year period.

Commenting on the results, Dirk Allison, Chairman and Chief Executive Officer, said, “Our fourth quarter results marked a strong finish to a successful year of growth and progress for Addus. Net service revenues increased 25.6% and adjusted EBITDA was up 33.3% over the fourth quarter of 2024. For the full year, we achieved a new annual record of $1.4 billion in net service revenues, an increase of 23.2% compared with 2024. Continued strong demand has supported this impressive growth as an increasing number of consumers and payers benefit from the value and cost efficiency offered by our home-based care services. With solid execution, our team has done an outstanding job meeting this demand with the ability to leverage our scale and proven operating model across the care continuum. We have also benefitted from continued favorable and stable hiring trends, which support our business, especially in our personal care segment. We are fortunate to have a team of capable and dedicated caregivers who provide outstanding care as we respond to the needs of a growing number of patients and families across the markets we serve.

“Our personal care business has been the key driver of our growth and accounted for 76.6% of our revenues for the fourth quarter. The 6.3% organic revenue growth in our personal care business was supported by strong volumes as well as higher rates in certain key markets compared with the same period last year. These results also include the personal care operations of Del Cielo Home Care Services (“Del Cielo”), which we acquired on October 1, 2025.

“We are pleased with the funding support from many of the states where we operate, including a recent 9.9% rate increase in Texas that was effective September 1, 2025. With the addition of Gentiva’s personal care operations in December 2024, and more recently Del Cielo, Texas is now our second largest personal care market, so this increase will have a significant positive impact on our business going forward. In addition, the State of Illinois, our largest personal care market, announced an increase of 3.9% beginning January 1, 2026.

“We are pleased with the positive trends in our hospice care business, which accounted for 18.8% of our revenue in the fourth quarter. The operational improvements we have made over the past year resulted in a solid 16.0% organic revenue growth supported by year-over-year increases in admissions, average daily census, and revenue per patient day. Our home health services accounted for 4.6% of fourth quarter revenue. While this represents our smallest business segment, we continue to believe our home health operations provide an important clinical partner to our personal care and hospice care segments, allowing us to further our goal of providing all three levels of care in select markets,” said Allison.

Cash and Liquidity

As of December 31, 2025, the Company had cash of $81.6 million and bank debt of $124.3 million, with capacity and availability under its revolving credit facility of $650.0 million and $517.7 million, respectively. Net cash provided by operating activities was $18.8 million for the fourth quarter of 2025 and $111.5 million for 2025.

Allison added, “We have continued to use our strong cash flow from operations in 2025 to pay down debt, allowing us greater flexibility in our capital allocation strategy. Acquisitions remain an integral part of our overall growth strategy, and Addus has achieved a solid record of deriving value from our acquired operations, including three acquisitions completed in 2025. Going forward, our development team will continue to assess both clinical and non-clinical operations to increase the density and geographic coverage in strategic markets. We also see important synergies in offering multiple elements of the care continuum as we build scale and extend our market reach. We are optimistic that we will see additional acquisition opportunities in 2026. While our priority is to deploy our capital for acquisitions, we also continue to invest in our business, adding technologies that support our operations and enhance the work of our caregivers.

Looking Ahead

“We are extremely proud of the important work Addus is doing to address a vital need for quality, compassionate care for more patients and families in their preferred home setting. We believe we offer a strong value proposition that meets the growing demand for home-based care. Our favorable results for 2025 affirm our strategic priorities, and we will continue to extend our market reach through both organic growth and acquisitions in the year ahead. We recognize the success of our operations and continued growth reflect the hard work and dedication of the caregivers who are the face of Addus, and we are grateful for the outstanding care and support they provide every day. Working together, we look forward to the opportunities ahead for Addus in 2026,” said Allison.

Non-GAAP Financial Measures

The information provided in this release includes adjusted net income, adjusted EBITDA, adjusted net income per diluted share and adjusted net service revenue, which are non-GAAP financial measures. The Company defines adjusted net income as net income before acquisition expense, stock-based compensation expense, restructuring and other non-recurring costs, the gain or loss on the sale of assets, the impairment of operating lease assets, the impact of New York retroactive rate increases, and the impact of New York accounts receivable settlements. The Company defines adjusted EBITDA as earnings before net interest expense, taxes, depreciation, amortization, acquisition expense, stock-based compensation expense, restructuring and other non-recurring costs, the gain or loss on the sale of assets, the impairment of operating lease assets, the impact of New York retroactive rate increases, and the impact of New York accounts receivable settlements. The Company defines adjusted net income per diluted share as net income per share, adjusted for acquisition expense, stock-based compensation expense, restructuring and other non-recurring costs, gain or loss on the sale of assets, impairment of operating lease assets, the impact of New York retroactive rate increases, and the impact of New York accounts receivable settlements. The Company defines adjusted net service revenues as revenue adjusted for the closure of certain sites. The Company has provided, in the financial statement tables included in this press release, a reconciliation of adjusted net income to net income, a reconciliation of adjusted EBITDA to net income, a reconciliation of adjusted diluted net income per share to net income per share, and a reconciliation of adjusted net service revenues to net service revenues, in each case, the most directly comparable GAAP measure. Management believes that adjusted net income, adjusted EBITDA, adjusted diluted net income per share, and adjusted net service revenues are useful to investors, management and others in evaluating the Company’s operating performance, to provide investors with insight and consistency in the Company’s financial reporting and to present a basis for comparison of the Company’s business operations among periods, and to facilitate comparison with the results of the Company’s peers.

Conference Call

Addus HomeCare will host a conference call on Tuesday, February 24, 2026, at 9:00 a.m. Eastern Time. Joining the call from the Company will be Dirk Allison, Chairman and CEO, Brian Poff, Executive Vice President and CFO, and Heather Dixon, President and COO. To access the live call, dial (833) 629-0620 (international dial-in number is (412) 317-1805) and ask to join the Addus HomeCare earnings call. A telephonic replay of the conference call will be available through midnight on March 3, 2026, by dialing (855) 669-9658 (international dial-in number is (412) 317-0088) and entering pass code 4057470.

A live broadcast of Addus HomeCare’s conference call will be available under the Investor Relations section of the Company’s website: www.addus.com. An online replay will also be available on the Company’s website for one month, beginning approximately two hours following the conclusion of the live broadcast.

Forward-Looking Statements

Certain matters discussed in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements may be identified by words such as “preliminary,” “continue,” “expect,” and similar expressions. These forward-looking statements are based on our current expectations and beliefs concerning future developments and their potential effect on us. Forward-looking statements involve a number of risks and uncertainties that may cause actual results to differ materially from those expressed or implied by such forward-looking statements, including discretionary determinations by government officials, the consummation and integration of acquisitions, transition to managed care providers, our ability to successfully execute our growth strategy, unexpected increases in SG&A and other expenses, expected benefits and unexpected costs of acquisitions and dispositions, management plans related to dispositions, the possibility that expected benefits may not materialize as expected, the failure of the business to perform as expected, changes in reimbursement, changes in government regulations, changes in Addus HomeCare’s relationships with referral sources, increased competition for Addus HomeCare’s services, changes in the interpretation of government regulations, the uncertainty regarding the outcome of discussions with managed care organizations, changes in tax rates, the impact of adverse weather, higher than anticipated costs, lower than anticipated cost savings, estimation inaccuracies in future revenues, margins, earnings and growth, whether any anticipated receipt of payments will materialize, any security breaches, cyber-attacks, loss of data or cybersecurity threats or incidents, and other risks set forth in the Risk Factors section in Addus HomeCare’s Annual Report on Form 10-K filed with the Securities and Exchange Commission on February 25, 2025, which is available at www.sec.gov. The financial information described herein and the periods to which they relate are preliminary estimates that are subject to change and finalization. There is no assurance that the final amounts and adjustments will not differ materially from the amounts described above, or that additional adjustments will not be identified, the impact of which may be material. Addus HomeCare undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. In addition, these forward-looking statements necessarily depend upon assumptions, estimates and dates that may be incorrect or imprecise and involve known and unknown risks, uncertainties, and other factors. Accordingly, any forward-looking statements included in this press release do not purport to be predictions of future events or circumstances and may not be realized. (Unaudited tables and notes follow).

About Addus HomeCare

Addus HomeCare is a provider of home care services that primarily include personal care services that assist with activities of daily living, as well as hospice and home health services. Addus HomeCare’s consumers are primarily persons who, without these services, are at risk of hospitalization or institutionalization, such as the elderly, chronically ill and disabled. Addus HomeCare’s payor clients include federal, state, and local governmental agencies, managed care organizations, commercial insurers, and private individuals. Addus HomeCare currently provides home care services to approximately 62,500 patients and consumers through 262 locations across 23 states. For more information, please visit www.addus.com.

For the Three Months

For the Twelve Months

2025

2024

2025

2024

373,078

297,144

1,422,530

1,154,599

249,473

195,662

960,656

779,578

123,605

101,482

461,874

375,021

33.1

34.2

32.5

77,180

71,356

306,847

258,800

4,148

3,214

16,412

13,530

81,328

74,570

323,259

272,330

42,277

26,912

138,615

102,691

2,129

698

11,170

3,338

40,148

26,214

127,445

99,353

10,366

6,688

31,535

25,755

29,782

19,526

95,910

73,598

1.61

1.07

5.22

4.23

18,447

18,294

18,391

17,380

For the Three Months

For the Twelve Months

2025

2024

2025

2024

18,763

10,418

111,507

116,434

(10,056

)

(354,486

)

(32,500

)

(354,610

)

(29,008

)

220,127

(96,301

)

272,296

(20,301

)

(123,941

)

(17,294

)

34,120

101,918

222,852

98,911

64,791

81,617

98,911

81,617

98,911

2025

2024

81,617

98,911

151,695

122,880

36,179

38,591

269,491

260,382

24,998

24,703

996,696

970,558

102,410

109,643

43,713

47,348

1,142,819

1,127,549

1,437,308

1,412,634

16,832

27,176

65,941

62,053

28,191

28,959

13,144

12,800

11,699

11,239

13,680

13,644

149,487

155,871

120,959

218,443

37,259

41,883

44,065

25,820

235

125

202,518

286,271

352,005

442,142

1,085,303

970,492

1,437,308

1,412,634

For the Three Months

For the Twelve Months

Ended December 31,

2025

2024

2025

2024

285,976

220,328

1,089,215

856,581

70,002

58,989

262,542

228,191

17,100

17,827

70,773

69,827

373,078

297,144

1,422,530

1,154,599

For the Three Months

For the Twelve Months

2025

2024

2025

2024

201

196

35,927

36,342

35,996

36,474

15,044

14,581

15,253

14,581

964

50,971

50,923

51,249

52,019

11,055

8,210

42,670

31,309

72.3

69.6

70.1

71.5

167,505

124,397

163,487

119,498

25.70

26.40

25.48

27.21

6.3

5.8

7.0

7.7

3,180

3,095

13,240

12,866

3,885

3,472

3,760

3,461

104.2

97.9

95.6

94.1

357,380

319,460

1,369,425

1,266,701

193.46

185.95

191.06

181.08

16.0

7.8

14.1

5.9

11.5

2.7

8.2

1.3

4,621

4,365

18,474

18,622

2,568

3,249

11,010

13,047

7,189

7,614

29,484

31,669

86,304

99,803

366,228

422,516

(7.4

)

1.6

(3.6

)

(3.1

)

3.5

(6.2

)

(2.2

)

(3.0

)

(7.5

)

(3.2

)

(8.0

)

(1.9

)

49.9

54.2

50.8

53.3

47.3

43.1

46.0

44.0

2.3

2.0

2.6

1.8

0.4

0.5

0.7

0.1

0.2

0.1

0.2

93.7

91.4

93.1

91.2

2.9

4.9

3.3

5.1

2.7

3.5

3.1

3.3

0.7

0.2

0.5

0.4

64.3

69.2

67.4

69.5

26.0

24.2

24.0

25.2

6.5

3.4

5.7

1.0

2.8

2.9

2.5

3.9

0.4

0.3

0.4

For the Three Months

For the Twelve Months

2025

2024

2025

2024

29,782

19,526

95,910

73,598

2,129

698

11,170

3,338

(3,725

)

(3,738

)

10,366

6,688

31,535

25,755

4,148

3,214

16,412

13,530

4,968

(3,487

)

(3,004

)

(1,864

)

(1,864

)

1,227

7,031

8,899

14,678

4,547

2,858

16,424

11,165

1,500

50,339

37,771

179,984

140,290

29,782

19,526

95,910

73,598

(3,725

)

(3,738

)

4,968

(3,487

)

(3,004

)

(1,864

)

(1,864

)

1,227

7,031

8,899

14,678

4,547

2,858

16,424

11,165

1,500

(1,072

)

(1,958

)

(6,175

)

(6,240

)

32,624

25,213

114,692

91,427

1.61

1.07

5.22

4.23

(0.15

)

(0.16

)

0.20

0.21

(0.14

)

(0.13

)

(0.07

)

(0.08

)

0.05

0.29

0.36

0.63

0.06

0.18

0.11

0.67

0.48

1.77

1.38

6.23

5.26

373,078

297,144

1,422,530

1,154,599

(994

)

(4,779

)

(4,309

)

(76,706

)

372,084

292,365

1,418,221

1,077,893