AdaptHealth Shares Plunge 14% on Disappointing Forecasts

PLYMOUTH MEETING, Pa. - AdaptHealth Corp. (NASDAQ:AHCO) announced third-quarter earnings that fell below analyst expectations and lowered its year-end forecasts. Following this development, the company's stock lost 14% in early trading on Tuesday.

The home medical equipment and supplies provider reported adjusted earnings of $0.15 per share for the quarter ending September 30. This figure was below the consensus estimate of $0.19. Revenue came in at $805.9 million, slightly below Wall Street's expectation of $809.32 million, but representing a 0.2% increase compared to the same period last year.

AdaptHealth reduced its full-year revenue guidance for 2024 to a range of $3.22 billion to $3.26 billion. This range is below the previously announced $3.255 billion to $3.315 billion. The new forecast is also below analysts' expectations of $3.28 billion.

CEO Suzanne Foster stated, "I remain optimistic about the path ahead. We have identified growth opportunities, we are building a high-performing team, and we are investing in areas that will enable us to serve more patients in their homes."

The company reported a net income of $22.9 million for the quarter, a significant improvement compared to a net loss of $454.1 million in the same period last year. Adjusted EBITDA increased by 1.9% year-over-year to $164.3 million.

AdaptHealth also noted that it completed the sale of certain specialty rehabilitation assets during the quarter.