newsfilter
← Latest News
Business Wire·

Healthcare Services Group Reports Third Quarter Results

HCSG
  • Healthcare Services Group, Inc. reported third-quarter 2026 revenue of $479.6 million & net income of $24.9 million.
  • Diluted earnings per share (EPS) reached $0.36 for the quarter ended September 30, 2026.
  • Cash flow from operations totaled $30.2 million, or $20.7 million excluding the $9.5 million increase in payroll accrual.
  • The company raised its 2027 revenue growth outlook from mid single-digits to low double-digits.
  • HCSG acquired NEXDINE Hospitality on October 6, 2026, for $93.5 million to expand into senior living & hospitality markets.
  • NEXDINE is expected to contribute over $150 million in annual revenue while being immediately accretive to earnings.
  • Environmental & Dietary Services segment revenue was $217.2 million with a 13.3% margin.
  • Healthcare Services segment revenue was $262.4 million with an 8.7% margin.
  • Cost of services was $399.2 million (83.2%), while SG&A expenses were $48.5 million ($49.1 million adjusted).
  • Effective tax rate for the quarter was 26.2%, with a full-year expectation of approximately 25.0%.
  • The company recorded a $6.1 million estimated recovery from the Genesis Bankruptcy case following the court-approved sale.
  • Share repurchases under the February 2026 plan totaled $11.7 million in the quarter, with $56.6 million repurchased year-to-date.
  • As of September 30, 2026, the company held $204.3 million in cash & marketable securities with an unutilized $300.0 million credit facility.
  • CEO Ted Wahl projected fourth-quarter revenue between $535 million & $545 million.
  • The company scheduled a conference call for October 21, 2026, & will present at conferences in November & December 2026.