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Nov 5, 2026, 4:36 PM ETHealthcare

Concentra Group Holdings Parent, Inc. — Third Quarter 2026 Earnings Summary

CONCONCENTRA GROUP HOLDINGS PARENT INC
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Financial Performance

  • Q3 2026 revenue was $622.1 million, an 8.6% increase from $572.8 million in Q3 2025.
  • Net income attributable to the Company was $65.9 million, a 36.5% increase from $48.3 million in Q3 2025.
  • Adjusted EBITDA was $140.2 million, a 17.9% increase from $118.9 million in Q3 2025.
  • Net income margin increased to 10.9% (up 220 basis points year-over-year).
  • Adjusted EBITDA margin increased to 22.5% (up 178 basis points year-over-year).
  • Earnings per share (EPS) was $0.52, a 36.8% increase from $0.38 in Q3 2025; Adjusted EPS was $0.52, a 33.3% increase.
  • Net cash provided by operating activities was $51.9 million, compared to $60.6 million in Q3 2025.
  • Free Cash Flow was $32.2 million, compared to $40.2 million in Q3 2025.
  • As of September 30, 2026, the company held $85.8 million in cash and had a net leverage ratio of 2.90x.
  • Total debt was $1,521.3 million and total assets were $3,011.6 million.
  • The company repaid $52.4 million on its term loan due 2031.

Guidance and Future Outlook

  • The company raised its full-year 2026 guidance.
  • Revised 2026 Revenue guidance is $2.360 billion to $2.380 billion.
  • Revised 2026 Adjusted EBITDA guidance is $505 million to $510 million.
  • Revised 2026 Free Cash Flow guidance is $220 million to $240 million.
  • Revised 2026 Capital expenditures guidance is $70 million to $80 million (excluding acquisitions and net of proceeds from asset sales).

Business Segments and Product Lines

  • Total occupational health centers increased to 639 from 628 at the end of Q3 2025.
  • The company opened three de novo centers in Kansas City, Boise, and Daytona Beach.
  • The company completed the acquisition of a four-center occupational health practice in Minnesota.
  • Total onsite health clinics increased to 423 from 413 at the end of Q3 2025.
  • Patient visits increased 4.9% to 3,731,956 in Q3 2026 (58,312 visits per day) from 3,557,697 in Q3 2025.
  • Revenue per visit increased 3.3% to $152.14 from $147.31 in Q3 2025.
  • Workers' compensation visits grew 4.2% and employer services visits grew 5.8% in Q3 2026.
  • Consumer health visits declined 6.7% in Q3 2026.

Market and Competitive Landscape

  • Concentra is the nation's largest provider of occupational health services by number of locations.
  • The company received a corporate credit rating upgrade from S&P Global, moving from BB- to BB.
  • Moody's revised its outlook for the company from stable to positive.

Risks and Challenges

  • Risks include the frequency of work-related injuries, adverse changes in relationships with employer customers or payors, and regulatory changes.
  • Potential challenges include labor shortages, increased employee turnover, and rising operating costs.
  • The company faces risks related to cybersecurity threats, data privacy compliance, and litigation.
  • Risks also include the impact of separation from Select Medical Corporation and potential impairment of goodwill.

Management Commentary and Tone

  • Keith Newton, Executive Chairman, stated the company delivered a strong quarter reflecting the consistency of its operating model and the strength of its team.
  • Matt DiCanio, President and CEO, noted the results demonstrate the ability to translate operating performance into profitable growth, citing expanded footprint, strengthened balance sheet, and capital returns.
  • Management expressed confidence in the performance and momentum, emphasizing a focus on disciplined growth and operational excellence.
  • Leadership transition occurred effective November 1, 2026, with Matt DiCanio succeeding Keith Newton as CEO, Tanner Newton becoming CFO, and Keith Newton transitioning to Executive Chairman.

Other Key Points

  • The Board declared a cash dividend of $0.0625 per share, payable on or about December 4, 2026.
  • The Board authorized a new 2026 Share Repurchase Program to repurchase up to $250 million of common stock with no expiration date.
  • During Q3 2026, the company repurchased 1.0 million shares of common stock totaling $34.65 million.
  • The company operates across 46 states and the District of Columbia, serving approximately 55,000 patients daily on average.
  • The company has approximately 13,000 colleagues and affiliated physicians and clinicians.