Earnings Releases·Oct 28, 2026, 4:26 PM ET

Encompass Health — Third Quarter 2026 Earnings Summary

Net operating revenue rose 8.9% year-over-year to $1,609.5 million in Q3 2026, while adjusted EPS increased 23.6% to $1.52 and adjusted free cash flow surged 51.2% to $263.4 million.
The Company raised full-year 2026 guidance across all key metrics: net operating revenue to $6,450–$6,500 million, adjusted EBITDA to $1,395–$1,415 million, and adjusted EPS to $6.23–$6.37.
Strategic expansion included opening four new hospitals (189 beds) and adding 85 beds to existing facilities during the first nine months, alongside $203.7 million in common stock repurchases and $57.9 million in cash dividends.
Management expressed high optimism regarding long-term prospects, citing a validated value proposition and disciplined operating strategy amidst a 5.7% increase in total discharges for the quarter.