The Pennant Group reported third quarter 2026 results that featured a revenue beat and adjusted EPS in line with expectations. The performance was characterized by aggressive inorganic expansion in the home health and hospice segments, which offset margin pressures and occupancy declines in the senior living business.
Key Highlights
- Hospice average daily census (ADC) grew 34.6% year-over-year to 5,443, significantly outperforming the consolidated estimate of 4,100 patients.
- Total home health admissions increased 39.4% to 28,479, driven by recent acquisitions, while same-store admissions showed steady 8.0% growth.
- Home Health and Hospice segment revenue rose 38.2% to $239.8 million, benefiting from the addition of 75 locations over the past 24 months.
- Senior Living occupancy faced headwinds, declining 250 basis points year-over-year to 78.4% despite a 3.7% increase in average monthly revenue per occupied room.