U.S. Physical Therapy's Q2 2025: Unpacking Contradictions in Demand, Staffing, and Growth Strategies

Demand and weather impact, economic downturn impact on staffing, home care growth strategy, staffing and recruiting challenges, commercial rate trends are the key contradictions discussed in U.S. Physical Therapy's latest 2025Q2 earnings call.



Record Visit Growth and Patient Satisfaction:
- U.S. Physical Therapy reported 32.7 visits per clinic per day, an increase from 30.6 in the previous year’s second quarter, marking a record for patient visits.
- This growth was attributed to increased patient satisfaction and loyalty, with a Net Promoter Score of 93.5, indicating strong patient advocacy.

Injury Prevention Segment Performance:
- Injury prevention net revenues increased 22.6% and income rose 25.8% compared to the prior year quarter.
- The segment's success was driven by expanding service offerings, strategic partnerships, and strong organic growth, with a margin improvement.

Cost Efficiency and Revenue Management:
- The company's cost per visit decreased year-over-year, with salaries and related costs increasing slightly by 0.7%.
- Efficient cost management, strategic contract negotiations, and targeted rate-enhancing initiatives contributed to this performance.

Capital Allocation and Strategic Growth:
- U.S. Physical Therapy increased its full-year adjusted EBITDA guidance to a range of $93 million to $97 million.
- This increase was driven by the company’s focus on strategic growth in its injury prevention business and the impact of acquisitions, with a focus on capital deployment for organic growth.