Addus Homecare 2025 Q3 Earnings Strong Revenue Growth and Profitability

Addus Homecare (ADUS) reported robust Q3 2025 earnings, driven by a 25% revenue increase and expanded profitability. The company’s results exceeded expectations in several key areas, with management highlighting strategic acquisitions and operational efficiencies as key contributors to performance.

Revenue

Addus Homecare’s total revenue surged 25.0% year-over-year to $362.30 million in Q3 2025, reflecting strong demand across its core segments. Personal care services led the charge, generating $275.77 million in revenue, while hospice care contributed $68.89 million. The home health segment added $17.64 million, rounding out the company’s diversified revenue streams. This performance underscores the company’s ability to capitalize on market opportunities and scale operations effectively.

Earnings/Net Income

The company’s earnings per share (EPS) rose 11.5% to $1.26, compared to $1.13 in Q3 2024, while net income expanded 13.3% to $22.85 million. These results reflect disciplined cost management and operational leverage, with Addus Homecare maintaining profitability for 18 consecutive years in the quarter. The EPS growth, though below the $1.37 consensus estimate, highlights the company’s resilience in a competitive market.

Post-Earnings Price Action Review

Following the earnings release, Addus Homecare’s stock experienced a decline, with a 9.78% drop in the latest trading day, a 6.89% decline for the week, and a 2.30% monthly pullback. While the results beat revenue expectations, the EPS shortfall and broader market sentiment contributed to the downward pressure. Analysts remain cautiously optimistic, with price targets averaging $141.91 and a 21.61% implied upside from the current level.

CEO Commentary

R. Allison, CEO & Chairman, emphasized the company’s momentum, stating, “Our Q3 results reflect the strength of our business model and the value of our recent acquisitions. We are well-positioned to deliver sustainable growth as we expand our footprint and enhance service offerings.”

Additional News

Recent developments highlight Addus Homecare’s strategic focus on expansion and investor confidence. The company’s acquisition of Texas-based Del Cielo has accelerated growth in personal care services, which now account for over 75% of revenue. Additionally, Barclays raised its price target to $117 from $111, citing improved operational metrics and a favorable industry outlook. Analysts also noted the company’s 18-year profitability streak as a testament to its durable business model.

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Guidance

Addus Homecare’s full-year 2025 revenue is projected to reach $1.41 billion, with earnings expected at $5.31 per share. While 2025 EPS estimates have slightly declined from $5.39 to $5.31, 2026 forecasts show optimism, with earnings estimates rising to $6.20 per share. These trends reflect confidence in the company’s long-term growth trajectory.