Amn Healthcare Services 2025 Q3 Earnings Beats Expectations with 319% Net Income Surge

AMN Healthcare Services (AMN) reported Q3 2025 results exceeding expectations, with revenue of $634.5M and EPS of $0.76. The company guided for Q4 revenue of $722.5M, outperforming analyst forecasts. Despite a 7.7% year-over-year revenue decline, strategic cost management and debt refinancing drove a 319% net income increase.

Revenue

The Nurse and Allied Solutions segment reported $361 million in revenue, while the Physician and Leadership Solutions segment contributed $178 million. The Technology and Workforce Solutions segment added $95 million to the total.

Earnings/Net Income

AMN’s net income surged 319% to $29.29 million, with EPS rising 322% to $0.76. Despite a 7.7% revenue decline, disciplined SG&A management and a $65 million gain from the Smart Square sale bolstered profitability.

Despite a 7.7% revenue decline, AMN's EPS surged 322%, reflecting strong cost management and strategic debt refinancing.

Post-Earnings Price Action Review

The strategy of buying AMN shares after earnings showed mixed results, with a 18.95% return over three years but trailing the S&P 500’s 27.50%. High volatility, a 20.50% drawdown, and inconsistent performance, including a 10.50% loss in Q1 2023, underscore risks. Tax implications were unaddressed, adding complexity for investors.

CEO Commentary

Cary Grace highlighted outperforming guidance, driven by Nurse and Allied Solutions and Physician segments, with winter order growth. He emphasized SG&A discipline and debt refinancing to enhance flexibility, expressing optimism about market resilience.

Guidance

For Q4, AMN forecasts $715–$730M revenue (1–3% YoY decline, 13–15% sequential growth). Segment guidance includes 1–3% growth in Nurse and Allied Solutions, 2–4% decline in Physician segments, and 14–16% drop in Technology solutions. Adjusted EBITDA margin: 6.8–7.3%.

Additional News

AMN refinanced $400M in senior notes, extending maturities to 2031 and improving leverage. The sale of Smart Square generated $65M in proceeds. Analyst ratings were mixed, with Truist Securities and JMP issuing “Buy” ratings, while B of A Securities labeled it “Underperform.”

Key Takeaways

AMN’s Q3 performance underscores its ability to navigate market challenges through cost control and strategic debt moves. While Q4 guidance signals sequential growth, investors must weigh volatility and sector-specific risks against long-term positioning in healthcare staffing.