Aveanna Healthcare (AVAH) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue reached $670.5 million, up 13.7% year-over-year, with growth across all business segments and net income of $40.3 million, a 49% increase from the prior year period.

• Adjusted EBITDA for Q2 was $95.4 million, up 8% year-over-year, driven by improved rates, volumes, and operational efficiencies.

• Strategic focus on preferred payer agreements and government partnerships is accelerating growth and supporting wage investments.

• The acquisition of Family First Homecare closed in June 2026, expanding pediatric home care operations, with integration progressing well and expected to complete by late Q4.

Financial highlights

• Q2 2026 revenue: $670.5 million (up 13.7% year-over-year); six-month revenue: $1,318.4 million (up 14.8%).

• Q2 net income: $40.3 million (up 49.1%); six-month net income: $81.9 million (up from $32.2 million).

• Q2 gross margin was $218.5 million (32.6% of revenue), up 3.7% year-over-year, though margin percentage declined from 35.8%.

• Adjusted EBITDA for Q2: $95.4 million (up from $88.4 million); six-month Adjusted EBITDA: $179.8 million.

• Free cash flow for the six months was $75.4 million; cash at period end was $97.2 million; liquidity at quarter-end was $433 million.

Outlook and guidance

• Full-year 2026 revenue guidance raised to over $2.68 billion and adjusted EBITDA above $365 million.

• Long-term organic growth rate for PDS increased to 5%-6% (from 3%-5%), and Home Health and Hospice to 8%-10% (from 5%-7%).

• Medical Solutions growth rate remains at 8%-10%.

• Management expects continued growth from organic expansion and recent acquisitions.

• Sufficient liquidity is projected for at least the next twelve months, with $97.2 million cash on hand and significant borrowing capacity.