Addus HomeCare Corporation (NASDAQ: ADUS), a provider of home care services, announced its financial results for the second quarter and six months ended June 30, 2025, in a news release issued Aug. 4.
Second Quarter 2025 Highlights:
- Net service revenues grow 21.8% to $349.4 million.
- Net income of $22.1 million, or $1.20 per diluted share.
- Adjusted net income per diluted share increases 10.4% year-over-year to $1.49.
- Adjusted EBITDA increases 24.5% year-over-year to $43.9 million.
- Cash flow from operations of $22.5 million.
- Completed acquisition of Helping Hands Home Care.
Overview
Net service revenues were $349.4 million for the second quarter of 2025, a 21.8% increase compared with $286.9 million for the second quarter of 2024. Net income was $22.1 million for the second quarter of 2025 compared with $18.1 million for the second quarter of 2024, while net income per diluted share was $1.20 compared with $1.10 for the same period a year ago. Adjusted EBITDA increased 24.5% to $43.9 million for the second quarter of 2025 from $35.3 million for the second quarter of 2024. Adjusted net income was $27.3 million for the second quarter of 2025 compared with $22.3 million for the prior-year period, while adjusted net income per diluted share was $1.49 compared with $1.35 for the second quarter of 2024. Adjusted net income per diluted share for the second quarter of 2025 excludes acquisition expenses of $0.11 and stock-based compensation expense of $0.18.
For the first six months of 2025, net service revenues increased 21.0% to $687.2 million from $567.7 million for the prior-year period. Net income was $43.3 million for the first six months of 2025 compared with $33.9 million for the same period in 2024, and net income per diluted share was $2.36 compared with $2.06 per diluted share. Adjusted EBITDA increased 24.7% to $84.5 million for the first six months of 2025 from $67.7 million for the first six months of 2024. Adjusted net income was $53.3 million for the first six months of 2025 compared with $42.1 million for the first six months of 2024, while adjusted net income per diluted share was $2.91 compared with $2.56 for the prior-year period.
Commenting on the results, Dirk Allison, chairman and chief executive officer (pictured at top), said, “Addus delivered another strong financial and operating performance for the second quarter of 2025, as we continued to execute our strategy with consistent and favorable results. Notably, our net service revenue for the second quarter of 2025 was up 21.8% year-over-year, and adjusted EBITDA increased 24.5% over the same period last year. These results reflect solid organic growth and include the additional revenue from the personal care operations of Gentiva, which we acquired on December 2, 2024. We continue to see robust demand for our services, reflecting the growing recognition of the value and cost-effectiveness of home-based care. With our proven operating model across the continuum of care and expanding scale in key markets, Addus is well positioned to meet this demand and continue to capitalize on additional growth opportunities.
“Our personal care segment, which accounted for 77.0% of our business, was a key contributor to our growth with a 7.4% organic revenue increase on a same-store basis over the second quarter last year. These results were driven by volume growth, as well as the support of state rate increases, including Illinois, our largest state for personal care services. We also benefitted from continued strong hiring trends, allowing us to meet demand for our services. Our dedicated caregivers are the face of Addus in the home and community, and we have continued to invest in systems and tools that support both hiring and retention, including a more efficient care scheduling platform to coordinate demand with caregiver availability, which also translates to more consistent care for the patients and families we serve.
“Our hospice care segment accounted for 17.8% of our business and delivered 10.0% organic revenue growth over the second quarter of 2024. We are pleased with the improving trends in this business segment with each of average daily census, patient days and revenue per patient day moving higher compared with the same period last year. These results reflect our operational changes in the hospice care segment, and we look forward to additional opportunities to expand this important area of care. Our home health services accounted for 5.2% of total revenue for the second quarter. While this represents our smallest business segment, we believe our home health operations provide an important clinical partner to our personal care and hospice care segments, allowing us to provide access to the appropriate care type and setting when it is needed.”
Acquisitions Support Continued Growth
The company also announced it acquired Helping Hands Home Care Service, Inc. for a purchase price of $21.3 million on Aug. 1, 2025. With three locations in western Pennsylvania, Helping Hands offers a continuum of home-based care, primarily in personal care services and including home health and hospice services. Helping Hands has annualized revenues of approximately $16.7 million and over 500 employees serving approximately 600 patients a day.
Allison added, “Acquisitions remain an integral part of our growth strategy, and we are pleased to welcome Helping Hands to the Addus family. This transaction is aligned with our strategy of offering all three levels of care in the states where we operate. Helping Hands has a strong market presence and excellent reputation in the western Pennsylvania communities, providing quality, compassionate care that allows more patients to stay in the preferred home setting. We anticipate a smooth integration of our combined Pennsylvania operations and look forward to working together with the Helping Hands team to expand our coverage and capabilities.”
Cash and Liquidity
As of June 30, 2025, the company had cash of $91.2 million and bank debt of $173.0 million, with capacity and availability under its revolving credit facility of $635.6 million and $454.6 million, respectively. Net cash provided by operating activities was $22.5 million for the second quarter of 2025.
“We are well positioned with a conservative balance sheet and have continued to use our strong cash flow from operations in 2025 to pay down debt, allowing us greater flexibility in our capital allocation as we evaluate and pursue additional strategic acquisitions. As always, we maintain a disciplined approach to evaluating potential acquisitions, and this strategy has served us well in finding the right opportunities for Addus with a solid record of deriving value from our acquired operations. While our priority is to deploy our capital for acquisitions, we also continue to invest in our business, adding technologies that support our operations and enhance the work of our caregivers.
Looking Ahead
“We are pleased with the trends in our business through the first half of 2025, as we continue to extend our market reach and meet the growing demand for our home-based care services. We are proud of the important work we are doing, with a proven and scalable operating model that supports a vital need for quality, compassionate care for more patients and families in the preferred home setting. We have a dedicated team of caregivers who support our mission and continue to provide outstanding care and support through the services we provide across our markets. We remain focused on delivering value to both the communities we serve and our shareholders, and we look forward to the opportunities ahead for Addus in 2025,” concluded Allison.
