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Encompass Health Corp
F:HSOA

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Encompass Health Corp
F:HSOA
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Price: 90.5 EUR 1.12% Market Closed
Market Cap: €9.1B

Encompass Health Corp
Investor Relations

Encompass Health is a post-acute care company that helps patients recover after a major illness, injury, or surgery. Its main business is inpatient rehabilitation hospitals, where patients get intensive therapy and nursing care before going home. It also runs home health and hospice services in some markets, giving care in the patient’s home or at the end of life. The company does not usually sell products to consumers. Instead, it gets paid by Medicare, private insurers, and other health plans for each patient episode or day of care, depending on the service. Its main customers are patients, doctors, hospitals, and health systems that need a place to send people who are too sick to go straight home after an acute hospital stay. What makes Encompass Health different is its role in the care chain. It sits between the hospital and the patient’s return to everyday life, focusing on rehabilitation and recovery rather than emergency or long-term acute treatment. That makes it a specialized provider with a business built around managing care settings, therapy staff, and insurance reimbursement rules.

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Last Earnings Call
Fiscal Period
Q1 2026
Call Date
May 1, 2026
AI Summary
Q1 2026

Strong quarter: Encompass Health said first-quarter revenue rose 9% to $1.59 billion and adjusted EBITDA rose 11.2% to $348.8 million, which led management to raise full-year 2026 guidance.

Demand remains solid: Management said demand for inpatient rehabilitation stays strong, but same-store volume was held back by hospital closures, a lighter flu season, and Medicare Advantage trends.

Capacity is tight: Occupancy was 78.7%, with about 35% of hospitals above 90% occupancy, so the company is accelerating bed additions, de novos, and a new small-format hospital model.

Labor improved: RN turnover fell to 17.8% and therapist turnover to 6.4%, helping reduce premium labor spend and supporting margins.

Regulatory watch: The company said TEAM and RCD changes could create near-term noise, but the CMS 2027 proposed rule looked broadly benign so far.

Capital returns continue: Encompass repurchased about 708,000 shares for $71.6 million in Q1 and said buybacks remain an important use of free cash flow.

Key Financials
Revenue
$1.59 billion
Adjusted EBITDA
$348.8 million
Net revenue per discharge
up 3.7%
Discharge growth
up 4.3%
Same-store discharge growth
up 1.6%
Discharge community rate
84.5%
Discharge acute rate
8.6%
Discharge to SNF rate
6.2%
RN turnover
17.8%
Therapist turnover
6.4%
Premium labor spend
$25.9 million
Adjusted free cash flow
$194 million
Net leverage
1.9x
Occupancy
78.7%
Bad debt expense
2.2%
Pre-opening and ramp-up costs
$4 million
Share repurchases
708,000 shares for $71.6 million
Dividend
$0.19 per share
Earnings Call Recording
Other Earnings Calls

Management

Mr. Mark J. Tarr
CEO, President & Director
No Bio Available
Mr. Douglas E. Coltharp
Executive VP & CFO
No Bio Available
Mr. Andrew L. Price
Senior VP & Chief Accounting Officer
No Bio Available
Dr. Elissa Joy Charbonneau D.O., M.S.
Chief Medical Officer
No Bio Available
Mr. Rusty Yeager
Chief Information Officer & Senior VP
No Bio Available
Mr. Mark Miller
Senior Vice President of Investor Relations & Strategic Planning
No Bio Available
Ms. Dawn Rock
Chief Compliance Officer
No Bio Available
Mr. Anthony A. Hernandez
Chief Human Resources Officer
No Bio Available
Mr. Frank Brown
President of Southwest Region
No Bio Available
Mr. Jerry Gray
President of West Region
No Bio Available

Contacts

Address
ALABAMA
Birmingham
9001 Liberty Pkwy
Contacts
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