Overview

* Chemed Q2 2025 revenue rises 3.8% but misses analyst expectations, per LSEG data

* Adjusted EPS for Q2 2025 falls 21.9% and misses estimates, per LSEG data

* Co announces departure of unit VITAS' CEO Nicholas M. Westfall, effective Dec 1, 2025

Outlook

* Chemed ( CHE ) revises 2025 EPS guidance to $22.00-$22.30, down from $24.95-$25.45

* VITAS expects 2025 revenue to grow 7.5%-8.5% before Medicare Cap

* Roto-Rooter forecasts 2025 revenue increase of 1.25%-1.75%

* Chemed ( CHE ) estimates $28.2 mln in 2025 Medicare Cap billing limitations

Result Drivers

* VITAS REVENUE GROWTH - Driven by 6.1% increase in days-of-care and 4.2% rise in Medicare reimbursement rates

* MEDICARE CAP IMPACT - Revenue growth negatively affected by Medicare Cap billing limitations, totaling $16.4 mln in Q2

* ROTO-ROOTER SLUGGISH GROWTH - Revenue rose only 0.6% with declines in plumbing and drain cleaning services

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Miss $618.80 $628.60

Revenue mln mln (4

Analysts

)

Q2 Miss $4.27 $4.98 (3

Adjusted Analysts

EPS )

Q2 EPS $3.57

Q2 Net $52.49

Income mln

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the healthcare facilities & services peer group is "buy"

* Wall Street's median 12-month price target for Chemed Corp ( CHE ) is $645.00, about 27.7% above its July 28 closing price of $466.08

* The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 24 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)