Overview

* Ensign Q3 adjusted revenue grows 19.8%, beating analyst expectations

* Adjusted EPS for Q3 rises 18% yr/yr, exceeding analyst estimates

* Company raises 2025 earnings guidance to $6.48-$6.54 per share

Outlook

* Ensign raises 2025 earnings guidance to $6.48-$6.54 per share

* Company increases 2025 revenue guidance to $5.05 bln-$5.07 bln

* Ensign cites strong demographic trends as a tailwind for growth

Result Drivers

* OCCUPANCY GROWTH - Ensign reports record occupancy rates in same and transitioning facilities, attributed to strong clinical outcomes and market share gains

* REVENUE INCREASE - Skilled services revenue increased by 19.9%, driven by higher occupancy and skilled mix in same and transitioning facilities

* ACQUISITION STRATEGY - Ensign's acquisition of 22 new operations, including 10 real estate assets, contributed to revenue growth

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 $6.62

Rental mln

Revenue

Q3 Beat $1.30 $1.27

Adjusted bln bln (5

Revenue Analysts

)

Q3 Beat $1.64 $1.57 (5

Adjusted Analysts

EPS )

Q3 EPS $1.42

Q3 Net $83.91

Income mln

Q3 $96.21

Operatin mln

g Income

Q3 $1.28

Service bln

Revenue

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "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 Ensign Group Inc ( ENSG ) is $185.00, about 2.6% above its October 31 closing price of $180.10

* The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 22 three months ago

Press Release:

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(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.)