Overview

* Chemed ( CHE ) Q3 revenue increased 3.1% but missed analyst expectations

* Adjusted EPS for Q3 decreased 6.6%, missing consensus estimates

* Company repurchased 407,500 shares for $180.8 mln during the quarter

Outlook

* Chemed ( CHE ) reiterates 2025 EPS guidance of $22.00 to $22.30, excluding certain items

* Guidance assumes no Medicare Cap for Florida program in fiscal year 2026

Result Drivers

* VITAS REVENUE GROWTH - Driven by a 2.5% increase in days-of-care and a 4.1% Medicare reimbursement rate increase

* ACUITY MIX IMPACT - Revenue growth negatively impacted by 121-basis points due to acuity mix shift

* ROTO-ROOTER REVENUE - Growth driven by residential plumbing and excavation services, offset by decline in drain cleaning

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Miss $624.90 $626.03

Revenue mln mln (4

Analysts

)

Q3 Miss $5.27 $5.37 (4

Adjusted Analysts

EPS )

Q3 EPS $4.46

Q3 Net $64.23

Income mln

Analyst Coverage

* The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "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 $584.50, about 25.3% above its October 27 closing price of $436.78

* The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 19 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.)