Overview

* Surgery Partners ( SGRY ) Q2 revenue rises 8.4%, beating analysts' expectations, per LSEG data

* Adjusted EPS for Q2 beats consensus

* Adjusted EBITDA for Q2 grows 9% and exceeds analysts' estimates

Outlook

* Surgery Partners ( SGRY ) reaffirms 2025 revenue guidance of $3.30 bln to $3.45 bln

* Company expects 2025 Adjusted EBITDA between $555 mln and $565 mln

* Company optimistic on surgical trends and regulatory landscape

* Surgery Partners ( SGRY ) focuses on portfolio optimization for leverage reduction

Result Drivers

* OPERATIONAL STRATEGY - Co attributes revenue growth to strong operational strategy and momentum in ambulatory surgery industry, per CEO Eric Evans

* SAME-FACILITY PERFORMANCE - Increase in same-facility revenues and cases contributed to overall revenue growth

* ACQUISITION BENEFITS - Integration benefits from recent acquisitions supported margin expansion, per CFO Dave Doherty

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $826.20 $817 mln

Revenue mln (12

Analysts

)

Q2 Beat $0.17 $0.13

Adjusted (12

EPS Analysts

)

Q2 Beat $129 mln $128.30

Adjusted mln (11

EBITDA Analysts

)

Q2 15.6%

Adjusted

EBITDA

Margin

Q2 $111.70

Operatin mln

g Income

Q2 $43.80

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 3 "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 Surgery Partners Inc ( SGRY ) is $33.00, about 32.7% above its August 4 closing price of $22.22

* The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 20 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.)