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Goodwill charge, unit sale reshape AdaptHealth Corp. (NASDAQ: AHCO) 2026 view

Filing Impact
(High)
Filing Sentiment
(Neutral)
Form Type
8-K

Rhea-AI Filing Summary

AdaptHealth reported second-quarter 2026 net revenue of $740.3 million, up 12.7% from $657.1 million, with 15.9% organic growth across all segments. A $144.2 million goodwill impairment in the Respiratory Health and Wellness at Home reporting units drove a sharp swing to a net loss attributable to AdaptHealth Corp. of $145.3 million versus net income of $4.2 million a year earlier. Adjusted EBITDA slipped 3.2% to $132.0 million, with margin declining to 17.8% from 20.8%. Year-to-date 2026 cash from operations was $239.0 million versus $257.5 million, and free cash flow turned negative $48.4 million versus $73.3 million in 2025. Registered myAPP users surpassed 512,000, 56% above year-end 2025.

The company agreed to sell its Diabetes Health business for $235.0 million in cash, which will be reported as discontinued operations, and formed an e-commerce joint venture adding home sleep testing. Management completed a workforce restructuring expected to yield $19 million in annualized savings and refinanced, redeeming 6.125% Senior Notes due 2028 using a $325 million delayed-draw term loan. Full-year 2026 guidance on a continuing-operations basis was reset to net revenue of $2.85–$2.89 billion, Adjusted EBITDA of $490–$520 million, and free cash flow of $80–$120 million. Versus prior EBITDA guidance of $680–$730 million, the revision reflects a $100 million impact from classifying Diabetes Health as discontinued operations (including $60 million of overhead that will partly remain), plus $55 million from the West Coast capitated contract, $30 million from a manufacturer price increase, and $15 million from other portfolio actions.

Positive

  • Net revenue grew 12.7% to $740.3 million in Q2 2026, with 15.9% organic growth across all reportable segments.
  • Signed a definitive agreement to sell the Diabetes Health business for $235.0 million in cash, sharpening focus on core Sleep and Respiratory Health operations.
  • Completed a workforce restructuring expected to deliver $19 million in annualized savings while maintaining operational delivery.
  • Redeemed 6.125% Senior Notes due 2028 using proceeds from a $325 million delayed-draw term loan secured in April 2026.

Negative

  • Recorded a $144.2 million goodwill impairment in Respiratory Health and Wellness at Home, driving a swing to net loss.
  • Q2 2026 Adjusted EBITDA declined to $132.0 million from $136.4 million, with margin compressing to 17.8% from 20.8%.
  • Year-to-date 2026 free cash flow turned negative at $(48.4) million, down from $73.3 million in the comparable 2025 period.
  • Cut 2026 Adjusted EBITDA guidance to $490–$520 million, down from prior $680–$730 million, citing impacts from discontinued operations, a capitated contract, and a manufacturer price increase.

Filing Explained

At June 30, 2026, cash was $43,289 thousand while long-term debt was $1,879,809 thousand, with the Diabetes Health sale not yet reported as completed.

The filing reports the Diabetes Health transaction as a definitive agreement and shows related assets held for sale at June 30, 2026, rather than reporting a completed sale.

At June 30, 2026, cash was $43,289 thousand, versus $106,136 thousand at December 31, 2025.

Long-term debt, less the current portion, was $1,879,809 thousand, compared with $1,715,983 thousand at year-end.

The balance sheet separately reports current assets and liabilities as held for sale in discontinued operations, identifying the assets being separated from the continuing business before the transaction's completion.

Item 2.02 Results of Operations and Financial Condition Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01 Financial Statements and Exhibits Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Q2 2026 net revenue $740.3 million Net revenue for the quarter ended June 30, 2026, up 12.7% from $657.1 million in Q2 2025
Q2 2026 organic revenue growth 15.9% Organic revenue growth in Q2 2026 across each of the company’s reportable segments
Q2 2026 goodwill impairment $144.2 million Pre-tax goodwill write-down in Respiratory Health and Wellness at Home reporting units
Q2 2026 Adjusted EBITDA $132.0 million Adjusted EBITDA for Q2 2026 versus $136.4 million in Q2 2025, a 3.2% decrease
Sale price for Diabetes Health business $235.0 million Cash consideration under definitive agreement to sell the Diabetes Health business, subject to adjustments
Revised 2026 Adjusted EBITDA guidance $490–$520 million Full-year 2026 Adjusted EBITDA outlook on a continuing-operations basis after guidance reduction
Year-to-date 2026 free cash flow $(48.4) million Free cash flow year-to-date 2026 versus $73.3 million in the comparable 2025 period
Restructuring savings $19 million Expected annualized savings from workforce restructuring completed in June 2026
capitated agreement financial
"first full quarter under the Company's exclusive capitated agreement with a large national integrated delivery"
A capitated agreement is a healthcare payment arrangement where a provider or health system receives a fixed amount per patient (often per month) to cover a defined set of services, regardless of how many services the patient uses. Like a subscription fee, it shifts financial risk toward the provider while giving predictable revenue streams, so investors watch these deals for their effects on margins, cash flow stability, and incentives to manage care costs.
goodwill impairment financial
"largely resulting from a $144.2 million pre-tax write down of goodwill"
Goodwill impairment occurs when a company’s valued reputation or brand strength, known as goodwill, is found to be worth less than previously recorded on its financial statements. This usually happens when the company's performance declines or market conditions change, signaling that the expected benefits from acquisitions or brand value are no longer as strong. It matters to investors because it can indicate that a company's assets are less valuable than initially thought, potentially affecting its overall financial health.
Adjusted EBITDA financial
"Adjusted EBITDA was $132.0 million compared to $136.4 million, a decrease of 3.2%."
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
free cash flow financial
"free cash flow was negative $48.4 million year-to-date 2026, compared to $73.3 million"
Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.
discontinued operations financial
"The Diabetes Health business will now be presented as discontinued operations."
Discontinued operations are parts of a company that it has decided to sell or shut down, and no longer plans to run in the future. This matters to investors because it helps them understand which parts of the business are ongoing and which are being phased out, providing a clearer picture of the company’s current performance and future prospects. Think of it like a store closing a department—it no longer contributes to sales or profits.
Tax Receivable Agreement financial
"Payments relating to the Tax Receivable Agreement were $(26,846)"
A contract in which a company agrees to pay a specified party (often former owners after a spinoff or IPO) a share of future tax savings the company realizes. Think of it like agreeing to share a future tax refund with someone who helped create the conditions for that refund. For investors it matters because those payments reduce the cash the company can use for dividends, buybacks, or reinvestment, and therefore affect valuation and returns.
Offering Type earnings_snapshot

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FAQ

What were AdaptHealth (AHCO)'s Q2 2026 revenues and growth?
AdaptHealth generated Q2 2026 net revenue of $740.3 million, up 12.7% from $657.1 million a year earlier. The company reported 15.9% organic revenue growth, with growth across each of its Sleep Health, Respiratory Health, and Wellness at Home segments.

Why did AdaptHealth (AHCO) report a net loss in Q2 2026?
AdaptHealth reported a net loss attributable of $145.3 million, versus net income of $4.2 million in Q2 2025. Management cited a $144.2 million pre-tax goodwill impairment in the Respiratory Health and Wellness at Home reporting units as the primary driver of the loss.

How did AdaptHealth (AHCO) change its 2026 financial guidance?
For 2026, AdaptHealth now guides to net revenue of $2.85–$2.89 billion, Adjusted EBITDA of $490–$520 million, and free cash flow of $80–$120 million. Relative to prior EBITDA guidance of $680–$730 million, the reduction reflects impacts from discontinued operations, a capitated contract, pricing, and portfolio actions.

What is AdaptHealth (AHCO) doing with its Diabetes Health business?
AdaptHealth entered a definitive agreement to sell its Diabetes Health business for $235.0 million in cash, subject to purchase price adjustments. The Diabetes Health business now meets criteria to be reported as discontinued operations, and its results and related assets and liabilities are presented separately.

How did AdaptHealth (AHCO)'s cash flow and free cash flow trend in 2026 to date?
Year-to-date 2026, AdaptHealth generated $239.0 million of cash from operations, down from $257.5 million in 2025. Free cash flow was negative $48.4 million versus positive $73.3 million a year earlier, reflecting higher capital spending and other cash uses.

What strategic contracts and partnerships did AdaptHealth (AHCO) highlight in Q2 2026?
AdaptHealth completed its first full quarter under an exclusive capitated agreement with a large national integrated delivery network. It also signed a new capitated agreement with Humana OneHome in South Florida and Texas and entered a joint venture combining its eCommerce asset with a leading sleep retailer.

How is AdaptHealth (AHCO) advancing its digital strategy and patient engagement?
AdaptHealth grew registered myAPP users to more than 512,000, a 56% increase from year-end 2025. The company also launched an AI-powered mask-fitting tool, aiming to advance patient digital engagement and expand self-service capabilities in its home-care offerings.
FALSE000172525500017252552026-08-042026-08-04

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
___________________________________
FORM 8-K
___________________________________
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934

August 4, 2026
Date of Report (date of earliest event reported)

AdaptHealth Corp.
(Exact name of registrant as specified in its charter)

Delaware
001-38399
82-3677704
(State or other jurisdiction of
incorporation or organization)
(Commission File Number)
(I.R.S. Employer Identification Number)
555 East North Lane, Suite 5075, Conshohocken, PA 19428
(Address of principal executive offices and zip code)
(610) 424-4515
(Registrant's telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each class
Trading Symbol
Name of each exchange on which registered
Common Stock, par value $0.0001 per share
AHCO
The Nasdaq Stock Market LLC
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company    ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐



Item 2.02 - Results of Operations and Financial Condition.

The following information is furnished pursuant to Regulation FD.

On August 4, 2026, AdaptHealth Corp. (the "Company") issued a press release (the “Press Release”) announcing financial results for the quarter ended June 30, 2026. A copy of the Press Release is furnished herewith as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference.

The information in this Item 2.02 (including Exhibit 99.1) shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended (the “Securities Act”), or the Exchange Act, regardless of any general incorporation language in such filing, unless expressly incorporated by reference in such filing.

Item 9.01 - Financial Statements and Exhibits
(d)    Exhibits

Exhibit No.
Description
99.1
Press Release dated August 4, 2026 announcing the earnings results for the quarter ended June 30, 2026.
104
Cover Page Interactive Data File (embedded within the Inline XBRL document)


SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.

Dated: August 4, 2026



AdaptHealth Corp.
By:
/s/ Jason Clemens
Name:
Jason Clemens
Title:
Chief Financial Officer


Exhibit 99.1
adapthealthimg001a.jpg
FOR IMMEDIATE RELEASE
ADAPTHEALTH CORP. ANNOUNCES SECOND QUARTER 2026 RESULTS
CONSHOHOCKEN, Pa. – August 4, 2026 - AdaptHealth Corp. (NASDAQ: AHCO) (“AdaptHealth” or the “Company”), a national leader in providing patient-centered, healthcare-at-home solutions including home medical equipment, medical supplies, and related services, announced today financial results for the second quarter ended June 30, 2026.
Second Quarter Business Highlights
•Completed its first full quarter under the Company's exclusive capitated agreement with a large national integrated delivery network, with the contract now fully at run-rate.
•Signed a new capitated agreement with Humana OneHome in South Florida and Texas and successfully completed the transition of approximately 478,000 members.
•Subsequent to quarter-end, entered into a definitive agreement to sell the Company's Diabetes Health business for $235.0 million in cash, subject to customary purchase price adjustments, the most significant step yet in AdaptHealth's multi-year effort to concentrate its portfolio around its core Sleep Health, Respiratory Health, and supporting Wellness-at-Home businesses. The Diabetes Health business will now be presented as discontinued operations.
•Subsequent to quarter end, entered into a joint venture that combines the Company's eCommerce asset with a leading eCommerce sleep retailer and adds a home sleep test capability to help reach the vast undiagnosed OSA population.
•Grew registered myAPP users to more than 512,000, up 56% from year end 2025 and launched an AI-powered mask-fitting tool, advancing patient digital engagement and expanding self-service capabilities.
•Subsequent to quarter-end, redeemed the Company’s 6.125% Senior Notes due 2028 with the proceeds from the $325 million delayed draw term loan secured as part of the April 2026 refinancing.
•Completed a workforce restructuring, generating $19 million in annualized savings while maintaining full operational delivery across all functions.
Second Quarter Results

All comparisons are to the quarter ended June 30, 2025 unless otherwise stated. The amounts presented below reflect the Company’s continuing operations, except for cash flow from operations and free cash flow, which includes the cash flows from continuing operations and discontinued operations, see below for further discussion.
•Net revenue was $740.3 million compared to $657.1 million, an increase of 12.7%.
•Organic revenue growth of 15.9%, with growth across each of the Company’s reportable segments.
•Net loss attributable to AdaptHealth Corp. was $145.3 million compared to net income of $4.2 million, largely resulting from a $144.2 million pre-tax write down of goodwill.
•Adjusted EBITDA was $132.0 million compared to $136.4 million, a decrease of 3.2%.
•Cash flow from operations was $239.0 million year-to-date 2026, a decrease from $257.5 million during the comparable period in 2025, and free cash flow was negative $48.4 million year-to-date 2026, compared to $73.3 million during the comparable period in 2025.

-1 -

Management Commentary

“In the second quarter, we delivered 15.9% organic growth, with record volume gains across the business," said Suzanne Foster, Chief Executive Officer. "Also, in July we signed a definitive agreement to divest our Diabetes Health business, the most significant step yet in our multi-year effort to focus AdaptHealth on our core Sleep Health, Respiratory Health, and supporting Wellness-at-Home businesses. Our West Coast capitated partnership reached full scale in the quarter, and the complexity of that transition has impacted our margins. Together with an unexpected price increase from one of our manufacturers, this has led us to lower our full-year outlook. We are moving quickly to address the cost pressures introduced by our rapid growth, and we believe these actions will make us a stronger, more efficient company."
Financial Outlook

The Company is revising its financial guidance for fiscal year 2026 on a continuing operations basis, which excludes the Diabetes Health business, except for free cash flow, which includes the cash flows from continuing operations and discontinued operations, as follows:
•Net revenue of $2.85 billion to $2.89 billion
•Adjusted EBITDA of $490 million to $520 million
•Free cash flow of $80 million to $120 million
Relative to our prior fiscal year 2026 Adjusted EBITDA guidance of $680 million to $730 million, the revised guidance includes a $100 million impact from reporting the Diabetes Health business as discontinued operations, including $60 million of previously allocated corporate overhead that will remain in continuing operations, of which the Company expects roughly half to be eliminated within 12 months thereafter. The revised guidance also includes a $55 million impact related to our West Coast capitated contract; a $30 million impact from a manufacturer price increase; and a $15 million impact from other portfolio actions.
Conference Call
Management will host a teleconference today, Tuesday, August 4, 2026, at 8:30 am ET to discuss the results and business activities with analysts and investors.

Interested parties may participate in the call by dialing: 
•800-274-8461 (Domestic) or
•203-518-9814 (International)

When prompted, reference Conference ID: AHCO2Q26
To access the Webcast, please go to the Company’s Investor Relations page at https://adapthealth.com/investorrelations/
Following the live call, a replay will be available for six months on the Company's website, www.adapthealth.com, under "Investor Relations."
About AdaptHealth Corp.

AdaptHealth is a national leader in providing patient-centered, healthcare-at-home solutions including home medical equipment, medical supplies, and related services. The Company operates under three reportable segments that align with its product categories: (i) Sleep Health, (ii) Respiratory Health, and (iii) Wellness at Home. The Sleep Health segment provides sleep therapy equipment, supplies and related services (including CPAP and BiLevel services) to individuals for the treatment of obstructive sleep apnea. The Respiratory Health segment provides oxygen and home mechanical ventilation equipment and supplies and related chronic therapy services to individuals for the treatment of respiratory diseases, such as chronic obstructive pulmonary disease and chronic respiratory failure. The Wellness at Home segment provides home medical equipment and services to patients in their homes including those who have been discharged from acute care and other facilities. The segment tailors a service model to patients who are adjusting to new lifestyles or navigating complex disease states by providing essential medical supplies and durable medical equipment.

-2 -

In July 2026, AdaptHealth entered into a definitive agreement to sell the Diabetes Health business for $235.0 million in cash, subject to customary purchase price adjustments. As a result of this transaction, the Diabetes Health business met the criteria to be reported as discontinued operations. Therefore, AdaptHealth has reported the results of the Diabetes Health business, including the results of operations, and related assets and liabilities, as discontinued operations for all periods presented herein.

The Company is proud to partner with an extensive and highly diversified network of referral sources, including acute care hospitals, sleep labs, pulmonologists, skilled nursing facilities, and clinics. AdaptHealth services beneficiaries of Medicare, Medicaid, and commercial insurance payors, reaching approximately 4.8 million patients annually in all 50 states through its network of approximately 670 locations in 48 states.
Forward-Looking Statements
This press release includes certain statements that are not historical facts but are forward-looking statements for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are accompanied by words such as “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “should,” “would,” “plan,” “predict,” “potential,” “seem,” “seek,” “future,” “outlook,” and similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding projections, estimates and forecasts of revenue and other financial and performance metrics and projections of market opportunity and expectations and the Company’s acquisition pipeline. These statements are based on various assumptions and on the current expectations of AdaptHealth management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on, by any investor as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the control of the Company.

These forward-looking statements are subject to a number of risks and uncertainties, including the outcome of judicial and administrative proceedings to which the Company may become a party or governmental investigations to which the Company may become subject that could interrupt or limit the Company’s operations, result in adverse judgments, settlements or fines and create negative publicity; changes in the Company’s customers’ preferences, prospects and the competitive conditions prevailing in the healthcare sector. A further description of such risks and uncertainties can be found in the Company’s filings with the Securities and Exchange Commission. If the risks materialize or assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that the Company presently knows or that the Company currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. In addition, forward-looking statements reflect the Company’s expectations, plans or forecasts of future events and views as of the date of this press release. The Company anticipates that subsequent events and developments will cause the Company’s assessments to change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company’s assessments as of any date subsequent to the date of this press release. Accordingly, undue reliance should not be placed upon the forward-looking statements.
Use of Non-GAAP Financial Information and Financial Guidance

The Company uses EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, free cash flow and organic revenue, which are financial measures that are not in accordance with generally accepted accounting principles in the United States, or U.S. GAAP, to analyze its financial results and believes that they are useful to investors, as a supplement to U.S. GAAP measures. In addition, the Company’s ability to incur additional indebtedness and make investments under its existing credit agreement is governed, in part, by its ability to satisfy tests based on a variation of Adjusted EBITDA.
 
The Company believes Adjusted EBITDA and Adjusted EBITDA Margin are useful to investors in evaluating the Company’s financial performance. The Company uses Adjusted EBITDA as the profitability measure in its incentive compensation plans that have a profitability component and to evaluate acquisition opportunities, where it is most often used for purposes of contingent consideration arrangements.
-3 -

 
EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin should not be considered as measures of financial performance under U.S. GAAP, and the items excluded from EBITDA and Adjusted EBITDA are significant components in understanding and assessing financial performance. Accordingly, these key business metrics have limitations as an analytical tool. They should not be considered as an alternative to net income or any other performance measures derived in accordance with U.S. GAAP or as an alternative to cash flows from operating activities as a measure of the Company’s liquidity.

The Company uses free cash flow, which is a financial measure that is not in accordance with U.S. GAAP, in its operational and financial decision-making and believes free cash flow is useful to investors because similar measures are frequently used by securities analysts, investors, ratings agencies and other interested parties to evaluate the Company's competitors and to measure the ability of companies to service their debt. The Company's presentation of free cash flow should not be construed as a measure of liquidity or discretionary cash available to the Company to fund its cash needs, including investing in the growth of its business and meeting its obligations.

Free cash flow should not be considered as a measure of financial performance under U.S. GAAP. Accordingly, this key business metric has limitations as an analytical tool. It should not be considered as an alternative to any performance measures derived in accordance with U.S. GAAP or as an alternative to cash flows from operating activities as a measure of the Company’s liquidity.

The Company uses organic revenue, which is a financial measure that is not in accordance with generally accepted accounting principles in the United States, or U.S. GAAP, to analyze its financial results and believes that it is useful to investors, as a supplement to U.S. GAAP measures. The change in net revenue from organic revenue is reported as organic revenue as a percentage of prior period total reported net revenue. Management believes organic revenue is meaningful to investors as it provides appropriate visibility into how the Company changes organically—that is, within its existing operations using its own resources.

Organic revenue is defined as all changes in reported net revenues from the comparable period presented, excluding: (1) increases in net revenue in the current period from acquisitions attributable to businesses and/or assets the Company has owned for less than one year based on the month of acquisition. This excludes the acquisition of assets from previous providers to facilitate the transition of patients related to newly awarded at-risk capitated contracts, since the revenue related to these agreements is earned organically; and (2) decreases in net revenue from dispositions existing in the prior period from divested product lines, services, and/or businesses for which there is no revenue recognized in the current period.

This release contains non-GAAP financial guidance. There is no reliable or reasonably estimable comparable GAAP measure for the Company’s non-GAAP financial guidance because the Company is not able to reliably predict the impact of certain items that typically have one or more of the following characteristics, such as being highly variable, difficult to project, unusual in nature, significant to the results of a particular period or not indicative of future operating results. Similar charges or gains were recognized in prior periods and will likely reoccur in future periods. As a result, reconciliation of the non-GAAP financial guidance to the most directly comparable GAAP measure is not available without unreasonable effort. In addition, the Company believes such a reconciliation would imply a degree of precision and certainty that could be confusing to investors. The variability of the specified items may have a significant and unpredictable impact on the Company’s future GAAP results.

In addition, the Company’s financial guidance in this release excludes the impact of any potential additional future strategic acquisitions and any items that have not yet been identified and quantified. The financial guidance is subject to risks and uncertainties applicable to all forward-looking statements as described elsewhere in this press release.

-4 -
ADAPTHEALTH CORP.
Condensed Consolidated Balance Sheets (Unaudited)
(in thousands)June 30, 2026December 31, 2025
Assets
Current assets:
Cash$43,289 $106,136 
Accounts receivable390,389 370,897 
Inventory105,480 114,893 
Prepaid and other current assets90,219 100,619 
Current assets held for sale - discontinued operations168,098 36,354 
Total current assets797,475 728,899 
Equipment and other fixed assets, net656,368 503,193 
Operating lease right-of-use assets127,204 111,968 
Finance lease right-of-use assets44,801 52,300 
Goodwill2,370,431 2,457,627 
Identifiable intangible assets, net31,780 35,774 
Deferred income taxes, net290,720 267,786 
Other assets22,090 19,119 
Noncurrent assets held for sale - discontinued operations— 139,911 
Total Assets$4,340,869 $4,316,577 
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable and accrued expenses$576,300 $553,700 
Current portion of long-term debt8,125 20,313 
Current portion of operating lease obligations36,030 30,728 
Current portion of finance lease obligations19,337 17,702 
Contract liabilities64,743 59,339 
Other liabilities4,117 30,106 
Liabilities held for sale - discontinued operations560 504 
Total current liabilities709,212 712,392 
Long-term debt, less current portion1,879,809 1,715,983 
Operating lease obligations, less current portion96,352 85,470 
Finance lease obligations, less current portion25,435 32,604 
Other long-term liabilities243,805 243,804 
Total Liabilities2,954,613 2,790,253 
Total Stockholders' Equity1,386,256 1,526,324 
Total Liabilities and Stockholders' Equity$4,340,869 $4,316,577 
-5 -
ADAPTHEALTH CORP.
  Consolidated Statements of Operations (Unaudited)
 
Three Months EndedSix Months Ended
June 30,June 30,
(in thousands, except per share data)2026202520262025
Net revenue$740,307 $657,100 $1,420,180 $1,301,647 
Costs and expenses:
Cost of net revenue636,101 521,312 1,220,342 1,060,281 
General and administrative expenses96,093 95,263 189,977 180,158 
Depreciation and amortization, excluding patient equipment depreciation7,948 7,056 15,117 14,328 
Goodwill impairment144,236 — 144,236 — 
Total costs and expenses884,378 623,631 1,569,672 1,254,767 
Gain on sale of businesses(6,269)(32,225)(6,269)(32,225)
Operating (loss) income(137,802)65,694 (143,223)79,105 
Interest expense, net26,209 27,533 51,803 55,932 
Loss on extinguishment of debt1,322 — 1,322 — 
(Loss) income from continuing operations before income taxes(165,333)38,161 (196,348)23,173 
Income tax (benefit) expense(21,227)32,780 (28,392)30,294 
Net (loss) income from continuing operations(144,106)5,381 (167,956)(7,121)
Net income from discontinued operations, net of tax11,387 10,447 20,364 16,870 
Net (loss) income(132,719)15,828 (147,592)9,749 
Income attributable to noncontrolling interest1,210 1,154 2,377 2,282 
Net (loss) income attributable to AdaptHealth Corp.$(133,929)$14,674 $(149,969)$7,467 
​
Weighted average common shares outstanding - basic136,120134,993135,950134,897
Weighted average common shares outstanding - diluted136,120137,071135,950134,897
​
Basic net (loss) income per share:
Continuing operations$(1.07)$0.03 $(1.25)$(0.06)
Discontinued operations0.08 0.07 0.15 0.11 
Basic net (loss) income per share$(0.99)$0.10 $(1.10)$0.05 
Diluted net (loss) income per share:
Continuing operations$(1.07)$0.03 $(1.25)$(0.06)
Discontinued operations0.08 0.07 0.15 0.11 
Diluted net (loss) income per share$(0.99)$0.10 $(1.10)$0.05 
 
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ADAPTHEALTH CORP.
Consolidated Statements of Cash Flows (Unaudited)
Six Months Ended
June 30,
(in thousands)20262025
Cash flows from operating activities:
Net (loss) income$(147,592)$9,749 
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation and amortization, including patient equipment depreciation226,766 186,705 
Goodwill impairment144,236 — 
Equity-based compensation12,089 11,427 
Reduction in the carrying amount of operating lease right-of-use assets21,299 15,300 
Reduction in the carrying amount of finance lease right-of-use assets10,081 7,096 
Deferred income tax (benefit) expense(21,147)12,643 
Loss on extinguishment of debt1,322 — 
Amortization of deferred financing costs2,326 3,105 
Write-off of fixed assets1,178 — 
Gain on sale of businesses(6,269)(32,225)
Other(787)— 
Changes in operating assets and liabilities, net of effects from acquisitions:
Accounts receivable(19,491)8,868 
Inventory12,066 (9,713)
Prepaid and other assets10,045 (4,578)
Operating lease obligations(20,351)(15,812)
Operating liabilities13,253 64,956 
Net cash provided by operating activities239,024 257,521 
Cash flows from investing activities:
Purchases of equipment and other fixed assets(287,456)(184,250)
Payments for business acquisitions, net of cash acquired(127,422)(18,561)
Proceeds from the sale of businesses, net of cash disposed6,269 115,674 
Proceeds from the sale of assets1,439 — 
Receipt of contingent consideration from the sale of assets— 1,156 
Net cash used in investing activities(407,170)(85,981)
Cash flows from financing activities:
Proceeds from borrowings on long-term debt and lines of credit575,000 — 
Repayments on long-term debt and lines of credit(425,000)(175,000)
Repayments of finance lease obligations(8,118)(8,346)
Proceeds received in connection with employee stock purchase plan951 564 
Payments relating to the Tax Receivable Agreement(26,846)(25,012)
Payments of debt financing costs(5,038)— 
Distributions to noncontrolling interests(2,349)(2,573)
Payments for tax withholdings from vesting of restricted stock units and stock option exercises(3,090)(2,079)
Payments of deferred purchase price from acquisitions(211)(211)
Net cash provided by (used in) financing activities105,299 (212,657)
Net decrease in cash(62,847)(41,117)
Cash at beginning of period106,136 109,747 
Cash at end of period$43,289 $68,630 
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ADAPTHEALTH CORP.
Non-GAAP Financial Measures
 
EBITDA and Adjusted EBITDA

This press release presents AdaptHealth’s EBITDA and Adjusted EBITDA for the three and six months ended June 30, 2026 and 2025.
 
AdaptHealth defines EBITDA as net income (loss) from continuing operations, plus interest expense, net, income tax expense (benefit), and depreciation and amortization, including patient depreciation.
 
AdaptHealth defines Adjusted EBITDA as EBITDA (as defined above), plus equity-based compensation expense, litigation settlement expense, gain on sale of businesses, restructuring expenses, loss on extinguishment of debt, goodwill impairment, and certain other non-recurring items of expense or income.
 
The following unaudited table presents the reconciliation of net income (loss) from continuing operations to EBITDA and Adjusted EBITDA, and the reconciliation of net income (loss) from continuing operations as a percentage of net revenue to Adjusted EBITDA Margin, for the three months ended June 30, 2026 and 2025:
 
Three Months Ended June 30,
20262025
(in thousands, except percentages)DollarsRevenue PercentageDollarsRevenue Percentage
(Unaudited)
Net (loss) income from continuing operations$(144,106)(19.5)%$5,3810.8%
Interest expense, net26,2093.5%27,5334.2%
Income tax (benefit) expense(21,227)(2.9)%32,7805.0%
Depreciation and amortization, including patient equipment depreciation114,76615.6%86,92513.2%
EBITDA(24,358)(3.3)%152,61923.2%
Equity-based compensation expense (a)5,3980.7%6,0100.9%
Gain on sale of businesses (b)(6,269)(0.8)%(32,225)(4.9)%
Restructuring expenses (c)6,0700.7%——%
Loss on extinguishment of debt (d)1,3220.2%——%
Goodwill impairment (e)144,23619.5%——%
Other non-recurring expenses, net (f)5,5940.8%10,0151.6%
Adjusted EBITDA$131,99317.8%$136,41920.8%
Adjusted EBITDA Margin17.8%20.8%
 
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ADAPTHEALTH CORP.
(a)Represents equity-based compensation expense for awards granted to employees and non-employee directors.
(b)Represents pre-tax gains associated with the dispositions of two businesses within the Company's Wellness at Home segment.
(c)Represents expenses related to a cost savings plan that was implemented in June 2026.
(d)Represents third-party fees and the write-off of unamortized deferred financing costs in connection with the refinancing of the Company's credit agreement.
(e)
Represents non-cash goodwill impairment charges as a result of the fair values of the Company's Respiratory Health and Wellness at Home reporting units being less than their respective carrying values.
(f)
The 2026 period consists of $2.7 million of consulting expenses associated with asset dispositions, $1.4 million of transaction costs associated with acquisitions, and $1.5 million of other non-recurring expenses. The 2025 period consists of $6.9 million of consulting expenses associated with asset dispositions (of which $5.1 million relates to contingent success fees from the sales of businesses), $1.0 million of transaction costs associated with acquisitions, and $2.1 million of other non-recurring expenses.
The following unaudited table presents the reconciliation of net income (loss) from continuing operations to EBITDA and Adjusted EBITDA, and the reconciliation of net income (loss) from continuing operations as a percentage of net revenue to Adjusted EBITDA Margin, for the six months ended June 30, 2026 and 2025:
  
Six Months Ended June 30,
20262025
(in thousands, except percentages)DollarsRevenue PercentageDollarsRevenue Percentage
(Unaudited)
Net loss from continuing operations$(167,956)(11.8)%$(7,121)(0.5)%
Interest expense, net51,8033.6%55,9324.3%
Income tax (benefit) expense(28,392)(2.0)%30,2942.3%
Depreciation and amortization, including patient equipment depreciation215,68315.2%175,86613.5%
EBITDA71,1385.0%254,97119.6%
Equity-based compensation expense (a)11,7640.8%11,2020.9%
Litigation settlement expense (b)500—%——%
Gain on sale of businesses (c)(6,269)(0.4)%(32,225)(2.5)%
Restructuring expenses (d)6,0700.4%——%
Loss on extinguishment of debt (e)1,3220.1%——%
Goodwill impairment (f)144,23610.2%——%
Other non-recurring expenses, net (g)7,7970.6%15,1411.1%
Adjusted EBITDA$236,55816.7%$249,08919.1%
Adjusted EBITDA Margin16.7%19.1%

-9 -
ADAPTHEALTH CORP.
(a)Represents equity-based compensation expense for awards granted to employees and non-employee directors.
(b)Represents an estimated expense to settle a shareholder derivative complaint.
(c)Represents pre-tax gains associated with the dispositions of two businesses within the Company's Wellness at Home segment.
(d)Represents expenses related to a cost savings plan that was implemented in June 2026.
(e)Represents third-party fees and the write-off of unamortized deferred financing costs in connection with the refinancing of the Company's credit agreement.
(f)Represents non-cash goodwill impairment charges as a result of the fair values of the Company's Respiratory Health and Wellness at Home reporting units being less than their respective carrying values.
(g)
The 2026 period consists of $4.3 million of consulting expenses associated with asset dispositions, $2.2 million of transaction costs associated with acquisitions, and $1.3 million of other non-recurring expenses. The 2025 period consists of $9.2 million of consulting expenses associated with asset dispositions (of which $5.1 million relates to contingent success fees from the sales of businesses), $2.0 million of consulting expenses associated with systems implementation activities, $1.1 million of transaction costs associated with acquisitions, and $2.8 million of other non-recurring expenses.
-10 -
ADAPTHEALTH CORP.
Free Cash Flow

This press release presents AdaptHealth’s free cash flow for the three and six months ended June 30, 2026 and 2025.

AdaptHealth defines free cash flow as net cash provided by operating activities less cash paid for purchases of equipment and other fixed assets.
 
The following unaudited table reconciles net cash provided by operating activities to free cash flow for the three and six months ended June 30, 2026 and 2025:


Three Months EndedSix Months Ended
(in thousands)June 30,June 30,
2026202520262025
Net cash provided by operating activities$145,302 $161,994 $239,024 $257,521 
Purchases of equipment and other fixed assets(166,244)(88,665)(287,456)(184,250)
Free cash flow$(20,942)$73,329 $(48,432)$73,271 



Contacts
AdaptHealth Corp.
Jason Clemens, CFA
Chief Financial Officer

Luke Montgomery, CFA
Senior Vice President, Investor Relations
IR@adapthealth.com

-11 -

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