Earnings climb at National HealthCare (NYSE: NHC) with stronger Q1 2026 profit
Rhea-AI Filing Summary
National HealthCare Corporation reported higher first quarter 2026 results. Net operating revenues for the quarter ended March 31, 2026 were $381.8 million, up from $373.7 million a year earlier, an increase of 2.2%.
GAAP net income attributable to NHC rose to $35.9 million from $32.2 million, while adjusted net income increased to $30.1 million from $24.8 million, a 21.1% gain. GAAP diluted EPS were $2.27 versus $2.07, and adjusted diluted EPS were $1.91 versus $1.59.
Cash, cash equivalents and marketable securities totaled $258.4 million at March 31, 2026, and current and long‑term debt were reduced to $0 from $40.0 million at December 31, 2025. The quarterly dividend per share increased to $0.64 from $0.61, supported by steady skilled nursing volumes and higher average per‑diem rates.
Positive
- Strong adjusted earnings growth: Adjusted net income for Q1 2026 rose to $30.1 million from $24.8 million, a 21.1% increase, with adjusted diluted EPS up to $1.91 from $1.59.
- Debt eliminated with solid liquidity: Current and long‑term debt fell from $40.0 million at December 31, 2025 to zero at March 31, 2026, while cash, cash equivalents and marketable securities were $258.4 million.
Negative
- None.
Insights
Adjusted earnings grew strongly while NHC eliminated debt.
National HealthCare Corporation delivered modest Q1 2026 revenue growth but much stronger profit expansion. Net operating revenues rose 2.2% to $381.8M, while GAAP net income attributable to NHC increased to $35.9M. Adjusted net income climbed 21.1% to $30.1M, reflecting core operations excluding unrealized equity gains.
GAAP diluted EPS improved to $2.27 and adjusted diluted EPS to $1.91, both higher than the prior year. At the same time, NHC moved from $40.0M of current and long‑term debt at December 31, 2025 to no debt at March 31, 2026, while holding $258.4M in cash, cash equivalents and marketable securities.
Operational metrics show higher skilled nursing pricing, with the average skilled nursing per diem rising to $371.69 from $360.14, and total skilled nursing patient days edging up to 724,456. Future company filings may clarify how sustained per‑diem increases and volume trends support margins through the rest of 2026.
8-K Event Classification
Key Figures
Key Terms
non-GAAP financial measures financial
unrealized gains on marketable equity securities financial
Skilled Nursing Per Diems financial
Net operating revenues financial
income tax provision financial
Earnings Snapshot
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Exhibit No.
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Description of Exhibit
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99.1
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Copy of press release issued on May 8, 2026 by National HealthCare Corporation announcing March 31, 2026 earnings.
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104
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Cover Page Interactive Data File (embedded within the Inline XBRL document)
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NATIONAL HEALTHCARE CORPORATION
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By:
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/s/
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Brian F. Kidd
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Name:
Title:
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Brian F. Kidd
Senior VP/Chief Financial Officer
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Exhibit 99.1
For release: May 8, 2026
Contact: Brian F. Kidd, SVP/CFO
Phone: (615) 890-2020
NHC Reports First Quarter 2026 Earnings
MURFREESBORO, Tenn. -- National HealthCare Corporation (NYSE American: NHC), the nation's oldest publicly traded senior health care company, announced today net operating revenues for the quarter ended March 31, 2026 totaled $381,821,000 compared to $373,697,000 for the quarter ended March 31, 2025, an increase of 2.2%.
For the quarter ended March 31, 2026, the reported GAAP net income attributable to NHC was $35,857,000 compared to $32,205,000 for the same period in 2025. Excluding the unrealized gains in our marketable equity securities portfolio and other non-GAAP adjustments, adjusted net income for the quarter ended March 31, 2026 was $30,089,000 compared to $24,838,000 for the same period in 2025, an increase of 21.1% (*). The GAAP diluted earnings per share were $2.27 and $2.07 for the quarters ending March 31, 2026 and 2025, respectively. Adjusted diluted earnings per share were $1.91 and $1.59 for the quarters ending March 31, 2026 and 2025, respectively (*).
(*) - See the tables below that provide a reconciliation of GAAP to non-GAAP items.
About NHC
As of May 1, 2026, NHC affiliates operate for themselves and third parties 80 skilled nursing facilities with 10,323 beds. NHC affiliates also operate 26 assisted living communities with 1,413 units, nine independent living communities with 777 units, three behavioral health hospitals, 34 homecare agencies, and 33 hospice agencies. NHC’s other services include Alzheimer’s and memory care units, pharmacy services, a rehabilitation services company, and providing management and accounting services to third party post-acute operators. Other information about the company can be found on our web site at www.nhccare.com.
Non-GAAP Financial Presentation
The Company is providing certain non-GAAP financial measures as the Company believes that these figures are helpful in allowing investors to more accurately assess the ongoing nature of the Company’s operations and measure the Company’s performance more consistently across periods. Therefore, the Company believes this information is meaningful in addition to the information contained in the GAAP presentation of financial information. The presentation of this additional non-GAAP financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP.
Forward-Looking Statements
Statements in this press release that are not historical facts are forward-looking statements. NHC cautions investors that any forward-looking statements made involve risks and uncertainties and are not guarantees of future performance. The risks and uncertainties are detailed from time to time in reports filed by NHC with the S.E.C., including Forms 8-K, 10-Q, and 10-K. All forward-looking statements represent NHC’s best judgment as of the date of this release.
Consolidated Statements of Operations
(in thousands, except share and per share amounts)
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Three Months Ended |
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March 31 |
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2026 |
2025 |
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(unaudited) |
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Revenues: |
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Net patient revenues |
$ | 369,805 | $ | 361,607 | ||||
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Other revenues |
12,016 | 12,090 | ||||||
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Net operating revenues |
381,821 | 373,697 | ||||||
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Costs and expenses: |
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Salaries, wages and benefits |
235,074 | 228,130 | ||||||
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Other operating |
91,237 | 92,457 | ||||||
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Facility rent |
11,643 | 11,365 | ||||||
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Depreciation and amortization |
11,614 | 10,978 | ||||||
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Total costs and expenses |
349,568 | 342,930 | ||||||
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Income from operations |
32,253 | 30,767 | ||||||
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Non-operating income |
3,757 | 4,079 | ||||||
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Interest expense |
(269 | ) | (2,106 | ) | ||||
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Unrealized gains on marketable equity securities |
9,074 | 10,982 | ||||||
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Income before income taxes |
44,815 | 43,722 | ||||||
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Income tax provision |
(8,712 | ) | (11,432 | ) | ||||
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Net income |
36,103 | 32,290 | ||||||
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Net income attributable to noncontrolling interest |
(246 | ) | (85 | ) | ||||
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Net income attributable to National HealthCare Corporation |
$ | 35,857 | $ | 32,205 | ||||
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Net income per common share |
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Basic |
$ | 2.31 | $ | 2.09 | ||||
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Diluted |
$ | 2.27 | $ | 2.07 | ||||
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Weighted average common shares outstanding |
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Basic |
15,541,634 | 15,438,306 | ||||||
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Diluted |
15,770,507 | 15,575,752 | ||||||
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Dividends declared per common share |
$ | 0.64 | $ | 0.61 | ||||
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Balance Sheet Data |
March 31 |
December 31 |
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(in thousands) |
2026 |
2025 |
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Cash, cash equivalents and marketable securities |
$ | 258,352 | $ | 255,801 | ||||
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Restricted cash, cash equivalents and marketable securities |
160,258 | 159,848 | ||||||
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Current assets |
465,576 | 461,820 | ||||||
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Property and equipment, net |
671,823 | 673,797 | ||||||
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Total assets |
1,524,094 | 1,526,419 | ||||||
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Current liabilities |
250,825 | 246,132 | ||||||
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Current and long-term debt |
- | 40,000 | ||||||
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NHC stockholders' equity |
1,090,949 | 1,068,772 | ||||||
Selected Operating Statistics
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Three Months Ended |
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March 31 |
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2026 |
2025 |
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(unaudited) |
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Skilled Nursing Per Diems: |
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Medicare |
$ | 630.44 | $ | 612.13 | ||||
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Managed Care |
507.06 | 492.40 | ||||||
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Medicaid |
292.21 | 281.67 | ||||||
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Private Pay and Other |
349.92 | 337.04 | ||||||
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Average Skilled Nursing Per Diem |
$ | 371.69 | $ | 360.14 | ||||
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Skilled Nursing Patient Days: |
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Medicare |
84,040 | 86,254 | ||||||
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Managed Care |
83,376 | 83,646 | ||||||
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Medicaid |
362,293 | 363,642 | ||||||
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Private Pay and Other |
194,747 | 184,594 | ||||||
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Total Skilled Nursing Patient Days |
724,456 | 718,136 | ||||||
The tables below provide reconciliations of GAAP to non-GAAP items (in thousands, except per share amounts):
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Three Months Ended |
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March 31 |
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2026 |
2025 |
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(unaudited) |
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Net income attributable to National Healthcare Corporation |
$ | 35,857 | $ | 32,205 | ||||
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Non-GAAP adjustments |
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Unrealized gains on marketable equity securities |
(9,074 | ) | (10,982 | ) | ||||
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Stock-based compensation expense |
1,280 | 1,027 | ||||||
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Income tax provision on non-GAAP adjustments |
2,026 | 2,588 | ||||||
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Non-GAAP Net income |
$ | 30,089 | $ | 24,838 | ||||
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GAAP diluted earnings per share |
$ | 2.27 | $ | 2.07 | ||||
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Non-GAAP adjustments |
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Unrealized gains on marketable equity securities |
(0.57 | ) | (0.71 | ) | ||||
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Stock-based compensation expense |
0.08 | 0.06 | ||||||
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Income tax provision on non-GAAP adjustments |
0.13 | 0.17 | ||||||
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Non-GAAP diluted earnings per share |
$ | 1.91 | $ | 1.59 | ||||