Description

Chemed Corporation’s Record 24,000-Patient Census Sustains VITAS’ Growth Surge!

Chemed Corporation reported second quarter 2026 results with overall positive performance but also highlighted some operational challenges. The company’s two main segments—VITAS Healthcare and Roto-Rooter—demonstrated differentiated trends in revenue growth and profitability. VITAS Healthcare exceeded management’s expectations in the quarter. Total patient admissions increased 9% year-over-year to 19,125, supported by accelerated admissions from nonhospital preadmission locations and maintaining hospital admissions near 43% of total admissions, a range the company views as sustainable for Florida’s patient mix. The average daily census rose 6.1%, reaching a record above 24,000 patients, with length of stay declining year-over-year. VITAS achieved an 11.9% revenue increase, driven by days of care growth and Medicare reimbursement rate increases, partially offset by shifts in patient acuity. Medicare Cap billing limitations, a significant issue in 2025, were minimal in the quarter, reflecting effective management of the prior challenges. Adjusted EBITDA for VITAS rose 20.6%, with margin expansion to 18.