Chemed Inside: What You Need to Know About the New CON Gold Rush!

Chemed Corporation’s third quarter results for 2025 indicate a mixed performance for its two main operating units, VITAS Healthcare and Roto-Rooter. The quarter’s outcomes largely aligned with management’s expectations, highlighting both strengths and challenges within the company. At VITAS, the hospice care segment, net revenue reached $407.7 million, a year-over-year increase of 4.2%. This growth was driven by a 2.5% increase in days of care and a 4.1% rise in Medicare reimbursement rates. Yet, revenue growth was somewhat offset by changes in acuity mix and Medicare Cap adjustments, which together reduced it by approximately 245 basis points. The Medicare Cap billing limitation accrued in this quarter stood at $6.1 million, a slight improvement on previous estimates. Adjusted EBITDA, excluding Medicare Cap, saw a decline of 3.8% compared to the last year, reflecting pressure from the increased proportion of hospital-based short-stay admissions.