AdaptHealth(NASDAQ) AHCO

AdaptHealth Corp. helps people get medical equipment at home. It provides tools for sleep and breathing problems. The company serves millions of patients in the United States.

Tools for Health at Home

• Sleep Health: Therapy equipment and supplies for sleep apnea, such as continuous positive airway pressure (CPAP) machines; 52.2% of revenue in the three months ended June 30, 2026.
• Respiratory Health: Oxygen and home mechanical ventilation equipment for patients with chronic lung diseases; 26.3% of revenue in the three months ended June 30, 2026.
• Wellness at Home: Home medical equipment (HME) and supplies for patients transitioning from hospital care; 21.5% of revenue in the three months ended June 30, 2026.

Strategic Moves and Sales

• Agreed to sell the Diabetes Health business for $235.0 million in cash in July 2026.
• Refinanced debt in April 2026 by entering a new $1.1 billion credit agreement.
• Launched a restructuring plan in June 2026 to optimize resources and reduce headcount.
• Expanded at-risk insurance contracts, which provide fixed monthly fees, starting in the third quarter of 2025.

A National Care Network

AdaptHealth services approximately 4.8 million patients annually through a network of 670 locations in 48 states. The company uses a digital platform for orders to drive efficiency and manage rising inflationary costs.

Key Financial Results

• Net revenue was $740.3 million in the three months ended June 30, 2026, up 12.7% year over year.
• Net loss attributable to the company was $145.3 million in the three months ended June 30, 2026.
• Non-cash goodwill impairment charges totaled $144.2 million during the second quarter of 2026.
• Working capital for continuing operations was negative $79.3 million as of June 30, 2026.
• Free cash flow was negative $48.4 million for the six months ended June 30, 2026.

The Evolution of Care

AdaptHealth has focused on expanding at-risk insurance contracts while divesting noncore business units like diabetes care. The company is prioritizing operational efficiency to manage rising equipment and labor costs.