AdaptHealth(NASDAQ) AHCO

AdaptHealth helps people manage health from home. It delivers medical equipment to millions of patients. These tools help people with chronic illnesses.

Delivering Health to Your Door

• Sleep Health: Therapy equipment and supplies for sleep apnea, including machines and masks; accounts for 42% of net revenue in 2025.
• Diabetes Health: Medical devices for managing blood sugar levels, such as continuous glucose monitors and insulin pumps.
• Respiratory Health: Oxygen and home ventilation equipment for patients with lung diseases and chronic respiratory failure.
• Wellness at Home: Essential medical supplies and durable equipment like hospital beds and wheelchairs for patients leaving the hospital.

Growth Through Integration

• Established a centralized technology platform to help AdaptHealth quickly integrate newly acquired companies and realize cost savings.
• Signed the One Big Beautiful Bill Act on July 4, 2025, which will introduce new Medicaid eligibility and enrollment requirements starting in 2027.
• Utilized at-risk capitation arrangements, receiving a per member per month fee to manage healthcare services for specific insurance members.
• Planned the resumption of the Medicare competitive bidding process in 2026, which may change reimbursement rates for several product categories.

What Sets AdaptHealth Apart?

The company maintains a massive distribution network of approximately 640 locations across 48 states to serve 4.3 million patients annually. Its proprietary OTL mobile technology automates delivery notifications and tracks patient satisfaction to improve operational efficiency.

A Look at the Numbers

• Net revenue was $846.3 million in Q4 2025, down 1.2% from the previous year.
• Net income turned negative at -$102.8 million in Q4 2025, a performance that worsened by 304.5% year-over-year.
• Operating cash flow reached $183.2 million in Q4 2025, up 21.8% from Q4 2024.
• Free cash flow hit $79.3 million in Q4 2025, an 8.5% increase over the prior year.

Bottom Line

AdaptHealth has evolved into a national leader in home healthcare by consolidating local providers and applying centralized technology to its operations. The company focuses on the growing demand for chronic disease management while navigating complex shifts in government reimbursement and Medicaid policy.