Encompass Health Corporation Q1 2026 Earnings Release

Encompass Health Corporation reported its financial results for the first quarter ended March 31, 2026. Net operating revenue increased by 9.0% to $1,586.6 million, and Adjusted EBITDA grew by 11.2% to $348.8 million. Adjusted earnings per share (EPS) rose by 16.8% to $1.60. The company increased its full-year 2026 guidance for net operating revenue, Adjusted EBITDA, and adjusted EPS. Encompass Health opened a new 49-bed hospital in Irmo, South Carolina, and added 44 beds across existing facilities during the quarter. For the full year, the company plans to open eight new hospitals with a total of 389 beds and add approximately 175 beds to existing facilities. The company also amended and restated its credit agreement, extending the maturity date to March 2031, and reported a net leverage ratio of 1.9x. Shareholder distributions included a quarterly dividend and stock repurchases totaling $71.6 million.