PACS Group, Inc.

PACS Group raised its full-year 2026 revenue guidance to a range of $5.75 billion to $5.85 billion, up from $5.65 billion to $5.75 billion, after reporting second-quarter revenue of $1,428 million and net income of $76.37 million. The company did not repurchase any shares through June 30, 2026, despite authorizing a buyback earlier in the year, suggesting management is prioritizing operating growth over returning capital via repurchases. The upgraded guidance supports the near-term growth catalyst around ramping newer facilities, but the main risk still centers on execution across a large, mixed-maturity portfolio and ongoing scrutiny of governance and compliance. Investors continue to weigh the guidance increase against policy risk in important Medicaid states and the aftermath of past investigations.

PACS Group reported second-quarter 2026 revenue of $1.43 billion, a 9.1% increase from the prior year, and raised its full-year guidance. Net income rose 49.8% to $76.3 million, with diluted earnings per share of $0.47 and adjusted earnings per share of $0.63. Adjusted EBITDA grew 24.6% to $166.8 million, and the company now expects full-year adjusted EBITDA between $640 million and $660 million, up from a prior range of $605 million to $625 million. Revenue guidance was also increased to $5.75 billion to $5.85 billion, reflecting a modest contribution from 20 Texas facilities acquired from Eduro Healthcare that closed on August 1, 2026, as part of a larger deal for 34 skilled nursing facilities across six western states. Same-store skilled nursing facility revenue rose 5.8%, occupancy improved to 90.6%, and the company ended the quarter with $756.6 million in available liquidity.

PACS Group announced it has entered into a definitive agreement to acquire the operations of 34 skilled nursing facilities from Eduro Healthcare. The facilities span six western states, with 22 in Texas, six in Montana, three in South Dakota, and one each in New Mexico, North Dakota, and Utah, totaling 3,633 skilled nursing beds. The transaction is expected to close in multiple tranches, with the majority anticipated in the third quarter of 2026, subject to regulatory approvals and other customary contingencies. PACS Chairman and CEO Jason Murray said the company looks forward to building on Eduro's culture and success, while Eduro Managing Director Mike Bewsey cited PACS's commitment to embracing Eduro's values and providing continuity for employees.