By Elias Schisgall

PACS Group shares shot higher after the company logged revenue and profit growth in the third quarter and restated some financial results following an investigation into allegations made by a short seller.

Shares of the post-acute and senior care company were up 54% at $26.00. The stock has nearly doubled in the past year.

The company posted a profit of $52.3 million, or 32 cents a share, more than tripling its profit of $15.6 million, or 10 cents a share, one year earlier.

Its third-quarter revenue was $1.34 billion, up from $1.02 billion a year prior.

The company also announced that it had completed an independent investigation of allegations made by short seller Hindenburg Research earlier in November.

As a result of the investigation, it refiled financial reports for the first and second quarters reflecting its true quarterly results. The company had overstated its revenue by $14.9 million in the first quarter and $46.1 million in the second quarter, it said.

PACS is now in compliance with Securities and Exchange Commission regulations, it said.

"With the Restatement and Audit Committee investigation now complete, we are moving forward with a strong financial foundation, enhanced controls and an even stronger conviction in our ability to drive meaningful growth and create value for shareholders," PACS Chief Executive Jason Murray said.

The company forecast full-year revenues between $5.25 billion and $5.35 billion.

Write to Elias Schisgall at elias.schisgall@wsj.com

(END) Dow Jones Newswires

November 20, 2025 12:15 ET (17:15 GMT)

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