Healthcare Services Group Reports 7.6% Revenue Increase to $458.5M; Posts Net Loss of $32.4M and EPS of ($0.44)

Reuters
2025/07/23
Healthcare Services Group Reports 7.6% Revenue Increase to $458.5M; Posts Net Loss of $32.4M and EPS of ($0.44)

Healthcare Services Group Inc. $(HCSG)$ reported its second quarter results, showing a revenue increase of 7.6% over the prior year, reaching $458.5 million. The Environmental Services segment contributed $205.8 million, while the Dietary Services segment added $252.7 million to the total revenue. Despite a net loss of $32.4 million, impacted by a $61.2 million non-cash charge related to the Genesis HealthCare restructuring, the company exceeded its growth expectations. The company's cash flow from operations improved to $28.8 million, with cash flow excluding payroll accrual changes increasing by $10.9 million over the prior year to $8.5 million. Looking ahead, HCSG raised its 2025 cash flow from operations forecast, excluding payroll accrual changes, to a range of $70.0 to $85.0 million. HCSG also announced a $50.0 million, 12-month share repurchase plan, reflecting confidence in its strategic priorities and business fundamentals. The company reiterated its expectation for mid-single digit revenue growth in 2025 and aims to manage its cost of services and SG&A more efficiently in the future.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Healthcare Services Group Inc. published the original content used to generate this news brief via Business Wire (Ref. ID: 20250723023712) on July 23, 2025, and is solely responsible for the information contained therein.

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