Guardian Pharmacy Services (GRDN) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.The power of ...

Financial Data and Key Metrics Changes - For Q2 2025, revenue grew 15% to $344.3 million, driven by solid low double-digit organic growth and contributions from recent acquisitions and greenfields [22] - Adjusted EBITDA was $25 million, up 15% year over year, with margins holding steady at 7.2% [23] - Adjusted EPS came in at $0.23, and the company maintained adjusted EBITDA margins at 7.2%, consistent with the prior year [6][22] - Cash position increased by approximately $4.8 million from Q1, ending the quarter with $18.8 million in cash [23] Business Line Data and Key Metrics Changes - Resident count increased 12% to over 195,000 [22] - The company added three new pharmacies this quarter, two via acquisition and one greenfield startup [9][10] - The recent acquisitions and greenfield startups are expected to account for a high single-digit percentage of 2025 revenue but will not contribute to EBITDA for the full year [26][27] Market Data and Key Metrics Changes - The company is expanding its presence in high-growth markets, including a new pharmacy in Naples, Florida, and acquisitions in Kansas and Washington [9][10] - The company anticipates typical seasonality in Q4 driven by COVID and flu vaccine activity, which turned profitable last year [24] Company Strategy and Development Direction - The company is focused on disciplined expansion into attractive high-growth markets and views M&A as an attractive use of capital [7][10] - The company is committed to operational excellence and customized service tailored to the communities served [10] - The long-term growth thesis remains intact, with a focus on organic growth, strategic greenfield opportunities, and a robust acquisition pipeline [21][28] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in funding future growth with internally generated cash and highlighted the strong year-to-date performance [6][7] - The company is proactively addressing changes in the policy environment, particularly regarding the Inflation Reduction Act and its impact on drug pricing [14][15] - Management remains optimistic about the ability to resolve pricing challenges and is engaged in constructive discussions with PBMs [18][19] Other Important Information - The company completed a non-dilutive secondary offering, nearly doubling its public float and improving trading dynamics [13] - The company recorded $1.1 million in costs associated with being a public company that did not exist in the prior year quarter [23] Q&A Session Summary Question: Is the vaccine program at a steady state or is there still potential for growth in Q4? - Management indicated that the vaccine program is at a steady state with general growth of the overall business [33] Question: When do PBM negotiations typically conclude? - Management stated that they are making good progress in negotiations and will update guidance as they approach Q4 [34] Question: Has being a public company changed the prospects or visibility of the company? - Management noted that increased visibility in public markets is a strong affirmation of the company and its services [36] Question: Can you elaborate on the organic growth drivers? - Management highlighted that organic growth is driven by share gain, patient acuity, and more complex drug regimens [43] Question: What is the current state of the acquisition pipeline? - Management confirmed that the acquisition pipeline remains strong, with human capital being the main limiting factor [44][45] Question: Can you provide figures on the recent managed healthcare pharmacy acquisition? - Management described the acquisition as typical in size and expressed excitement about the leadership team and market opportunities [48] Question: What is the expected resident count by the end of Q3? - Management indicated that they will continue the organic growth trajectory and layer in the impact of recent acquisitions [57]

Table of Contents Commission File Number: 001-42284 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Guardian Pharmacy Services, Inc. (Exact Name of Registrant as Specified in Its Charter) Delaware 87-3627 ...

CEO Commentary ATLANTA, August 11, 2025 – Guardian Pharmacy Services, Inc. (NYSE: GRDN), one of the nation's leading long-term care ("LTC") pharmacy services companies, announced today its financial results for the second quarter ended June 30, 2025. Second Quarter Financial Results "We are proud to report another strong quarter for Guardian, with solid double-digit growth in revenue, resident count, and adjusted EBITDA. Our performance reflects disciplined execution by our local pharmacy teams, growing dem ...

Non-GAAP Financial Measures: The financial information in this presentation includes certain information that is not presented in accordance with U.S. Generally Accepted Accounting Principles ("GAAP"). Non-GAAP financial measures may be considered in addition to GAAP financial information but should not be used as substitutes for the corresponding GAAP measures. The Non-GAAP measure in this presentation may be calculated in a way that is not comparable to similarly titled measures reported by other companie ...

Financial Data and Key Metrics Changes - Revenue for Q1 2025 was reported at $329 million, reflecting a 20% year-on-year increase [5][12] - Resident count increased by 15% year-on-year, reaching approximately 189,000 [5][12] - Adjusted EBITDA for the quarter was $23.4 million, a 16% increase compared to the previous year [5][12] - Excluding PUBCO costs, adjusted EBITDA growth was 20% year-on-year [12] Business Line Data and Key Metrics Changes - The growth in revenue was driven by organic growth and acquisitions, specifically from Heartland and Freedom pharmacies [12] - Gross profit increased by 17% to $64.4 million [12] Market Data and Key Metrics Changes - The company is actively monitoring industry trends, particularly the impact of tariffs and the Inflation Reduction Act [9][10][11] Company Strategy and Development Direction - The company is focused on sustainable long-term value for shareholders and has a robust acquisition pipeline with several near-term opportunities [5][6] - Recent acquisition of a small pharmacy in Wichita, Kansas, increased the total number of pharmacies to 52 [6] - The company is committed to integrating acquisitions effectively, with a playbook designed to transition acquired pharmacies to its operating model over three to four years [7][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating potential impacts from the Inflation Reduction Act and tariffs, indicating a strong position to avoid major disruptions [10][11] - The company expects to end the year in the upper half of its revenue guidance range due to strong Q1 performance [5][16] Other Important Information - The company ended Q1 with $14 million in cash and zero debt, indicating a strong financial position [16] - Adjusted EBITDA guidance for the year remains between $97 million and $101 million, with a conservative approach due to integration-related expenses [17] Q&A Session Summary Question: Size of Heartland drag in Q1 and full year integration costs - Management indicated that integration costs were included in guidance, with approximately $500,000 pulled into Q1 due to expedited operating system conversion [24][26] Question: Impact of Trump executive order on payer negotiations - Management noted uncertainty regarding the executive order's effects but remains positive about ongoing discussions with payors [27][28] Question: Breakdown of resident count growth between same-store metrics and acquisitions - Management confirmed that organic growth met guidance expectations, with the remainder attributed to acquisitions [38] Question: Pipeline status and impact of economic uncertainty - Management reported a robust acquisition pipeline, indicating that economic pressures have not negatively impacted opportunities [40]

Financial Data and Key Metrics Changes - Revenue for Q1 2025 was reported at $329 million, reflecting a 20% year-on-year increase [5][12] - Resident count increased by 15% year-on-year, reaching approximately 189,000 [5][12] - Adjusted EBITDA for the quarter was $23.4 million, a 16% increase compared to the previous year [5][12] - Excluding PUBCO costs, adjusted EBITDA growth was 20% year-on-year [12] Business Line Data and Key Metrics Changes - The growth in revenue was driven by organic growth and acquisitions, specifically from Heartland and Freedom pharmacies [12] - Gross profit increased to $64.4 million, representing a 17% increase [12] Market Data and Key Metrics Changes - The company is actively monitoring industry trends, particularly the impact of tariffs and the Inflation Reduction Act [9][10][11] Company Strategy and Development Direction - The company is focused on sustainable long-term value creation for shareholders and is committed to integrating multiple acquisitions [5][6] - An acquisition of a small pharmacy in Wichita, Kansas was completed, increasing the total number of pharmacies to 52 [6] - The company is expanding its regional presence through Greenfield startups and acquisitions [8][20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating potential impacts from the Inflation Reduction Act and tariffs, indicating a robust acquisition pipeline [10][11][38] - The company expects to end the year in the upper half of its revenue guidance range due to strong Q1 performance [5][15] Other Important Information - The company ended Q1 with $14 million in cash and zero debt, maintaining a strong financial position [15] - The integration of Heartland's IT infrastructure is underway, which may impact profitability in the short term but is expected to enhance long-term success [13][14] Q&A Session Summary Question: Size of Heartland drag in Q1 and full year integration costs - Management indicated that the integration costs were included in guidance, with approximately $500,000 pulled into Q1 due to expedited operating system conversion [25] Question: Impact of the Trump executive order on payer negotiations - Management noted uncertainty regarding the executive order's effects but remains positive about ongoing discussions with payors [26][27] Question: Breakdown of resident count growth between same-store metrics and acquisitions - Management confirmed that organic growth met guidance, with the remainder attributed to acquisitions [36] Question: Pipeline status and impact of economic uncertainty - Management reported a robust acquisition pipeline, indicating that economic pressures have not negatively impacted opportunities [38]

Financial Data and Key Metrics Changes - Revenue for Q1 2025 was reported at $329 million, reflecting a 20% year-on-year increase [5][11] - Resident count increased by 15% year-on-year, reaching approximately 189,000 [5][11] - Adjusted EBITDA rose to $23.4 million, a 16% increase compared to the previous year [5][11] - Excluding PUBCO costs, adjusted EBITDA growth was 20% year-on-year [11][12] - Gross profit increased by 17% to $64.4 million [11] Business Line Data and Key Metrics Changes - The growth in revenue was driven by organic growth and acquisitions, specifically Heartland and Freedom pharmacies [11][12] - The company is actively integrating two acquisitions from 2024, which are expected to enhance operational efficiency [6][12] Market Data and Key Metrics Changes - The company is closely monitoring industry trends, particularly the impact of tariffs and the Inflation Reduction Act on future performance [8][10] - The competitive landscape for generic drugs remains strong, with manufacturers facing challenges in raising prices due to market competition [8] Company Strategy and Development Direction - The company is focused on sustainable long-term growth and is committed to integrating acquisitions effectively [6][20] - A robust acquisition pipeline is in place, with several near-term opportunities identified [5][12] - The company plans to continue expanding its regional presence through both acquisitions and Greenfield startups [7][20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving revenue at the higher end of the guidance range due to strong Q1 performance [15] - The company is prepared to navigate potential impacts from the Inflation Reduction Act and is in discussions with policymakers [10] - Management noted that the integration of Heartland's IT infrastructure is expected to enhance operational capabilities in the long term, despite short-term cost pressures [12][14] Other Important Information - The company ended Q1 with $14 million in cash and zero debt, indicating a strong financial position [15] - The company reiterated its adjusted EBITDA range for the year between $97 million and $101 million, remaining conservative in forecasts due to integration-related expenses [16] Q&A Session Summary Question: Size of Heartland drag in Q1 and full year integration costs - Management indicated that the integration costs associated with Heartland were included in guidance, with an estimated impact of around $500,000 due to expedited operating system conversion [25][27] Question: Impact of the Trump executive order on negotiations with payer partners - Management acknowledged uncertainty regarding the executive order's effects but remained positive about ongoing discussions with payors to resolve IRA issues [28][29] Question: Breakdown of resident count growth between same-store metrics and acquisitions - Management confirmed that organic growth met high single-digit guidance, with the remainder attributed to acquisitions [40] Question: Pipeline status and impact of economic uncertainty on opportunities - Management reported a robust acquisition pipeline, indicating that economic pressures have not negatively impacted opportunities [42]

Financial Performance - Revenues increased from $275,410,000 in Q1 2024 to $329,308,000 in Q1 2025, representing a growth of 19.5%[17]. - Gross profit rose from $55,101,000 in Q1 2024 to $64,349,000 in Q1 2025, an increase of 16.5%[17]. - Operating income improved from $7,933,000 in Q1 2024 to $13,005,000 in Q1 2025, reflecting a growth of 64.5%[17]. - Net income attributable to Guardian Pharmacy Services, Inc. was $9,448,000 for Q1 2025, compared to $0 for Q1 2024[17]. - Net income for the three months ended March 31, 2025, was $9,273,000, up from $7,095,000 in the same period of 2024, representing a growth of approximately 30.8%[111]. - Adjusted EBITDA for the three months ended March 31, 2025, was $23,433,000, compared to $20,255,000 for the same period in 2024, reflecting an increase of about 10.8%[111]. Cash and Assets - Cash and cash equivalents increased significantly from $4,660,000 at the end of Q1 2024 to $13,999,000 at the end of Q1 2025, a rise of 200.5%[24]. - Total assets grew from $320,810,000 as of December 31, 2024, to $333,998,000 as of March 31, 2025, an increase of 4.1%[14]. - Total equity increased from $149,976,000 at the end of Q4 2024 to $163,217,000 at the end of Q1 2025, a growth of 8.4%[14]. - Cash flows provided by operating activities for the three months ended March 31, 2025, were $17,550,000, an increase of $8,896,000 compared to $8,654,000 in 2024[116][118]. - As of March 31, 2025, the company had $14,000,000 in cash and cash equivalents, primarily consisting of demand deposits[113][128]. Acquisitions and Growth Strategy - The Company acquired various pharmacy operations in 2024 for a total consideration of $17,410, which includes cash of $14,710 and contingent earnout payments of up to $2,700[44]. - The Company’s growth strategy involves acquiring institutional pharmacies servicing long-term care facilities and other care settings[43]. - The company completed various acquisitions in 2024, contributing to revenue growth and operational changes in the first quarter of 2025[89]. - The number of residents served increased from 164,000 in March 2024 to 189,000 in March 2025, and prescriptions dispensed rose from 5.8 million to 6.7 million[100]. Corporate Actions - The Corporate Reorganization resulted in the issuance of 54,094,232 shares of Class B common stock, which will convert to Class A common stock over the next few years[30]. - The Company completed its IPO on September 27, 2024, issuing 9,200,000 shares at $14.00 per share, resulting in net proceeds of $119,784 after underwriting discounts and offering costs[33]. - The company intends to use the balance of net proceeds from its IPO for general corporate purposes and working capital, having raised $119.8 million net after underwriter discounts[140]. - An agreement and plan of merger was established on September 27, 2024, involving Guardian Merger Corp., Guardian Pharmacy, LLC, and Guardian Pharmacy Services, Inc.[145]. Expenses and Taxation - Selling, general, and administrative expenses rose by $4.2 million or 8.9% to $51.3 million, while the percentage of revenue decreased from 17.1% to 15.6%[102]. - Interest expense decreased by $0.6 million or 77.8% to $0.2 million for the three months ended March 31, 2025, due to no outstanding balances under the Credit Facility[103]. - The effective tax rate for the three months ended March 31, 2025, was 29.2%, with an income tax expense of $3,833,000, compared to $0 for the same period in 2024[74]. - Provision for income taxes was $3.8 million for the three months ended March 31, 2025, compared to no income tax expense in the same period in 2024[104]. Segment Reporting and Compliance - The Company adopted ASU 2023-07 for segment reporting, effective January 1, 2024, which requires disclosure of significant segment expenses[40]. - The Company’s interim financial statements are prepared in accordance with U.S. GAAP, and results for the three months ended March 31, 2025 are not indicative of the full year[36]. - Certifications of the Principal Executive Officer and Principal Financial and Accounting Officer were completed in accordance with the Sarbanes-Oxley Act of 2002[145].

Financial Performance - Revenue for Q1 2025 was $329.3 million, representing a 20% increase year-over-year driven by organic growth and acquisitions[6] - Net income for Q1 2025 was $9.3 million, an increase of $2.2 million compared to the same period last year[6] - Adjusted EBITDA for Q1 2025 was $23.4 million, reflecting a 16% year-over-year increase[6] - Full-year revenue guidance is reaffirmed at $1.330 billion to $1.350 billion[7] - Adjusted EBITDA guidance for the full year is maintained at $97 million to $101 million[7] - Net income for Q1 2024 was $7,095,000, an increase from $9,273,000 in Q1 2025[22] - Adjusted EBITDA for Q1 2024 was $20,255,000, compared to $23,433,000 in Q1 2025[23] - Net cash provided by operating activities was $8,654,000 in Q1 2024, rising to $17,550,000 in Q1 2025[22] - Cash and cash equivalents at the end of Q1 2024 were $174,000, increasing significantly to $13,999,000 by Q1 2025[22] - Net income as a percentage of revenue was 2.6% in Q1 2024, slightly increasing to 2.8% in Q1 2025[23] Operational Highlights - Resident count reached 189,000, a 15% increase year-over-year, up from 186,000 at the end of Q4 2024[6] - The company completed a small acquisition in Wichita, Kansas, increasing the total number of pharmacies to 52[4] - The company is focused on organic growth and operational excellence while integrating new pharmacies[4] - Guardian's acquisition pipeline remains active with near-term opportunities anticipated[4] Expenses and Financial Metrics - Cash and cash equivalents at the end of Q1 2025 were $14.0 million, with no long-term debt outstanding[6] - GAAP selling, general, and administrative expenses for Q1 2024 were $47,168,000, increasing to $51,344,000 in Q1 2025[23] - Adjusted SG&A as a percentage of revenue was 14.4% in Q1 2024, slightly decreasing to 14.1% in Q1 2025[23] - Depreciation and amortization expenses were $4,751,000 in Q1 2024, increasing to $5,267,000 in Q1 2025[22] - Interest expense for Q1 2024 was $765,000, while it turned into a net income of $(2,000) in Q1 2025[23] - The provision for income taxes was $3,833,000 in Q1 2025, indicating a new expense category for that period[23]