BrightSpring Health Services(US:BTSG)2025-10-28 20:35Revenue Growth - Revenue increased by $732.9 million, or 28.2%, to $3,334.1 million in Q3 2025 compared to Q3 2024[149] - Pharmacy Solutions segment revenue grew by $701.3 million, or 31.0%, to $2,967.0 million, while Provider Services segment revenue increased by $31.6 million, or 9.4%, to $367.1 million[149] - Total revenues for the three months ended September 30, 2025, were $3,334.1 million, an increase of $732.9 million or 28.2% compared to $2,601.2 million for the same period in 2024[187] - Total revenues for the nine months ended September 30, 2025, were $9,359.9 million, an increase of $2,034.7 million or 27.8% compared to $7,325.2 million for the same period in 2024[200] - Revenues for the Pharmacy Solutions segment reached $8,289.2 million for the nine months ended September 30, 2025, an increase of $1,932.0 million or 30.4% compared to $6,357.2 million in 2024[223] Profitability - Net income rose by $63.2 million from a net loss of $25.7 million to a net income of $37.5 million[149] - Adjusted EBITDA increased by $43.5 million, or 37.2%, to $160.4 million[149] - Gross profit for the three months ended September 30, 2025, was $392.0 million, reflecting a 21.3% increase from $323.1 million in the prior year[186] - Net income for the nine months ended September 30, 2025, was $55.2 million, a significant increase of $128.5 million compared to a net loss of $73.2 million for the same period in 2024[207] - Adjusted EBITDA rose to $434.0 million for the nine months ended September 30, 2025, reflecting an increase of $104.2 million or 31.6% from $329.8 million in 2024[208] Segment Performance - Pharmacy Solutions segment EBITDA increased by $41.8 million, or 42.2%, to $141.0 million[157] - Provider Services segment EBITDA grew by $8.4 million, or 16.0%, to $60.7 million[157] - Segment operating income for the three months ended September 30, 2025, was $53.3 million, reflecting a 15.9% increase from $46.0 million in 2024[231] - Segment EBITDA for the nine months ended September 30, 2025, was $381.4 million, up $99.6 million or 35.3% from $281.8 million in 2024[230] Cash Flow and Liquidity - Net cash provided by operating activities for the nine months ended September 30, 2025, was $258.6 million, a substantial increase of $325.4 million compared to a cash outflow of $66.8 million in 2024[262] - Total liquidity at the end of September 30, 2025, was $617.6 million, up from $475.8 million at the end of 2024, showing improved financial flexibility[260] - Net cash used in investing activities decreased by $53.3 million, from $124.5 million in 2024 to $71.2 million in 2025, primarily due to reduced cash paid for acquisitions[263] Debt and Interest - The total outstanding debt of the Company as of September 30, 2025, was $2.58 billion, with a net debt of $2.52 billion after accounting for debt issuance costs[281] - The Company's leverage ratio was 3.31x as of September 30, 2025, down from 4.16x at December 31, 2024[281] - Interest expense, net for the three months ended September 30, 2025, decreased to $38.2 million, down $8.4 million or 18.0% from $46.6 million in the prior year[192] - The Company incurred a loss on extinguishment of debt of $12.7 million related to the repayment of the $450.0 million Second Lien Facility[278] Strategic Initiatives - The divestiture of the Community Living business is expected to close in Q1 2026 for $835 million, enhancing strategic focus and operational efficiencies[145] - The company has expanded its service offerings and footprint to serve patients in home settings, addressing a significant national healthcare need[163] - The company has entered into several accountable care organization (ACO) arrangements to participate in shared savings from attributed primary care patients[173] - The pharmacy solutions tailored for home environments are projected to grow faster than the overall pharmacy market, indicating a strategic growth area for the company[159] Market and Patient Metrics - The Company serves over 460,000 patients daily through approximately 10,500 clinical providers and pharmacists across all 50 states[144] - The patient census for pharmacy services grew approximately 2% in Q3 2025 compared to Q3 2024, indicating continued demand in home and community-based settings[161] - Prescriptions dispensed in the Pharmacy Solutions segment increased to 32,522,286 for the nine months ended September 30, 2025, a growth of 1,673,165 or 5.4% from 30,849,121 in 2024[222] - Revenue per prescription dispensed increased to $254.88 for the nine months ended September 30, 2025, up $48.81 or 23.7% from $206.07 in 2024[222]