Aveanna Healthcare Holdings Announces Second Quarter Financial Results and Revised 2025 Outlook

Core Insights - Aveanna Healthcare Holdings Inc. reported strong financial results for Q2 2025, with revenue growth of 16.8% and adjusted EBITDA growth of 93.6% compared to the same period last year [2][9] - The company is focused on providing high-quality home care services and has made strategic acquisitions to enhance its service offerings and market presence [2][3] Financial Performance - For the three-month period ended June 28, 2025, revenue was $589.6 million, up from $505.0 million for the same period in 2024, representing an increase of $84.6 million or 16.8% [3] - Gross margin for the same period was $210.8 million, or 35.8% of revenue, compared to $158.3 million, or 31.3% of revenue, for the prior year, marking an increase of $52.5 million or 33.2% [4] - Net income for Q2 2025 was $27.0 million, a 94.3% increase from $13.9 million in Q2 2024, with net income per diluted share rising to $0.13 from $0.07 [5][9] - Adjusted EBITDA for Q2 2025 was $88.4 million, or 15.0% of revenue, compared to $45.6 million, or 9.0% of revenue, for the same period in 2024, reflecting a 93.6% increase [6] Segment Performance - The PDS segment saw a revenue increase of $78.2 million, while the HHH segment revenue increased by $5.5 million, and the MS segment revenue rose by $1.0 million compared to Q2 2024 [3] - For the six-month period ended June 28, 2025, total revenue was $1,148.8 million, up from $995.6 million in the same period of 2024, an increase of $153.2 million or 15.4% [7] - Gross margin for the six-month period was $394.4 million, or 34.3% of revenue, compared to $304.1 million, or 30.5% of revenue, for the prior year, an increase of $90.2 million or 29.7% [8] Guidance and Future Outlook - The company has raised its full-year 2025 revenue guidance to greater than $2.3 billion, up from greater than $2.15 billion, and adjusted EBITDA guidance to greater than $270 million, updated from greater than $207 million [9][14] - The acquisition of Thrive Skilled Pediatric Care is highlighted as a strategic move to expand capabilities and scale in pediatric services [2][13] Cash Flow and Liquidity - As of June 28, 2025, the company had cash of $100.7 million and incremental borrowing capacity of $106.3 million under its securitization facility [16] - Net cash provided by operating activities for 2025 was $42.9 million, with free cash flow reported at $36.9 million [16][33]