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Healthcare Services (HCSG)
NASDAQ:HCSG
Earnings Data
Report Date
Apr 29, 2026TBA (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
0.23Last Year’s EPS
0.23Same Quarter Last Year
Moderate Buy
Based on 5 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call emphasized multiple meaningful positives: revenue growth (6.6% YoY), segment margin expansion, a major campus revenue milestone (> $100M), strong adjusted cash generation, improved contract terms that enhanced collections and liquidity (cash and securities ~$204M, undrawn $300M revolver), and accelerated shareholder returns (completed buyback early and announced $75M plan). Lowlights were largely manageable or one-time in nature, including an $8.3M ERC-related tax benefit that will not recur, higher expected cash tax rate (~25% in 2026), quarter-to-quarter revenue sensitivity from service-day billing (~$10M Q4-to-Q1 impact), reliance on hiring management talent to scale growth, and some segment margin dispersion. Overall, positives materially outweigh the negatives, positioning the company for steady mid-single-digit growth while acknowledging near-term cadence and tax headwinds.Company Guidance
Revenue Growth and Scale
Reported revenue of $466.7 million, representing a 6.6% year-over-year increase; management expects mid-single-digit revenue growth for full-year 2026 and Q1 2026 revenue in the $460–$465 million range.
Campus Division Milestone
Campus division surpassed $100 million in revenue, marking a significant growth milestone and providing a platform for further organic growth and targeted M&A over the next 12–18 months.
Segment Performance
Environmental Services revenue of $210.8 million with a segment margin of 12.6%; Dietary Services revenue of $255.9 million with a segment margin of 7.2% — both segments showed margin expansion in Q4 driven by operational execution.
Strong Margin and Cost Management
Cost of services was $394.6 million or 84.6% of revenue (management target ~86% in 2026); adjusted SG&A was $45.8 million or 9.8% of revenue (target range 9.5%–10.5%), reflecting disciplined expense control and operational execution.
Earnings and Adjusted Cash Flow
Net income of $31.2 million and diluted EPS of $0.44. Reported cash flow from operations was $17.4 million, and after adjusting for a $19.0 million decrease in payroll accrual, cash flow from operations was $36.4 million, demonstrating strong cash generation on an adjusted basis.
Balance Sheet and Liquidity Strength
Cash and marketable securities of $203.9 million at year-end and an undrawn $300 million revolving credit facility (utilization limited to LCs only), providing substantial liquidity and flexibility for growth and capital return.
Capital Return and Buyback Acceleration
Returned $61.6 million to shareholders in 2025 (including $19.6 million in Q4) and completed a $50 million buyback program five months early; announced a new plan to repurchase $75 million over the next 12 months and board authorization to repurchase up to 10 million shares.
Contract Upgrades and Improved Collections
Systematic contract upgrades (service-day billing, increased payment frequency, improved pricing mechanics) improved margin visibility and reduced days sales outstanding, contributing to stronger collections and more predictable cash flow.
HCSG Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
HCSG Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 11, 2026 | $19.24 | $22.28 | +15.80% |
Oct 22, 2025 | $16.57 | $18.85 | +13.76% |
Jul 23, 2025 | $13.05 | $14.63 | +12.11% |
Apr 23, 2025 | $9.41 | $12.19 | +29.54% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Healthcare Services (HCSG) report earnings?
Healthcare Services (HCSG) is schdueled to report earning on Apr 29, 2026, TBA (Confirmed).
What is Healthcare Services (HCSG) earnings time?
Healthcare Services (HCSG) earnings time is at Apr 29, 2026, TBA (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is HCSG EPS forecast?
HCSG EPS forecast for the fiscal quarter 2026 (Q1) is 0.23.
