Healthcare Services Group, Inc.
NASDAQ•HCSG
CEO: Mr. Theodore Wahl CPA
Sector: Healthcare
Industry: Medical - Care Facilities
Listing Date: 1983-11-29
Healthcare Services Group, Inc. provides management, administrative, and operating services to the housekeeping, laundry, linen, facility maintenance, and dietary service departments of nursing homes, retirement complexes, rehabilitation centers, and hospitals in the United States. It operates through two segments, Housekeeping and Dietary. The Housekeeping segment engages in the cleaning, disinfecting, and sanitizing of resident rooms and common areas of the customers' facilities, as well as laundering and processing of the bed linens, uniforms, resident personal clothing, and other assorted linen items utilized at the customers' facilities. The Dietary segment provides food purchasing, meal preparation, and professional dietitian services, which include the development of menus that meet the dietary needs of residents; and on-site management and clinical consulting services to facilities. It serves long-term and post-acute care facilities, hospitals, and the healthcare industry through referrals and solicitation of target facilities. The company was incorporated in 1976 and is based in Bensalem, Pennsylvania.
Contact Information
Market Cap
$1.45B
P/E (TTM)
36.5
27.7
Dividend Yield
--
52W High
$20.26
52W Low
$9.13
52W Range
Rank36Top 23.7%
4.9
F-Score
Modified Piotroski Analysis
Based on 10-year fundamentals
Average • 4.9 / 9 points
Scoring Range (0-9)
8-9: Excellent Value
6-7: Strong Fundamentals
4-5: Average Quality
0-3: Weak Performance
Data Period: 2015-2024
Financial Dashboard
Q3 2025 Data
Revenue
$464.34M+8.45%
4-Quarter Trend
EPS
$0.59+210.53%
4-Quarter Trend
FCF
$69.96M+2301.55%
4-Quarter Trend
2025 Q3 Earnings Highlights
Key Highlights
Quarterly Net Income Surge Net income reached $43.0M for the quarter, marking a massive 206.2% increase over prior period results, aided by ERC refunds.
Consolidated Revenue Growth Total revenues grew 8.5% to $464.3M for the quarter, driven by strong Housekeeping segment performance expansion.
Operating Cash Flow Reversal Nine months operating cash flow provided $127.6M, a significant reversal from $5.4M used in the comparable nine months period.
Housekeeping Segment Leads Housekeeping segment revenue increased 10.8% to $211.8M for the quarter, showing strong facility count and price increases.
Risk Factors
Bad Debt Expense Spikes Nine months bad debt expense surged to $79.0M, up significantly from $36.8M last year due to large customer bankruptcies.
Customer Reimbursement Reliance Revenues heavily rely on Medicare/Medicaid rates; regulatory changes could negatively impact customer ability to make timely payments.
Elevated Credit Risk Profile Specific large customer bankruptcy resulted in $50.4M receivables exposure and 100% allowance assessment as of September 30.
Cost Inflation Pressure Risk Future operating results face adverse effects if rising labor and material costs cannot be fully passed through to customers.
Outlook
Future Cost Reduction Strategy Management plans to improve performance by securing new service agreements and maintaining internal cost reduction strategies.
Capital Expenditure Estimates Estimated 2025 capital expenditures range from $5.0M to $7.0M; $4.4M already spent through September 30.
Stock Repurchase Authorization Company remains authorized to repurchase up to 3.1 million shares under the existing common stock Repurchase Plan.
Managerial Personnel Development Sustaining internal development of managerial personnel is viewed as important for executing projected growth strategies successfully.
Peer Comparison
Revenue (TTM)
$2.90B
AHCO$2.85B
$1.92B
Gross Margin (Latest Quarter)
LFMD111.6%
56.2%
47.0%
Key Metrics
Symbol | Market Cap | P/E (TTM) | ROE (TTM) | Debt to Assets |
|---|---|---|---|---|
| MD | $1.88B | 11.4 | 19.8% | 29.2% |
| HCSG | $1.45B | 36.5 | 7.6% | 0.8% |
| AHCO | $1.38B | 16.7 | 5.2% | 3.6% |
Long-Term Trends
Last 4 Quarters
Revenue
Net Income
Operating Cash Flow
4Q Revenue CAGR
2.0%
Moderate Growth
4Q Net Income CAGR
53.3%
Profitability Improved
Cash Flow Stability
100%
Strong Cash Flow
Research & Insights
Next earnings:Feb 11, 2026
EPS:$0.23
|Revenue:-
Reports
All Years
Form 10-Q - Q3 2025
Period End: Sep 30, 2025|Filed: Oct 24, 2025|Revenue: $464.34M+8.5%|EPS: $0.59+210.5%BeatForm 10-Q - Q2 2025
Period End: Jun 30, 2025|Filed: Jul 25, 2025|Revenue: $458.49M+7.6%|EPS: $-0.44+1718.2%MissForm 10-Q - Q1 2025
Period End: Mar 31, 2025|Filed: Apr 25, 2025|Revenue: $447.66M+5.7%|EPS: $0.23+9.5%BeatForm 10-K - FY 2024
Period End: Dec 31, 2024|Filed: Feb 14, 2025|Revenue: $1.72B+2.6%|EPS: $0.54+3.8%BeatForm 10-Q - Q3 2024
Period End: Sep 30, 2024|Filed: Oct 25, 2024|Revenue: $428.15M+4.1%|EPS: $0.19-357.1%MissForm 10-Q - Q2 2024
Period End: Jun 30, 2024|Filed: Jul 26, 2024|Revenue: $426.29M+1.8%|EPS: $-0.02-120.2%MissForm 10-Q - Q1 2024
Period End: Mar 31, 2024|Filed: Apr 26, 2024|Revenue: $423.43M+1.5%|EPS: $0.21+31.3%BeatForm 10-K - FY 2023
Period End: Dec 31, 2023|Filed: Feb 16, 2024|Revenue: $1.67B-1.1%|EPS: $0.52+13.0%Beat