Amedisys Reports $621.9 Million Revenue in Q2 2025, Faces Decline in Operating Income

Amedisys Inc. reported a net service revenue of $621.9 million for the second quarter of 2025, marking a 5.2% increase from $591.2 million in the same period of 2024. The company's operating income, however, decreased to $45.6 million from $52.2 million year-over-year, primarily due to a significant rise in merger-related expenses, which increased from $11.9 million to $26.3 million. Net income attributable to Amedisys was $28.1 million, down from $32.3 million in the prior year, reflecting a decline in profitability despite revenue growth.

For the first half of 2025, Amedisys reported total revenue of $1.22 billion, up from $1.16 billion in the same period of 2024. Operating income for the six-month period increased to $88.9 million from $83.8 million, aided by a $54 million rise in net service revenue. The company attributed this growth to rate increases and volume growth, although it faced challenges from planned wage increases and a shift in its home health payor mix. The overall increase in general and administrative expenses, which rose to $435.5 million from $421.6 million, was also a contributing factor to the operating income dynamics.

Amedisys continues to expand its operational footprint, owning and operating 347 Medicare-certified home health care centers and 164 Medicare-certified hospice care centers across 38 states and the District of Columbia as of June 30, 2025. The company reported a total of 117,002 admissions in its home health segment for the second quarter, a 6% increase from the previous year. The hospice segment also saw growth, with net service revenue rising to $215 million, driven by a 6% increase in Medicare revenue.

Strategically, Amedisys is navigating a proposed merger with UnitedHealth Group, which has faced scrutiny from the U.S. Department of Justice (DOJ) due to antitrust concerns. The DOJ filed a lawsuit alleging that the merger could violate antitrust laws, and the trial is tentatively set for October 2025. Amedisys has also entered into agreements to divest certain home health and hospice care centers as part of the merger conditions, which are subject to DOJ approval.

Looking ahead, Amedisys anticipates continued challenges from inflation and labor costs, which have impacted its operational expenses. The company is actively working to mitigate these effects through strategic pricing and operational efficiencies. Despite the uncertainties surrounding the merger and market conditions, Amedisys maintains a strong liquidity position with $337.3 million in cash and cash equivalents and significant availability under its credit facilities, positioning it to navigate the upcoming fiscal periods effectively.