Chemed Corporation Reports 8.8% Revenue Growth to $673.3 Million in Q2 2026

Chemed Corporation reported a notable increase in financial performance for the second quarter and first half of 2026, with service revenues and sales reaching $673.3 million for the quarter, up 8.8% from $618.8 million in the same period last year. For the first six months, revenues totaled $1.33 billion, reflecting a 5.1% increase from $1.27 billion in 2025. The company's net income also rose, reaching $67.7 million for the quarter, compared to $52.5 million in the prior year, and $134 million for the first half, up from $124.3 million.

The growth in revenue was primarily driven by the VITAS segment, which saw an 11.9% increase in service revenues, attributed to a 6.1% rise in days-of-care and a 2.4% increase in Medicare reimbursement rates. The Roto-Rooter segment contributed a 3.3% increase in revenues, bolstered by higher plumbing and excavation services, although water restoration services experienced a decline. The company also noted a significant impact from changes in Medicare Cap and other contra revenue adjustments, which positively influenced revenue growth.

Operationally, Chemed made strategic moves, including the acquisition of multiple Roto-Rooter franchises, which added $32.4 million to goodwill. The company reported a total of 4,200,591 days of care provided by VITAS in the first half of 2026, a 4.2% increase from the previous year. The total employee headcount remained stable, with the company continuing to focus on enhancing service delivery across its segments.

In terms of financial health, Chemed's total assets increased to $1.58 billion as of June 30, 2026, up from $1.54 billion at the end of 2025. The company reported a long-term debt of $140 million, primarily due to acquisitions and stock repurchases, and maintained compliance with all financial covenants under its credit agreement. The company also repurchased $287.5 million in stock during the first half of 2026, reflecting its commitment to returning value to shareholders.

Looking ahead, Chemed anticipates continued growth driven by its core hospice and plumbing services, while remaining vigilant of macroeconomic factors such as inflation and potential regulatory changes. The company expects its operating income and cash flows to be sufficient to meet future commitments, with ongoing evaluations of capital utilization strategies to optimize shareholder returns.