InnovAge's Q2 revenue rises

Overview

• Healthcare provider's fiscal Q2 revenue grew 14.7%, beating analyst expectations

• Net income for fiscal Q2 reached $11.8 mln, compared to a loss last year

• Adjusted EBITDA for fiscal Q2 rose significantly, reflecting improved operational performance

Outlook

• InnovAge raises full-year fiscal 2026 revenue guidance to $925 mln-$950 mln

• Company expects full-year adjusted EBITDA of $70 mln-$75 mln

• InnovAge maintains ending census guidance at 7,900-8,100 participants

Result Drivers

• REVENUE GROWTH - Revenue increased 14.7% due to disciplined execution and a focus on clinical outcomes, according to CEO Patrick Blair

• PARTICIPANT INCREASE - Participant census rose to approximately 8,010, up from 7,480, contributing to revenue growth

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"

• Wall Street's median 12-month price target for InnovAge Holding Corp is $7.00, about 22.8% above its February 2 closing price of $5.70

• The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 21 three months ago

Press Release: ID:nGNX1zMcLy

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.