Select Medical Holdings Corporation (SEM) Earnings Call Transcripts

Select Medical Holdings Corporation's Latest Earnings Call - Q1 FY2026

In the first quarter of 2026, Select Medical Holdings Corporation reported total revenue of $1.1 billion, reflecting a 5% year-over-year increase, while adjusted EBITDA declined 6.5% to $141.6 million. Earnings per share were $0.35, down from $0.44 in the prior year, but adjusted EPS was $0.36 when excluding costs related to the pending take-private transaction. Management maintained its full-year guidance for revenue between $5.6 billion and $5.8 billion and adjusted EBITDA between $520 million and $540 million, signaling stability despite recent challenges in margins and regulatory pressures.

Reported metrics

Guidance from management

Management maintained full-year 2026 guidance, expecting revenue between $5.6 billion and $5.8 billion and adjusted EBITDA between $520 million and $540 million, indicating confidence in operational stability despite recent challenges.

What management said

Yes, this is Tom. We did see an increase for the first quarter and a decrease in conversion for Medicare Advantage. And it was more so in our long-term acute care hospitals as well as our inpatient rehab also saw a decline. We're seeing more denials in the Medicare Advantage space for our hospitals and outpatient has been relatively flat. But whenever we look at our hospitals, though, we've seen an increase in both c...

No, there were no concerns with the rule. It was pretty consistent with the past couple of years. It was a modest increase, and we expect to continue to see choice demonstration expand, and we're prepared for that. And we have many states that we're already working under that program. So we were -- it was pretty benign and nothing out of the ordinary. Of course.

What analysts pressed on

Analysts expressed concerns regarding declining margins in the outpatient rehabilitation segment and the impact of increased Medicare Advantage denials on overall performance. There were also questions about the sustainability of growth in the critical illness recovery segment given recent volume challenges.

Main topics on the call

• Take-Private Transaction — Select Medical is in the process of being acquired by a consortium led by Executive Chairman Robert Ortenzio, with shareholders set to receive $16.50 per share. The transaction is expected to close in mid-2026, pending r...
• Inpatient Rehabilitation Growth — The Inpatient Rehab Hospital division saw revenue increase by over 14% year-over-year to approximately $351.9 million, with adjusted EBITDA rising 15% to $81.1 million. Management noted a 12% increase in average daily ce...
• Critical Illness Recovery Segment Challenges — The Critical Illness Recovery Hospital division reported revenue of $638.8 million, a slight increase from the previous year, but adjusted EBITDA fell 15% to $73.4 million. Management attributed this decline to increased...
• Outpatient Rehabilitation Performance — Outpatient rehabilitation revenue grew over 4% to $321.3 million, driven by a 4% increase in patient visits. However, adjusted EBITDA declined to $22 million from $24.3 million, raising concerns about margin sustainabili...

Read the full Select Medical Holdings Corporation transcript (Q1 FY2026) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 58 Select Medical Holdings Corporation earnings call transcripts on record, spanning February 21, 2020 to May 1, 2026. Based on this history, Select Medical Holdings Corporation reports quarterly. The most recent call on file is dated May 1, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

SEM

Exchange

NYSE

Country

US

Sector

Health Care

Industry

Health Care Providers and Services

Calls on record

58

First call

February 21, 2020

Most recent

May 1, 2026

Reporting cadence

quarterly