Concentra Group Holdings Parent (CON) Q4 2025 earnings summary

Executive summary

• Exceeded high end of 2025 guidance for revenue and Adjusted EBITDA, with strong Q4 finish and solid full-year performance despite incremental separation costs.

• Achieved double-digit organic growth in onsite business, prudent cost management, and margin expansion.

• Completed integration of Nova and Pivot acquisitions, expanding facility footprint and realizing synergies ahead of expectations.

• Validated value proposition with studies showing 25% lower workers' comp claim costs and 65 fewer days per claim compared to non-Concentra providers.

• Maintained quarterly dividend and executed share repurchases, reflecting ongoing capital returns to shareholders.

Financial highlights

• FY 2025 revenue: $2.16B, up 13.9% year-over-year; Q4 revenue: $539.1M, up 15.9% year-over-year.

• FY 2025 Adjusted EBITDA: $431.9M, up 14.6%; Q4 Adjusted EBITDA: $95.3M, up 22.9%.

• FY 2025 net income: $172.8M, up 0.6% year-over-year; Q4 net income: $36.2M, up 58.7%.

• Free cash flow for FY 2025: $197.8M–$198M; free cash flow conversion at 114%.

• Cash at year-end: $79.9M; total debt: $1.57B; net leverage ratio: 3.4x.

Outlook and guidance

• FY 2026 revenue guidance: $2.25B–$2.35B; Adjusted EBITDA: $450M–$470M; CapEx: $70M–$80M; Free cash flow: $200M–$225M.

• Targeting 7–9 de novo sites in 2026, potentially double-digit in 2027.

• Net leverage ratio targeted at ≤3.0x by end of 2026.

• Guidance assumes low single-digit organic visit growth, ~3% rate growth, and continued margin stability.

• Anticipate CapEx decrease in 2026 as one-time Nova integration costs roll off.