Shares of Ensign Group (ENSG) surged 7.43% in after-hours trading on Thursday, July 24, 2025, following the release of its second-quarter earnings report that exceeded analyst expectations and an increase in full-year guidance.
The healthcare services provider reported adjusted earnings per share of $1.59, beating the consensus estimate of $1.55. Revenue for the quarter came in at $1.228 billion, surpassing analysts' projections of $1.220 billion. This represents an 18.53% increase in revenue compared to the same period last year.
Ensign Group's strong performance was driven by impressive results in its skilled nursing segment. The company reported increases in occupancy rates and skilled mix, with same facility occupancy rising to 82.1% and skilled mix revenue reaching 51.2%. These improvements highlight the company's ability to attract higher-acuity patients and optimize its revenue mix.
In light of the robust second-quarter results, Ensign Group raised its full-year 2025 guidance. The company now expects adjusted earnings per share to be between $6.34 and $6.46, up from the previous range of $6.22 to $6.38. Additionally, revenue guidance was increased to $4.99 billion to $5.02 billion, up from $4.89 billion to $4.94 billion previously.
The market's enthusiastic response to Ensign Group's earnings report reflects investor confidence in the company's growth trajectory and its ability to capitalize on opportunities in the healthcare services sector. As the company continues to expand its operations and improve operational efficiency, it appears well-positioned for continued success in the coming quarters.
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