Key Highlights

  • Adjusted Net Income per diluted share rose 17.3% to USD 1.83 in the third quarter, against USD 1.56 a year earlier, while GAAP diluted EPS reached USD 1.54 from USD 1.24.
  • Addus HomeCare (NASDAQ:ADUS) reported net service revenues of USD 387.7 million for the quarter, up 7.0% from USD 362.3 million, with adjusted EBITDA up 13.5% to USD 51.2 million.
  • Personal care made up 77.6% of third quarter Revenue and grew 6.9% organically, helped by a first full quarter from the HomeCourt Home Care acquisition.
  • Addus agreed on September 14, 2026 to buy AccentCare's personal care division for about USD 275.0 million, adding roughly USD 280 million of annualized revenue.

Third Quarter Numbers Behind the Adjusted EPS Jump

Addus HomeCare (NASDAQ:ADUS) released third quarter 2026 results on November 3, 2026 for the period ended September 30. Net service revenues rose 7.0% to USD 387.7 million from USD 362.3 million, and GAAP net income increased to USD 28.6 million, or USD 1.54 per diluted share, from USD 22.8 million, or USD 1.24. Adjusted net income per diluted share climbed 17.3% to USD 1.83 from USD 1.56. For the first nine months, revenues rose 7.6% to USD 1.129 billion, GAAP diluted EPS reached USD 4.39 against USD 3.60, and adjusted EPS reached USD 5.19 against USD 4.48. The company reported Operating Cash Flow of USD 40.9 million for the quarter.

Why Profit Grew Faster Than Revenue

Gross Margin was essentially flat at 32.1% against 32.2% a year earlier, so the faster profit growth came further down the income statement. Operating Income rose to USD 39.8 million from USD 32.9 million, because general and administrative costs grew about 1.4% while revenue grew 7.0% (simple arithmetic on the reported figures). Net interest expense fell to USD 0.7 million from USD 2.6 million, which helped pre-tax income. The adjusted figures exclude Acquisition expense of USD 0.16 per share, stock-based compensation of USD 0.12 and other non-recurring costs of USD 0.01. Management credited organic volume, the HomeCourt Home Care acquisition and earlier rate adjustments in Illinois, Texas and New Mexico for personal care growth.

AccentCare Deal, Hospice Comparison and Risks to Watch

The pending AccentCare transaction covers personal care operations outside New York and would expand the revenue base by nearly 19%, but it needs regulatory approvals and customary closing conditions. Addus ended September with USD 98.5 million of cash, bank Debt of USD 24.3 million and USD 617.8 million available under a USD 650.0 million revolver. Hospice made up 17.8% of revenue with average daily census up 4.3% organically, and home health, at 4.6% of revenue, returned to organic growth. The tax charge rose to about 26.9% of pre-tax income from about 24.7% (own arithmetic), trimming the flow-through. Risks named by the company include reimbursement changes, managed care transitions and integration of acquisitions. A conference call is scheduled for November 4, 2026 at 9:00 a.m. ET.

Where Things Stand

The adjusted EPS gain of 17.3% came mainly from operating leverage, lower interest costs and a first full quarter of an acquisition, not from margin expansion at the gross level. Addus HomeCare (NASDAQ:ADUS) grew revenue 7.0% while holding gross margin near 32%, and it carries low bank debt ahead of a USD 275.0 million purchase. The pending AccentCare personal care deal, the integration of roughly USD 280 million of annualized revenue and state reimbursement decisions are the main items to follow after the November 4, 2026 call. The release gave no formal guidance in the extract reviewed.