Amedisys Posts Strong Q1 2025 Results with Higher Net Income and Adjusted EBITDA


Amedisys, Inc. (NASDAQ: AMED), a leading provider of home health, hospice, and high-acuity care, reported robust financial performance for the first quarter of 2025, driven by revenue growth and a significant gain from an equity method investment.

Financial Overview

For the three-month period ended March 31, 2025, net service revenue rose to $594.8 million, up from $571.4 million in the prior-year quarter. The company recorded net income attributable to Amedisys, Inc. of $61.0 million, or $1.84 per diluted share, compared to $14.4 million, or $0.44 per share, a year earlier. The increase includes a $48.1 million gain on an equity method investment, partially offset by $16.8 million in merger-related expenses.

Adjusted Results

Adjusted EBITDA increased to $68.8 million, compared to $59.9 million in Q1 2024.

Adjusted net income attributable to Amedisys, Inc. was $41.6 million, up from $33.9 million.

Adjusted diluted earnings per share came in at $1.25, compared to $1.03 last year.

These adjustments exclude one-time merger-related costs and non-operational items such as the gain on the equity investment.

Operational and Strategic Context

Amedisys currently operates 519 care centers across 38 states and the District of Columbia, serving nearly half a million patients annually. In light of the pending merger with UnitedHealth Group, the company opted not to host a quarterly earnings call. However, supplemental earnings materials are available on its investor relations website.

Cash Flow and Liquidity

Despite the earnings boost, net cash used in operating activities totaled $3.7 million, primarily due to working capital changes. The company ended the quarter with $284.9 million in cash and equivalents, a slight decline from year-end 2024. Days revenue outstanding improved notably to 45.7 days, down from 54.1 a year ago.

Balance Sheet Position

Total assets reached $2.18 billion, with $1.2 billion in equity. Goodwill remained unchanged at $1.21 billion, while total liabilities slightly decreased to $939.5 million. The company also reported a termination fee of $106 million received from UnitedHealth Group as part of merger proceedings.

Outlook

While Amedisys continues to navigate regulatory processes and integration planning related to its merger with UnitedHealth Group, it demonstrated solid financial discipline and operational momentum in Q1. Management noted the impact of strategic investments and operational efficiencies, and reaffirmed its commitment to delivering value-based care at scale in the home setting.