NYSE$CHE

Chemed Corp · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Chemed reported results for the second quarter of 2022.

Chemed Corporation reported a slight decline in revenue but an increase in GAAP diluted earnings per share. The VITAS segment experienced revenue and ADC declines, while Roto-Rooter saw revenue growth.

  • Consolidated revenue declined 0.2% to $531 million.
  • GAAP Diluted Earnings-per-Share (EPS) increased 25.4% to $4.40.
  • VITAS net patient revenue declined 4.5% to $298 million.
  • Roto-Rooter revenue increased 6.0% to $233 million.

Headline financials

Total Revenue

$531M

Previous: $532M-0.2%
EPS (adj)

$4.84

Previous: $4.60+5.2%
Average Daily Census

17.3K

Previous: 18.0K-3.8%
VITAS Admissions

14.7K

Previous: 16.8K-12.5%
Capital Expenditures

-$25.6M

Previous: -$33.6M+23.8%
Free Cash Flow

$40.8M

Previous: $22.9M+78.2%
Net Income

$66.5M

Previous: $56.5M+17.6%
Operating Income

$91.9M

Previous: $71.7M+28.2%
Gross Profit

$194M

Previous: $182M+7.0%
Cash & Equivalents

$9.64M

Previous: $92M-89.5%
Total Assets

$1.31B

Previous: $1.38B-5.1%

Revenue & EPS history

Chemed · Revenue · Quarterly

$531M

Q2 2022-0.2%vs Q2 2021
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Chemed · $531M total across 2 segments · Q2 2022

  • VITAS Healthcare
    $298M-4.5%
  • Roto-Rooter
    $233M+5.9%

Forward guidance

Chemed provided guidance for the remainder of 2022, anticipating challenges due to the COVID-19 pandemic, inflation, and potential economic recession.

Tailwinds

  • Full-year 2022 earnings per diluted share are expected to be in the range of $19.30 to $19.50.
  • Roto-Rooter is forecasted to achieve full-year 2022 revenue growth of 5.5% to 5.7%.
  • Roto-Rooter’s adjusted EBITDA margin for 2022 is expected to be 29.2% to 29.5%.
  • VITAS adjusted EBITDA margin, prior to Medicare Cap, is estimated to be 17.0% to 17.2%.
  • Undrawn borrowing capacity of approximately $387 million under the credit agreement.

Headwinds

  • VITAS 2022 revenue, prior to Medicare Cap, is estimated to decline 4.5% to 5.0% when compared to 2021.
  • ADC is estimated to decline 3.5%.
  • Approximately $15 million revenue reduction due to the phase out of sequestration relief.
  • Currently estimating $10 million for Medicare Cap billing limitations in calendar year 2022.
  • COVID-19 pandemic, uncertainty regarding forward looking inflation, and a potential economic recession could materially impact the company’s ability to achieve this guidance.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

+0.7%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+2.1%

Avg return

30 days after

53%

36 / 68 earnings

Positive

+13.0%

Q3 2015

Best reaction

-14.8%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.4%-0.1%+4.0%
Q4 2025-14.8%-9.1%-21.0%
Q3 2025+6.0%+0.4%+0.1%
Q1 2025-6.6%-1.8%-2.7%
Q4 2024+7.4%+7.7%+11.0%
Q3 2024-12.0%-12.7%-6.2%
Q2 2024-0.1%+2.4%+5.7%
Q1 2024-7.0%-8.1%-9.9%
Q4 2023+5.1%+2.6%+7.3%
Q3 2023+9.3%+10.9%+14.4%
Q2 2023-8.1%-8.0%-10.8%
Q1 2023-3.7%-2.2%-4.1%
Q4 2022+3.3%+1.7%+1.9%
Q3 2022+3.2%+4.1%+12.6%
Q2 2022-6.8%-9.2%-8.3%
Q1 2022-1.4%-1.0%+0.8%
Q4 2021+5.1%+5.8%+3.8%
Q3 2021+9.2%+9.0%+9.4%
Q2 2021-4.4%-0.4%-2.4%
Q1 2021+1.5%+2.3%+6.1%
Q4 2020-0.8%-6.7%-3.9%
Q3 2020+1.2%+3.5%+0.2%
Q2 2020+9.0%+10.3%+12.2%
Q1 2020-3.9%-6.5%+5.6%
Q4 2019+3.2%-1.2%-23.1%
Q3 2019-1.7%+0.6%+5.9%
Q2 2019+3.7%+8.1%+13.9%
Q1 2019-0.6%+0.7%+0.3%
Q4 2018+1.3%+2.8%+1.9%
Q3 2018+6.2%+6.6%+7.6%
Q2 2018+0.4%-2.5%+0.1%
Q1 2018+3.0%+3.3%+13.4%
Q4 2017+2.4%+2.1%+12.9%
Q3 2017+9.1%+5.0%+12.7%
Q2 2017-1.1%-2.3%-6.3%
Q1 2017+10.0%+9.4%+9.0%
Q4 2016+1.9%+2.0%+9.1%
Q3 2016-0.3%+1.8%+6.3%
Q2 2016+5.0%+3.0%-7.9%
Q1 2016-6.7%
Q4 2015-5.6%
Q3 2015+13.0%
Q2 2015+5.1%
Q1 2015-4.7%
Q4 2014+7.5%
Q3 2014-1.2%
Q2 2014+4.3%
Q1 2014-3.3%
Q4 2013+10.5%
Q3 2013-5.2%
Q2 2013-7.3%
Q1 2013+3.4%
Q4 2012+4.9%
Q3 2012-2.0%
Q2 2012+5.1%
Q1 2012+2.9%
Q4 2011+0.0%
Q3 2011+1.5%
Q2 2011-5.8%
Q1 2010-2.6%
Q1 2011+1.8%
Q4 2008-1.6%
Q4 2010-1.6%
Q3 2009+1.4%
Q3 2010+1.4%
Q2 2010-0.9%
Q2 2009-0.9%
Q4 2009-0.9%

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