News Release Details

Full-Year Guidance Increased Due Mainly to VITAS Outperformance

CINCINNATI, July 28, 2026 (GLOBE NEWSWIRE) -- Chemed Corporation (Chemed) (NYSE: CHE), which operates VITAS Healthcare Corporation (VITAS), the nation’s largest providers of end-of-life care, and Roto-Rooter, the nation’s largest commercial and residential plumbing and drain cleaning services provider, reported financial results for its second quarter ended June 30, 2026, versus the comparable prior-year period.

Results for Quarter Ended June 30, 2026

Consolidated operating results:

• Revenue increased 8.8% to $673.3 million
• GAAP Diluted Earnings-per-Share (EPS) of $5.13, an increase of 43.7%
• Adjusted Diluted EPS of $6.06, an increase of 41.9%
  
  

VITAS segment operating results:

• Net Patient Revenue of $443.3 million, an increase of 11.9%
• Average Daily Census (ADC) of 23,687, an increase of 6.1%
• Admissions of 19,125, an increase of 9.0%
• Net Income, excluding certain discrete items, of $61.3 million, an increase of 60.5%
• Adjusted EBITDA, excluding Medicare Cap, of $80.6 million, an increase of 20.6%
• Adjusted EBITDA margin, excluding Medicare Cap, of 18.2%, an increase of 196-basis points
  
  

Roto-Rooter segment operating results:

• Revenue of $229.9 million, an increase of 3.3%
• Net Income, excluding certain discrete items, of $33.8 million, essentially flat
• Adjusted EBITDA of $48.5 million, essentially flat
• Adjusted EBITDA margin of 21.1%, a decline of 77-basis points

VITAS

VITAS net revenue was $443.3 million in the second quarter of 2026, which is an increase of 11.9% when compared to the prior-year period. This revenue increase is comprised primarily of a 6.1% increase in days-of-care and a geographically weighted average Medicare reimbursement rate increase of approximately 2.4%. Acuity mix shift negatively impacted revenue growth 115-basis points in the quarter when compared to the prior-year period’s revenue and level-of-care mix. The combination of Medicare Cap and other contra revenue changes positively impacted revenue growth by 455-basis points.

Total VITAS admissions increased 9.0% in the second quarter of 2026 compared to the second quarter of 2025.

In the second quarter of 2026, VITAS accrued $500,000 in Medicare Cap billing limitation. This compares to the Medicare Cap billing limitation recorded in the second quarter of 2025 of $16.4 million. No Medicare Cap billing limitation was recorded in the second quarter of 2026 for the Florida combined program, and none is anticipated for the 2026 fiscal period.

Of VITAS’ 33 Medicare provider numbers, 22 provider numbers have an anticipated full-year Medicare Cap cushion of 10% or greater, seven provider numbers have a cushion between 0% and 10%, and four provider numbers have a Medicare Cap billing limitation totaling $7.0 million.

Average revenue per patient per day in the second quarter of 2026 was $209.98 which is 143-basis points above the prior-year period. Reimbursement for routine home care and high-acuity care averaged $188.62 and $1,152.14, respectively. During the quarter, high-acuity days-of-care were 2.2% of total days of care, a decline of 24-basis points when compared to the prior-year quarter.

The second quarter 2026 gross margin, excluding Medicare Cap, was 23.9%, a 164-basis point increase from the same period of 2025. Selling, general and administrative expenses were $26.1 million in the second quarter of 2026 compared to $25.1 million in the prior- year quarter.

Adjusted EBITDA, excluding Medicare Cap, totaled $80.6 million in the quarter, an increase of 20.6% when compared to the prior-year period. Adjusted EBITDA margin in the quarter, excluding Medicare Cap, was 18.2%.

Roto-Rooter

Roto-Rooter generated quarterly revenue of $229.9 million in the second quarter of 2026, an increase of 3.3%, when compared to the prior-year quarter.

Roto-Rooter branch commercial revenue in the quarter totaled $56.8 million, an increase of 6.8% from the prior-year period. This aggregate commercial revenue change consisted of plumbing increasing 11.9%, drain cleaning increasing 6.9%, water restoration increasing 3.7% and excavation increasing 2.3%.

Roto-Rooter branch residential revenue in the quarter totaled $159.1 million, an increase of 1.7%, over the prior-year period. This aggregate residential revenue change consisted of excavation increasing 11.1%, plumbing increasing 3.3%, and drain cleaning increasing 1.3%, offset by a decline in water restoration of 6.7%.

In the second quarter of 2026, revenue from independent contractors was $17.1 million which is a decline of 1.9% as compared to the same period of 2025.

Roto-Rooter’s second quarter 2026 gross margin was 50.4%. This compares to the prior-year quarter’s gross margin of 49.0%. Roto-Rooter’s selling, general and administrative expenses were $67.4 million in the quarter, which is an increase of 11.3% compared to the second quarter of 2025.

Adjusted EBITDA in the second quarter of 2026 totaled $48.5 million, essentially flat when compared to the second quarter of 2025. The Adjusted EBITDA margin in the quarter was 21.1% which represents a 77-basis point decline from the second quarter of 2025.

Chemed Consolidated

As of June 30, 2026, Chemed had total cash and cash equivalents of $40.2 million and $140.0 million in long-term debt.

In April 2026, Chemed entered into a new five-year $450 million Amended and Restated Credit Agreement (Credit Agreement). This Credit Agreement consists of a $450 million revolving line of credit and a $250 million expansion feature. The interest rate on this Credit Agreement has a floating rate that is currently SOFR plus 100-basis points. There is approximately $262.7 million undrawn borrowing capacity under the Credit Agreement after excluding $47.3 million for Letters of Credit.

During the quarter, the Company repurchased 210,000 shares of Chemed stock for $89.8 million which equates to a cost per share of $427.81. Over the trailing 12-months, the Company has repurchased 1,517,500 shares of Chemed stock at an average price of $423.63 per share. This equates to a reduction in outstanding Chemed shares of approximately 10.5% over that period. As of June 30, 2026, there was approximately $139.8 million of remaining share repurchase authorization under its plan.

Guidance Update

Although, historically, we do not give quarterly updates, our guidance was revised in conjunction with the first quarter 2026 earnings release due to the materially improved performance of VITAS, coupled with the level of share repurchases. We have updated the guidance again mainly to continue our normal, historical cadence of updating expectations at the mid-year earnings release. Barring any unusual developments, updating guidance once per year in conjunction with our second quarter press release is our on-going expectation. Further operational detail will be provided during the investor conference call.

VITAS’ initiatives to return to a normal growth pattern after managing the 2025 Medicare Cap issue progressed more quickly than originally anticipated and continue to provide higher than expected growth in the business. The following shows the updated key guidance metrics compared to the guidance metrics provided in the first quarter 2026 earnings release:

		Revised			Range
		Range			Q1 Release
ADC growth		5.75% - 6.25%			4.5% - 5.5%
Revenue growth, excluding Medicare Cap		8.25% - 9.25%			6.5% - 7.5%
Medicare Cap billing limitation (full year)		$7,000			$9,500
EBITDA margin, excluding Medicare Cap		19.0% - 19.5%			18.0% - 18.5%

Roto-Rooter performed in-line with our expectations and therefore, full year guidance for the segment remains unchanged. Full year anticipated revenue growth is 3.0% to 3.5%. Estimated adjusted EBITDA margin is 21.5% to 22.5%.

Based on the above, full-year 2026 earnings per diluted share, excluding non-cash expenses for stock options, tax benefits from stock option exercises, costs related to litigation and other discrete items, are estimated to be in the range of $25.00 to $25.75. This compares to the guidance given in conjunction with the first quarter of 2026 press release of $24.00 to $24.75 per diluted share. The mid-point of the revised guidance represents a 17.8% increase from 2025 adjusted earnings per diluted share of $21.55. The revised guidance assumes an effective corporate tax rate on adjusted earnings of 24.5% and a diluted share count of 13.5 million shares.  

Conference Call

As previously disclosed, Chemed will host a conference call and webcast at 10 a.m., ET, on Wednesday July 29, 2026, to discuss the company's quarterly results and to provide an update on its business. Participants may access a live webcast of the conference call through the investor relations section of Chemed’s website, Investor Relations Home | Chemed Corporation or the hosting website https://edge.media-server.com/mmc/p/u8u2qjst.

Participants may also register via teleconference at:
https://register-conf.media-server.com/register/BI55b09312fbd04f76b526dfcc5f7e174e.

Once registration is completed, participants will be provided with a dial-in number containing a personalized conference code to access the call. All participants are instructed to dial-in 15 minutes prior to the start time.

A taped replay of the conference call will be available beginning approximately two hours after the call's conclusion. You may access the replay via webcast through the investor relations section of Chemed’s website.

Chemed operates in the healthcare field through its VITAS Healthcare Corporation subsidiary. VITAS provides daily hospice services to patients with severe, life-limiting illnesses. This type of care is focused on making the terminally ill patient's final days as comfortable and pain-free as possible.

Chemed operates in the residential and commercial plumbing and drain cleaning industry under the brand name Roto-Rooter. Roto-Rooter provides plumbing, drain cleaning, and water cleanup services through company-owned branches, independent contractors and franchisees in the United States and Canada. Roto-Rooter also has licensed master franchisees in the republics of Indonesia and Singapore, and the Philippines.

This press release contains information about Chemed’s EBITDA, Adjusted EBITDA, and Adjusted Diluted EPS, which are not measures derived in accordance with GAAP and which exclude components that are important to understanding Chemed’s financial performance. In reporting its operating results, Chemed provides EBITDA, Adjusted EBITDA and Adjusted Diluted EPS measures to help investors and others evaluate the Company’s operating results, compare its operating performance with that of similar companies that have different capital structures and evaluate its ability to meet its future debt service, capital expenditures and working capital requirements. Chemed’s management similarly uses EBITDA, Adjusted EBITDA, and Adjusted Diluted EPS to assist it in evaluating the performance of the Company across fiscal periods and in assessing how its performance compares to its peer companies. These measures also help Chemed’s management to estimate the resources required to meet Chemed’s future financial obligations and expenditures. Chemed’s EBITDA, Adjusted EBITDA and Adjusted Diluted EPS should not be considered in isolation or as a substitute for comparable measures calculated and presented in accordance with GAAP. We calculated Adjusted EBITDA Margin by dividing Adjusted EBITDA by service revenue and sales. A reconciliation of Chemed’s net income to its EBITDA, Adjusted EBITDA and Adjusted Diluted EPS is presented in the tables following the text of this press release.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 REGARDING FORWARD-LOOKING INFORMATION

Statements in this press release contain forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “anticipate,” “intend,” “plan,” “goal,” “seek,” “believe,” “project,” “estimate,” “expect,” “strategy,” “future,” “likely,” “may,” “should,” “will” and similar references to future periods and are based upon assumptions subject to certain known and unknown risks, uncertainties, contingencies and other factors, including, but not limited to, the impact of laws and regulations on Chemed’s operations, including Medicare Cap and Medicare reimbursement rates, Chemed’s estimates of the effect of Medicare Cap on VITAS’ revenues and future prospects, Chemed’s expectations regarding VITAS’ patient mix and Chemed’s expectations regarding demand for Roto-Rooter’s services.

Because forward looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of Chemed’s control. Chemed’s actual results and financial condition may differ materially from those indicated in the forward-looking statements included in this press release, including as a result of the risks described above and those described in the Chemed’s Annual Report on Form 10-K for the year ended December 31, 2025 and in its Quarterly Reports filed in 2026. Any forward-looking statement made by Chemed in this press release is based only on information currently available to Chemed and speaks only as of the date on which it is made. Chemed undertakes no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

CONTACT:
Michael D. Witzeman
(513) 762-6714

CHEMED CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share data)(unaudited)
		Three Months Ended June 30,								Six Months Ended June 30,
		2026				2025				2026				2025
Service revenues and sales		$	673,251			$	618,798			$	1,330,764				1,265,741
Cost of services provided and goods sold			451,780				434,105				893,529				864,635
Selling, general and administrative expenses (aa)			115,203				100,323				229,524				205,910
Depreciation			14,267				13,689				28,570				27,134
Amortization			2,719				2,571				5,289				5,143
Other operating expense			78				26				70				77
Total costs and expenses			584,047				550,714				1,156,982				1,102,899
Income from operations			89,204				68,084				173,782				162,842
Interest expense			(1,789	)			(443	)			(2,301	)			(772	)
Other income--net (bb)			3,914				3,474				8,688				4,719
Income before income taxes			91,329				71,115				180,169				166,789
Income taxes			(23,626	)			(18,622	)			(46,164	)			(42,539	)
Net income		$	67,703			$	52,493			$	134,005			$	124,250
Earnings Per Share
Net income		$	5.14			$	3.60			$	9.98			$	8.51
Average number of shares outstanding			13,174				14,591				13,423				14,606
Diluted Earnings Per Share
Net income		$	5.13			$	3.57			$	9.97			$	8.43
Average number of shares outstanding			13,199				14,703				13,442				14,733
(aa)    Selling, general and administrative ("SG&A") expenses comprise (in thousands):
		Three Months Ended June 30,								Six Months Ended June 30,
		2026				2025				2026				2025
SG&A expenses before long-term incentive compensation
and the impact of market value adjustments related to
deferred compensation plans		$	109,256			$	98,552			$	218,187			$	202,312
Market value adjustments related to deferred
compensation trusts			3,699				918				7,584				88
Long-term incentive compensation			2,248				853				3,753				3,510
Total SG&A expenses		$	115,203			$	100,323			$	229,524			$	205,910
(bb)    Other income--net comprises (in thousands):
		Three Months Ended June 30,								Six Months Ended June 30,
		2026				2025				2026				2025
Market value adjustments related to deferred
compensation trusts		$	3,699			$	918			$	7,584			$	88
Interest income			214				2,555				1,104				4,631
Other			1				1				-				-
Total other income--net		$	3,914			$	3,474			$	8,688			$	4,719

CHEMED CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATED BALANCE SHEETS
(in thousands, except per share data)(unaudited)
		June 30,
		2026				2025
Assets
Current assets
Cash and cash equivalents		$	40,222			$	249,904
Accounts receivable less allowances			188,634				184,880
Inventories			7,630				9,148
Prepaid income taxes			17,646				14,239
Prepaid expenses			37,103				33,206
Total current assets			291,235				491,377
Investments of deferred compensation plans held in trust			148,153				129,560
Properties and equipment, at cost less accumulated depreciation			208,499				202,281
Lease right of use asset			142,535				131,948
Identifiable intangible assets less accumulated amortization			78,601				87,360
Goodwill			699,398				666,996
Other assets			11,164				8,325
Total Assets		$	1,579,585			$	1,717,847
Liabilities
Current liabilities
Accounts payable		$	84,713			$	50,864
Accrued insurance			72,455				66,888
Accrued compensation			63,794				54,688
Short-term lease liability			41,277				43,700
Other current liabilities			57,607				47,746
Total current liabilities			319,846				263,886
Deferred income taxes			15,050				12,703
Deferred compensation liabilities			146,986				127,699
Long-term debt			140,000				-
Long-term lease liability			113,516				101,861
Other liabilities			13,677				13,213
Total Liabilities			749,075				519,362
Stockholders' Equity
Capital stock			37,613				37,593
Paid-in capital			1,617,125				1,576,165
Retained earnings			3,073,331				2,831,540
Treasury stock, at cost			(3,900,000	)			(3,249,115	)
Deferred compensation payable in Company stock			2,441				2,302
Total Stockholders' Equity			830,510				1,198,485
Total Liabilities and Stockholders' Equity		$	1,579,585			$	1,717,847

CHEMED CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)(unaudited)
		For the Six Months Ended June 30,
		2026				2025
Cash Flows from Operating Activities
Net income		$	134,005			$	124,250
Adjustments to reconcile net income to net cash provided
by operating activities:
Depreciation and amortization			33,859				32,277
Stock option expense			18,302				18,307
Benefit for deferred income taxes			(4,262	)			(13,243	)
Noncash long-term incentive compensation			3,633				3,273
Noncash directors' compensation			1,191				1,123
Legal settlements			548				-
Amortization of debt issuance costs			163				160
Changes in operating assets and liabilities, excluding
amounts acquired in business combinations:
Increase in accounts receivable			(6,716	)			(13,466	)
Increase in inventories			(87	)			(955	)
Increase in prepaid expenses			(10,285	)			(7,232	)
Increase/(decrease) in accounts payable and
other current liabilities			9,174				(12,449	)
Change in current income taxes			(8,985	)			(10,764	)
Net change in lease assets and liabilities			292				(72	)
(Increase)/decrease in other assets			(9,489	)			48,426
Increase in other liabilities			11,191				1,521
Other sources			498				194
Net cash provided by operating activities			173,032				171,350
Cash Flows from Investing Activities
Business combinations, net of cash acquired			(33,540	)			(225	)
Capital expenditures			(32,639	)			(29,088	)
Proceeds from sale of fixed assets			422				480
Other uses			(270	)			(322	)
Net cash used by investing activities			(66,027	)			(29,155	)
Cash Flows from Financing Activities
Proceeds from revolving line of credit			491,480				-
Payments on revolving line of credit			(351,480	)			-
Purchases of treasury stock			(287,521	)			(76,168	)
Change in cash overdrafts payable			23,305				309
Dividends paid			(16,049	)			(14,542	)
Proceeds from exercise of stock options			2,731				27,152
Capital stock surrendered to pay taxes on stock-based compensation			(1,482	)			(8,484	)
Debt issuance costs			(1,349	)			-
Other (uses)/sources			(933	)			1,092
Net cash used by financing activities			(141,298	)			(70,641	)
(Decrease)/increase in Cash and Cash Equivalents			(34,293	)			71,554
Cash and cash equivalents at beginning of year			74,515				178,350
Cash and cash equivalents at end of period		$	40,222			$	249,904

CHEMED CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATING STATEMENTS OF INCOME
FOR THE THREE MONTHS ENDED JUNE 30, 2026 AND 2025
(in thousands)(unaudited)
														Chemed
		VITAS				Roto-Rooter				Corporate				Consolidated
2026 (a)
Service revenues and sales		$	443,341			$	229,910			$	-			$	673,251
Cost of services provided and goods sold			337,691				114,089				-				451,780
Selling, general and administrative expenses			26,105				67,373				21,725				115,203
Depreciation			5,781				8,474				12				14,267
Amortization			27				2,692				-				2,719
Other operating expense			28				50				-				78
Total costs and expenses			369,632				192,678				21,737				584,047
Income/(loss) from operations			73,709				37,232				(21,737	)			89,204
Interest expense			(54	)			(185	)			(1,550	)			(1,789	)
Intercompany interest income/(expense)			6,480				4,575				(11,055	)			-
Other income—net			66				10				3,838				3,914
Income/(loss) before income taxes			80,201				41,632				(30,504	)			91,329
Income taxes			(19,290	)			(9,719	)			5,383				(23,626	)
Net income/(loss)		$	60,911			$	31,913			$	(25,121	)		$	67,703
2025 (b)
Service revenues and sales		$	396,201			$	222,597			$	-			$	618,798
Cost of services provided and goods sold			320,644				113,461				-				434,105
Selling, general and administrative expenses			25,085				60,536				14,702				100,323
Depreciation			5,314				8,363				12				13,689
Amortization			26				2,545				-				2,571
Other operating expense/(income)			55				(29	)			-				26
Total costs and expenses			351,124				184,876				14,714				550,714
Income/(loss) from operations			45,077				37,721				(14,714	)			68,084
Interest expense			(47	)			(129	)			(267	)			(443	)
Intercompany interest income/(expense)			5,454				3,970				(9,424	)			-
Other income—net			61				23				3,390				3,474
Income/(loss) before income taxes			50,545				41,585				(21,015	)			71,115
Income taxes			(12,326	)			(9,671	)			3,375				(18,622	)
Net income/(loss)		$	38,219			$	31,914			$	(17,640	)		$	52,493
The "Footnotes to Financial Statements" are integral parts of this financial information.
CHEMED CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATING STATEMENTS OF INCOME
FOR THE SIX MONTHS ENDED JUNE 30, 2026 AND 2025
(in thousands)(unaudited)
														Chemed
		VITAS				Roto-Rooter				Corporate				Consolidated
2026 (a)
Service revenues and sales		$	863,358			$	467,406			$	-			$	1,330,764
Cost of services provided and goods sold			663,157				230,372				-				893,529
Selling, general and administrative expenses			52,213				135,302				42,009				229,524
Depreciation			11,693				16,853				24				28,570
Amortization			53				5,236				-				5,289
Other operating expense/(income)			80				(9	)			(1	)			70
Total costs and expenses			727,196				387,754				42,032				1,156,982
Income/(loss) from operations			136,162				79,652				(42,032	)			173,782
Interest expense			(104	)			(321	)			(1,876	)			(2,301	)
Intercompany interest income/(expense)			12,717				9,088				(21,805	)			-
Other income—net			161				25				8,502				8,688
Income/(loss) before income taxes			148,936				88,444				(57,211	)			180,169
Income taxes			(35,818	)			(20,747	)			10,401				(46,164	)
Net income/(loss)		$	113,118			$	67,697			$	(46,810	)		$	134,005
2025 (b)
Service revenues and sales		$	803,600			$	462,141			$	-			$	1,265,741
Cost of services provided and goods sold			633,451				231,184				-				864,635
Selling, general and administrative expenses			51,624				123,184				31,102				205,910
Depreciation			10,509				16,601				24				27,134
Amortization			52				5,091				-				5,143
Other operating expense/(income)			119				(42	)			-				77
Total costs and expenses			695,755				376,018				31,126				1,102,899
Income/(loss) from operations			107,845				86,123				(31,126	)			162,842
Interest expense			(95	)			(261	)			(416	)			(772	)
Intercompany interest income/(expense)			10,750				7,900				(18,650	)			-
Other income—net			110				32				4,577				4,719
Income/(loss) before income taxes			118,610				93,794				(45,615	)			166,789
Income taxes			(30,361	)			(21,936	)			9,758				(42,539	)
Net income/(loss)		$	88,249			$	71,858			$	(35,857	)		$	124,250
The "Footnotes to Financial Statements" are integral parts of this financial information.

CHEMED CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATING SUMMARIES OF EBITDA
FOR THREE MONTHS ENDED JUNE 30, 2026 AND 2025
(in thousands)(unaudited)
														Chemed
		VITAS				Roto-Rooter				Corporate				Consolidated
2026
Net income/(loss)		$	60,911			$	31,913			$	(25,121	)		$	67,703
Add/(deduct):
Interest expense			54				185				1,550				1,789
Income taxes			19,290				9,719				(5,383	)			23,626
Depreciation			5,781				8,474				12				14,267
Amortization			27				2,692				-				2,719
EBITDA			86,063				52,983				(28,942	)			110,104
Add/(deduct):
Intercompany interest expense/(income)			(6,480	)			(4,575	)			11,055				-
Interest income			(66	)			(10	)			(138	)			(214	)
Stock option expense			-				-				9,052				9,052
Long-term incentive compensation			-				-				2,248				2,248
Legal settlements			548				-				-				548
Acquisition expense			8				60				-				68
Adjusted EBITDA		$	80,073			$	48,458			$	(6,725	)		$	121,806
2025
Net income/(loss)		$	38,219			$	31,914			$	(17,640	)		$	52,493
Add/(deduct):
Interest expense			47				129				267				443
Income taxes			12,326				9,671				(3,375	)			18,622
Depreciation			5,314				8,363				12				13,689
Amortization			26				2,545				-				2,571
EBITDA			55,932				52,622				(20,736	)			87,818
Add/(deduct):
Intercompany interest expense/(income)			(5,454	)			(3,970	)			9,424				-
Interest income			(61	)			(23	)			(2,472	)			(2,556	)
Stock option expense			-				-				9,216				9,216
Long-term incentive compensation			-				-				853				853
Adjusted EBITDA		$	50,417			$	48,629			$	(3,715	)		$	95,331
The "Footnotes to Financial Statements" are integral parts of this financial information.
CHEMED CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATING SUMMARIES OF EBITDA
FOR THE SIX MONTHS ENDED JUNE 30, 2026 AND 2025
(in thousands)(unaudited)
														Chemed
		VITAS				Roto-Rooter				Corporate				Consolidated
2026
Net income/(loss)		$	113,118			$	67,697			$	(46,810	)		$	134,005
Add/(deduct):
Interest expense			104				321				1,876				2,301
Income taxes			35,818				20,747				(10,401	)			46,164
Depreciation			11,693				16,853				24				28,570
Amortization			53				5,236				-				5,289
EBITDA			160,786				110,854				(55,311	)			216,329
Add/(deduct):
Intercompany interest expense/(income)			(12,717	)			(9,088	)			21,805				-
Interest income			(162	)			(25	)			(917	)			(1,104	)
Stock option expense			-				-				18,302				18,302
Long-term incentive compensation			-				-				3,753				3,753
Legal settlements			548				-				-				548
Acquisition expense			8				226				-				234
Adjusted EBITDA		$	148,463			$	101,967			$	(12,368	)		$	238,062
2025
Net income/(loss)		$	88,249			$	71,858			$	(35,857	)		$	124,250
Add/(deduct):
Interest expense			95				261				416				772
Income taxes			30,361				21,936				(9,758	)			42,539
Depreciation			10,509				16,601				24				27,134
Amortization			52				5,091				-				5,143
EBITDA			129,266				115,747				(45,175	)			199,838
Add/(deduct):
Intercompany interest expense/(income)			(10,750	)			(7,900	)			18,650				-
Interest income			(110	)			(33	)			(4,489	)			(4,632	)
Stock option expense			-				-				18,307				18,307
Long-term incentive compensation			-				-				3,510				3,510
Adjusted EBITDA		$	118,406			$	107,814			$	(9,197	)		$	217,023
The "Footnotes to Financial Statements" are integral parts of this financial information.

CHEMED CORPORATION AND SUBSIDIARY COMPANIES
RECONCILIATION OF ADJUSTED NET INCOME
(in thousands, except per share data)(unaudited)
		Three Months Ended June 30,								Six Months Ended June 30,
		2026				2025				2026				2025
Net income as reported		$	67,703			$	52,493			$	134,005			$	124,250
Add/(deduct) pre-tax cost of:
Stock option expense			9,052				9,216				18,302				18,307
Amortization of reacquired franchise rights			2,352				2,352				4,704				4,704
Long-term incentive compensation			2,248				853				3,753				3,510
Legal settlements			548				-				548				-
Acquisition expense			68				-				234				-
Add/(deduct) tax impacts:
Tax impact of the above pre-tax adjustments (1)			(2,377	)			(2,143	)			(4,626	)			(4,462	)
Excess tax expenses/(benefits) on stock compensation			445				(50	)			501				(513	)
Adjusted net income		$	80,039			$	62,721			$	157,421			$	145,796
Diluted Earnings Per Share As Reported
Net income		$	5.13			$	3.57			$	9.97			$	8.43
Average number of shares outstanding			13,199				14,703				13,442				14,733
Adjusted Diluted Earnings Per Share
Adjusted net income		$	6.06			$	4.27			$	11.71			$	9.90
Average number of shares outstanding			13,199				14,703				13,442				14,733
(1) The tax impact of pre-tax adjustments was calculated using the effective tax rate of the operating unit for which each adjustment is associated.
The "Footnotes to Financial Statements" are integral parts of this financial information.

CHEMED CORPORATION AND SUBSIDIARY COMPANIES
OPERATING STATISTICS FOR VITAS SEGMENT
(unaudited)
	Three Months Ended June 30,									For the Six Months Ended June 30,
OPERATING STATISTICS	2026				2025					2026				2025
Net revenue ($000) (c)
Homecare	$	391,348			$	358,042				$	762,438			$	709,608
Inpatient		35,673				33,023					71,599				67,045
Continuous care		19,396				23,640					37,530				48,276
Other		6,206				5,747					11,783				11,092
Subtotal	$	452,623			$	420,452				$	883,350			$	836,021
Room and board, net		(3,938	)			(3,892	)				(7,196	)			(7,417	)
Contractual allowances		(4,844	)			(3,984	)				(9,921	)			(6,304	)
Medicare cap allowance		(500	)			(16,375	)				(2,875	)			(18,700	)
Net Revenue	$	443,341			$	396,201				$	863,358			$	803,600
Net revenue as a percent of total before Medicare cap allowance
Homecare		86.5	%			85.2	%				86.4	%			84.9	%
Inpatient		7.9				7.9					8.1				8.0
Continuous care		4.3				5.6					4.2				5.8
Other		1.3				1.3					1.3				1.3
Subtotal		100.0				100.0					100.0				100.0
Room and board, net		(0.9	)			(0.9	)				(0.9	)			(0.9	)
Contractual allowances		(1.1	)			(0.9	)				(1.1	)			(0.8	)
Medicare cap allowance		(0.1	)			(3.9	)				(0.3	)			(2.2	)
Net Revenue		97.9	%			94.3	%				97.7	%			96.1	%
Days of care
Homecare		1,792,360				1,662,455					3,483,979				3,295,024
Nursing home		303,053				307,158					597,871				614,266
Respite		12,307				11,440					23,182				21,435
Subtotal routine homecare and respite		2,107,720				1,981,053					4,105,032				3,930,725
Inpatient		29,703				28,213					60,177				57,917
Continuous care		18,094				21,647					35,382				44,267
Total		2,155,517				2,030,913					4,200,591				4,032,909
Number of days in relevant time period		91				91					181				181
Average daily census ("ADC") (days)
Homecare		19,697				18,269					19,249				18,205
Nursing home		3,330				3,375					3,303				3,394
Respite		135				126					128				118
Subtotal routine homecare and respite		23,162				21,770					22,680				21,717
Inpatient		326				310					333				320
Continuous care		199				238					195				244
Total		23,687				22,318					23,208				22,281
Total Admissions		19,125				17,545					38,519				35,684
Total Discharges		18,167				17,845					36,704				35,583
Average length of stay (days)		101.2				137.1					101.9				127.9
Median length of stay (days)		16.0				20.0					15.0				18.0
ADC by major diagnosis
Cerebro		44.2	%			44.4	%				44.4	%			44.6	%
Neurological		11.1				12.1					11.2				12.2
Cancer		9.5				9.7					9.5				9.6
Cardio		16.6				16.2					16.5				16.1
Respiratory		8.0				7.5					7.8				7.3
Other		10.6				10.1					10.6				10.2
Total		100.0	%			100.0	%				100.0	%			100.0	%
Admissions by major diagnosis
Cerebro		27.3	%			26.7	%				27.1	%			27.6	%
Neurological		7.1				7.2					7.0				6.8
Cancer		24.7				26.6					24.1				25.6
Cardio		15.2				14.9					15.5				15.0
Respiratory		11.8				10.7					12.1				11.1
Other		13.9				13.9					14.2				13.9
Total		100.0	%			100.0	%				100.0	%			100.0	%
Estimated uncollectible accounts as a percent of revenues		0.7	%			1.0	%				1.1	%			0.8	%
Accounts receivable --
Days of revenue outstanding-excluding unapplied Medicare payments		39.7				37.5					n.a.				n.a.
Days of revenue outstanding-including unapplied Medicare payments		26.9				26.9					n.a.				n.a.

CHEMED CORPORATION AND SUBSIDIARY COMPANIES
FOOTNOTES TO FINANCIAL STATEMENTS
FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2026 AND 2025
(unaudited)
(a)	Included in the results of operations for 2026 are the following significant credits/(charges) which may not be indicative of ongoing operations
	(in thousands):
			Three Months Ended June 30, 2026
			VITAS				Roto-Rooter				Corporate				Consolidated
	Stock option expense		$	-			$	-			$	(9,052	)		$	(9,052	)
	Amortization of reacquired franchise agreements			-				(2,352	)			-				(2,352	)
	Long-term incentive compensation			-				-				(2,248	)			(2,248	)
	Legal settlements			(548	)			-				-				(548	)
	Acquisition expense			(8	)			(60	)			-				(68	)
	Pretax impact on earnings			(556	)			(2,412	)			(11,300	)			(14,268	)
	Excess tax expenses on stock compensation			-				-				(445	)			(445	)
	Income tax benefit on the above			135				562				1,680				2,377
	After-tax impact on earnings		$	(421	)		$	(1,850	)		$	(10,065	)		$	(12,336	)
			Six Months Ended June 30, 2026
			VITAS				Roto-Rooter				Corporate				Consolidated
	Stock option expense		$	-			$	-			$	(18,302	)		$	(18,302	)
	Amortization of reacquired franchise agreements			-				(4,704	)			-				(4,704	)
	Long-term incentive compensation			-				-				(3,753	)			(3,753	)
	Legal settlements			(548	)			-				-				(548	)
	Acquisition expense			(8	)			(226	)			-				(234	)
	Pretax impact on earnings			(556	)			(4,930	)			(22,055	)			(27,541	)
	Excess tax expenses on stock compensation			-				-				(501	)			(501	)
	Income tax benefit on the above			135				1,149				3,342				4,626
	After-tax impact on earnings		$	(421	)		$	(3,781	)		$	(19,214	)		$	(23,416	)
(b)	Included in the results of operations for 2025 are the following significant credits/(charges) which may not be indicative of ongoing operations
	(in thousands):
			Three Months Ended June 30, 2025
			VITAS				Roto-Rooter				Corporate				Consolidated
	Stock option expense		$	-			$	-			$	(9,216	)		$	(9,216	)
	Amortization of reacquired franchise agreements			-				(2,352	)			-				(2,352	)
	Long-term incentive compensation			-				-				(853	)			(853	)
	Pretax impact on earnings			-				(2,352	)			(10,069	)			(12,421	)
	Excess tax benefits on stock compensation			-				-				50				50
	Income tax benefit on the above			-				546				1,597				2,143
	After-tax impact on earnings		$	-			$	(1,806	)		$	(8,422	)		$	(10,228	)
			Six Months Ended June 30, 2025
			VITAS				Roto-Rooter				Corporate				Consolidated
	Stock option expense		$	-			$	-			$	(18,307	)		$	(18,307	)
	Amortization of reacquired franchise agreements			-				(4,704	)			-				(4,704	)
	Long-term incentive compensation			-				-				(3,510	)			(3,510	)
	Pretax impact on earnings			-				(4,704	)			(21,817	)			(26,521	)
	Excess tax benefits on stock compensation			-				-				513				513
	Income tax benefit on the above			-				1,091				3,371				4,462
	After-tax impact on earnings		$	-			$	(3,613	)		$	(17,933	)		$	(21,546	)
(c)	VITAS has 13 large (greater than 450 ADC), 24 medium (greater than 200 but less than 450 ADC) and 23 small (less than 200 ADC) hospice programs. Of Vitas' 33 Medicare provider numbers, for the current cap year, 22 provider numbers have a Medicare cap cushion of greater than 10%, seven provider numbers have a Medicare cap cushion between 0% and 10%, and four provider numbers have a Medicare cap liability.

Source: Chemed Corp.