Encompass Health Corporation's stock surged 8.48% in after-hours trading on Thursday, following the release of the company's fourth-quarter financial results.
The significant price movement was driven by the company reporting better-than-expected earnings for Q4 2025. Encompass Health posted adjusted earnings per share of $1.46, surpassing the analyst consensus estimate of $1.30 by 12.48%. Quarterly sales of $1.545 billion also exceeded expectations, representing a 9.96% increase year-over-year.
Furthermore, the company issued its 2026 guidance, projecting adjusted earnings per share in the range of $5.81 to $6.10 and net operating revenue between $6.365 billion and $6.465 billion, signaling confidence in its future growth trajectory driven by capacity expansion and favorable demographic trends.
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