DENVER, Nov. 04, 2025 (GLOBE NEWSWIRE) -- InnovAge Holding Corp. ("InnovAge" or the "Company") (Nasdaq: INNV), an industry leader in providing comprehensive healthcare programs to frail, predominantly dual-eligible seniors through the Program of All-inclusive Care for the Elderly (PACE), today announced financial results for its fiscal first quarter ended September 30, 2025.
"We're off to a strong start in fiscal 2026," said Patrick Blair, CEO. "Our results reflect disciplined execution, continued investment in our people and technology, and growing momentum in the business. We remain focused on delivering high-quality, cost-effective care to more seniors while building the foundation for sustainable growth."
Financial Results
Three Months Ended September 30,
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2025 2024
in thousands, except percentages
and per share amounts
Total revenues $ 236,105 $ 205,142
Income (Loss) Before Income
Taxes 7,916 (5,306)
Net Income (Loss) 7,669 (5,710)
Net Income (Loss) margin 3.2% (2.8)%
Net Income (Loss) Attributable
to InnovAge Holding Corp. 8,019 (4,929)
Net Income (Loss) per share -
basic and diluted $ 0.06 $ (0.04)
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Center-level Contribution
Margin(1) $ 51,356 $ 34,541
Adjusted EBITDA(1) $ 17,642 $ 6,476
Adjusted EBITDA margin(1) 7.5% 3.2%
Fiscal First Quarter 2026 Financial Performance
-- Total revenues of $236.1 million, increased approximately 15.1% compared
to $205.1 million in the first quarter of fiscal year 2025
-- Income Before Income Taxes of $7.9 million increased approximately 249.2%,
compared to a Loss Before Income Taxes of $5.3 million in the first
quarter of fiscal year 2025
-- Income Before Income Taxes as a percent of revenue was 3.4%, an increase
of 5.9 percentage points, compared to Loss Before Income Tax as a percent
of revenue of 2.6% in the first quarter of fiscal year 2025
-- Center-level Contribution Margin(1) of $51.4 million, increased 48.7%
compared to $34.5 million in the first quarter of fiscal year 2025
-- Center-level Contribution Margin(1) as a percent of revenue was 21.8%, an
increase of 5.0 percentage points compared to 16.8% in the first quarter
of fiscal year 2025
-- Net income of $7.7 million, compared to net loss of $5.7 million in the
first quarter of fiscal year 2025
-- Net income margin of 3.2%, an increase of 6.0 percentage points, compared
to a net loss margin of 2.8% in the first quarter of fiscal year 2025
-- Net income attributable to InnovAge Holding Corp. of $8.0 million, or
earnings per share of $0.06, compared to net loss of $4.9 million, or a
loss of $0.04 per share in the first quarter of fiscal year 2025
-- Adjusted EBITDA(1) of $17.6 million, an increase of $11.2 million,
compared to Adjusted EBITDA of $6.5 million in the first quarter of
fiscal year 2025
-- Adjusted EBITDA(1) margin of 7.5%, an increase of 4.3 percentage points,
compared to 3.2% in the first quarter of fiscal year 2025
-- Census of approximately 7,890 participants compared to 7,210 participants
in the first quarter of fiscal year 2025
-- Ended the first quarter of fiscal year 2026 with $67.1 million in cash
and cash equivalents plus $42.3 million in short-term investments, and
$71.5 million in debt on the balance sheet, representing debt under the
Company's senior secured term loan, revolving credit facility and finance
lease obligations
(1) Center-level Contribution Margin and Center-level Contribution Margin as a percentage of revenue, Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP measures. For more details and for a definition and reconciliation of these non-GAAP measures to the most closely comparable GAAP measures for the periods indicated, see "Note Regarding Use of Non-GAAP Financial Measures" and "Reconciliation of GAAP and Non-GAAP Measures."
Full Fiscal Year 2026 Financial Guidance
Based on information as of today, November 4, 2025, InnovAge is confirming the following financial guidance.
Low High
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dollars in millions
Census 7,900 8,100
Total Member Months(1) 91,600 94,400
Total revenues $ 900 $ 950
Adjusted EBITDA(2) $ 56 $ 65
Expected results and estimates may be impacted by factors outside the Company's control, and actual results may be materially different from this guidance. See "Forward-Looking Statements - Safe Harbor" included herein.
(1) We define Total Member Months as the total number of participants as of period end multiplied by the number of months within a year in which each participant was enrolled in our program. Management believes this is a useful metric as it more precisely tracks the number of participants the Company serves throughout the year.
(2) Adjusted EBITDA is a non-GAAP measure. See "Note Regarding Use of Non-GAAP Financial Measures" and "Reconciliation of GAAP and Non-GAAP Measures" for a definition of Adjusted EBITDA and a reconciliation to net loss, the most closely comparable GAAP measure. The Company is unable to provide guidance for net loss or a reconciliation of the Company's Adjusted EBITDA guidance because it cannot provide a meaningful or accurate calculation or estimation of certain reconciling items without unreasonable effort. The Company's inability to do so is due to the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliation, including variations in effective tax rate, expenses to be incurred for acquisition activities and other one-time or exceptional items.
Conference Call
The Company will host a conference call this afternoon at 5:00 PM Eastern Time. A live audio webcast of the call will be available on the Company's website, https://investor.innovage.com. A replay of the call will be available via webcast for on-demand listening shortly after the completion of the call, at the same web link, and will remain available for a limited time. To access the call by phone, please go to this link (registration link), for dialing instructions and a unique access pin. We encourage participants to dial into the call fifteen minutes ahead of the scheduled start time.
About InnovAge
InnovAge is a market leader in managing the care of high-cost, frail, and predominantly dual-eligible seniors through the Program of All-inclusive Care for the Elderly (PACE). With a mission of enabling older adults to age independently in their own homes for as long as safely possible, InnovAge's patient-centered care model is designed to improve the quality of care our participants receive while reducing over-utilization of high-cost care settings. InnovAge believes its PACE healthcare model is one in which all constituencies -- participants, their families, providers and government payors -- "win." As of September 30, 2025, InnovAge served approximately 7,890 participants across 20 centers in six states. https://www.innovage.com.
Investor Contact:
Ryan Kubota
rkubota@innovage.com
Media Contact:
Lara Hazenfield
lhazenfield@innovage.com
Forward-Looking Statements - Safe Harbor
This press release may 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," "estimate," "expect," "project," "plan," "intend," "believe," "may," "will," "should," "can have," "likely" and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events. Forward-looking statements may be identified by the fact that they do not relate strictly to historical or current facts. Examples of forward-looking statements include, among others, statements we may make regarding quarterly or annual guidance; financial outlook, including future revenues and future earnings; the viability of our growth strategy including our ability or expectations to increase the number of participants we serve, build and/or open de novo centers, or to identify and execute tuck-in acquisitions, joint ventures and other strategic partnerships; the expected impact of government policies and the macroeconomic environment; our ability to control costs, mitigate the effects of elevated expenses or reduced healthcare budgets, expand our payer capabilities, implement clinical value and operational value initiatives and strengthen enterprise functions; and the effects of any of the foregoing on our future results of operations or financial conditions.
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