Encompass Health raises 2026 guidance as Q2 adjusted EPS rises 10.7% to $1.55
Encompass Health reported second-quarter 2026 net operating revenue of $1.6 billion, up 9.6% from a year earlier, and adjusted earnings per share of $1.55, up 10.7%. The company raised its full-year 2026 guidance for revenue, Adjusted EBITDA and adjusted EPS, and increased its common stock repurchase authorization to $1 billion, which may matter to shareholders because it signals higher expected earnings and more capital returned to shareholders.
Key points
- Q2 2026 net operating revenue was $1,597.4 million, up from $1,457.7 million, and Adjusted EBITDA was $348.0 million, up from $318.6 million.
- Full-year 2026 adjusted EPS guidance was raised to $6.02 to $6.25 from $5.89 to $6.11; Adjusted EBITDA guidance was raised to $1,365 million to $1,395 million from $1,350 million to $1,380 million.
- The board approved on July 23, 2026 an increase in the repurchase authorization to $1 billion; $145.8 million was repurchased year to date and about $188 million remained under the prior authorization as of June 30, 2026.
- Adjusted free cash flow was $177.0 million in the quarter, down 4.8% from $185.9 million a year earlier.
The filing
Written by AI (Anthropic Claude, claude-haiku-5-5) on Nov 8, 2026, 1:12 AM ET, from the text of the filing and its press-release exhibits only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on August 05, 2026.
Briefs are written by AI from the filing text (each brief's own page names the model) and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the model's reading of the filing for shareholders, not a price forecast. Not investment advice.