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Select Medical Q1 Earnings Miss Estimates on Higher Expenses

Select Medical reported Q1 2026 earnings below analyst estimates, impacted by higher expenses and lower patient days, while revenues exceeded expectations, supported by rehabilitation segment growth.

May 4, 2026
2 min read
Source: Zacks
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Key Numbers

revenue
1.7B
eps
0.42
revenue growth
5%
patient days change
-2%

Select Medical Holdings Corporation (NYSE: SEM) reported first-quarter 2026 results that missed analyst estimates, weighed down by higher expenses and weaker patient days, according to a Zacks report. However, revenues surpassed expectations, partly offset by growth in the rehabilitation segment.

Key Financial Results

MetricQ1 2026Change YoY
Revenue$1.7B+5%
EPS$0.42-10%
Patient Days-2%-2%

Highlights from the Release

The company attributed the earnings miss to higher operating costs, particularly in the acute hospital segment, and a decline in patient days. The rehabilitation segment provided some relief, posting revenue growth.

Guidance

The company did not provide specific guidance for the next quarter but emphasized ongoing efforts to improve operational efficiency and reduce costs.

Stock Impact

SEM shares fell 1.5% in after-hours trading, reflecting investor disappointment over the earnings miss.

What This Means for Investors

While the results fell short of expectations, the revenue beat and rehabilitation segment growth offer some positives. Investors should monitor the company's cost control measures and margin improvement in upcoming quarters.

Frequently Asked Questions

The earnings decline was due to higher expenses and lower patient days in the acute hospital segment.

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This article was rewritten in Wrqti's editorial style based on information from the original source above. Content is informational only — not investment advice.