Chemed revenue rises 10.6% as VITAS hospice growth offsets Roto-Rooter softness

Chemed Corporation reported third-quarter revenue of $690.9 million, up 10.6% from a year earlier, as its VITAS hospice business posted double-digit growth, according to its earnings release filed with an 8-K.

The parent of VITAS Healthcare and Roto-Rooter reported GAAP diluted earnings of $5.45 per share, up 22.2%. Adjusted diluted earnings were $6.75 per share, up 28.1%.

VITAS drives the gains

VITAS, the largest U.S. provider of end-of-life care, generated net patient revenue of $457.4 million, up 12.2%, according to the release. Average daily census, the number of patients served on a typical day, rose 9.4% to 24,428, and admissions climbed 7.2% to 18,995.

Excluding certain discrete items, VITAS net income rose 44.7% to $70.8 million. Adjusted EBITDA, excluding the effect of the Medicare cap, rose 31.4% to $92.5 million, with the margin up 318 basis points to 20.2%.

Roto-Rooter softer

Roto-Rooter, the plumbing and drain cleaning business, grew revenue 7.5% to $233.5 million. But net income excluding discrete items slipped 1.8% to $33.3 million, and adjusted EBITDA fell 2.5% to $48.2 million. The segment's adjusted EBITDA margin declined 213 basis points to 20.6%.

Why it matters

Chemed's two businesses move on different drivers. Hospice demand is supported by an aging population and Medicare reimbursement, while Roto-Rooter tracks housing and commercial maintenance spending. This quarter, strong patient growth at VITAS more than offset margin pressure at Roto-Rooter.

Chemed will hold a conference call on Oct. 28 to discuss the results and provide an update on the business, according to the release.

Sources

1. Chemed Corporation Form 8-K with third-quarter 2026 results, filed Oct. 27, 2026 (accession 0000019584-26-000022)

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