AdaptHealth reports record $3.25B revenue despite diabetes segment challenges

AdaptHealth Corp. has released its financial results for 2025, showing strong growth in key areas. The company reported record revenue and operational performance, despite some challenges in its diabetes segment. Management also provided an outlook for 2026, including expected revenue growth and short-term cash flow adjustments from the cash app.

The company achieved total net revenue of $3.25 billion in 2025, alongside adjusted EBITDA of $616.7 million. Free cash flow reached $219.4 million, reflecting solid financial health. However, the diabetes division saw a revenue decline due to changes in payer mix.

Operational highlights included record patient census levels in sleep and respiratory health. AdaptHealth also completed a strategic acquisition in Hawaii, adding a business with a monthly revenue run rate exceeding $1 million. Additional financial impacts in 2025 included a $14.5 million legal settlement and $10 million in accelerated onboarding costs.

Looking ahead, the company projects 6%-8% revenue growth for 2026. It also warned of a temporary dip in free cash flow during the first quarter of 2026, citing contract-related expenses as the primary reason.

AdaptHealth Corp. closed 2025 with record financial and operational results, despite a drop in diabetes revenue. The company's expansion in Hawaii and projected growth for 2026 signal continued momentum. Short-term cash flow pressures in early 2026 are expected to stabilize after the first quarter.