Surgery Partners Reports Q1 2026 Results, Reaffirms Full-Year Guidance
Summary
Surgery Partners reported mixed Q1 2026 results with revenue growth but an adjusted net loss, while reaffirming its full-year 2026 revenue and Adjusted EBITDA guidance.
Key Events
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Q1 2026 Financial Performance
Revenue increased 4.5% year-over-year to $810.9 million. The company reported a net loss attributable to Surgery Partners, Inc. of $35.9 million and an Adjusted EBITDA of $102.3 million, slightly down from $103.9 million in Q1 2025. Adjusted net loss per share was $0.03, compared to adjusted net income of $0.04 per share in the prior year period.
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Full-Year 2026 Guidance Reaffirmed
The company reaffirmed its full-year 2026 revenue guidance in the range of $3.35 billion to $3.45 billion and Adjusted EBITDA of at least $530 million. Organic Adjusted EBITDA Growth is projected at 4.2%+ and Same-Facility Revenue Growth at 3.0%+.
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Operational Highlights
Same-facility revenues increased 4.4%, driven by a 3.8% increase in revenue per case and a 0.6% increase in same-facility cases. The company also reported approximately 140 new physician recruits and 17% year-over-year growth in total joint procedures.
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Liquidity and Debt Position
As of March 31, 2026, Surgery Partners had cash and cash equivalents of $182.3 million and $666.1 million in borrowing capacity under its revolving credit facility. Cash flows from operating activities improved to $11.7 million from $6.0 million in Q1 2025. The total net debt to EBITDA ratio was approximately 4.3x.
Analysis
Surgery Partners, Inc. announced its first-quarter 2026 financial results, reporting a 4.5% increase in revenue to $810.9 million and a 4.4% rise in same-facility revenues. Despite a slight decrease in Adjusted EBITDA to $102.3 million and an adjusted net loss of $0.03 per share, the company reaffirmed its full-year 2026 revenue guidance of $3.35 billion to $3.45 billion and Adjusted EBITDA of at least $530 million. Management highlighted a solid start to the year, with results in line with expectations, and expressed confidence in returning to their growth algorithm through operational excellence and thoughtful capital deployment. The reaffirmation of guidance provides stability amidst ongoing market dynamics.
At the time of this filing, SGRY was trading at $14.45 on NASDAQ in the Industrial Applications And Services sector, with a market capitalization of approximately $1.8B. The 52-week trading range was $11.41 to $24.18. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.