InnovAge reported a strong second quarter with significant improvements in revenue, profitability, and adjusted EBITDA, driven by increased participant census and effective operational execution. The company raised its full-year financial guidance, signaling confidence in its continued growth trajectory and scalable PACE platform.
Total revenues increased 14.7% year-over-year to $239.7 million.
positiveIncome Before Income Taxes turned positive at $12.5 million, a significant improvement from a loss of $13.5 million in the prior year quarter.
positiveAdjusted EBITDA increased by $16.3 million to $22.2 million, with the margin expanding by 6.4 percentage points to 9.2%.
positiveCenter-level Contribution Margin increased 42.5% year-over-year to $52.8 million, with the margin as a percentage of revenue improving by 4.3 percentage points to 22.0%.
positiveFull year fiscal 2026 financial guidance was raised for total revenues ($925M-$950M) and Adjusted EBITDA ($70M-$75M).
positiveDespite improvements, the company still reported a net loss attributable to InnovAge Holding Corp. of $10.6 million, although this is a significant improvement from a loss of $13.2 million in the prior year quarter.
attentionThe company is unable to provide guidance for net income (loss) or a reconciliation of Adjusted EBITDA guidance due to the inherent difficulty in forecasting certain reconciling items.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total |
|---|---|---|---|---|
PACE | N/A | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% |
Segment performance shows business unit health and growth drivers.
Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.
Strong operating and financial results this quarter, reflecting continued progress in building a scalable, high-quality PACE platform.
Performance is rooted in disciplined execution and a care model that prioritizes clinical outcomes, participant experience, and responsible stewardship of public resources.
Focused on sustainable growth, close partnership with regulators, and long-term value for participants, payors, and shareholders.
Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.
Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.