Salt Lake City, Utah — PACS Group wrapped up 2025 with the kind of numbers most operators only dream about — and its leaders say 2026 is on track to top them.
The skilled nursing giant reported total revenues of $5.29 billion for the year, a 29% jump over 2024. Net income hit $191.5 million, translating to diluted earnings per share of $1.22. CEO Jason Murray called it a milestone moment — not just for the balance sheet, but for what it signals about the company’s long-term model.
“These are not abstract statistics,” Murray said during the company’s fourth-quarter earnings call. “They represent people. They represent better recovery rates, improved infection control, stronger care coordination, and ultimately a better experience for our residents and the families we serve.”
A Footprint That Keeps Growing
PACS now operates 321 facilities across 17 states, making it the second-largest nursing home chain in the country. The company added eight acquisitions in 2025, all of them in markets it already had a presence in. More than 47,000 employees now care for nearly 32,000 patients daily.
Total occupancy averaged 89.1% for the year. Mature facilities — those that have been in the portfolio long enough to fully reflect the company’s operating model — ran at 94.9%. That figure speaks to what PACS calls its core strategy: buy underperforming facilities, stabilize them, and drive occupancy up.
For 2026, the company plans to keep acquiring roughly five facilities per quarter, targeting buildings with 60% to 70% occupancy. President and COO Josh Jergensen described the acquisition pipeline as “very robust.”
Stars Above the Industry Average
Quality metrics also stood out. Nearly three-quarters — 73.4% — of PACS’s 207 nursing homes carry a 4 or 5-star rating from the Centers for Medicare and Medicaid Services. The average star rating for mature facilities rose to 4.4, well above the industry average of about 3.5.
Seven facilities recorded zero-deficiency surveys. One Kentucky location improved from 2 stars to 5 stars within a single year. Murray pointed to it as proof that the company’s model — empowering local leadership with data and systems — can produce fast turnarounds.
The company views quality-based reimbursement as an advantage rather than a burden. “Anytime we see clinical quality tied to reimbursement, we feel very confident,” Jergensen said.
What’s Ahead in 2026
PACS issued 2026 revenue guidance of $5.65 billion to $5.75 billion — about 8% growth at the midpoint. Adjusted EBITDA guidance came in between $555 million and $575 million, nearly 12% above 2025 results.
The company also noted it owns full or partial real estate interests in 102 of its facilities and carries a net leverage ratio of just 0.3 times — a sign of financial flexibility heading into what leaders described as a robust acquisition market.
With 38 administrators currently in training and a pipeline full of acquisition targets, PACS isn’t slowing down. The move marks one of the more confident outlooks in skilled nursing right now — and a clear bet that consolidation in long-term care is far from over.
