The beat and raised guidance signal continued operational strength in the core U.S. dialysis business, with stable treatment growth and margin improvement. Watch for the Q4 2026 normalized treatment day count (78.8 days vs 79.5 in 2025) and any further share repurchase activity, which could provide additional EPS support.
Price Chart
Executive Summary
DaVita reported Q3 2026 adjusted diluted EPS of $3.82, above the $3.57 consensus, on revenues of $3.578B versus the $3.52B estimate. The company raised the low end of its 2026 adjusted operating income guidance to $2.175B-$2.250B and adjusted EPS guidance to $14.30-$15.20, while free cash flow guidance was unchanged. A $62M goodwill impairment charge in China weighed on GAAP results.
Key Financial Metrics
Key Facts
- Adjusted diluted EPS of $3.82 beat the $3.57 consensus by 7.0%.
- Revenue of $3.578B exceeded the $3.52B consensus.
- 2026 adjusted operating income guidance raised to $2.175B-$2.250B (from $2.150B-$2.250B).
- 2026 adjusted diluted EPS guidance raised to $14.30-$15.20 (from $14.10-$15.20).
- Free cash flow guidance maintained at $1.000B-$1.250B.
- GAAP diluted EPS was $3.40, including a $62M goodwill impairment charge in China.
- U.S. dialysis normalized non-acquired treatment growth was 0.4% year-over-year.
- Repurchased 0.6M shares for $111M in Q3 and an additional 0.5M shares for $87M through October 27.
- Operating cash flow was $519M and free cash flow was $276M in Q3.
- Leverage ratio stood at 3.38x, well below the 5.00x covenant maximum.
Financial Impact
Adjusted EPS beat consensus by $0.25 (7.0%); revenue beat by $58M (1.6%); guidance raised modestly.
Segment Breakdown
| Segment | Revenue |
|---|---|
| U.S. dialysis | $3.0B |
| Integrated kidney care | $144.0M |
| Other U.S. ancillary | $109.0M |
| International | $398.0M |
Risk Factors
- Patient care costs per treatment rose $2.82 sequentially, driven by medical supply expenses.
- International segment posted an operating loss of $16M in Q3, with a $62M goodwill impairment in China.
- U.S. dialysis revenue per treatment declined $0.62 sequentially.
- Free cash flow of $276M was down from $604M in the year-ago quarter, partly due to higher capex and distributions.
- Leverage of 3.38x is elevated, though within the 5.00x covenant.
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-prn-302924193 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 29, 2026 3d ago | 8-K | No price | awaiting T+60 | awaiting T+60 | No price |
Oct 29, 2026 3d ago | Press Release | $184.00 | awaiting T+60 | awaiting T+60 | $187.50 (+1.90%) |
Oct 23, 2026 9d ago | Institutional Cluster | $183.64 | awaiting T+60 | awaiting T+60 | $187.50 (+2.10%) |
Aug 4, 2026 12w ago | 8-K | $187.61 $193.31 | ▲ +3.04% | ▲ +3.10% | $187.50 (−0.06%) |
Jun 15, 2026 19w ago | Court Ruling | $208.98 $181.55 | ▼ −13.13% | ▼ −14.99% | $187.50 (−10.28%) |
Jun 8, 2026 20w ago | 8-K | $198.19 $178.83 | ▼ −9.77% | ▼ −13.58% | $187.50 (−5.39%) |
May 18, 2026 23w ago | Insider Cluster | $194.38 $179.17 | ▼ −7.82% | ▼ −13.84% | $187.50 (−3.54%) |
May 13, 2026 24w ago | Insider Cluster | $192.30 $183.48 | ▲ +4.59% | ▲ +7.91% | $187.50 (+2.49%) |
May 5, 2026 25w ago | 8-K | $191.76 $238.86 | ▲ +24.56% | ▲ +23.49% | $187.50 (−2.22%) |
US Market Status
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