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Mar 31

Surgery Partners Q1 2025 Earnings Report

Surgery Partners reported higher revenue and Adjusted EBITDA, but a widened net loss in Q1 2025.

Key Takeaways

In Q1 2025, Surgery Partners grew revenue and same-facility case volumes, maintained its 2025 guidance, and improved Adjusted EBITDA, despite posting a net loss due to higher interest and integration expenses.

Revenue reached $776 million, up from $717.4 million last year.

Adjusted EBITDA rose to $103.9 million, reflecting improved operational efficiency.

Same-facility case volumes rose 6.5% on a days-adjusted basis.

Net loss of $37.7 million driven by higher interest expenses and transaction costs.

Total Revenue
$776M
Previous year: $717M
+8.2%
EPS
$0.04
Previous year: $0.1
-60.0%
Revenue growth (adjusted)
5.2%
Total cases
160.3K
Revenue per case
$4.84K
Previous year: $4.68K
+3.5%
Cash and Equivalents
$229M
Previous year: $185M
+23.8%
Total Assets
$7.95B
Previous year: $6.98B
+14.0%

Surgery Partners

Surgery Partners

Forward Guidance

The company reaffirmed its 2025 full-year revenue and Adjusted EBITDA outlook, supported by expected M&A activity, operational improvements, and favorable market trends.

Positive Outlook

  • Full-year revenue guidance remains at $3.30B to $3.45B.
  • Adjusted EBITDA guidance reaffirmed at $555M to $565M.
  • Operating system enhancements expected to expand margins.
  • De novo facility openings and acquisitions to contribute to growth.
  • Sufficient liquidity to fund growth without additional debt or equity.

Challenges Ahead

  • Reported a net loss despite revenue growth.
  • Operating cash flow declined significantly year-over-year.
  • Increased litigation and integration-related expenses.
  • Number of consolidated surgical facilities declined.
  • Revenue per case fell 1.2% from the prior year.