AI-extracted from the 10-Q filed 2026-07-27 — Q2 FY2026 (quarter ended June 30, 2026). Every figure is machine-verified against the filing text on SEC EDGAR.
Revenue grew 17.3% YoY to $1.44B in Q2 2026, driven by 23 new facility acquisitions adding 2,724 skilled nursing beds and occupancy gains of 1.6% across all operations.
Biggest Revenue Drivers
Skilled Services$1,379.9M+17.6% YoY
Growth from occupancy gains in Same Facilities (+2.7%) and Transitioning Facilities (+2.3%), plus 46 recently acquired facilities adding $133.5M.
Standard Bearer (Real Estate REIT)$44.1M+40.2% YoY
Driven by 37 real estate acquisitions and annual rent escalations from both third-party tenants and Ensign subsidiaries.
Biggest Revenue Drivers
Total revenue: $1,440.5M+17.3% YoY
Skilled Services$1,379.9M+17.6% YoY
Growth from occupancy gains in Same Facilities (+2.7%) and Transitioning Facilities (+2.3%), plus 46 recently acquired facilities adding $133.5M.
Standard Bearer (Real Estate REIT)$44.1M+40.2% YoY
Driven by 37 real estate acquisitions and annual rent escalations from both third-party tenants and Ensign subsidiaries.
All Other (Senior Living & Ancillary)$64.3M+12.1% YoY
Includes senior living operations, mobile diagnostics, medical transportation, and other ancillary services.
Largest Expense Items
Cost of Services$1,134.2M+16.8% YoY
Increased primarily due to acquisition growth and higher patient volumes; margin compression from newly acquired operations offset by ancillary cost efficiencies.
General and Administrative Expense$85.9M+24.3% YoY
Increase driven by system implementation costs and deferred compensation plan expenses of $3.9M.
Rent—Cost of Services$66.4M+16.1% YoY
Decreased as percentage of revenue (4.6% vs. 4.7% prior year) due to increased property ownership from acquisitions.
Depreciation and Amortization$31.4M+21.8% YoY
Increased due to depreciation from newly acquired operations with higher mix of real estate purchases and capital investments.
Margins: Operating margin remained flat at 8.5% despite 17.3% revenue growth, as acquisition integration costs and staffing investments offset operational efficiencies. Cost of services improved 60 basis points to 78.7% of revenue, driven by ancillary cost efficiencies and lower agency expenses.
Watch Items from the Filing
Medicare and Medicaid represent 68.9% of Q2 2026 revenue, with customer concentration risk as these programs represent the company's largest payor sources; revenue subject to frequent regulatory changes and reimbursement rate adjustments.
46 facilities acquired in past 12 months (23 in H1 2026 alone) operating at lower occupancy (76.6%) and skilled mix (26.9%) than Same Facilities; integration execution risk as newly acquired operations drive temporary margin compression.
California OHCA conducting Cost and Market Impact Review with investigatory subpoena issued October 2025; company filed constitutional challenge to CMIR regulations; resolution uncertainty could impact transaction completions and operations in largest operating state.
Pending wage-hour litigation settlement for California operations: $12.0M accrual recorded for alleged violations through December 2025; derivative shareholder complaint filed July 2026 alleging breach of fiduciary duty and related-party transactions, with no amount accrued yet.
DOJ investigating Company under Civil Investigative Demand (Jan. 2024-present) regarding necessity of Medicare/Medicaid claims; Company cooperating but unable to predict outcome or financial impact of potential enforcement action.
AI-extracted and verified against SEC EDGAR filing text. Not investment advice.
About ENSIGN GROUP, INC (ENSG): stock profile, AI score and financials
ENSIGN GROUP, INC (ENSG) stock profile, AI quality score, and SEC EDGAR financial data, a Healthcare sector company. 13F Pro's AI-powered ranking engine scores ENSG at 67.6/100 on a composite quality score built from its SEC filings, placing it at rank #357 of 2,925 stocks — the top 25% of the AI-ranked universe. ENSG scores in the top quartile across revenue scale (79.1), revenue growth (78.1), balance sheet strength (77.3). Areas of concern include institutional flow (29.6), which score below median versus the broader universe. Based on the latest XBRL financial filings (Q2 2026), ENSIGN GROUP, INC reports quarterly revenue of $1.4B, net income of $99.7M, an operating margin of 8.5%. ENSG trades on the Nasdaq exchange and files with the SEC under CIK 1125376. 13F Pro's AI research platform runs 10 specialized AI analysts — value, growth, momentum, macro, and activist specialists — that debate ENSG daily and publish AI-generated analysis with cited SEC sources. The platform aggregates historical XBRL financial facts, 10-Q and 10-K filings, insider Form 4 transactions, and institutional 13-F holdings for ENSIGN GROUP, INC directly from SEC EDGAR.