Latest news with #VITAS
Yahoo
30-06-2025
- Business
- Yahoo
Why Chemed (CHE) Shares Are Plunging Today
Shares of healthcare services company Chemed Corporation (NYSE:CHE) fell 14.7% in the afternoon session after the company provided a negative update on its full-year 2025 guidance, citing issues with its VITAS hospice business. The company announced that it now anticipates a significant Medicare Cap revenue limitation for its VITAS subsidiary in Florida. Specifically, Chemed projects a shortfall of $18 million to $25 million for the 2025 fiscal year ending in September, a reversal from previous expectations of having a cushion. The company pointed to weaker-than-expected Medicare admissions in April and May as the primary cause. Adding to concerns, Chemed also noted unexpected weakness in the residential demand for its Roto-Rooter plumbing services during the second quarter. The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks. Is now the time to buy Chemed? Access our full analysis report here, it's free. Chemed's shares are not very volatile and have only had 3 moves greater than 5% over the last year. Moves this big are rare for Chemed and indicate this news significantly impacted the market's perception of the business. Chemed is down 9.5% since the beginning of the year, and at $478.04 per share, it is trading 22.8% below its 52-week high of $619.21 from April 2025. Investors who bought $1,000 worth of Chemed's shares 5 years ago would now be looking at an investment worth $1,060. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link.
Business Insider
28-06-2025
- Business
- Business Insider
Chemed provides update on 2025 performance in Q2 preannouncement
Chemed (CHE) announced developments related to Q2 earnings and FY25 guidance. In prior public statements, management discussed the possibility that the VITAS subsidiary could have an aggregate Medicare Cap billing limitation related to its Florida consolidated program, excluding Tallahassee. However, as of the most recent quarterly earnings update, VITAS internal projections showed that the Florida consolidated program would end the 2025 government fiscal year ending on September 30, 2025 with a Medicare Cap cushion. Actual Medicare admissions in both April and May 2025 in Florida were weaker than anticipated and lower than VITAS' internal projections. As a result, VITAS now projects a Medicare Cap revenue limitation for the 2025 Cap Year of $18M-$25M related to the Florida consolidated program, excluding Tallahassee. The above projection includes actual results through May. Actual June results, which show better admissions than projected through the first half of the month, and actual results in Q3 could have a significant impact on this projection. Previous guidance for 2025 earnings did not include any Florida Medicare Cap. Based on the new start locations in Florida, primarily Marion County and Pinellas County, combined with operational changes currently being made in the Florida programs, management expects not to have any significant level of Medicare Cap revenue limitation in its Florida consolidated program for the 2026 fiscal year. This expectation assumes that the rate differential discussed above does not recur for the 2026 Cap Year. In the event that the rate differential does recur, VITAS will respond with further mitigation strategies at the outset of the 2026 Cap Year. While less financially significant than the VITAS Medicare Cap situation, during Q2, Roto-Rooter began to experience unexpected weakness in its residential business' demand compared to internal projections. This weakness represents a break from the trends experienced in Q1. Preliminary results for commercial demand in Q2 continue to reflect improved trends but not enough to offset the lower residential demand.
Business Wire
27-06-2025
- Business
- Business Wire
Chemed To Report Second-Quarter 2025 Earnings July 29, 2025
CINCINNATI--(BUSINESS WIRE)--Chemed Corporation (NYSE: CHE) today announced that it will release financial results for the second quarter ended June 30, 2025, on Tuesday, July 29, 2025, following the close of trading on the New York Stock Exchange. Chemed also announced developments related to second quarter earnings and full year 2025 guidance. In prior public statements, management discussed the possibility that the VITAS subsidiary could have an aggregate Medicare Cap billing limitation (Medicare Cap) related to its Florida consolidated program, excluding Tallahassee. However, as of the most recent quarterly earnings update, VITAS internal projections showed that the Florida consolidated program would end the 2025 government fiscal year ending on September 30, 2025 (2025 Cap Year) with a Medicare Cap cushion. Actual Medicare admissions in both April and May 2025 in Florida were weaker than anticipated and lower than VITAS' internal projections. As a result, VITAS now projects a Medicare Cap revenue limitation for the 2025 Cap Year of $18 million to $25 million related to the Florida consolidated program, excluding Tallahassee. The above projection includes actual results through May. Actual June results, which show better admissions than projected through the first half of the month, and actual results in the third quarter could have a significant impact on this projection. Previous guidance for 2025 earnings did not include any Florida Medicare Cap. The source of the Medicare Cap in the Florida consolidated program relates to two factors. The first factor is the 'community access' program. While community access has provided for a higher-than-average ADC growth rate and revenue growth rate at VITAS over the past two years, it adds pressure to the Medicare Cap due to patients accessing hospice care earlier in their disease trajectory. The second factor is the rate differential between the nationally determined increase in the Medicare Cap per admission and the actual reimbursement increase in our Florida consolidated programs, excluding Tallahassee, for the 2025 Cap Year. Specifically, the Medicare Cap per admission amount increased 2.9% while the Florida consolidated program reimbursement increase was 5.2%. VITAS estimates this rate differential will negatively impact the Florida consolidated program's Medicare Cap calculation by approximately $25 million for the 2025 government fiscal year, accounting for most, if not all, of the total revenue limitation discussed above. On June 20, 2025, the State of Florida announced that VITAS has received a Certificate of Need (CON) to begin operating in Pinellas County, Florida. Pinellas is the most densely populated county in Florida and has a hospice utilization rate below the state average. There were approximately 8,600 Medicare admissions to existing hospice providers in Pinellas County in 2024. Entering Pinellas County represents a significant opportunity for VITAS in 2026 and beyond for both overall growth and Medicare Cap mitigation. Based on the new start locations in Florida, primarily Marion County and Pinellas County, combined with operational changes currently being made in the Florida programs, management expects not to have any significant level of Medicare Cap revenue limitation in our Florida consolidated program for the 2026 fiscal year. This expectation assumes that the rate differential discussed above does not recur for the 2026 Cap Year. In the event that the rate differential does recur, VITAS will respond with further mitigation strategies at the outset of the 2026 Cap Year. While less financially significant than the VITAS Medicare Cap situation, during the second quarter of 2025, Roto-Rooter began to experience unexpected weakness in its residential business' demand compared to internal projections. This weakness represents a break from the trends experienced in the first quarter of 2025. Preliminary results for commercial demand in the second quarter of 2025 continue to reflect improved trends but not enough to offset the lower residential demand. Management is in the process of analyzing second quarter performance and the impact of these developments on second quarter results and on full-year 2025 guidance. A full discussion of the analysis will be included with our second quarter 2025 release and related investor conference call. Chemed will host a conference call and webcast at 10 a.m., ET, on Wednesday, July 30, 2025, to discuss the company's quarterly results and to provide an update on its business. Participants may access a live webcast of the conference call through the investor relations section of Chemed's website, Investor Relations Home | Chemed Corporation or the hosting website Participants may also register via teleconference at: Once registration is completed, participants will be provided with a dial-in number containing a personalized conference code to access the call. All participants are instructed to dial-in 15 minutes prior to the start time. A taped replay of the conference call will be available beginning approximately two hours after the call's conclusion. You may access the replay via webcast through the investor relations section of Chemed's website. Listed on the New York Stock Exchange and headquartered in Cincinnati, Ohio, Chemed Corporation ( operates two wholly owned subsidiaries: VITAS Healthcare and Roto-Rooter. VITAS is the nation's largest provider of end-of-life hospice care and Roto-Rooter is the nation's leading provider of plumbing and drain cleaning services. SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 REGARDING FORWARD-LOOKING INFORMATION Statements in this press release contain forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as 'anticipate,' 'intend,' 'plan,' 'goal,' 'seek,' 'believe,' 'project,' 'estimate,' 'expect,' 'strategy,' 'future,' 'likely,' 'may,' 'should,' 'will' and similar references to future periods and are based upon assumptions subject to certain known and unknown risks, uncertainties, contingencies and other factors, including, but not limited to, the impact of laws and regulations on Chemed's operations, including Medicare Cap and Medicare reimbursement rates, Chemed's estimates of the effect of Medicare Cap on VITAS' revenues and future prospects, Chemed's expectations regarding VITAS' patient mix, VITAS's future prospects in Pinellas County, FL and Chemed's expectations regarding demand for Roter-Rooter's services. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of Chemed's control. Chemed's actual results and financial condition may differ materially from those indicated in the forward-looking statements included in this press release, including as a result of the risks described above and those described in the Chemed's Annual Report on Form 10-K for the year ended December 31, 2024 and in its Quarterly Reports filed in 2025. Any forward-looking statement made by Chemed in this press release are based only on information currently available to Chemed and speaks only as of the date on which it is made. Chemed undertakes no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
Yahoo
22-05-2025
- Business
- Yahoo
Vietnam Completes Second Round of Trade Talks With U.S.
The United States and Vietnam have concluded a second round of trade negotiations according to Vietnam's trade ministry, which noted significant progress being made in talks scheduled from May 19-22 in Washington. In a statement on Thursday, the trade body said that both sides engaged in substantive discussions on all agenda items outlined ahead of the session. Vietnam faces one of the highest tariff impositions announced by president Trump's administration in April, at 46 percent. More from Sourcing Journal Trump Lashes Out at Walmart, Says Retailer Should 'Eat the Tariffs' Tariffs Tank China's US Exports, but Southeast Asia and India Cash In Vietnam-to-US Exports, Freight Rates Soar on Tariff Drama Nguyễn Hồng Diên, minister of industry and trade in Vietnam met with Ambassador and US Trade Representative Jamieson Greer to review the outcomes of the second round and identify key issues. According to a statement from the ministry on Thursday, discussions will continue at the end of June. The 90-day pause on the proposed 46-percent tariffs ends on July 8. Hồng Diên spoke about the intent to foster a balanced and sustainable economic and trade relationship with the U.S., for the benefit of both countries' peoples and businesses', while Ambassador Greer praised Vietnam's goodwill and efforts to address US concerns and expressed a desire to continue technical-level and ministerial-level exchanges to reach an agreement as soon as possible. According to the office of the U.S. Trade representative, the trade deficit of Vietnam with the U.S. was $123.5 billion in 2024, with the U.S. importing goods worth $136.6 billion in 2024, as against exporting goods worth $13.1 billion to Vietnam. Meanwhile, the industry in Vietnam has been gathering at several forums over the past few weeks to get a handle on what the 46 percent tariff levied against Vietnam could mean for the industry. Vietnam exported apparel worth $44 billion in 2024, with an approximate 38 percent of this to the U.S, an increase of 12.33 percent over the previous year according to the Vietnam Textile and Apparel Association (VITAS). At a forum organized by Cascale in Ho Chi Minh City on May 14-15, Vu Duc Giang, Chairman of the Vietnam Textile & Apparel Association (VITAS) mirrored the feeling that appeared to be reverberating through the 600 industry professionals present. 'None of us can go alone—collaboration is the only way. When brands, manufacturers, organizations and governments come together and share responsibility, any goal can be achieved,' he said in his keynote address. The point was amplified through the event. 'The Cascale Forum in Ho Chi Minh City reminds us that while policy can shift and stall, manufacturers have a great opportunity to lead. Our ongoing mandate is to ensure that this progress isn't slowed by uncertainty—but accelerated through collaboration,' Andrew Martin, executive vice president, Cascale, said in a session. Cascale, a global nonprofit alliance formerly known as the Sustainable Apparel Coalition, empowers collaboration to drive equitable and restorative business practices in the consumer goods industry, and owns and develops the Higg Index, which is available on Worldly, a comprehensive sustainability data and insights platform. Sharing their thoughts, and in urgent discussions that often skirted around the looming tariffs were manufacturers, leading brands, service providers, and supply chain partners. Other important issues including decarbonization, regulatory changes, facility improvements, responsible contracting and worker rights were also discussed. Vietnamese manufacturers attending the event told Sourcing Journal about their fears that global brands would pressure them to shoulder the costs of tariff impacts, while underlining the need to protect workers as the apparel industry in Vietnam employs more than three million people. Discussions about how this situation should be handled were also ongoing. As Lindsay Wright, director of communications and strategic partnerships, Better Buying, Cascale observed: 'Manufacturers are clear: Global brands should not use tariffs as an excuse to roll back on their responsible business commitments. If they do, the consumer goods industry will have to pick up the pieces later.' Massimiliano Tropeano, garment, trade and sustainability expert at GIZ-EuroCham Cambodia, noted that while tariffs focused on reshaping physical trade flows, the real story is much more complex. 'The complexity of a topic like tariff trade cannot be simplified, however, the base number on which the trade imbalance have been calculated are intrinsically wrong. Take the iPhone. Designed in California, yes—but manufactured in China. This shows up as China's export numbers, not America's. And it's not just hardware. Software giants like Microsoft, Meta, and Alphabet sell digital products and services globally—but often book the revenue through offshore entities in low-tax jurisdictions like Ireland or the kicker to all of this is that ironically the above is adding to the very trade imbalance that U.S. tariffs aimed to correct.' 'As we move forward in a world of digital globalization, maybe it's time to rethink how we measure economic power, national competitiveness, and fair trade,' he said. Important points to note for manufacturers included the focus on managing regulations as well as sustainability and environmental concerns. 'In the Asia-Pacific region, regulation is fast becoming strategy,' Cascale's Martin emphasized. 'We are increasingly seeing many countries stepping up with more progressive policies. To support this, Cascale advocates for clear, consistent guidance that manufacturers can actually use. We're actively engaging across all three regions to push for global and regional frameworks that are practical, aligned, and grounded in manufacturers' realities. 'Our shared mission is driving positive impact across the largest engaged supply chain network in the industry,' said Adele Stafford, chief growth officer at Worldly at the event. She spoke about the growing momentum on the platform: 'Over 20,000 Higg Facility Environmental Modules (FEMs) have already been completed in 2025, with each supplier sharing data with an average of four brands, improving efficiency.' While economists are calling for 'increased self reliance,' manufacturers are also looking at ways to speed past the possible deadline on July 8. The HCM City Association of Garments, Textiles, Embroidery and Knitting has called for ramping up production to increase shipments before the tariff increases kick in. 'There's only so much we can do to sidestep this huge tariff,' a manufacturer said, asking not to be named. 'Meanwhile, we're just counting on negotiations turning this new avalanche around.'
Yahoo
09-05-2025
- Business
- Yahoo
Vietnam Negotiations: What's the Winning Hand?
Call it capitulation—or savvy business? Vietnam quickly got past the shock of the 46 percent tariffs announced by president Trump last Wednesday with a zero tariff (both ways) alternative. More from Sourcing Journal Ex-Asia Shipments Expedited, Paused or Delayed Ahead of Tariff Deadline Bangladesh May Face a Bigger Tariff Bill Than Thought Macron Puts CMA CGM's $20B US Pledge in Line of Fire A call was set up on Friday—indicating early-mover and decisive action from the Vietnamese government. President Trump noted on Truth Social Friday: 'Just had a very productive call with To Lam, General Secretary of the Communist Party of Vietnam, who told me that Vietnam wants to cut their Tariffs down to ZERO if they are able to make an agreement with the U.S. I thanked him on behalf of our Country, and said I look forward to a meeting in the near future.' Both the government and the industry have been moving fast in Vietnam, thinking through possible solutions, brainstorming, and working with the industry as well as policy makers. The shock has still to settle, but they're moving with the speed of an industry that has become accustomed to growth. Apparel manufacturers told Sourcing Journal that they were 'beyond shocked.' Several manufacturers who asked not be named, said that the impact of such a heavy duty would decapitate exports as margins in the apparel and textile sector were already slim. 'While duties on China were expected to be high, we had not anticipated anything more than 10 percent at a maximum for Vietnam,' a manufacturer in Ho Chi Minh city said. Vietnam became the second largest apparel exporter in the world in 2024, overtaking Bangladesh. Approximately 38 percent of those expoers were to the U.S. with an increase of 12.3 percent over the previous year according to the Vietnam Textile and Apparel Association (VITAS). Overall, imports from Vietnam to the U.S stood at $136.6 billion in 2024, up about 19 percent from 2023, according to the Office of the U.S. Trade Representative. Vietnam is also an important footwear manufacturer. In 2024, approximately half of Nike footwear, and 28 percent of its apparel was made in Vietnam. Thirty-nine percent of Adidas' footwear is also manufactured there. Analysts are hurrying to find solutions. While president Trump has said that these were based on the trade deficit with the U.S in each country, some analysts are noting that the high duty for Vietnam could be a retaliatory measure against China as a large number of Chinese companies have moved production to Vietnam. Other analysts have commented that the proactive efforts being made by the Vietnamese government could result in a reduction of the tariffs levied, and were likely 'an exercise to bring more global players to the negotiating table.' 'The 46 percent duty is a significant and unexpected blow to the sector,' Truong Van Cam, vice chairman, VITAS observed. 'Our manufacturers already operate with slim margins in a highly competitive environment. A tariff this steep—far higher than those imposed on competitors—will push many businesses to the brink.' He said that VITAS has also called on the government to work with the U.S. to revise the tariff—potentially adjusting it by product category. A few manufacturers told Sourcing Journal that they were already in conversations with global brands to find ways to handle the situation which is set to go into effect from Wednesday. 'Time is running out,' one of them said, 'but we are hopeful that the government will be able to get an agreement with the U.S. for delaying enforcement of the duty by a few months while we can work out negotiations and find the best way forward.' In a survey carried out by the American Chamber of Commerce in Vietnam in February more than 81 percent of U.S. businesses operating in Vietnam said they were 'apprehensive about the potential disruptions and reduction in trade volume' that would be caused by tariffs. The numbers concerned with supply chain interruption and diminished competitiveness in the manufacturing sector rose to 92 percent. The Vietnamese government has been reaching out to the U.S., but also to industry leaders. Deputy prime minister Ho Duc Phoc met with representatives of textiles companies on Friday, taking in suggestions and concerns and possible outcomes. He left for the U.S. on Sunday where he is expecting to find a way to continue the conversation and seek alternative solutions. Meanwhile, the government continues to underline the need to maintain strong economic ties; a task force to provide quick responses on this issue was set up by prime minister Pham Minh Chinh on Thursday, who said in his understated fashion: 'the tariff is not in line with the good relationship between the two countries.' Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
