National HealthCare (NHC) investor relations material

Executive summary

• Net operating revenues for Q2 2026 increased 8.8% year-over-year to $408.0M, driven by a 3.0% rise in same-facility revenues and the acquisition of five skilled nursing facilities with 639 beds in Tennessee and South Carolina.

• GAAP net income attributable to stockholders was $40.3M for Q2 2026, up from $23.7M in Q2 2025; adjusted net income (non-GAAP) was $27.6M, a 7.2% increase year-over-year.

• The company completed the $50.5M acquisition of five skilled nursing facilities and, subsequent to quarter-end, closed a $560M purchase of 32 skilled nursing and 3 independent living facilities, terminating a major lease.

Financial highlights

• Q2 2026 net operating revenues: $408.0M (up from $374.9M in Q2 2025); six-month revenues: $789.8M (up from $748.6M in 2025).

• Q2 2026 net income attributable to stockholders: $40.3M (Q2 2025: $23.7M); six-month net income: $76.2M (2025: $55.9M).

• Diluted EPS for Q2 2026: $2.54 (Q2 2025: $1.52); six-month diluted EPS: $4.82 (2025: $3.59); adjusted diluted EPS: $1.74 (Q2 2025: $1.65).

• Adjusted net income for Q2 2026: $27.6M (Q2 2025: $25.7M); six-month adjusted net income: $57.6M (2025: $50.5M).

• Cash, cash equivalents, and marketable securities at June 30, 2026: $210.2M.

Outlook and guidance

• Management expects to meet short- and long-term liquidity needs through operating cash flows, cash on hand, and marketable securities.

• Medicare and Medicaid rate increases in key states are expected to add $2M and $4.2M in annual revenue, respectively.

• The company is focused on maintaining high occupancy and quality ratings, with ongoing expansion and development projects.