Q2 came in modestly ahead of published expectations. Revenue was $171.7 million versus the published consensus of approximately $170.9 million, while diluted EPS was $0.52 versus roughly $0.45 expected. That is a real but not dramatic beat; revenue also landed near the top of the company's prior $170.0-$172.0 million outlook, while EPS exceeded its prior $0.34-$0.39 range.
| Metric | Q2 2026 | Q2 2025 / prior expectation |
|---|---|---|
| Revenue | $171.7M (Income Statement) | $162.8M; consensus ~$170.9M |
| Net income available to common stockholders | $9.8M (Income Statement) | $(0.3)M |
| Diluted EPS | $0.52 (Income Statement) | $(0.02); consensus ~$0.45 |
| Adjusted EBITDA | $20.7M (GAAP Net Income to Adjusted EBITDA) | $15.1M |
| Military+ revenue | $85.5M (Segment Information) | $81.7M |
| Health+ revenue | $86.2M (Segment Information) | $77.7M |
The quality of the quarter improved materially. Adjusted EBITDA rose to $20.7 million from $15.1 million, with both operating segments contributing: Military+ EBITDA increased to $23.7 million from $21.4 million, while Health+ swung to $0.3 million from a $2.4 million loss. Consolidated operating income nearly doubled to $13.5 million from $7.0 million, helped further by lower net interest expense. (Segment Information; Income Statement; GAAP Net Income to Adjusted EBITDA)
Management raised the full-year framework beyond what was already assumed after Q1. Revenue guidance increased to $690.0-$698.0 million from the prior $686.0-$696.0 million range, adjusted EBITDA to $96.0-$104.0 million from $93.0-$102.0 million, and diluted EPS to $2.48-$2.79 from $2.33-$2.68. Capital-expenditure guidance also fell to $25.0-$28.0 million from $28.0-$32.0 million. (Full Year 2026 Outlook)
The main offset is a weaker-looking Q3 profit profile. Q3 revenue is guided to $164.5-$167.0 million, only modestly above $163.2 million last year, while adjusted EBITDA is guided to $14.0-$17.0 million versus $20.7 million in Q3 2025 and diluted EPS to $0.18-$0.29 versus $0.30. The filing does not provide a reliable published Q3 consensus, so the cleanest read is that the raised full-year targets outweigh a clearly softer near-term margin setup—but the improvement is not uniform across quarters. (Third Quarter 2026 Outlook)
Net read: mildly better than expected, not a clean acceleration. The Q2 earnings beat, stronger segment profitability, and higher full-year targets are the positive surprise. The sharp year-over-year decline embedded in Q3 adjusted EBITDA keeps the signal from being broadly positive and suggests some of the full-year upgrade depends on execution later in 2026. (Third Quarter 2026 Outlook; Full Year 2026 Outlook)
Read the original 8-K on SEC EDGAR ↗