AdaptHealth 'takes control’ of reimbursement 

PLYMOUTH MEETING, Pa. – AdaptHealth has signed a new capitated agreement with a major health insurer, a move CFO Jason Clemens says reflects the company’s broader strategy to expand its business through these contracts. 

‘Taking control’ of reimbursement 

Previously, in August, AdaptHealth announced it had signed a $1 billion capitated agreement to cover 10 million members in multiple states who are part of a major national health care system. 

While this new contract covers a smaller member base – 170,000 – it gets the company’s foot in the door with the insurer and could result in additional business, Clemens said. 

“(This is) where we're heading in terms of taking control of our own destiny and reimbursement, capping business exclusively where we can contain an entire population and take care of all of those patients,” he said during a recent call to discuss the company’s Q3 earnings. “There is a benefit to the geography of this contract and potential growth. If we do our jobs and we think we will, it does set up nicely for us to continue to work that payer's pipeline. So more to come.” 

Downplaying impact of competition’s contracts 

AdaptHealth execs don’t anticipate much impact, if any, from a recently announced national provider agreement between Optum Health and Apria Healthcare and Byram Healthcare, both part of Owens & Minor. 

“If I understand correctly, the contract that you're referring to, I have not heard that it is exclusive,” said CEO Suzanne Foster. “I have heard that, at the end of the day, they have to earn the business just like anyone else would. And so we believe with all of the infrastructure and continuous improvement that we made, that we are going to continue to earn business on the basis of our service excellence. And so, it does not preclude us from calling on that customer.” 

Ramping up rolls on 

AdaptHealth continues to ramp up infrastructure to meet the demand of its new contracts, including the hiring of 1,200 people and the “procurement” of about three dozen new locations in geographies it doesn’t currently exist in, said Clemens. 

The company has also consolidated its previously fragmented call centers into one new national contact center, says Foster. 

“This is a significant enhancement that allows us to dramatically improve how we route our incoming call volume and standardize patient interaction, which creates a higher quality, more consistent experience for the patients,” she said. 

Stopping the bleeding in diabetes 

AdaptHealth’s overall organic revenue growth was 5.1% in Q3 2025 - the highest since Q1 2024, driven by solid underlying volume trends across segments. Sleep health saw 5.7% growth, respiratory health 7.8% and diabetes health 6.4%. 

In particular, the company’s efforts to turn around its struggling diabetes division are paying off, says Foster, turning around a Q1 2025 revenue decline of 8%. 

“We have finally gotten our arms around the business, and we're seeing the best attrition rates from our resupply team,” she said. “We've really stopped that bleeding and are servicing patients really well there.”