Leaders with PACS Group (NYSE: PACS) anticipate reporting record revenue and earnings for the first half of the year.

“Over the last year, we have maintained strong employee retention levels in our operations, and our team has remained steadfast in its commitment to our mission of revolutionizing the delivery, leadership, and quality of post-acute care,” PACS CEO Jason Murray stated in a Sept. 11 press release. “Based on our progress, when we become current in our SEC [Securities & Exchange Commission] filings, we expect to report record revenue and adjusted EBITDA [earnings before interest, taxes, depreciation and amortization] for the first six months of 2025.”

The Farmington, Utah-based company is not current on SEC filings due to an ongoing internal investigation that the company launched in the wake of allegations of improper billing practices. Hindenburg Research, a now-defunct institutional short seller, first made those allegations in November 2024.

PACS previously disclosed that financial statements for Q1 2024 and the first half of 2024 need to be restated. The New York Stock Exchange Listing Operations Committee has agreed to allow PACS to trade through Nov. 19, 2025; PACS intends to file the restated financial statements and become current with SEC obligations by that date, according to the Sept. 11 press release.

Amid the investigation being conducted by the independent Audit Committee, PACS has continued to expand, adding 96 facilities to its portfolio since Q2 2024. Most of those new assets were added in the second half of 2024, the press release stated. As of the end of June 2025, PACS’ portfolio stood at 316 facilities encompassing 32,208 skilled nursing beds and 2,419 assisted living beds.

Following the completion of the Audit Committee investigation, PACS intends to “accelerate growth and drive value creation,” Murray stated.

PACS disclosed several other metrics for the first six months of 2025, describing them in the press release as evidence of “solid business momentum.” The metrics included total facilities occupancy of 88.9%, with ramping facilities at 86.3% and mature facilities at 95.1%. Furthermore, 64.4% of PACS’ skilled nursing portfolio had achieved a 4- or 5-Star CMS QM rating.

And the company can fuel future growth by drawing on $294.2 million of cash and cash equivalents on hand as of June 30, up from $157.7 million at the end of 2024, according to the press release.

Leadership changes

The next chapter for PACS also will feature changes in C-suite leadership. P.J. Sanford exited as the company’s president last month. And earlier this week, the company announced that Derick Apt had resigned as CFO. 

Apt tendered his resignation at the request of the board of directors after an internal investigation into allegations that he had violated company policy by accepting “a series of high-value items” from people associated with entities that do business with PACS.

Mark Hancock, a PACS co-founder and former CFO, is filling the vacancy left by Apt until a permanent replacement is hired.

And an interim chief compliance officer, Kathy Lauer, is working with PACS to tighten regulatory and compliance practices. 

“I am deeply impressed by the urgency and commitment of the PACS team in its efforts to enhance compliance processes for the company’s current phase of growth and development,” Lauer stated in the Sept. 11 release. “For many years, I have worked with highly regulated healthcare companies to improve their compliance and controls. I am confident that the PACS team is taking the right steps to best position the Company for the benefit of all stakeholders.”