AMN Healthcare Revenue Rises 13% to $717.3 Million in Third Quarter
Key Facts
AMN Healthcare reported revenue of $717.3 million in the third quarter on November 5, 2026, up 13% from the same period a year earlier, and net income of $33.4 million, up 14%. The company said revenue and earnings exceeded its quarterly guidance, attributing the results to travel nursing and allied services, as well as the release of a prior labor disruption reserve. Consolidated gross margin was 31.9%, up 280 basis points year over year and 130 basis points from the previous quarter. In its statement, the company said results “exceeded guidance, supported by travel nursing and allied services and the release of the labor disruption reserve.” The performance reflects strong growth in one of the company’s segments, alongside the financial impact of releasing the reserve, as results varied across business units.
Nurse and Allied Solutions reported revenue of about $460 million, up 27% year over year and 9% quarter over quarter. Travel nursing revenue rose 19% from the third quarter of the previous year, making the business one of the growth drivers identified by the company. The release of the labor disruption reserve also lifted the segment’s margin and improved gross margin sequentially. Revenue attributed to labor disruptions was $59 million in the third quarter, compared with $25 million in the second quarter and $12 million a year earlier. This comparison means labor disruptions contributed more revenue than in either comparison period, while the company also linked results growth to nursing and allied services.
By contrast, Physician and Leadership Solutions revenue was about $171 million, down 4% from the same period a year earlier. Technology and Workforce Solutions reported revenue of $86 million, down 9% year over year. The divergence shows that revenue growth did not extend across all of AMN’s business units: the increase was concentrated in Nurse and Allied Solutions, while revenue fell in the other two segments. The company said demand for nursing and allied services strengthened during the third quarter and continued into October. Chief Executive Officer Cary Grace said, “Demand strengthened during the third quarter and continued into October,” adding that the company is working to accelerate recruiting, automation and around-the-clock execution.
Cash and equivalents totaled $256 million on September 30, 2026. But operating cash flow was an outflow of $88 million in the third quarter, despite remaining positive at $285 million from the start of the year through the end of September. The company attributed the quarterly outflow to the return of most customer deposits related to earlier labor disruptions. The figures put cash movement during the quarter in the context of settling obligations tied to those disruptions, while operating cash flow remained positive year to date. AMN shares closed at $47.74 on November 4, the trading day before the third-quarter results announcement.
For the fourth quarter of 2026, AMN expects revenue of between $655 million and $670 million and an adjusted EBITDA margin of between 5.8% and 6.3%. The company’s revenue range implies an expected year-over-year decline of between 10% and 12%. The forecast assumes $5 million in revenue from labor disruptions in the fourth quarter, compared with $124 million in the same quarter of 2025. This follows $59 million in revenue from that activity in the third quarter, but shows that the coming year-over-year comparison includes a much higher level of labor disruption revenue in the prior-year period. The assumed decline in this item is part of the guidance context, alongside the revenue and margin ranges the company provided for the coming period.