Long-Term Debt

3 Months Ended

Mar. 31, 2026

Debt Disclosure [Abstract]

Long-Term Debt

Long-Term Debt

As of March 31, 2026, the Company’s long-term debt and notes payable are as follows:

	Principal Outstanding		Unamortized Premium (Discount)		Unamortized Issuance Costs		Carrying Value
	(in thousands)
6.875% senior notes	$	650,000	$	—	$	(9,963)	$	640,037
Credit facilities:
Revolving Credit Facility	—		—		—		—
Term Loan	940,500		(801)		(10,309)		929,390
Other debt(1)	6,720		—		—		6,720
Total debt	$	1,597,220	$	(801)	$	(20,272)	$	1,576,147

As of March 31, 2026, principal maturities of the Company’s long-term debt and notes payable are as follows:

	2026		2027		2028		2029		2030		Thereafter		Total
	(in thousands)
6.875% senior notes	$	—	$	—	$	—	$	—	$	—	$	650,000	$	650,000
Credit facilities:
Revolving Credit Facility	—		—		—		—		—		—		—
Term Loan	7,125		9,500		9,500		9,500		9,500		895,375		940,500
Other debt(1)	4,094		608		634		287		194		903		6,720
Total debt	$	11,219	$	10,108	$	10,134	$	9,787	$	9,694	$	1,546,278	$	1,597,220

As of December 31, 2025, the Company’s long-term debt and notes payable are as follows:

	Principal Outstanding		Unamortized Premium (Discount)		Unamortized Issuance Costs		Carrying Value
	(in thousands)
6.875% senior notes	$	650,000	$	—	$	(10,356)	$	639,644
Credit facilities:
Revolving Credit Facility	—		—		—		—
Term Loan	942,875		(839)		(10,789)		931,247
Other debt(1)	3,505		—		—		3,505
Total debt	$	1,596,380	$	(839)	$	(21,145)	$	1,574,396

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(1)        Other debt is primarily comprised of insurance financing arrangements, promissory notes executed in connection with business combinations, and finance leases.

Credit Facilities

On July 26, 2024, CHSI entered into a senior secured credit agreement (the “Credit Agreement”) that initially provided for an $850.0 million term loan (the “Term Loan”), and a $400.0 million revolving credit facility, including a $75.0 million sublimit for the issuance of standby letters of credit (the “Revolving Credit Facility” and, together with the Term Loan, the “Credit Facilities”). In March 2025, the Company completed an amendment to the Credit Agreement to increase our Revolving Credit Facility by $50.0 million from $400.0 million to $450.0 million. In addition, the amendment to the Credit Agreement also added new debt through an incremental term loan of $102.1 million, which provides an updated Term Loan of $950.0 million.

At March 31, 2026, the Company had $434.2 million of availability under its Revolving Credit Facility, after giving effect to $15.8 million of outstanding letters of credit. At March 31, 2026, the Company did not have any outstanding borrowings under its Revolving Credit Facility.

The Credit Facilities require CHSI to maintain a leverage ratio (as defined in the Credit Agreement), which is tested quarterly and currently must not be greater than 6.5 to 1.0. As of March 31, 2026, CHSI’s leverage ratio was 3.4x.

6.875% Senior Notes

On July 11, 2024, the Company completed a private offering by its wholly owned subsidiary, Concentra Escrow Issuer Corporation (the “Escrow Issuer”), of $650.0 million aggregate principal amount of 6.875% senior notes due July 15, 2032 (the “Senior Notes”). On July 26, 2024, Escrow Issuer merged with and into CHSI, with CHSI continuing as the surviving entity, and CHSI assumed Escrow Issuer’s obligations under the Senior Notes. The Senior Notes are unconditionally guaranteed, jointly and severally, on a senior unsecured basis by the Company and certain of its wholly owned subsidiaries. Interest on the Senior Notes accrues at a rate of 6.875% per annum and is payable semi-annually in cash in arrears on January 15 and July 15 of each year, commencing on January 15, 2025.

At March 31, 2026, the Company had $650.0 million of the Senior Notes outstanding (excluding unamortized premium and debt issuance costs of $10.0 million).