Healthcare Services Group Inc (NASDAQ: HCSG)

Healthcare Services Group, Inc. provides management and operational services for environmental services (housekeeping, laundry, linen) and dietary departments to healthcare facilities such as nursing homes, retirement complexes, rehabilitation centers and hospitals across the United States. It is the largest provider of housekeeping, laundry and dietary management services to the long term care industry in the United States.

The company generates revenue through contracts to manage housekeeping, laundry, linen and dietary operations for healthcare facilities, earning $824.7 million from Environmental Services and $1,012.5 million from Dietary services in 2025, which together accounted for 100% of its $1,837,200,000 total revenue.

The company operates through the following segments: Environmental Services and Dietary.

• Environmental Services: This segment manages customers’ housekeeping departments, which are responsible for cleaning, disinfecting and sanitizing resident rooms and common areas, as well as laundering and processing bed linens, uniforms, resident personal clothing and other linen items; it also hires and trains employees, assigns on site supervisors and oversees cost and quality control, with labor costs representing 78.3% of segment revenue and supply costs 7.2% in 2025.

• Dietary: This segment manages customers’ dietary departments, handling food purchasing, meal preparation and professional dietitian services such as menu development that meets residents’ medical and nutritional needs; it hires and trains staff, provides on site management and monitors labor and food related supply costs, which were 58.8% and 30.9% of segment revenue respectively in 2025.

Healthcare Services Group, Inc. holds the leading position in the U. S. long term care support market as the largest provider of housekeeping, laundry and dietary management services, competing principally against facilities' in house service departments and various regional and national contractors, with competitive advantages derived from its scale, standardized operating procedures and centralized management infrastructure.

The company serves approximately 2,800 healthcare facilities nationwide, including nursing homes, retirement complexes, rehabilitation centers and hospitals, with roughly 2,300 receiving environmental services and 1,600 receiving dietary services.