Headline Summary: Shares of Acadia Healthcare fell 1.5% post-earnings, as roughly in-line results were met with a sequential slowdown in CTC segment growth and ongoing operational restructuring. While first quarter revenue and earnings landed at or above guidance, investors appear to be weighing the impact of leadership changes and deceleration in parts of the business. Key Takeaways:

• First quarter revenue growth was led by acute inpatient psychiatric facilities, up 14% year-over-year, with inpatient volumes increasing 6.2%.
• CTC segment growth slowed to 2.5% year-over-year, with management citing sequential deceleration from Q4 due to weather-related disruptions.
• Adjusted EBITDA reached $144.2 million, exceeding the high end of guidance by $7.2 million.
• Full-year adjusted EBITDA guidance was raised by $5 million at the midpoint.
• The company implemented leadership changes and reorganized its acute service line, aiming for improved execution and performance consistency across facilities.