{"success":true,"data":{"pressRelease":{"id":"117348","rtpr_id":"nGNX96hdy1","ticker":"PARK","exchange":"NASDAQ","all_tickers":["PARK"],"title":"Park Dental Partners Announces Second Quarter 2026 Results","author":"Globe Newswire","published_at":"2026-08-12T20:33:00.470Z","article_body":"MINNEAPOLIS, Aug. 12, 2026 (GLOBE NEWSWIRE) -- Park Dental Partners, Inc.\n(NASDAQ: PARK) and affiliated dental practices (“Park Dental Partners,”\n“we,” “our,” “us,” or the “Company”) today reported its second\nquarter financial results for 2026. Summary financial results are listed below\nand in the accompanying supplemental financial tables.\n\n \n (Unaudited, in millions, except per share data, and Doctor counts) \n Three Months Ended June 30, Six Months Ended June 30, \n 2026 2025 Change 2026 2025 Change \n Revenue $66.2 $63.0 5.1% $128.9 $122.0 5.6% \n Gross Margin $9.5 $11.9 (20.1%) $15.9 $21.8 (27.0%) \n Gross Margin percentage 14.4% 18.9% (450 bps) 12.3% 17.8% (550 bps) \n Net Income $1.3 $2.6 (47.5%) $1.0 $4.1 (76.8%) \n Diluted EPS $0.22 $1.45 ($1.23) $0.16 $2.33 ($2.17) \n \n Adjusted Gross Margin ((a)) $14.7 $14.1 4.2% $26.9 $26.0 3.4% \n Adjusted Gross Margin Percentage ((a)) 22.2% 22.4% (20 bps) 20.9% 21.3% (40 bps) \n Adjusted EBITDA (()(b)()) $7.4 $7.6 (1.7%) $12.2 $13.0 (6.5%) \n Adjusted EBITDA margin (()(b)()) 11.2% 12.0% (80 bps) 9.4% 10.7% (130 bps) \n Adjusted Diluted EPS (()(c)()) $0.66 $ 1.88 ($1.22) $1.11 $3.02 ($1.91) \n \n Same Practice Revenue Growth 2.3% 5.8% (350 bps) 3.2% 3.6% (40 bps) \n Practicing Affiliated Doctors 219 203 7.9% \n\n\n\n (a) See Non GAAP Reconciliation of Gross Margin to Adjusted Gross Margin below \n (b) See Non GAAP Reconciliation of Net Income to Adjusted EBITDA below \n (c) See Non GAAP Reconciliation of Earnings Per Share to Adjusted Earnings Per Share below \n \n\nExecutive Commentary – Pete Swenson, Chief Executive Officer and Chair of\nthe Board of Directors\n\n\"We delivered another quarter of revenue growth, supported by positive\nsame-practice performance, strong patient retention, and continued expansion\nof our affiliated doctor base. Our underlying operations are preforming well\nand generated strong operating cash flows during the quarter.\n\nPatient demand across both general and specialty services remains resilient,\nand we continue investing in recruiting, staffing, clinical capacity, and\nstrategic growth initiatives designed to support long-term value creation. Our\nbalance sheet remains strong, providing flexibility to pursue disciplined\nacquisitions, support de novo expansion opportunities, and continue investing\nin our affiliated practices.”\n\nFinancial Results\n* Revenue increased 5.1% to $66.2 million for the second quarter of 2026,\ncompared to $63.0 million in the prior-year period. For the first six months\nof 2026, revenue increased 5.6% to $128.9 million, compared to $122.0 million\nin the prior-year period. The increases were primarily driven by acquisitions\ncompleted since the comparable prior-year periods, favorable reimbursement\ntrends, and growth in clinical hours. Revenue from acquisitions in the past 12\nmonths contributed approximately $1.3 million in the quarter and $2.0 million\nyear-to-date.\n* Gross profit was $9.5 million for the second quarter of 2026, compared to\n$11.9 million in the prior-year period. For the first six months of 2026,\ngross profit was $15.9 million, compared to $21.8 million in the prior-year\nperiod. Gross profit was impacted by higher salaries and benefits expense,\nincluding doctor share-based compensation associated with the Company's public\ncompany transition.\n* Net income was $1.3 million, or $0.22 per diluted share, for the second\nquarter of 2026, compared to $2.6 million, or $1.45 per diluted share, in the\nsecond quarter of 2025. For the first six months of 2026, net income was $1.0\nmillion, or $0.16 per diluted share, compared to $4.1 million, or $2.33 per\ndiluted share, in the prior-year period.\n* Adjusted EBITDA was $7.4 million for the second quarter of 2026, compared to\n$7.6 million in the prior-year period. For the first six months of 2026,\nAdjusted EBITDA was $12.2 million, compared to $13.0 million in the prior-year\nperiod.\n* Adjusted diluted earnings per share was $0.66 for the second quarter of\n2026, compared to $1.88 in the prior-year period. For the first six months of\n2026, adjusted diluted earnings per share was $1.11, compared to $3.02 in the\nprior-year period.\nAffiliated Practice Updates\n* As of June 30, 2026, we supported 87 affiliated practices and 219 affiliated\ndoctors.\n* Second quarter patient retention rate was 90.3%.\n* Patient visits increased to 185,569 across our affiliated dental practices.\n* During the second quarter our affiliated dental practices completed one\ngeneral practice acquisition in Rochester, Minnesota, as previously announced\non June 4, 2026. The acquired practices’ impact on revenues and net earnings\nwas not material for the quarter.\n* Entered into definitive agreement to acquire Village Family DSO, as\nannounced on August 10, 2026. The Village Family DSO is currently affiliated\nwith Village Family Dental practices, a multi-specialty dental group based in\nFayetteville, North Carolina. If completed, the transaction would mark our\nexpansion into a fourth state, supporting an additional 48 doctors. The\ntransaction is expected to close later this year.\nBalance Sheet, Liquidity, and Cash Flow\n* Cash and cash equivalents were $24.4 million as of June 30, 2026.\n* Total debt outstanding was approximately $11.0 million as of June 30, 2026,\nand our $15 million line of credit was undrawn at quarter end.\n* Total shares outstanding were 4.7 million shares as of the end of the\nquarter.\n* We generated $9.7 million in operating cash flow in the first half of 2026,\nan increase of $0.5 million compared to the prior year.\n* Year-to-date capital investments were $4.8 million.\nFull-Year 2026 Outlook\n\nBased on our performance during the first half of 2026 and our current\nexpectations for the remainder of the year, we are updating our full-year 2026\noutlook.\n\nOur updated outlook does not contemplate the recently announced acquisition of\nVillage Family Dental DSO, which remains subject to customary closing\nconditions and is expected to close later this year. Consistent with our\nhistorical approach, only completed acquisitions are incorporated into our\noutlook. Following the close of the transaction, we expect to evaluate its\nanticipated financial impact and provide an updated outlook at an appropriate\ntime.\n\nOur revised outlook reflects continued confidence in the underlying\nperformance of our affiliated practices, including patient demand,\nsame-practice revenue growth, provider recruitment, and operational execution.\n\n \n Year Ending Year Ended Percent \n December 31, 2026 December 31, 2025 Change \n ($ in millions) (Outlook) (Actual) (At Midpoint) \n Revenue $256.0 – $260.0 $244.5 5.5% \n Adjusted EBITDA $21.0 – $23.0 $22.0 - \n Adjusted EBITDA margin 8.2% - 8.8% 9.0% \n \n\nOur outlook includes 3.5% to 5.0% organic revenue growth and approximately $2\nmillion recurring public company costs, driven by increased legal, audit, and\ninvestor relation fees we expect to incur in 2026. The outlook assumes\ncontinued patient demand across general and specialty services, stable\nreimbursement trends across commercial and government payors, ongoing\nrecruitment and retention initiatives, and contributions from recently\nacquired and affiliated practices and de novos. We continue to monitor patient\ndemand, industry and professional staffing trends that could impact our\noutlook.\n\nConference Call\n\nAs announced on July 20, 2026, the Company will host a conference call to\ndiscuss these results tomorrow morning, Thursday, August 13, 2026, at 8:30\na.m. Eastern Time (7:30 a.m. Central Time).\n\nA live webcast of the call will be accessible by registering using the link\nbelow or through the Investor Relations section of the Company’s website at\nhttps://investors.parkdentalpartners.com. A replay of the webcast will be\navailable on the website for a limited time following the call.\n\nAbout Park Dental Partners, Inc.\n\nPark Dental Partners, Inc., and its subsidiaries (NASDAQ:PARK) is a dental\nresource organization that has put patients first since the establishment of\nits general dentistry group in 1972. The Company provides comprehensive\nbusiness support services, including clinical team members, administrative\npersonnel, facilities, and equipment, to its affiliated general and\nmulti-specialty dental practices. The Company has 219 affiliated doctors\nacross 87 practice locations in three states. The Company’s clinical support\nteam consists of over 1,000 hygienists, dental assistants, and patient care\ncoordinators that support affiliated doctors in operating their practices. The\nmission of our affiliated dental practices since inception has been to ensure\npatients enjoy the benefits of a lifetime of good oral health. This mission\ncontinues to be the driving force behind our organization today.\n\nPark Dental Partners is based in Roseville, Minnesota. For more information,\nplease visit parkdentalpartners.com.\n\nBasis of Consolidation\n\nIn accordance with generally accepted accounting principles in the United\nStates, we consolidate the net assets and results of operations of the\naffiliated dental practices operating under long-term administrative resource\nagreements with us. As a result, references to our revenues, our expenses and\nsimilar items relating to our results of operations and net assets includes\nthe revenues, expenses and similar items of our affiliated dental practices\nand all transactions between the affiliated dental practices and us, such as\nthe service fees we charge, are eliminated in consolidation.\n\nForward Looking Statements\n\nCertain statements in this press release are “forward-looking statements”\nwithin the meaning of Section 27A of the Securities Act of 1933, as amended,\nand Section 21E of the Securities Exchange Act of 1934, as amended, with\nrespect to the Company’s financial condition, results of operations, plans,\nobjectives, future performance and business. Forward-looking statements\ninclude those preceded by, followed by or that include the words\n“believes,” “expects,” “anticipates,” “intends,”\n“estimates,” “plans,” “may,” “will,” or similar expressions.\nThese forward-looking statements involve risks and uncertainties. Actual\nresults may differ materially from those contemplated by such forward-looking\nstatements because of, among other things, potential risks and uncertainties,\nsuch as:\n* Regulatory and compliance risk, including state dental corporate practice of\ndentistry and fee-splitting restrictions, HIPAA and other\nprivacy/cybersecurity obligations, and evolving healthcare and labor\nregulations;\n* Reimbursement risk, including risks related to payer mix, reimbursement\nrates, audit/recoupment activity, enrollment and collections timing, and\ndependence on significant third-party payors;\n* Our ability to identify, acquire, integrate and effectively support\naffiliated practices and to execute de novo expansion, and the risk of\nundiscovered liabilities in acquisitions;\n* Dependence on affiliated dental practices and their clinical performance;\nour ability to attract, hire and retain dentists, specialists and hygienists;\nand risks related to ownership transitions of affiliated entities;\n* Competition for patients and clinicians in our markets and the impact on\npatient volumes and staffing;\n* Macroeconomic conditions, inflation and interest rates, and our geographic\nconcentration, particularly in the markets in which we operate.\nA forward-looking statement is neither a prediction nor a guarantee of future\nevents or circumstances, and those future events or circumstances may not\noccur. We are under no obligation, and we expressly disclaim any obligation,\nto update or alter any forward-looking statements, whether because of new\ninformation, future events or otherwise.\n\nNon-GAAP Financial Measures\n\nThis news release and the related conference call include presentation of\nNon-GAAP measures that include or exclude special items of a nonrecurring\nand/or nonoperational nature. Management believes that the Non-GAAP measures\nprovide useful information to investors regarding the Company’s results of\noperations and financial condition because they permit a more meaningful\ncomparison and understanding of Park Dental Partners, Inc’s operating\nperformance for the current, past or future periods. Management uses these\nNon-GAAP measures to monitor and evaluate ongoing operating results and trends\nand to gain an understanding of the comparative operating performance of the\nCompany.\n\nPlease note that the Company has not provided the most directly comparable\nGAAP financial measure, or a quantitative reconciliation thereto, for the\nAdjusted EBITDA forward-looking guidance for 2026 included in this press\nrelease in reliance on the unreasonable efforts exception provided under Item\n10(e)(1)(i)(B) of Regulation S-K. Providing the most directly comparable GAAP\nfinancial measure, or a quantitative reconciliation thereto, cannot be done\nwithout unreasonable effort due to the inherent uncertainty and difficulty in\npredicting certain non-cash, material and/or non-recurring expenses or\nbenefits; legal settlements or other matters; and certain tax positions. The\nvariability of these items could have an unpredictable, and potentially\nsignificant, impact on our future GAAP financial results.\n\nSee Supplemental non-GAAP financial tables below for a reconciliation of\nadjusted non-GAAP financial measures to GAAP.\n\nSupplemental Financial Tables\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) \n (in thousands, except share and per share amounts) \n \n For the Three Months Ended For the Six Months Ended \n June 30, June 30, \n 2026 2025 2026 2025 \n REVENUE $ 66,212 $ 62,998 $ 128,907 $ 122,035 \n COST OF SERVICES \n Salaries and benefits 42,114 37,096 84,009 72,733 \n Dental supplies and Laboratory fees 4,444 4,337 8,782 8,576 \n Office occupancy 4,375 4,086 8,660 8,090 \n Other practice expenses 3,836 3,610 7,670 7,015 \n Depreciation 1,928 1,963 3,891 3,859 \n TOTAL COST OF SERVICES 56,698 51,092 113,013 100,273 \n GROSS MARGIN 9,514 11,906 15,894 21,762 \n General and administrative expenses 7,836 7,380 15,676 14,308 \n Depreciation and amortization 422 374 842 752 \n OPERATING INCOME (LOSS) 1,256 4,152 (624 ) 6,702 \n INTEREST EXPENSE - NET (137 ) (334 ) (258 ) (671 ) \n INCOME (LOSS) BEFORE TAX 1,119 3,818 (882 ) 6,031 \n PROVISION/(BENEFIT) FOR INCOME TAX (230 ) 1,248 (1,841 ) 1,894 \n NET INCOME $ 1,349 $ 2,570 $ 959 $ 4,136 \n EARNINGS PER SHARE: \n Basic $ 0.30 $ 1.45 $ 0.21 $ 2.33 \n Diluted $ 0.22 $ 1.45 $ 0.16 $ 2.33 \n Basic weighted-average number of common shares outstanding 4,571,346 1,772,662 4,478,159 1,777,942 \n Diluted weighted-average number of common shares outstanding 6,235,305 1,772,662 6,091,899 1,777,942 \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED BALANCE SHEET (unaudited) \n (in thousands) \n \n At June 30, At December 31, \n 2026 2025 \n ASSETS \n Cash and cash equivalents $ 24,398 $ 25,185 \n Accounts receivable – net of allowance 7,923 6,991 \n Other current assets 7,328 5,726 \n Total current assets 39,649 37,902 \n OTHER ASSETS: \n Property and equipment and lease assets 75,286 73,828 \n Goodwill and Intangible assets, nets 30,591 28,360 \n Other assets 40,741 38,093 \n Total other assets 146,618 140,281 \n TOTAL ASSETS $ 186,267 $ 178,183 \n LIABILITIES AND EQUITY \n Accounts payable and other accrued liabilities $ 5,041 $ 6,291 \n Payroll, benefits and short term deferred compensation 16,693 16,716 \n Current portion of debt and lease liabilities 8,843 8,606 \n Deferred Revenue and other current liabilities 4,724 4,120 \n Total current liabilities 35,301 35,733 \n LONG-TERM LIABILITIES: \n Deferred compensation 69,230 68,417 \n Long-term debt and lease liabilities 51,256 51,744 \n Other long-term liabilities 659 486 \n Total long-term liabilities 121,145 120,647 \n TOTAL LIABILITIES $ 156,446 $ 156,380 \n Total shareholders’ equity $ 29,821 $ 21,803 \n TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 186,267 $ 178,183 \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) \n (in thousands) \n \n For the Six Months Ended \n June 30, \n 2026 2025 \n CASH FLOWS FROM OPERATING ACTIVITIES: \n Net income $ 959 $ 4,136 \n Adjustments to reconcile net income to net cash flows from operating activities: \n Depreciation and amortization 4,733 4,611 \n Deferred income taxes (967 ) - \n Change in cash surrender value of life insurance (1,274 ) (786 ) \n Noncash lease and loss on disposal of equipment 31 1 \n Share based compensation 7,059 — \n Changes in operating assets and liabilities (825 ) 1,271 \n Net cash flows from operating activities 9,716 9,233 \n NET CASH FLOWS USED IN INVESTING ACTIVITIES: \n Purchases of property and equipment $ (4,752 ) $ (4,020 ) \n Life insurance premiums paid (407 ) (978 ) \n Payments for purchases of dental practices (2,438 ) (803 ) \n Issuance of notes to related parties (600 ) — \n Net cash flows used in investing activities (8,197 ) (5,801 ) \n CASH FLOWS USED IN FINANCING ACTIVITIES: \n Dental practice purchase payments on deferred notes $ (134 ) $ (333 ) \n Net change in checks issued in excess of cash balances (1,201 ) (1,504 ) \n Net payments on debt and capital leases (971 ) (979 ) \n Cash paid for Share Repurchase — (396 ) \n Net cash flows used in financing activities (2,306 ) (3,212 ) \n NET CHANGE IN CASH AND CASH EQUIVALENTS (787 ) 220 \n CASH AND CASH EQUIVALENTS – Beginning of period 25,185 2,672 \n CASH AND CASH EQUIVALENTS - End of period $ 24,398 $ 2,892 \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n RECONCILIATION OF GROSS MARGIN TO ADJUSTED GROSS MARGIN (unaudited) \n (in thousands) \n \n For The Three Months Ended For The Six Months Ended \n June 30, June 30, \n 2026 2025 2026 2025 \n GROSS MARGIN $ 9,514 14.4 % $ 11,906 18.9 % $ 15,894 12.3 % $ 21,762 17.8 % \n Addback: \n Share based compensation 2,798 4.2 % - 0.0 % 6,463 5.0 % - 0.0 % \n Restructuring costs - 0.0 % 46 0.1 % 37 0.0 % 109 0.1 % \n Deferred compensation 433 0.7 % 170 0.3 % 593 0.5 % 255 0.2 % \n Depreciation 1,928 2.9 % 1,963 3.1 % 3,891 3.0 % 3,859 3.2 % \n ADJUSTED GROSS MARGIN $ 14,673 $ 14,085 $ 26,878 $ 25,985 \n ADJUSTED GROSS MARGIN PERCENTAGE 22.2 % 22.4 % 20.9 % 21.3 % \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA (unaudited) \n (in thousands) \n \n For the Three Months Ended For the Six Months Ended \n June 30, June 30, \n 2026 2025 2026 2025 \n NET INCOME $ 1,349 2.0 % $ 2,570 4.1 % $ 959 0.7 % $ 4,136 3.4 % \n Addback: \n Provision/(Benefit) for income tax (230 ) (0.3 %) 1,248 2.0 % (1,841 ) (1.4 %) 1,894 1.6 % \n Interest expense, net 137 0.2 % 334 0.5 % 258 0.2 % 671 0.5 % \n Depreciation and amortization 2,350 3.5 % 2,337 3.7 % 4,733 3.7 % 4,611 3.8 % \n EBITDA $ 3,606 5.4 % $ 6,489 10.3 % $ 4,109 3.2 % $ 11,312 9.3 % \n Adjustments: \n Share based compensation 3,035 4.6 % - 0.0 % 7,059 5.5 % - 0.0 % \n Restructuring costs (1) 347 0.5 % 893 1.4 % 405 0.3 % 1,376 1.1 % \n Deferred compensation (2) 433 0.7 % 170 0.3 % 593 0.5 % 329 0.3 % \n ADJUSTED EBITDA $ 7,421 $ 7,552 $ 12,166 $ 13,018 \n ADJUSTED EBITDA PERCENTAGE 11.2 % 12.0 % 9.4 % 10.7 % \n \n \n \n (1 )Restructuring costs for the three and six months ended June 30, 2026 primarily consist of expenses related to acquisition legal costs. Restructuring costs for the three and six months ended June 30, 2025 primarily consist of expenses incurred in connection with the Company’s initial public offering. \n (2)Deferred compensation costs primarily consist of expenses incurred with the Company's active and inactive deferred compensation arrangements. \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n RECONCILIATION OF EARNINGS PER SHARE TO ADJUSTED EARNINGS PER SHARE (unaudited) \n (in thousands, except share and per share amounts) \n \n For the Three Months Ended For the Six Months Ended \n June 30, June 30, \n 2026 2025 2026 2025 \n EARNINGS ATTRIBUTABLE TO COMMON STOCKHOLDERS: $ 1,349 $ 2,570 $ 959 $ 4,136 \n Adjustments: \n Share based compensation 3,035 - 7,059 - \n Restructuring costs (1) 347 893 405 1,376 \n Deferred compensation (2) 433 170 593 329 \n Income tax effect of the Adjustments (3) (1,068 ) (298 ) (2,256 ) (477 ) \n ADJUSTED NET INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS $ 4,096 $ 3,335 $ 6,760 $ 5,364 \n \n \n Adjusted Weighted Average Diluted Shares - Reconciliation \n WEIGHTED-AVERAGE SHARES USED IN COMPUTING GAAP NET LOSS PER SHARE, DILUTED 6,235,305 1,772,662 6,091,899 1,777,942 \n ADJUSTED WEIGHTED AVERAGE DILUTED SHARES USED IN COMPUTING ADJUSTED EARNINGS PER SHARE, DILUTED 6,235,305 1,772,662 6,091,899 1,777,942 \n \n ADJUSTED DILUTED EARNINGS PER SHARE: $ 0.66 $ 1.88 $ 1.11 $ 3.02 \n \n \n \n \n (1 )Restructuring costs for the three and six months ended June 30, 2026 primarily consist of expenses related to acquisition legal costs. Restructuring costs for the three and six months ended June 30, 2025 primarily consist of expenses incurred in connection with the Company’s initial public offering. \n (2)Deferred compensation costs primarily consist of expenses incurred with the Company's active and inactive deferred compensation arrangements. \n (3 )Income tax effect is based on an estimated long-term annual effective tax rate of 28% tax rate for the three and six months ended June 30, 2026 and June 30, 2025. The Company's estimated long-term annual effective tax rate excludes certain non-cash items such as share based compensation arrangements, and is used in order to provide consistency across periods. \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n CONSOLIDATED OPERATING METRICS (unaudited) \n \n For the Three Months Ended For the Six Months Ended \n June 30, June 30, \n 2026 2025 2026 2025 \n Patient Visits (1) 185,569 185,189 364,096 361,129 \n Same Practice Revenue Growth (2) 2.3 % 5.8 % 3.2 % 3.6 % \n Patient Retention Rate (3) 90.3 % 89.7 % 90.3 % 89.7 % \n Doctor Count (4) 219 203 \n \n \n \n (1 )A patient visit is counted when service is provided to a patient at one of our affiliated dental general dentistry practices. Measuring the year-over-year change in patient visits helps us to evaluate how the affiliated dental practices are performing. It also helps with evaluating demand for services which influences decision-making relating to matters such as appropriate staffing levels and recruiting needs. In addition, it influences decision-making processes relating to our marketing, sales and \n advertising strategies and helps us with evaluating the effectiveness of those strategies. Further, with respect to continuing care patient count, it allows us to evaluate the ability of affiliated dentists to encourage patients to complete their diagnosed dental treatment plans. \n (2 )Same practice revenues represent total revenues for same dental practice locations that have been operating for at least 13 full months prior to the end of a given reporting period and which have not been closed, or sold during such period. Measuring the year-over-year change in same practice revenues allows us to evaluate how affiliated dental practices are performing. We believe various factors affect comparable practice revenues, including patient demand for dental services, economic trends, dentist \n and hygienist staffing levels, availability of dentists and hygienists, pricing, competition, visibility and accessibility of the dental practices, quality of the tenants surrounding the dental practices, clinical hours and the level of patient service provided inside and outside of the dental practices. \n (3 )Patient retention rate is calculated by counting patients that remain active at the beginning and end of a twelve-month period. Active patients are defined as general dentistry patients having been seen by our affiliated dental practices within the past 36 months, or last 18 months for patients under the age of 18. Patients who have not been seen by our affiliated dental practices within these time periods are removed from our active patient lists. This methodology is aligned with ADA clinical procedure \n codes, and is consistent with treatment protocols for new patients, before being considered an active patient again. Measuring the year-over-year and quarter-over-quarter change in patient retention allows us to evaluate the recurring nature of patient visits at the dental practices and affiliated dentists which influences decision-making around matters such as appropriate levels of staffing, recruiting, advertising and facility expansion opportunities. \n (4 )Dentists operating in one of our affiliated dental practices are included in this calculation, which includes both full and part-time dentists. Measuring the year-over-year and quarter-over- quarter change in dentist count allows us to evaluate the production capacity of affiliated dental practices. It also influences decision-making relating to matters such as appropriate staffing levels and recruiting needs. \n \n\nCompany Contact Information\n\nInvestor Contact:\n\nPark Dental Partners Investor Relations Team\n\n763-233-3377\n\nir@parkdentalpartners.com\n\nMedia Contact:\n\nPark Dental Partners Media Relations Team\n\n651-633-0500\n\nmarketing@parkdentalpartners.com\n\n(https://www.globenewswire.com/NewsRoom/AttachmentNg/48fd5730-f848-4991-96db-3d4db3274d34)\n\n\n\nGlobeNewswire, Inc. 2026","article_body_html":"","raw_payload":{"data":{"id":"nGNX96hdy1","title":"Park Dental Partners Announces Second Quarter 2026 Results","author":"Globe Newswire","ticker":"PARK","created":"2026-08-12T20:33:00.470Z","tickers":["PARK"],"exchange":"NASDAQ","article_body":"MINNEAPOLIS, Aug. 12, 2026 (GLOBE NEWSWIRE) -- Park Dental Partners, Inc.\n(NASDAQ: PARK) and affiliated dental practices (“Park Dental Partners,”\n“we,” “our,” “us,” or the “Company”) today reported its second\nquarter financial results for 2026. Summary financial results are listed below\nand in the accompanying supplemental financial tables.\n\n \n (Unaudited, in millions, except per share data, and Doctor counts) \n Three Months Ended June 30, Six Months Ended June 30, \n 2026 2025 Change 2026 2025 Change \n Revenue $66.2 $63.0 5.1% $128.9 $122.0 5.6% \n Gross Margin $9.5 $11.9 (20.1%) $15.9 $21.8 (27.0%) \n Gross Margin percentage 14.4% 18.9% (450 bps) 12.3% 17.8% (550 bps) \n Net Income $1.3 $2.6 (47.5%) $1.0 $4.1 (76.8%) \n Diluted EPS $0.22 $1.45 ($1.23) $0.16 $2.33 ($2.17) \n \n Adjusted Gross Margin ((a)) $14.7 $14.1 4.2% $26.9 $26.0 3.4% \n Adjusted Gross Margin Percentage ((a)) 22.2% 22.4% (20 bps) 20.9% 21.3% (40 bps) \n Adjusted EBITDA (()(b)()) $7.4 $7.6 (1.7%) $12.2 $13.0 (6.5%) \n Adjusted EBITDA margin (()(b)()) 11.2% 12.0% (80 bps) 9.4% 10.7% (130 bps) \n Adjusted Diluted EPS (()(c)()) $0.66 $ 1.88 ($1.22) $1.11 $3.02 ($1.91) \n \n Same Practice Revenue Growth 2.3% 5.8% (350 bps) 3.2% 3.6% (40 bps) \n Practicing Affiliated Doctors 219 203 7.9% \n\n\n\n (a) See Non GAAP Reconciliation of Gross Margin to Adjusted Gross Margin below \n (b) See Non GAAP Reconciliation of Net Income to Adjusted EBITDA below \n (c) See Non GAAP Reconciliation of Earnings Per Share to Adjusted Earnings Per Share below \n \n\nExecutive Commentary – Pete Swenson, Chief Executive Officer and Chair of\nthe Board of Directors\n\n\"We delivered another quarter of revenue growth, supported by positive\nsame-practice performance, strong patient retention, and continued expansion\nof our affiliated doctor base. Our underlying operations are preforming well\nand generated strong operating cash flows during the quarter.\n\nPatient demand across both general and specialty services remains resilient,\nand we continue investing in recruiting, staffing, clinical capacity, and\nstrategic growth initiatives designed to support long-term value creation. Our\nbalance sheet remains strong, providing flexibility to pursue disciplined\nacquisitions, support de novo expansion opportunities, and continue investing\nin our affiliated practices.”\n\nFinancial Results\n* Revenue increased 5.1% to $66.2 million for the second quarter of 2026,\ncompared to $63.0 million in the prior-year period. For the first six months\nof 2026, revenue increased 5.6% to $128.9 million, compared to $122.0 million\nin the prior-year period. The increases were primarily driven by acquisitions\ncompleted since the comparable prior-year periods, favorable reimbursement\ntrends, and growth in clinical hours. Revenue from acquisitions in the past 12\nmonths contributed approximately $1.3 million in the quarter and $2.0 million\nyear-to-date.\n* Gross profit was $9.5 million for the second quarter of 2026, compared to\n$11.9 million in the prior-year period. For the first six months of 2026,\ngross profit was $15.9 million, compared to $21.8 million in the prior-year\nperiod. Gross profit was impacted by higher salaries and benefits expense,\nincluding doctor share-based compensation associated with the Company's public\ncompany transition.\n* Net income was $1.3 million, or $0.22 per diluted share, for the second\nquarter of 2026, compared to $2.6 million, or $1.45 per diluted share, in the\nsecond quarter of 2025. For the first six months of 2026, net income was $1.0\nmillion, or $0.16 per diluted share, compared to $4.1 million, or $2.33 per\ndiluted share, in the prior-year period.\n* Adjusted EBITDA was $7.4 million for the second quarter of 2026, compared to\n$7.6 million in the prior-year period. For the first six months of 2026,\nAdjusted EBITDA was $12.2 million, compared to $13.0 million in the prior-year\nperiod.\n* Adjusted diluted earnings per share was $0.66 for the second quarter of\n2026, compared to $1.88 in the prior-year period. For the first six months of\n2026, adjusted diluted earnings per share was $1.11, compared to $3.02 in the\nprior-year period.\nAffiliated Practice Updates\n* As of June 30, 2026, we supported 87 affiliated practices and 219 affiliated\ndoctors.\n* Second quarter patient retention rate was 90.3%.\n* Patient visits increased to 185,569 across our affiliated dental practices.\n* During the second quarter our affiliated dental practices completed one\ngeneral practice acquisition in Rochester, Minnesota, as previously announced\non June 4, 2026. The acquired practices’ impact on revenues and net earnings\nwas not material for the quarter.\n* Entered into definitive agreement to acquire Village Family DSO, as\nannounced on August 10, 2026. The Village Family DSO is currently affiliated\nwith Village Family Dental practices, a multi-specialty dental group based in\nFayetteville, North Carolina. If completed, the transaction would mark our\nexpansion into a fourth state, supporting an additional 48 doctors. The\ntransaction is expected to close later this year.\nBalance Sheet, Liquidity, and Cash Flow\n* Cash and cash equivalents were $24.4 million as of June 30, 2026.\n* Total debt outstanding was approximately $11.0 million as of June 30, 2026,\nand our $15 million line of credit was undrawn at quarter end.\n* Total shares outstanding were 4.7 million shares as of the end of the\nquarter.\n* We generated $9.7 million in operating cash flow in the first half of 2026,\nan increase of $0.5 million compared to the prior year.\n* Year-to-date capital investments were $4.8 million.\nFull-Year 2026 Outlook\n\nBased on our performance during the first half of 2026 and our current\nexpectations for the remainder of the year, we are updating our full-year 2026\noutlook.\n\nOur updated outlook does not contemplate the recently announced acquisition of\nVillage Family Dental DSO, which remains subject to customary closing\nconditions and is expected to close later this year. Consistent with our\nhistorical approach, only completed acquisitions are incorporated into our\noutlook. Following the close of the transaction, we expect to evaluate its\nanticipated financial impact and provide an updated outlook at an appropriate\ntime.\n\nOur revised outlook reflects continued confidence in the underlying\nperformance of our affiliated practices, including patient demand,\nsame-practice revenue growth, provider recruitment, and operational execution.\n\n \n Year Ending Year Ended Percent \n December 31, 2026 December 31, 2025 Change \n ($ in millions) (Outlook) (Actual) (At Midpoint) \n Revenue $256.0 – $260.0 $244.5 5.5% \n Adjusted EBITDA $21.0 – $23.0 $22.0 - \n Adjusted EBITDA margin 8.2% - 8.8% 9.0% \n \n\nOur outlook includes 3.5% to 5.0% organic revenue growth and approximately $2\nmillion recurring public company costs, driven by increased legal, audit, and\ninvestor relation fees we expect to incur in 2026. The outlook assumes\ncontinued patient demand across general and specialty services, stable\nreimbursement trends across commercial and government payors, ongoing\nrecruitment and retention initiatives, and contributions from recently\nacquired and affiliated practices and de novos. We continue to monitor patient\ndemand, industry and professional staffing trends that could impact our\noutlook.\n\nConference Call\n\nAs announced on July 20, 2026, the Company will host a conference call to\ndiscuss these results tomorrow morning, Thursday, August 13, 2026, at 8:30\na.m. Eastern Time (7:30 a.m. Central Time).\n\nA live webcast of the call will be accessible by registering using the link\nbelow or through the Investor Relations section of the Company’s website at\nhttps://investors.parkdentalpartners.com. A replay of the webcast will be\navailable on the website for a limited time following the call.\n\nAbout Park Dental Partners, Inc.\n\nPark Dental Partners, Inc., and its subsidiaries (NASDAQ:PARK) is a dental\nresource organization that has put patients first since the establishment of\nits general dentistry group in 1972. The Company provides comprehensive\nbusiness support services, including clinical team members, administrative\npersonnel, facilities, and equipment, to its affiliated general and\nmulti-specialty dental practices. The Company has 219 affiliated doctors\nacross 87 practice locations in three states. The Company’s clinical support\nteam consists of over 1,000 hygienists, dental assistants, and patient care\ncoordinators that support affiliated doctors in operating their practices. The\nmission of our affiliated dental practices since inception has been to ensure\npatients enjoy the benefits of a lifetime of good oral health. This mission\ncontinues to be the driving force behind our organization today.\n\nPark Dental Partners is based in Roseville, Minnesota. For more information,\nplease visit parkdentalpartners.com.\n\nBasis of Consolidation\n\nIn accordance with generally accepted accounting principles in the United\nStates, we consolidate the net assets and results of operations of the\naffiliated dental practices operating under long-term administrative resource\nagreements with us. As a result, references to our revenues, our expenses and\nsimilar items relating to our results of operations and net assets includes\nthe revenues, expenses and similar items of our affiliated dental practices\nand all transactions between the affiliated dental practices and us, such as\nthe service fees we charge, are eliminated in consolidation.\n\nForward Looking Statements\n\nCertain statements in this press release are “forward-looking statements”\nwithin the meaning of Section 27A of the Securities Act of 1933, as amended,\nand Section 21E of the Securities Exchange Act of 1934, as amended, with\nrespect to the Company’s financial condition, results of operations, plans,\nobjectives, future performance and business. Forward-looking statements\ninclude those preceded by, followed by or that include the words\n“believes,” “expects,” “anticipates,” “intends,”\n“estimates,” “plans,” “may,” “will,” or similar expressions.\nThese forward-looking statements involve risks and uncertainties. Actual\nresults may differ materially from those contemplated by such forward-looking\nstatements because of, among other things, potential risks and uncertainties,\nsuch as:\n* Regulatory and compliance risk, including state dental corporate practice of\ndentistry and fee-splitting restrictions, HIPAA and other\nprivacy/cybersecurity obligations, and evolving healthcare and labor\nregulations;\n* Reimbursement risk, including risks related to payer mix, reimbursement\nrates, audit/recoupment activity, enrollment and collections timing, and\ndependence on significant third-party payors;\n* Our ability to identify, acquire, integrate and effectively support\naffiliated practices and to execute de novo expansion, and the risk of\nundiscovered liabilities in acquisitions;\n* Dependence on affiliated dental practices and their clinical performance;\nour ability to attract, hire and retain dentists, specialists and hygienists;\nand risks related to ownership transitions of affiliated entities;\n* Competition for patients and clinicians in our markets and the impact on\npatient volumes and staffing;\n* Macroeconomic conditions, inflation and interest rates, and our geographic\nconcentration, particularly in the markets in which we operate.\nA forward-looking statement is neither a prediction nor a guarantee of future\nevents or circumstances, and those future events or circumstances may not\noccur. We are under no obligation, and we expressly disclaim any obligation,\nto update or alter any forward-looking statements, whether because of new\ninformation, future events or otherwise.\n\nNon-GAAP Financial Measures\n\nThis news release and the related conference call include presentation of\nNon-GAAP measures that include or exclude special items of a nonrecurring\nand/or nonoperational nature. Management believes that the Non-GAAP measures\nprovide useful information to investors regarding the Company’s results of\noperations and financial condition because they permit a more meaningful\ncomparison and understanding of Park Dental Partners, Inc’s operating\nperformance for the current, past or future periods. Management uses these\nNon-GAAP measures to monitor and evaluate ongoing operating results and trends\nand to gain an understanding of the comparative operating performance of the\nCompany.\n\nPlease note that the Company has not provided the most directly comparable\nGAAP financial measure, or a quantitative reconciliation thereto, for the\nAdjusted EBITDA forward-looking guidance for 2026 included in this press\nrelease in reliance on the unreasonable efforts exception provided under Item\n10(e)(1)(i)(B) of Regulation S-K. Providing the most directly comparable GAAP\nfinancial measure, or a quantitative reconciliation thereto, cannot be done\nwithout unreasonable effort due to the inherent uncertainty and difficulty in\npredicting certain non-cash, material and/or non-recurring expenses or\nbenefits; legal settlements or other matters; and certain tax positions. The\nvariability of these items could have an unpredictable, and potentially\nsignificant, impact on our future GAAP financial results.\n\nSee Supplemental non-GAAP financial tables below for a reconciliation of\nadjusted non-GAAP financial measures to GAAP.\n\nSupplemental Financial Tables\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) \n (in thousands, except share and per share amounts) \n \n For the Three Months Ended For the Six Months Ended \n June 30, June 30, \n 2026 2025 2026 2025 \n REVENUE $ 66,212 $ 62,998 $ 128,907 $ 122,035 \n COST OF SERVICES \n Salaries and benefits 42,114 37,096 84,009 72,733 \n Dental supplies and Laboratory fees 4,444 4,337 8,782 8,576 \n Office occupancy 4,375 4,086 8,660 8,090 \n Other practice expenses 3,836 3,610 7,670 7,015 \n Depreciation 1,928 1,963 3,891 3,859 \n TOTAL COST OF SERVICES 56,698 51,092 113,013 100,273 \n GROSS MARGIN 9,514 11,906 15,894 21,762 \n General and administrative expenses 7,836 7,380 15,676 14,308 \n Depreciation and amortization 422 374 842 752 \n OPERATING INCOME (LOSS) 1,256 4,152 (624 ) 6,702 \n INTEREST EXPENSE - NET (137 ) (334 ) (258 ) (671 ) \n INCOME (LOSS) BEFORE TAX 1,119 3,818 (882 ) 6,031 \n PROVISION/(BENEFIT) FOR INCOME TAX (230 ) 1,248 (1,841 ) 1,894 \n NET INCOME $ 1,349 $ 2,570 $ 959 $ 4,136 \n EARNINGS PER SHARE: \n Basic $ 0.30 $ 1.45 $ 0.21 $ 2.33 \n Diluted $ 0.22 $ 1.45 $ 0.16 $ 2.33 \n Basic weighted-average number of common shares outstanding 4,571,346 1,772,662 4,478,159 1,777,942 \n Diluted weighted-average number of common shares outstanding 6,235,305 1,772,662 6,091,899 1,777,942 \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED BALANCE SHEET (unaudited) \n (in thousands) \n \n At June 30, At December 31, \n 2026 2025 \n ASSETS \n Cash and cash equivalents $ 24,398 $ 25,185 \n Accounts receivable – net of allowance 7,923 6,991 \n Other current assets 7,328 5,726 \n Total current assets 39,649 37,902 \n OTHER ASSETS: \n Property and equipment and lease assets 75,286 73,828 \n Goodwill and Intangible assets, nets 30,591 28,360 \n Other assets 40,741 38,093 \n Total other assets 146,618 140,281 \n TOTAL ASSETS $ 186,267 $ 178,183 \n LIABILITIES AND EQUITY \n Accounts payable and other accrued liabilities $ 5,041 $ 6,291 \n Payroll, benefits and short term deferred compensation 16,693 16,716 \n Current portion of debt and lease liabilities 8,843 8,606 \n Deferred Revenue and other current liabilities 4,724 4,120 \n Total current liabilities 35,301 35,733 \n LONG-TERM LIABILITIES: \n Deferred compensation 69,230 68,417 \n Long-term debt and lease liabilities 51,256 51,744 \n Other long-term liabilities 659 486 \n Total long-term liabilities 121,145 120,647 \n TOTAL LIABILITIES $ 156,446 $ 156,380 \n Total shareholders’ equity $ 29,821 $ 21,803 \n TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 186,267 $ 178,183 \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) \n (in thousands) \n \n For the Six Months Ended \n June 30, \n 2026 2025 \n CASH FLOWS FROM OPERATING ACTIVITIES: \n Net income $ 959 $ 4,136 \n Adjustments to reconcile net income to net cash flows from operating activities: \n Depreciation and amortization 4,733 4,611 \n Deferred income taxes (967 ) - \n Change in cash surrender value of life insurance (1,274 ) (786 ) \n Noncash lease and loss on disposal of equipment 31 1 \n Share based compensation 7,059 — \n Changes in operating assets and liabilities (825 ) 1,271 \n Net cash flows from operating activities 9,716 9,233 \n NET CASH FLOWS USED IN INVESTING ACTIVITIES: \n Purchases of property and equipment $ (4,752 ) $ (4,020 ) \n Life insurance premiums paid (407 ) (978 ) \n Payments for purchases of dental practices (2,438 ) (803 ) \n Issuance of notes to related parties (600 ) — \n Net cash flows used in investing activities (8,197 ) (5,801 ) \n CASH FLOWS USED IN FINANCING ACTIVITIES: \n Dental practice purchase payments on deferred notes $ (134 ) $ (333 ) \n Net change in checks issued in excess of cash balances (1,201 ) (1,504 ) \n Net payments on debt and capital leases (971 ) (979 ) \n Cash paid for Share Repurchase — (396 ) \n Net cash flows used in financing activities (2,306 ) (3,212 ) \n NET CHANGE IN CASH AND CASH EQUIVALENTS (787 ) 220 \n CASH AND CASH EQUIVALENTS – Beginning of period 25,185 2,672 \n CASH AND CASH EQUIVALENTS - End of period $ 24,398 $ 2,892 \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n RECONCILIATION OF GROSS MARGIN TO ADJUSTED GROSS MARGIN (unaudited) \n (in thousands) \n \n For The Three Months Ended For The Six Months Ended \n June 30, June 30, \n 2026 2025 2026 2025 \n GROSS MARGIN $ 9,514 14.4 % $ 11,906 18.9 % $ 15,894 12.3 % $ 21,762 17.8 % \n Addback: \n Share based compensation 2,798 4.2 % - 0.0 % 6,463 5.0 % - 0.0 % \n Restructuring costs - 0.0 % 46 0.1 % 37 0.0 % 109 0.1 % \n Deferred compensation 433 0.7 % 170 0.3 % 593 0.5 % 255 0.2 % \n Depreciation 1,928 2.9 % 1,963 3.1 % 3,891 3.0 % 3,859 3.2 % \n ADJUSTED GROSS MARGIN $ 14,673 $ 14,085 $ 26,878 $ 25,985 \n ADJUSTED GROSS MARGIN PERCENTAGE 22.2 % 22.4 % 20.9 % 21.3 % \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA (unaudited) \n (in thousands) \n \n For the Three Months Ended For the Six Months Ended \n June 30, June 30, \n 2026 2025 2026 2025 \n NET INCOME $ 1,349 2.0 % $ 2,570 4.1 % $ 959 0.7 % $ 4,136 3.4 % \n Addback: \n Provision/(Benefit) for income tax (230 ) (0.3 %) 1,248 2.0 % (1,841 ) (1.4 %) 1,894 1.6 % \n Interest expense, net 137 0.2 % 334 0.5 % 258 0.2 % 671 0.5 % \n Depreciation and amortization 2,350 3.5 % 2,337 3.7 % 4,733 3.7 % 4,611 3.8 % \n EBITDA $ 3,606 5.4 % $ 6,489 10.3 % $ 4,109 3.2 % $ 11,312 9.3 % \n Adjustments: \n Share based compensation 3,035 4.6 % - 0.0 % 7,059 5.5 % - 0.0 % \n Restructuring costs (1) 347 0.5 % 893 1.4 % 405 0.3 % 1,376 1.1 % \n Deferred compensation (2) 433 0.7 % 170 0.3 % 593 0.5 % 329 0.3 % \n ADJUSTED EBITDA $ 7,421 $ 7,552 $ 12,166 $ 13,018 \n ADJUSTED EBITDA PERCENTAGE 11.2 % 12.0 % 9.4 % 10.7 % \n \n \n \n (1 )Restructuring costs for the three and six months ended June 30, 2026 primarily consist of expenses related to acquisition legal costs. Restructuring costs for the three and six months ended June 30, 2025 primarily consist of expenses incurred in connection with the Company’s initial public offering. \n (2)Deferred compensation costs primarily consist of expenses incurred with the Company's active and inactive deferred compensation arrangements. \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n RECONCILIATION OF EARNINGS PER SHARE TO ADJUSTED EARNINGS PER SHARE (unaudited) \n (in thousands, except share and per share amounts) \n \n For the Three Months Ended For the Six Months Ended \n June 30, June 30, \n 2026 2025 2026 2025 \n EARNINGS ATTRIBUTABLE TO COMMON STOCKHOLDERS: $ 1,349 $ 2,570 $ 959 $ 4,136 \n Adjustments: \n Share based compensation 3,035 - 7,059 - \n Restructuring costs (1) 347 893 405 1,376 \n Deferred compensation (2) 433 170 593 329 \n Income tax effect of the Adjustments (3) (1,068 ) (298 ) (2,256 ) (477 ) \n ADJUSTED NET INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS $ 4,096 $ 3,335 $ 6,760 $ 5,364 \n \n \n Adjusted Weighted Average Diluted Shares - Reconciliation \n WEIGHTED-AVERAGE SHARES USED IN COMPUTING GAAP NET LOSS PER SHARE, DILUTED 6,235,305 1,772,662 6,091,899 1,777,942 \n ADJUSTED WEIGHTED AVERAGE DILUTED SHARES USED IN COMPUTING ADJUSTED EARNINGS PER SHARE, DILUTED 6,235,305 1,772,662 6,091,899 1,777,942 \n \n ADJUSTED DILUTED EARNINGS PER SHARE: $ 0.66 $ 1.88 $ 1.11 $ 3.02 \n \n \n \n \n (1 )Restructuring costs for the three and six months ended June 30, 2026 primarily consist of expenses related to acquisition legal costs. Restructuring costs for the three and six months ended June 30, 2025 primarily consist of expenses incurred in connection with the Company’s initial public offering. \n (2)Deferred compensation costs primarily consist of expenses incurred with the Company's active and inactive deferred compensation arrangements. \n (3 )Income tax effect is based on an estimated long-term annual effective tax rate of 28% tax rate for the three and six months ended June 30, 2026 and June 30, 2025. The Company's estimated long-term annual effective tax rate excludes certain non-cash items such as share based compensation arrangements, and is used in order to provide consistency across periods. \n\n\n\n \n PARK DENTAL PARTNERS, INC. AND SUBSIDIARIES \n CONSOLIDATED OPERATING METRICS (unaudited) \n \n For the Three Months Ended For the Six Months Ended \n June 30, June 30, \n 2026 2025 2026 2025 \n Patient Visits (1) 185,569 185,189 364,096 361,129 \n Same Practice Revenue Growth (2) 2.3 % 5.8 % 3.2 % 3.6 % \n Patient Retention Rate (3) 90.3 % 89.7 % 90.3 % 89.7 % \n Doctor Count (4) 219 203 \n \n \n \n (1 )A patient visit is counted when service is provided to a patient at one of our affiliated dental general dentistry practices. Measuring the year-over-year change in patient visits helps us to evaluate how the affiliated dental practices are performing. It also helps with evaluating demand for services which influences decision-making relating to matters such as appropriate staffing levels and recruiting needs. In addition, it influences decision-making processes relating to our marketing, sales and \n advertising strategies and helps us with evaluating the effectiveness of those strategies. Further, with respect to continuing care patient count, it allows us to evaluate the ability of affiliated dentists to encourage patients to complete their diagnosed dental treatment plans. \n (2 )Same practice revenues represent total revenues for same dental practice locations that have been operating for at least 13 full months prior to the end of a given reporting period and which have not been closed, or sold during such period. Measuring the year-over-year change in same practice revenues allows us to evaluate how affiliated dental practices are performing. We believe various factors affect comparable practice revenues, including patient demand for dental services, economic trends, dentist \n and hygienist staffing levels, availability of dentists and hygienists, pricing, competition, visibility and accessibility of the dental practices, quality of the tenants surrounding the dental practices, clinical hours and the level of patient service provided inside and outside of the dental practices. \n (3 )Patient retention rate is calculated by counting patients that remain active at the beginning and end of a twelve-month period. Active patients are defined as general dentistry patients having been seen by our affiliated dental practices within the past 36 months, or last 18 months for patients under the age of 18. Patients who have not been seen by our affiliated dental practices within these time periods are removed from our active patient lists. This methodology is aligned with ADA clinical procedure \n codes, and is consistent with treatment protocols for new patients, before being considered an active patient again. Measuring the year-over-year and quarter-over-quarter change in patient retention allows us to evaluate the recurring nature of patient visits at the dental practices and affiliated dentists which influences decision-making around matters such as appropriate levels of staffing, recruiting, advertising and facility expansion opportunities. \n (4 )Dentists operating in one of our affiliated dental practices are included in this calculation, which includes both full and part-time dentists. Measuring the year-over-year and quarter-over- quarter change in dentist count allows us to evaluate the production capacity of affiliated dental practices. It also influences decision-making relating to matters such as appropriate staffing levels and recruiting needs. \n \n\nCompany Contact Information\n\nInvestor Contact:\n\nPark Dental Partners Investor Relations Team\n\n763-233-3377\n\nir@parkdentalpartners.com\n\nMedia Contact:\n\nPark Dental Partners Media Relations Team\n\n651-633-0500\n\nmarketing@parkdentalpartners.com\n\n(https://www.globenewswire.com/NewsRoom/AttachmentNg/48fd5730-f848-4991-96db-3d4db3274d34)\n\n\n\nGlobeNewswire, Inc. 2026"},"type":"article","timestamp":"2026-08-12T20:33:00.541433115Z","server_sent_at_ms":1786566780541},"received_at":"2026-08-12T20:33:00.792Z","source_url":"https://www.globenewswire.com/news-release/2026/08/12/3344116/0/en/park-dental-partners-announces-second-quarter-2026-results.html"},"analysis":{"id":"106340","press_release_id":"117348","analysis_json":{"industry":{"label":"Health Care Providers & Services","sector":"Health Care"},"redFlags":["GAAP Net Income decreased 47.5% YoY","Adjusted EPS decreased 65% YoY","Gross margin contracted 450 basis points YoY","Adjusted EBITDA margin guidance reduced to 8.2%-8.8% vs 9.0% actual in 2025"],"eventType":"earnings","narrative":"Park Dental Partners reported Q2 revenue of $66.2 million, up 5.1% year-over-year, driven by acquisitions and clinical hours, though same-practice growth slowed to 2.3%.\n\nProfitability deteriorated significantly with GAAP net income falling 47.5% to $1.3 million and Adjusted EBITDA dipping slightly to $7.4 million, weighed down by public company transition costs.\n\nThe company raised full-year revenue guidance to $256.0-$260.0 million while lowering Adjusted EBITDA margin expectations, and announced a definitive agreement to acquire Village Family DSO.","sentiment":"bearish","agentHooks":{"shouldPost":true,"suggestedAngle":"Revenue growth overshadowed by steep earnings drop and margin compression due to transition costs."},"keyFigures":{"eps":0.22,"revenue":66200000,"guidance":"FY2026 Revenue $256.0M-$260.0M, Adjusted EBITDA $21.0M-$23.0M, Adjusted EBITDA margin 8.2%-8.8%","revenueYoy":"5.1%","customDimensions":{"cash":24400000,"debt":11000000,"adjusted_eps":0.66,"gross_profit":9500000,"adjusted_ebitda":7400000,"operating_income":1256000,"operating_cash_flow":9716000}},"quotedText":"We delivered another quarter of revenue growth, supported by positive same-practice performance, strong patient retention, and continued expansion of our affiliated doctor base.","namedEntities":{"people":[{"name":"Pete Swenson","role":"Chief Executive Officer"}],"products":[],"companies":[{"name":"Park Dental Partners, Inc.","ticker":"PARK"},{"name":"Village Family DSO","relationship":"acquisition target"}],"dollarAmounts":[{"amount":"$66.2 million","context":"Q2 2026 revenue"},{"amount":"$1.3 million","context":"Q2 2026 net income"},{"amount":"$7.4 million","context":"Q2 2026 Adjusted EBITDA"},{"amount":"$256.0 – $260.0 million","context":"FY2026 revenue outlook"},{"amount":"$11.0 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