HCSG Provides Update On Client Restructuring; Estimates A Q2 Non-cash Charge Of ~$0.20 Per Share, Anticipates No Disruption In Postpetition Payments And Reiterates Its Previously Shared Q2 And 2024 Adjusted Cash Flow Expectations Of $5M-$15M And $40M-$55M

Healthcare Services Group, Inc. (NASDAQ:HCSG) today issued the following statement in response to LaVie Care Centers' announcement that it had filed for Chapter 11 bankruptcy protection in the Northern District of Georgia. As a result of LaVie's filing, the Company estimates a Q2 non-cash charge of approximately $0.20 per share. The Company expects to continue providing services to LaVie and expects no impact on future revenue or earnings. Additionally, the Company anticipates no disruption in postpetition payments and reiterates its previously shared Q2 and 2024 adjusted cash flow expectations of $5.0 million to $15.0 million and $40.0 million to $55.0 million, respectively.