AMN Healthcare Services Inc. (NYSE: AMN) reported second-quarter revenue that fell 30.5% to $991.3 million year over year and forecast third-quarter revenue would drop between 24% and 26%. 

Travel nurse revenue fell, while the company’s locum tenens business revenue rose. The company said it saw stable demand trends and indications of client demand coming in the winter. 

“Contingent labor costs are stabilizing, and we are strengthening our ability to provide strategic talent solutions that offer labor flexibility at sustainable costs,” said AMN President and CEO Cary Grace in a press release. 

Overall, the company’s “nurse and allied solutions” segment revenue declined 37.4%, while travel nurse segment revenue dropped 38% year over year. In addition, “technology and workforce solutions” results slipped 15.6%.  

However, revenue edged upward 0.3% in its “physician and leadership solutions” segment. AMN noted revenue rose in the locum tenens portion of this segment by 15% year over year, but interim leadership revenue fell by 24% and its “physician and leadership search” businesses saw revenue decline by 19%. Vendor management system revenue fell 38% year over year. 

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Guidance 

Looking ahead to the third quarter, the company said it expected nurse and allied solutions revenue to be down between 31% and 33% and physician and leadership solutions revenue to decline by 3% to 5%. Technology and workforce solutions segment revenue is expected to slip between 10% to 12% year.  

Share price and market cap 

Shares in AMN were down 9.8% to $91.68 as of 12:26 p.m. Eastern time, according to FT.com. They were nearly 13.0% above their 52-week low.