Amedisys, Inc. (NASDAQ: AMED) today reported its financial results
for the three and nine-month period ended September 30, 2018.
Three Month Periods Ended September 30,
2018 and 2017
- Net service revenue increased $43.6 million to
$417.3 million compared to $373.7 million in 2017
(1).
- Net income attributable to Amedisys, Inc. of $31.4 million
compared to $14.6 million in 2017.
- Net income attributable to Amedisys, Inc. per diluted share of
$0.96 per diluted share compared to $0.42 in 2017.
Adjusted Quarterly Results*
- Adjusted EBITDA of $45.3 million compared to
$36.9 million in 2017.
- Adjusted net service revenue of $417.3 million compared to
$380.2 million in 2017.
- Adjusted net income attributable to Amedisys, Inc. of
$30.9 million compared to $19.2 million in 2017.
- Adjusted net income attributable to Amedisys, Inc. per diluted
share of $0.95 compared to $0.56 in 2017.
Nine Month Periods Ended September 30, 2018
and 2017
- Net service revenue increased $114.9 million to
$1,228.2 million compared to $1,113.3 million in 2017
(1).
- Net income attributable to Amedisys, Inc. of $91.9 million
compared to $34.1 million in 2017.
- Net income attributable to Amedisys, Inc. per diluted share of
$2.71 per diluted share compared to $1.00 in 2017.
Adjusted Year to Date Results*
- Adjusted EBITDA of $136.7 million compared to
$105.0 million in 2017.
- Adjusted net service revenue of $1,229.9 million compared
to $1,119.8 million in 2017.
- Adjusted net income attributable to Amedisys, Inc. of
$92.3 million compared to $56.5 million in 2017.
- Adjusted net income attributable to Amedisys, Inc. per diluted
share of $2.73 compared to $1.65 in 2017.
* See below for the definition and reconciliations of
non-GAAP financial measures to GAAP measures.
(1) Subsequent to our adoption of Accounting
Standards Updates 2014-09 and 2015-14 on January 1, 2018,
using the full retrospective method, amounts previously classified
as provision for doubtful accounts are now classified as price
concessions in determining the transaction price of our net service
revenue.
Paul B. Kusserow, President and Chief Executive
Officer stated, “I am proud of our third quarter results and the
strong execution of our team. We are pleased with the growth trends
we continue to see in home health. Our performance in home
health helped drive our significant results this quarter and I am
delighted with the progress the home health segment has made this
year. Our hospice segment continues its stellar performance,
with another quarter of double digit ADC growth. We look
forward to welcoming all of our new Compassionate Care Hospice team
members to the Amedisys family once our deal closes early next year
and are excited about the continued growth potential within our
hospice segment. Our personal care segment continues with their
impressive integration engine and has built out a platform for
growth within Massachusetts and beyond. Above all else, our
clinical quality metrics continue to be at, or near, the top of the
industry in both home health and hospice. Providing our
clinically distinct care to as many patients wherever they call
home is and will always be our first priority. Finally, thanks
to our team of over 18,500 employees for continuing to do all that
you do to drive such impressive results and provide such incredible
care.”
Updated 2018 Guidance
- Net service revenue is anticipated to be in the range of
$1.65 billion to $1.67 billion.
- Adjusted EBITDA is anticipated to be in the range of $177
million to $180 million.
- Adjusted diluted earnings per share is anticipated to be in the
range of $3.54 to $3.60 based on an estimated 33.50 million
shares outstanding.
This guidance excludes the effects of any future
acquisitions, if any are made.
We urge caution in considering the current
trends and 2018 guidance disclosed in this press release. The home
health and hospice industry is highly competitive and subject to
intensive regulations, and trends are subject to numerous factors,
risks, and uncertainties, some of which are referenced in the
cautionary language below and others that are described more fully
in our reports filed with the Securities and Exchange Commission
(“SEC”) including our Annual Report on Form 10-K for the fiscal
year ended December 31, 2017, and subsequent Quarterly Reports
on Form 10-Q, and current reports on Form 8-K which can be found on
the SEC’s internet website, http://www.sec.gov, and our internet
website, http://www.amedisys.com.
Earnings Call and Webcast
Information
Amedisys will host a conference call on Tuesday,
October 30, 2018, at 11:00 a.m. ET to discuss its third
quarter results. To participate on the conference call, please call
before 11:00 a.m. ET to either (877) 524-8416 (Toll-Free) or (412)
902-1028 (Toll). A replay of the conference call will be available
through November 30, 2018 by dialing (877) 660-6853
(Toll-Free) or (201) 612-7415 (Toll) and entering conference ID
#13684177.
A live webcast of the call will be accessible
through our website on our Investor Relations section at the
following web address: http://investors.amedisys.com.
Non-GAAP Financial Measures
This press release includes reconciliations of
the most comparable financial measures calculated and presented in
accordance with accounting principles generally accepted in the
U.S. (“GAAP”) to non-GAAP financial measures. The non-GAAP
financial measures as defined under SEC rules are as follows:
(1) adjusted EBITDA, defined as net income attributable to
Amedisys, Inc. before provision for income taxes, net interest
expense and depreciation and amortization, excluding certain items;
(2) adjusted net service revenue, defined as net service
revenue excluding certain items; (3) adjusted net income
attributable to Amedisys, Inc., defined as net income attributable
to Amedisys, Inc. excluding certain items; and (4) adjusted
net income attributable to Amedisys, Inc. per diluted share,
defined as net income attributable to Amedisys, Inc. common
stockholders per diluted share excluding certain items. Management
believes that these non-GAAP financial measures, when reviewed in
conjunction with GAAP financial measures, are useful gauges of our
current performance and are also included in internal management
reporting. These non-GAAP financial measures should be considered
in addition to, and not more meaningful than or as an alternative
to the GAAP financial measures presented in this earnings release
and the company’s financial statements. Non-GAAP measures as
presented herein may not be comparable to similarly titled measures
reported by other companies since not all companies calculate these
non-GAAP measures consistently.
Additional information
Amedisys, Inc. (the “Company”) is a leading
healthcare at home Company delivering personalized home health,
hospice and personal care. Amedisys is focused on delivering the
care that is best for our patients, whether that is home-based
personal care; recovery and rehabilitation after an operation or
injury; care focused on empowering them to manage a chronic
disease; or hospice care at the end of life. More than 3,000
hospitals and 59,000 physicians nationwide have chosen Amedisys as
a partner in post-acute care. Founded in 1982, headquartered in
Baton Rouge, LA with an executive office in Nashville, TN, Amedisys
is a publicly held company. With 18,500 employees, in 421 care
centers within 34 states and the District of Columbia, Amedisys is
dedicated to delivering the highest quality of care to the
doorsteps of more than 369,000 patients and clients in need every
year. For more information about the Company, please visit:
www.amedisys.com.
We use our website as a channel of distribution
for important company information. Important information, including
press releases, investor presentations and financial information
regarding our company, is routinely posted on and accessible on the
Investor Relations subpage of our website, which is accessible by
clicking on the tab labeled “Investors” on our website home page.
Visitors to our website can also register to receive automatic
e-mail and other notifications alerting them when new information
is made available on the Investor Relations subpage of our
website.
Forward-Looking Statements
When included in this press release, words like
“believes,” “belief,” “expects,” “plans,” “anticipates,” “intends,”
“projects,” “estimates,” “may,” “might,” “would,” “should” and
similar expressions are intended to identify forward-looking
statements as defined by the Private Securities Litigation Reform
Act of 1995. These forward-looking statements involve a variety of
risks and uncertainties that could cause actual results to differ
materially from those described therein. These risks and
uncertainties include, but are not limited to the following:
changes in Medicare and other medical payment levels, our ability
to open care centers, acquire additional care centers and integrate
and operate these care centers effectively, changes in or our
failure to comply with existing federal and state laws or
regulations or the inability to comply with new government
regulations on a timely basis, competition in the healthcare
industry, our ability to integrate our personal care segment into
our business efficiently, changes in the case mix of patients and
payment methodologies, changes in estimates and judgments
associated with critical accounting policies, our ability to
maintain or establish new patient referral sources, our ability to
attract and retain qualified personnel, changes in payments and
covered services by federal and state governments, future cost
containment initiatives undertaken by third-party payors, our
access to financing, our ability to meet debt service requirements
and comply with covenants in debt agreements, business disruptions
due to natural disasters or acts of terrorism, our ability to
integrate, manage and keep our information systems secure, our
ability to comply with requirements stipulated in our corporate
integrity agreement and changes in law or developments with respect
to any litigation relating to the Company, including various other
matters, many of which are beyond our control.
Because forward-looking statements are
inherently subject to risks and uncertainties, some of which cannot
be predicted or quantified, you should not rely on any
forward-looking statement as a prediction of future events. We
expressly disclaim any obligation or undertaking and we do not
intend to release publicly any updates or changes in our
expectations concerning the forward-looking statements or any
changes in events, conditions or circumstances upon which any
forward-looking statement may be based, except as required by
law.
Contact: |
Investor
Contact: |
Media
Contact: |
|
|
Amedisys,
Inc. |
Amedisys,
Inc. |
|
|
Nick
Muscato |
Kendra
Kimmons |
|
|
Vice President, Strategic Finance |
Vice President, Marketing & Communications |
|
|
(855)
259-2046 |
(225)
299-3720 |
|
|
IR@amedisys.com |
kendra.kimmons@amedisys.com |
|
AMEDISYS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except per share data)
(Unaudited)
|
For the Three-Month
Periods Ended September 30 |
|
For the Nine-Month
Periods Ended September 30 |
|
|
2018 |
|
|
|
2017 |
|
|
|
2018 |
|
|
|
2017 |
|
Net service
revenue |
$ |
417,335 |
|
|
$ |
373,704 |
|
|
$ |
1,228,200 |
|
|
$ |
1,113,311 |
|
Cost of service,
excluding depreciation and amortization |
|
249,739 |
|
|
|
227,269 |
|
|
|
730,612 |
|
|
|
664,139 |
|
General and
administrative expenses: |
|
|
|
|
Salaries
and benefits |
|
79,367 |
|
|
|
77,130 |
|
|
|
232,213 |
|
|
|
226,532 |
|
Non-cash
compensation |
|
4,842 |
|
|
|
3,558 |
|
|
|
12,653 |
|
|
|
11,788 |
|
Other |
|
40,335 |
|
|
|
38,189 |
|
|
|
124,119 |
|
|
|
120,223 |
|
Depreciation and
amortization |
|
3,164 |
|
|
|
4,185 |
|
|
|
9,882 |
|
|
|
13,139 |
|
Securities
Class Action Lawsuit settlement, net |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
28,712 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses |
|
377,447 |
|
|
|
350,331 |
|
|
|
1,109,479 |
|
|
|
1,064,533 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income |
|
39,888 |
|
|
|
23,373 |
|
|
|
118,721 |
|
|
|
48,778 |
|
Other income
(expense): |
|
|
|
|
Interest
income |
|
29 |
|
|
|
44 |
|
|
|
263 |
|
|
|
104 |
|
Interest
expense |
|
(1,991 |
) |
|
|
(1,335 |
) |
|
|
(5,834 |
) |
|
|
(3,600 |
) |
Equity in
earnings from equity method investments |
|
1,625 |
|
|
|
900 |
|
|
|
6,461 |
|
|
|
3,149 |
|
Miscellaneous, net |
|
1,822 |
|
|
|
1,043 |
|
|
|
2,782 |
|
|
|
3,282 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total other income, net |
|
1,485 |
|
|
|
652 |
|
|
|
3,672 |
|
|
|
2,935 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes |
|
41,373 |
|
|
|
24,025 |
|
|
|
122,393 |
|
|
|
51,713 |
|
Income tax expense |
|
(9,825 |
) |
|
|
(9,364 |
) |
|
|
(29,984 |
) |
|
|
(17,324 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
31,548 |
|
|
|
14,661 |
|
|
|
92,409 |
|
|
|
34,389 |
|
Net income attributable
to noncontrolling interests |
|
(171 |
) |
|
|
(103 |
) |
|
|
(524 |
) |
|
|
(240 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable
to Amedisys, Inc. |
$ |
31,377 |
|
|
$ |
14,558 |
|
|
$ |
91,885 |
|
|
$ |
34,149 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per
common share: |
|
|
|
|
Net
income attributable to Amedisys, Inc. common stockholders |
$ |
0.99 |
|
|
$ |
0.43 |
|
|
$ |
2.78 |
|
|
$ |
1.02 |
|
Weighted
average shares outstanding |
|
31,815 |
|
|
|
33,838 |
|
|
|
33,075 |
|
|
|
33,640 |
|
Diluted earnings per
common share: |
|
|
|
|
Net
income attributable to Amedisys, Inc. common stockholders |
$ |
0.96 |
|
|
$ |
0.42 |
|
|
$ |
2.71 |
|
|
$ |
1.00 |
|
Weighted
average shares outstanding |
|
32,691 |
|
|
|
34,363 |
|
|
|
33,852 |
|
|
|
34,255 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AMEDISYS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Amounts in thousands, except share data)
|
September 30, 2018 (unaudited)
|
|
December 31, 2017 |
ASSETS |
|
|
|
|
|
Current assets: |
|
|
Cash and cash
equivalents |
$ |
14,010 |
|
|
$ |
86,363 |
|
Patient
accounts receivable |
|
195,030 |
|
|
|
201,196 |
|
Prepaid
expenses |
|
11,679 |
|
|
|
7,329 |
|
Other
current assets |
|
11,949 |
|
|
|
16,268 |
|
|
|
|
|
|
|
|
|
Total current assets |
|
232,668 |
|
|
|
311,156 |
|
Property and equipment,
net of accumulated depreciation of $93,432 and $146,814 |
|
30,215 |
|
|
|
31,122 |
|
Goodwill |
|
324,145 |
|
|
|
319,949 |
|
Intangible assets, net
of accumulated amortization of $32,443 and $30,610 |
|
44,309 |
|
|
|
46,061 |
|
Deferred income
taxes |
|
41,149 |
|
|
|
56,064 |
|
Other assets |
|
53,406 |
|
|
|
49,130 |
|
|
|
|
|
|
|
Total assets |
$ |
725,892 |
|
|
$ |
813,482 |
|
|
|
|
|
|
|
LIABILITIES AND EQUITY |
|
|
Current
liabilities: |
|
|
Accounts
payable |
$ |
24,519 |
|
|
$ |
25,384 |
|
Payroll
and employee benefits |
|
92,385 |
|
|
|
89,936 |
|
Accrued
expenses |
|
101,177 |
|
|
|
89,104 |
|
Current
portion of long-term obligations |
|
1,209 |
|
|
|
10,638 |
|
|
|
|
|
|
|
Total current liabilities |
|
219,290 |
|
|
|
215,062 |
|
Long-term obligations,
less current portion |
|
54,853 |
|
|
|
78,203 |
|
Other long-term
obligations |
|
6,253 |
|
|
|
3,791 |
|
|
|
|
|
|
|
Total liabilities |
|
280,396 |
|
|
|
297,056 |
|
|
|
|
|
|
|
Equity: |
|
|
Preferred
stock, $0.001 par value, 5,000,000 shares authorized; none issued
or outstanding |
|
— |
|
|
|
— |
|
Common
stock, $0.001 par value, 60,000,000 shares authorized; 36,146,649
and 35,747,134 shares issued; and 31,877,278 and 33,964,767 shares
outstanding |
|
36 |
|
|
|
35 |
|
Additional paid-in capital |
|
592,539 |
|
|
|
568,780 |
|
Treasury
stock, at cost 4,269,371 and 1,782,367 shares of common stock |
|
(240,536 |
) |
|
|
(53,713 |
) |
Accumulated other comprehensive income |
|
15 |
|
|
|
15 |
|
Retained
earnings |
|
92,089 |
|
|
|
204 |
|
|
|
|
|
|
|
Total Amedisys, Inc. stockholders’ equity |
|
444,143 |
|
|
|
515,321 |
|
Noncontrolling interests |
|
1,353 |
|
|
|
1,105 |
|
|
|
|
|
|
|
Total equity |
|
445,496 |
|
|
|
516,426 |
|
|
|
|
|
|
|
Total liabilities and equity |
$ |
725,892 |
|
|
$ |
813,482 |
|
|
|
|
|
|
|
AMEDISYS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS AND DAYS
REVENUE OUTSTANDING (Amounts in thousands, except
statistical information) (Unaudited)
|
For the Three-Month
Periods Ended September 30 |
|
For the Nine-Month
Periods Ended September 30 |
|
|
2018 |
|
|
|
2017 |
|
|
|
2018
|
|
|
|
2017 |
|
Cash Flows from
Operating Activities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
$ |
31,548 |
|
|
$ |
14,661 |
|
|
$ |
92,409 |
|
|
$ |
34,389 |
|
Adjustments to
reconcile net income to net cash provided by operating
activities: |
|
|
|
|
Depreciation and amortization |
|
3,164 |
|
|
|
4,185 |
|
|
|
9,882 |
|
|
|
13,139 |
|
Non-cash
compensation |
|
4,842 |
|
|
|
3,558 |
|
|
|
12,653 |
|
|
|
11,788 |
|
401(k)
employer match |
|
2,040 |
|
|
|
2,180 |
|
|
|
6,934 |
|
|
|
6,547 |
|
Loss
(gain) on disposal of property and equipment |
|
88 |
|
|
|
(169 |
) |
|
|
738 |
|
|
|
(22 |
) |
Deferred
income taxes |
|
5,771 |
|
|
|
9,646 |
|
|
|
14,916 |
|
|
|
17,228 |
|
Equity in
earnings from equity method investments |
|
(1,625 |
) |
|
|
(900 |
) |
|
|
(6,461 |
) |
|
|
(3,149 |
) |
Amortization of deferred debt issuance costs/debt discount |
|
203 |
|
|
|
185 |
|
|
|
596 |
|
|
|
555 |
|
Return on
equity investment |
|
2,169 |
|
|
|
1,240 |
|
|
|
4,373 |
|
|
|
4,656 |
|
Changes in operating
assets and liabilities, net of impact of acquisitions: |
|
|
|
|
Patient
accounts receivable |
|
2,562 |
|
|
|
(4,013 |
) |
|
|
6,166 |
|
|
|
(10,846 |
) |
Other
current assets |
|
11,648 |
|
|
|
996 |
|
|
|
(32 |
) |
|
|
(5,896 |
) |
Other
assets |
|
38 |
|
|
|
(11,054 |
) |
|
|
726 |
|
|
|
(12,202 |
) |
Accounts
payable |
|
(4,293 |
) |
|
|
(6,523 |
) |
|
|
(670 |
) |
|
|
(5,430 |
) |
Securities Class Action Lawsuit settlement accrual, net |
|
— |
|
|
|
(28,712 |
) |
|
|
— |
|
|
|
— |
|
Accrued
expenses |
|
10,210 |
|
|
|
25,327 |
|
|
|
14,758 |
|
|
|
22,584 |
|
Other
long-term obligations |
|
115 |
|
|
|
(406 |
) |
|
|
2,462 |
|
|
|
201 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by
operating activities |
|
68,480 |
|
|
|
10,201 |
|
|
|
159,450 |
|
|
|
73,542 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Flows from
Investing Activities: |
|
|
|
|
Proceeds from sale of
deferred compensation plan assets |
|
92 |
|
|
|
57 |
|
|
|
563 |
|
|
|
622 |
|
Proceeds from the sale
of property and equipment |
|
40 |
|
|
|
118 |
|
|
|
51 |
|
|
|
118 |
|
Investments in equity
method investees |
|
(3,477 |
) |
|
|
— |
|
|
|
(3,477 |
) |
|
|
(436 |
) |
Purchases of property
and equipment |
|
(4,073 |
) |
|
|
(1,625 |
) |
|
|
(5,684 |
) |
|
|
(9,074 |
) |
Acquisitions of
businesses, net of cash acquired |
|
— |
|
|
|
— |
|
|
|
(4,074 |
) |
|
|
(24,128 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash used in
investing activities |
|
(7,418 |
) |
|
|
(1,450 |
) |
|
|
(12,621 |
) |
|
|
(32,898 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Flows from
Financing Activities: |
|
|
|
|
Proceeds from issuance
of stock upon exercise of stock options and warrants |
|
140 |
|
|
|
11 |
|
|
|
2,749 |
|
|
|
4,214 |
|
Proceeds from issuance
of stock to employee stock purchase plan |
|
630 |
|
|
|
611 |
|
|
|
1,787 |
|
|
|
1,798 |
|
Shares withheld upon
stock vesting |
|
(2,589 |
) |
|
|
(728 |
) |
|
|
(5,421 |
) |
|
|
(6,454 |
) |
Noncontrolling interest
distribution |
|
(180 |
) |
|
|
(126 |
) |
|
|
(530 |
) |
|
|
(216 |
) |
Proceeds from
borrowings under revolving line of credit |
|
— |
|
|
|
— |
|
|
|
127,500 |
|
|
|
— |
|
Repayments of
borrowings under revolving line of credit |
|
(70,000 |
) |
|
|
— |
|
|
|
(70,000 |
) |
|
|
— |
|
Principal payments of
long-term obligations |
|
(596 |
) |
|
|
(1,569 |
) |
|
|
(91,071 |
) |
|
|
(4,069 |
) |
Debt issuance
costs |
|
— |
|
|
|
— |
|
|
|
(2,433 |
) |
|
|
— |
|
Purchase of company
stock |
|
— |
|
|
|
— |
|
|
|
(181,402 |
) |
|
|
— |
|
Repurchase of
noncontrolling interest |
|
(361 |
) |
|
|
— |
|
|
|
(361 |
) |
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash used in
financing activities |
|
(72,956 |
) |
|
|
(1,801 |
) |
|
|
(219,182 |
) |
|
|
(4,727 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (decrease) increase
in cash and cash equivalents |
|
(11,894 |
) |
|
|
6,950 |
|
|
|
(72,353 |
) |
|
|
35,917 |
|
Cash and cash
equivalents at beginning of period |
|
25,904 |
|
|
|
59,164 |
|
|
|
86,363 |
|
|
|
30,197 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents at end of period |
$ |
14,010 |
|
|
$ |
66,114 |
|
|
$ |
14,010 |
|
|
$ |
66,114 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental
Disclosures of Cash Flow Information: |
|
|
|
|
Cash paid for
interest |
$ |
909 |
|
|
$ |
1,016 |
|
|
$ |
2,989 |
|
|
$ |
2,188 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash paid for income
taxes, net of refunds received |
$ |
4,868 |
|
|
$ |
31 |
|
|
$ |
11,017 |
|
|
$ |
315 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Days revenue
outstanding (1) |
|
40.6 |
|
|
|
40.7 |
|
|
|
40.6 |
|
|
|
40.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Our
calculation of days revenue outstanding at September 30, 2018
and 2017 is derived by dividing our ending patient accounts
receivable by our average daily patient revenue for the three month
periods ended September 30, 2018 and 2017, respectively.
AMEDISYS, INC. AND SUBSIDIARIES
SEGMENT INFORMATION (Amounts in millions,
except statistical information)
(Unaudited)
Segment Information - Home
Health
|
For the Three- Month Periods Ended
September 30, |
|
|
2018 |
|
|
|
2017 |
|
Financial
Information (in millions): |
|
|
|
|
|
|
|
Medicare |
$ |
208.0 |
|
|
$ |
191.4 |
|
Non-Medicare |
|
86.9 |
|
|
|
72.7 |
|
|
|
|
|
|
|
|
|
Net
service revenue |
|
294.9 |
|
|
|
264.1 |
|
Cost of service |
|
181.8 |
|
|
|
168.3 |
|
|
|
|
|
|
|
Gross margin |
|
113.1 |
|
|
|
95.8 |
|
Other operating
expenses |
|
69.6 |
|
|
|
71.7 |
|
|
|
|
|
|
|
Operating income |
$ |
43.5 |
|
|
$ |
24.1 |
|
|
|
|
|
|
|
|
|
|
Same Store
Growth (1): |
|
|
Medicare revenue |
|
10 |
% |
|
|
(7 |
%) |
Non-Medicare
revenue |
|
20 |
% |
|
|
18 |
% |
Total admissions |
|
4 |
% |
|
|
1 |
% |
Total volume (2) |
|
6 |
% |
|
|
5 |
% |
Total Episodic
admissions (3) |
|
3 |
% |
|
|
1 |
% |
Total Episodic volume
(4) |
|
5 |
% |
|
|
3 |
% |
Key Statistical
Data - Total (5): |
|
|
Medicare: |
|
|
Admissions |
|
46,371 |
|
|
|
46,823 |
|
Recertifications |
|
28,551 |
|
|
|
26,996 |
|
|
|
|
|
|
|
Total volume |
|
74,922 |
|
|
|
73,819 |
|
Completed episodes |
|
73,114 |
|
|
|
71,454 |
|
Visits |
|
1,301,090 |
|
|
|
1,259,156 |
|
Average revenue per
completed episode (6) |
$ |
2,855 |
|
|
$ |
2,820 |
|
Visits per completed
episode (7) |
|
17.6 |
|
|
|
17.4 |
|
Non-Medicare: |
|
|
Admissions |
|
29,325 |
|
|
|
26,686 |
|
Recertifications |
|
14,539 |
|
|
|
12,263 |
|
|
|
|
|
|
|
Total volume |
|
43,864 |
|
|
|
38,949 |
|
Visits |
|
698,181 |
|
|
|
592,742 |
|
Total
(5): |
|
|
Visiting Clinician Cost
per Visit |
$ |
82.78 |
|
|
$ |
82.53 |
|
Clinical Manager Cost
per Visit |
|
8.18 |
|
|
|
8.30 |
|
|
|
|
|
|
|
Total Cost per
Visit |
$ |
90.96 |
|
|
$ |
90.83 |
|
Visits |
|
1,999,271 |
|
|
|
1,851,898 |
|
|
For the Nine- Month Periods Ended
September 30, |
|
|
2018 |
|
|
|
2017 |
|
Financial
Information (in millions): |
|
|
|
|
|
Medicare |
$ |
619.3 |
|
|
$ |
588.4 |
|
Non-Medicare |
|
251.2 |
|
|
|
213.6 |
|
|
|
|
|
|
|
Net
service revenue |
|
870.5 |
|
|
|
802.0 |
|
Cost of service |
|
532.7 |
|
|
|
496.1 |
|
|
|
|
|
|
|
Gross margin |
|
337.8 |
|
|
|
305.9 |
|
Other operating
expenses |
|
207.6 |
|
|
|
210.5 |
|
|
|
|
|
|
|
Operating income |
$ |
130.2 |
|
|
$ |
95.4 |
|
|
|
|
|
|
|
|
|
|
Same Store
Growth (1): |
|
|
Medicare revenue |
|
7 |
% |
|
|
(5 |
%) |
Non-Medicare
revenue |
|
18 |
% |
|
|
14 |
% |
Total admissions |
|
4 |
% |
|
|
1 |
% |
Total volume (2) |
|
7 |
% |
|
|
3 |
% |
Total Episodic
admissions (3) |
|
3 |
% |
|
|
1 |
% |
Total Episodic volume
(4) |
|
6 |
% |
|
|
3 |
% |
Key Statistical
Data - Total (5): |
|
|
Medicare: |
|
|
Admissions |
|
142,884 |
|
|
|
143,711 |
|
Recertifications |
|
84,218 |
|
|
|
78,878 |
|
|
|
|
|
|
|
Total volume |
|
227,102 |
|
|
|
222,589 |
|
Completed episodes |
|
220,726 |
|
|
|
217,190 |
|
Visits |
|
3,933,290 |
|
|
|
3,794,001 |
|
Average revenue per
completed episode (6) |
$ |
2,841 |
|
|
$ |
2,811 |
|
Visits per completed
episode (7) |
|
17.5 |
|
|
|
17.3 |
|
Non-Medicare: |
|
|
Admissions |
|
88,485 |
|
|
|
80,244 |
|
Recertifications |
|
40,862 |
|
|
|
33,949 |
|
|
|
|
|
|
|
Total volume |
|
129,347 |
|
|
|
114,193 |
|
Visits |
|
2,049,662 |
|
|
|
1,727,618 |
|
Total
(5): |
|
|
Visiting Clinician Cost
per Visit |
$ |
81.06 |
|
|
$ |
81.41 |
|
Clinical Manager Cost
per Visit |
|
7.98 |
|
|
|
8.42 |
|
|
|
|
|
|
|
Total Cost per
Visit |
$ |
89.04 |
|
|
$ |
89.83 |
|
Visits |
|
5,982,952 |
|
|
|
5,521,619 |
|
|
|
|
|
|
|
|
|
(1) Same store
information represents the percent increase (decrease) in our
Medicare, Non-Medicare, Total and Episodic revenue, admissions or
volume for the period as a percent of the Medicare, Non-Medicare,
Total and Episodic revenue, admissions or volume of the prior
period. (2) Total volume includes all
admissions and recertifications. (3)
Total Episodic admissions includes admissions for Medicare and
Non-Medicare payors that bill on a 60-day episode of care basis.
(4) Total Episodic volume includes
admissions and recertifications for Medicare and Non-Medicare
payors that bill on a 60-day episode of care basis.
(5) Total includes acquisitions.
(6) Average Medicare revenue per
completed episode is the average Medicare revenue earned for each
Medicare completed episode of care.
(7) Medicare visits per completed
episode are the home health Medicare visits on completed episodes
divided by the home health Medicare episodes completed during the
period.
Segment Information -
Hospice
|
For the Three- Month Periods Ended
September 30, |
|
|
2018 |
|
|
|
2017 |
|
Financial
Information (in millions): |
|
|
|
|
|
Medicare |
$ |
98.0 |
|
|
$ |
91.4 |
|
Non-Medicare |
|
5.4 |
|
|
|
4.5 |
|
|
|
|
|
|
|
Net
service revenue |
|
103.4 |
|
|
|
95.9 |
|
Cost of service |
|
53.4 |
|
|
|
48.4 |
|
|
|
|
|
|
|
Gross margin |
|
50.0 |
|
|
|
47.5 |
|
Other operating
expenses |
|
21.7 |
|
|
|
19.2 |
|
|
|
|
|
|
|
Operating income |
$ |
28.3 |
|
|
$ |
28.3 |
|
|
|
|
|
|
|
Same Store
Growth (1): |
|
|
Medicare revenue |
|
7 |
% |
|
|
17 |
% |
Non-Medicare
revenue |
|
19 |
% |
|
|
11 |
% |
Hospice admissions |
|
8 |
% |
|
|
7 |
% |
Average daily
census |
|
11 |
% |
|
|
14 |
% |
Key Statistical
Data - Total (2): |
|
|
Hospice admissions |
|
6,765 |
|
|
|
6,257 |
|
Average daily
census |
|
7,768 |
|
|
|
7,026 |
|
Revenue per day,
net |
$ |
144.71 |
|
|
$ |
148.43 |
|
Cost of service per
day |
$ |
74.72 |
|
|
$ |
74.96 |
|
Average discharge
length of stay |
|
101 |
|
|
|
95 |
|
|
|
|
For the Nine- Month Periods Ended
September 30, |
|
|
2018 |
|
|
|
2017 |
|
Financial
Information (in millions): |
|
|
|
|
|
Medicare |
$ |
286.7 |
|
|
$ |
257.9 |
|
Non-Medicare |
|
15.4 |
|
|
|
11.9 |
|
|
|
|
|
|
|
Net
service revenue |
|
302.1 |
|
|
|
269.8 |
|
Cost of service |
|
155.2 |
|
|
|
136.7 |
|
|
|
|
|
|
|
Gross margin |
|
146.9 |
|
|
|
133.1 |
|
Other operating
expenses |
|
62.5 |
|
|
|
56.9 |
|
|
|
|
|
|
|
Operating income |
$ |
84.4 |
|
|
$ |
76.2 |
|
|
|
|
|
|
|
Same Store
Growth (1): |
|
|
Medicare revenue |
|
11 |
% |
|
|
18 |
% |
Non-Medicare
revenue |
|
28 |
% |
|
|
(1 |
%) |
Hospice admissions |
|
7 |
% |
|
|
13 |
% |
Average daily
census |
|
12 |
% |
|
|
15 |
% |
Key Statistical
Data - Total (2): |
|
|
Hospice admissions |
|
20,444 |
|
|
|
19,010 |
|
Average daily
census |
|
7,514 |
|
|
|
6,705 |
|
Revenue per day,
net |
$ |
147.28 |
|
|
$ |
147.43 |
|
Cost of service per
day |
$ |
75.65 |
|
|
$ |
74.78 |
|
Average discharge
length of stay |
|
98 |
|
|
|
92 |
|
|
|
|
|
|
|
|
|
(1) Same store
information represents the percent increase (decrease) in our
Medicare and Non-Medicare revenue, Hospice admissions or average
daily census for the period as a percent of the Medicare and
Non-Medicare revenue, Hospice admissions or average daily census of
the prior period. (2) Total includes
acquisitions.
Segment Information - Personal
Care
|
For the Three- Month Periods Ended
September 30, |
|
|
2018 |
|
|
2017 |
Financial
Information (in millions): |
|
|
|
|
Medicare |
$ |
— |
|
$ |
— |
Non-Medicare |
|
19.0 |
|
|
13.7 |
|
|
|
|
|
Net
service revenue |
|
19.0 |
|
|
13.7 |
Cost of service |
|
14.5 |
|
|
10.6 |
|
|
|
|
|
Gross margin |
|
4.5 |
|
|
3.1 |
Other operating
expenses |
|
3.1 |
|
|
3.1 |
|
|
|
|
|
Operating income |
$ |
1.4 |
|
$ |
— |
|
|
|
Key Statistical
Data: |
|
|
Billable hours |
|
810,427 |
|
|
616,036 |
Clients served |
|
12,380 |
|
|
7,978 |
Shifts |
|
357,382 |
|
|
281,904 |
Revenue per hour |
$ |
23.40 |
|
$ |
22.21 |
Revenue per shift |
$ |
53.06 |
|
$ |
48.54 |
Hours per shift |
|
2.3 |
|
|
2.2 |
|
|
|
For the Nine- Month Periods Ended
September 30, |
|
|
2018 |
|
|
2017 |
Financial
Information (in millions): |
|
|
|
|
Medicare |
$ |
— |
|
$ |
— |
Non-Medicare |
|
55.6 |
|
|
41.5 |
|
|
|
|
|
Net
service revenue |
|
55.6 |
|
|
41.5 |
Cost of service |
|
42.7 |
|
|
31.3 |
|
|
|
|
|
Gross margin |
|
12.9 |
|
|
10.2 |
Other operating
expenses |
|
9.7 |
|
|
9.3 |
|
|
|
|
|
Operating income |
$ |
3.2 |
|
$ |
0.9 |
|
|
|
|
|
Key Statistical
Data: |
|
|
Billable hours |
|
2,357,608 |
|
|
1,822,653 |
Clients served |
|
15,731 |
|
|
10,980 |
Shifts |
|
1,062,422 |
|
|
830,151 |
Revenue per hour |
$ |
23.57 |
|
$ |
22.76 |
Revenue per shift |
$ |
52.30 |
|
$ |
49.98 |
Hours per shift |
|
2.2 |
|
|
2.2 |
|
|
|
|
|
|
Segment Information -
Corporate
|
For the Three- Month Periods
Ended September 30, |
|
|
2018 |
|
|
2017 |
Financial
Information (in millions): |
|
|
|
|
Other operating
expenses |
$ |
31.3 |
|
$ |
25.9 |
Depreciation and
amortization |
|
2.0 |
|
|
3.1 |
|
|
|
|
|
Total operating
expenses |
$ |
33.3 |
|
$ |
29.0 |
|
|
|
|
|
|
|
|
For the Nine- Month Periods
Ended September 30, |
|
|
2018 |
|
|
2017 |
Financial
Information (in millions): |
|
|
|
|
Other operating
expenses |
$ |
92.6 |
|
$ |
85.4 |
Depreciation and
amortization |
|
6.5 |
|
|
9.6 |
|
|
|
|
|
Total operating
expenses before Securities Class Action Lawsuit settlement,
net |
|
99.1 |
|
|
95.0 |
Securities
Class Action Lawsuit settlement, net |
|
— |
|
|
28.7 |
|
|
|
|
|
Total operating
expenses |
$ |
99.1 |
|
$ |
123.7 |
|
|
|
|
|
AMEDISYS, INC. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES TO GAAP
MEASURES (Amounts in thousands)
(Unaudited)
Adjusted Earnings Before Interest,
Taxes, Depreciation and Amortization (“Adjusted
EBITDA”):
|
For the Three- Month
Period
Ended September 30, |
|
For the Nine- Month Period
Ended September 30, |
|
|
2018 |
|
|
|
2017 |
|
|
|
2018 |
|
|
|
2017 |
|
Net income attributable
to Amedisys, Inc. |
$ |
31,377 |
|
|
$ |
14,558 |
|
|
$ |
91,885 |
|
|
$ |
34,149 |
|
Add: |
|
|
|
|
Income
tax expense |
|
9,825 |
|
|
|
9,364 |
|
|
|
29,984 |
|
|
|
17,324 |
|
Interest
expense, net |
|
1,962 |
|
|
|
1,291 |
|
|
|
5,571 |
|
|
|
3,496 |
|
Depreciation and amortization |
|
3,164 |
|
|
|
4,185 |
|
|
|
9,882 |
|
|
|
13,139 |
|
Certain
items (1) |
|
(609 |
) |
|
|
7,590 |
|
|
|
615 |
|
|
|
37,014 |
|
Interest
component of certain items (1) |
|
(451 |
) |
|
|
(95 |
) |
|
|
(1,280 |
) |
|
|
(95 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA (2)
(6) |
$ |
45,268 |
|
|
$ |
36,893 |
|
|
$ |
136,657 |
|
|
$ |
105,027 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net Service Revenue
Reconciliation:
|
For the Three- Month
Period Ended September 30,
|
|
For the Nine- Month Period
Ended September 30, |
|
|
2018 |
|
|
2017 |
|
|
2018 |
|
|
2017 |
Net service
revenue |
$ |
417,335 |
|
$ |
373,704 |
|
$ |
1,228,200 |
|
$ |
1,113,311 |
Add: |
|
|
|
|
Certain
items (1) |
|
— |
|
|
6,506 |
|
|
1,687 |
|
|
6,506 |
|
|
|
|
|
|
|
|
|
|
|
Adjusted net service
revenue (3) (6) |
$ |
417,335 |
|
$ |
380,210 |
|
$ |
1,229,887 |
|
$ |
1,119,817 |
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net Income Attributable to
Amedisys, Inc Reconciliation:
|
For the Three- Month
Period Ended September 30,
|
|
For the Nine- Month Period
Ended September 30, |
|
|
2018 |
|
|
|
2017 |
|
|
2018 |
|
|
2017 |
Net
income attributable to Amedisys, Inc. |
$ |
31,377 |
|
|
$ |
14,558 |
|
$ |
91,885 |
|
$ |
34,149 |
Add: |
|
|
|
|
Certain items (1) |
|
(450 |
) |
|
|
4,592 |
|
|
455 |
|
|
22,394 |
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
net income attributable to Amedisys, Inc. (4) (6) |
$ |
30,927 |
|
|
$ |
19,150 |
|
$ |
92,340 |
|
$ |
56,543 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net
Income Attributable to Amedisys, Inc. per Diluted
Share: |
|
|
|
|
|
For the Three- Month
Period Ended September 30,
|
|
For the Nine- Month Period
Ended September 30, |
|
|
2018 |
|
|
|
2017 |
|
|
2018 |
|
|
2017 |
Net
income attributable to Amedisys, Inc. common stockholders per
diluted share |
$ |
0.96 |
|
|
$ |
0.42 |
|
$ |
2.71 |
|
$ |
1.00 |
Add: |
|
|
|
|
Certain items (1) |
|
(0.01 |
) |
|
|
0.13 |
|
|
0.01 |
|
|
0.65 |
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
net income attributable to Amedisys, Inc. common stockholders per
diluted share (5) (6) |
$ |
0.95 |
|
|
$ |
0.56 |
|
$ |
2.73 |
|
$ |
1.65 |
|
|
|
|
|
|
|
|
|
|
|
|
(1)
The following details the certain items for the three and nine
month periods ended September 30, 2018 and 2017:
Certain Items:
|
For the Three-Month Period
Ended September 30, 2018 |
|
For the Nine-Month Period Ended
September 30, 2018 |
|
(Income) Expense |
|
(Income) Expense |
Certain Items
Impacting Net Service Revenue: |
|
|
|
|
|
Florida self-audit
(pre-acquisition) |
$ |
— |
|
|
$ |
1,687 |
|
Certain Items
Impacting Operating Expenses: |
|
|
Acquisition costs |
|
857 |
|
|
|
1,732 |
|
Legal fees -
non-routine |
|
304 |
|
|
|
1,409 |
|
Certain Items
Impacting Total Other Income (Expense): |
|
|
Legal settlements |
|
(1,437 |
) |
|
|
(1,437 |
) |
Miscellaneous, other
(income) expense, net |
|
(333 |
) |
|
|
(2,776 |
) |
|
|
|
|
|
|
Total |
$ |
(609 |
) |
|
$ |
615 |
|
|
|
|
|
|
|
Net of tax |
$ |
(450 |
) |
|
$ |
455 |
|
|
|
|
|
|
|
Diluted EPS |
$ |
(0.01 |
) |
|
$ |
0.01 |
|
|
|
|
|
|
|
|
For the Three-Month Period
Ended September 30, 2017 |
|
For the Nine-Month Period Ended
September 30, 2017 |
|
(Income) Expense |
|
(Income) Expense |
Certain Items
Impacting Net Service Revenue: |
|
|
|
|
|
Florida ZPIC audit |
$ |
6,506 |
|
|
$ |
6,506 |
|
Certain Items
Impacting Operating Expenses: |
|
|
Acquisition costs |
|
— |
|
|
|
976 |
|
Legal fees -
non-routine |
|
176 |
|
|
|
1,410 |
|
Securities
Class Action Lawsuit settlement accrual, net |
|
— |
|
|
|
28,712 |
|
Restructuring
activity |
|
1,670 |
|
|
|
1,670 |
|
Data center
relocation |
|
— |
|
|
|
940 |
|
Certain Items
Impacting Total Other Income (Expense): |
|
|
Legal settlements |
|
(647 |
) |
|
|
(2,014 |
) |
Miscellaneous, other
(income) expense, net |
|
(115 |
) |
|
|
(1,186 |
) |
|
|
|
|
|
|
|
|
Total |
$ |
7,590 |
|
|
$ |
37,014 |
|
|
|
|
|
|
|
|
|
Net of tax |
$ |
4,592 |
|
|
$ |
22,394 |
|
|
|
|
|
|
|
|
|
Diluted EPS |
$ |
0.13 |
|
|
$ |
0.65 |
|
|
|
|
|
|
|
|
|
(2) Adjusted EBITDA is defined as
net income attributable to Amedisys, Inc. before provision for
income taxes, net interest expense and depreciation and
amortization, excluding certain items as described in footnote 1.
(3) Adjusted net service revenue is defined as net
service revenue plus certain items as described in footnote 1.
(4) Adjusted net income attributable to Amedisys, Inc.
is defined as net income attributable to Amedisys, Inc. calculated
in accordance with GAAP excluding certain items as described in
footnote 1. (5) Adjusted net income attributable to
Amedisys, Inc. common stockholders per diluted share is defined as
diluted income per share calculated in accordance with GAAP
excluding the earnings per share effect of certain items as
described in footnote 1. (6) Adjusted EBITDA, adjusted
net service revenue, adjusted net income attributable to Amedisys,
Inc. and adjusted net income attributable to Amedisys, Inc. common
stockholders per diluted share should not be considered as an
alternative to, or more meaningful than, income before income taxes
or other measure calculated in accordance with GAAP. These
calculations may not be comparable to a similarly titled measure
reported by other companies, since not all companies calculate
these non-GAAP financial measures in the same manner.
Amedisys (NASDAQ:AMED)
Historical Stock Chart
From Aug 2024 to Sep 2024
Amedisys (NASDAQ:AMED)
Historical Stock Chart
From Sep 2023 to Sep 2024