Delaware | 001-33757 | 33-0861263 | ||||
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||||
27101 Puerta Real, Suite 450, Mission Viejo, CA | 92691 | |||||
(Address of principal executive offices) | (Zip Code) |
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Exhibit No. | Description | |
99.1 | Press Release of the Company dated February 13, 2014 |
Dated: February 19, 2014 | THE ENSIGN GROUP, INC. | |||
By: | /s/ Suzanne D. Snapper | |||
Suzanne D. Snapper | ||||
Chief Financial Officer | ||||
Exhibit No. | Description | |
99.1 | Press Release of the Company dated February 13, 2014 |
▪ | Adjusted earnings per share climbed 25% sequentially to $0.70 per share for the quarter, and grew 4.5% over the prior year quarter; |
▪ | Same-store skilled mix days grew by 40 basis points to 28.0% of revenues in the quarter; |
▪ | Same-store occupancy grew by 41 basis points over the prior year quarter, to 81.3%; |
▪ | Adjusted consolidated EBITDAR was $40.5 million, an increase of 9.4% over the prior year quarter; |
▪ | Consolidated revenues were up 12.6% over the prior year quarter to a record $237.0 million, and up 9.9% to a record $904.6 million in the year; and |
▪ | Same-store revenues increased by $5.7 million or 3.4% over the prior year quarter. |
Three Months Ended December 31, 2013 | Twelve Months Ended December 31, 2013 | ||||||||||||||||||||||
As Reported | Non-GAAP Adj. | As Adjusted | As Reported | Non-GAAP Adj. | As Adjusted | ||||||||||||||||||
Revenue | $ | 237,008 | (1,524 | ) | (9)(10) | $ | 235,484 | $ | 904,556 | $ | (5,688 | ) | (9) (10) | $ | 898,868 | ||||||||
Expense: | |||||||||||||||||||||||
Cost of services (exclusive of facility rent, general and administrative and depreciation and amortization expenses shown separately below) | 187,843 | (2,478 | ) | (1)(2)(9)(10) | 185,365 | 725,989 | (11,235 | ) | (1)(2)(9)(10) | 714,754 | |||||||||||||
U.S. Government inquiry settlement | — | — | — | 33,000 | (33,000 | ) | (4) | — | |||||||||||||||
Facility rent—cost of services | 3,557 | (321 | ) | (5)(6) | 3,236 | 13,613 | (1,009 | ) | (5) (6) | 12,604 | |||||||||||||
General and administrative expense | 11,782 | (2,180 | ) | (3)(7)(8) | 9,602 | 40,103 | (5,148 | ) | (3)(7)(8) | 34,955 | |||||||||||||
Depreciation and amortization | 8,711 | (210 | ) | (11)(12) | 8,501 | 33,909 | (1,386 | ) | (11) (12) | 32,523 | |||||||||||||
Total expenses | 211,893 | (5,189 | ) | 206,704 | 846,614 | (51,778 | ) | 794,836 | |||||||||||||||
Income from operations | 25,115 | 3,665 | 28,780 | 57,942 | 46,090 | 104,032 | |||||||||||||||||
Other income (expense): | |||||||||||||||||||||||
Interest expense | (3,346 | ) | (3,346 | ) | (12,787 | ) | (12,787 | ) | |||||||||||||||
Interest income | 143 | 143 | 506 | 506 | |||||||||||||||||||
Other expense, net | (3,203 | ) | (3,203 | ) | (12,281 | ) | (12,281 | ) | |||||||||||||||
Income before provision for income taxes | 21,912 | 3,665 | 25,577 | 45,661 | 46,090 | 91,751 | |||||||||||||||||
Tax Effect on Non-GAAP Adjustments | 1,411 | (13) | 17,745 | (13) | |||||||||||||||||||
Tax True-up for Effective Tax Rate | (127 | ) | (14) | (2,422 | ) | (14) | |||||||||||||||||
Provision for income taxes | 8,563 | 1,284 | 9,847 | 20,003 | 15,323 | 35,326 | |||||||||||||||||
Income from continuing operations | 13,349 | 2,381 | 15,730 | 25,658 | 30,767 | 56,425 | |||||||||||||||||
Loss from discontinued operations, net of income tax benefit | — | — | (1,804 | ) | (1,804 | ) | |||||||||||||||||
Net income | 13,349 | 2,381 | 15,730 | 23,854 | 30,767 | 54,621 | |||||||||||||||||
Less: net loss attributable to noncontrolling interests | (7 | ) | (7 | ) | (186 | ) | (186 | ) | |||||||||||||||
Net income attributable to The Ensign Group, Inc. | $ | 13,356 | $ | 2,381 | $ | 15,737 | $ | 24,040 | $ | 30,767 | $ | 54,807 | |||||||||||
Attributable to The Ensign Group, Inc. | |||||||||||||||||||||||
Net income attributable to The Ensign Group, Inc. | 13,356 | 2,381 | 15,737 | 24,040 | 30,767 | 54,807 | |||||||||||||||||
Loss from discontinued operations, net of income tax benefit | — | — | (1,804 | ) | (1,804 | ) | |||||||||||||||||
Income from continuing operations attributable to The Ensign Group, Inc. | $ | 13,356 | $ | 2,381 | $ | 15,737 | $ | 25,844 | $ | 30,767 | $ | 56,611 | |||||||||||
Net income (loss) per share: | |||||||||||||||||||||||
Basic: | |||||||||||||||||||||||
Net income attributable to The Ensign Group, Inc. | $ | 0.61 | $ | 0.71 | $ | 1.10 | $ | 2.50 | |||||||||||||||
Loss from discontinued operations, net of income tax benefit | — | — | (0.08 | ) | $ | (0.08 | ) | ||||||||||||||||
Income from continuing operations attributable to The Ensign Group, Inc. | $ | 0.61 | $ | 0.71 | $ | 1.18 | $ | 2.58 | |||||||||||||||
Diluted: | |||||||||||||||||||||||
Net income attributable to The Ensign Group, Inc. | $ | 0.59 | $ | 0.70 | $ | 1.07 | $ | 2.45 | |||||||||||||||
Loss from discontinued operations, net of income tax benefit | — | — | (0.09 | ) | $ | (0.08 | ) | ||||||||||||||||
Income from continuing operations attributable to The Ensign Group, Inc. | $ | 0.59 | $ | 0.70 | $ | 1.16 | $ | 2.53 | |||||||||||||||
Weighted average common shares outstanding: | |||||||||||||||||||||||
Basic | 22,028 | 22,028 | 21,900 | 21,900 | |||||||||||||||||||
Diluted | 22,507 | 22,507 | 22,364 | 22,364 | |||||||||||||||||||
(1) | Represents acquisition-related costs of $10 and $288 for the three and year ended December 31, 2013. |
(2) | Represents costs of $42 and $145 for the three and year ended December 31, 2013, incurred to recognize income tax credits. |
(3) | Represents additional costs incurred related to a class action lawsuit settlement of $0 and $1,524 for the three and year ended December 31, 2013. |
(4) | Charges related to our efforts to achieve a global, company-wide, resolution of any claims connected to the U.S. Department of Justice (DOJ) investigation. |
(5) | Represents straight-line rent amortization for the first six months of 2013 for one newly constructed facility which began operations during the first quarter of 2013. This facility began operating at full capacity during the third quarter and therefore, third and fourth quarter results were not included in the three or year ended periods above. |
(6) | Represents straight-line rent amortization for newly opened urgent care centers. |
(7) | Represents legal costs incurred in connection with the ongoing investigation into the billing and reimbursement processes of some of our subsidiaries being conducted by the DOJ. |
(8) | Represents expenses incurred in connection with the Company's proposed spin-off of its real estate assets to a newly formed publicly traded real estate investment trust (REIT). |
(9) | Represents revenues and expenses incurred at newly opened urgent care centers, less rent expense recognized in note (6) above and depreciation expense recognized in note (11) below. |
(10) | Represents revenues and expenses incurred for the first six months of 2013 at one newly constructed facility which began operations during the first quarter of 2013, less rent expense recognized in note (5) above and depreciation expense recognized in Note (12) below. This facility began operating at full capacity during the third quarter and therefore, third and fourth quarter results were not included in the three or year ended periods above. |
(11) | Represents depreciation expense at newly opened urgent care centers and amortization costs related to patient base intangible assets at skilled nursing and assisted living facilities acquired. Patient base intangible assets are amortized over a period of four to eight months, depending on the classification of the patients and the level of occupancy in a new acquisition on the acquisition date. |
(12) | Represents depreciation expense for the first six months of 2013 at one newly constructed facility which began operations in the first quarter of 2013. This facility began operating at full capacity during the third quarter and therefore, third and fourth quarter results were not included in the three or year end periods above. |
(13) | Represents the tax impact of non-GAAP adjustments noted in (1) – (12) at the Company’s year to date effective tax rate of 38.5% for the three and year ended December 31, 2013. |
(14) | Represents an adjustment to the provision for income taxes to our current year to date effective rate to 40.9% and 37.9% for the three and year ended December 31, 2013. |
Three Months Ended December 31, 2012 | Year Ended December 31, 2012 | ||||||||||||||||||||||
As Reported Including Discontinued Operations | Non-GAAP Adj. | As Adjusted | As Reported Including Discontinued Operations | Non-GAAP Adj. | As Adjusted | ||||||||||||||||||
Revenue | $ | 210,505 | (79 | ) | (9) | $ | 210,426 | $ | 823,155 | (79 | ) | (9) | $ | 823,076 | |||||||||
Expense: | |||||||||||||||||||||||
Cost of services (exclusive of facility rent, general and administrative and depreciation and amortization expense shown separately below) | 169,133 | (3,077 | ) | (1)(2)(5)(9) | 166,056 | 656,424 | (6,641 | ) | (1)(2)(3)(5)(9) | 649,783 | |||||||||||||
Charges related to U.S. Government inquiries | 15,000 | (15,000 | ) | (4) | — | 15,000 | (15,000 | ) | (4) | — | |||||||||||||
Facility rent—cost of services | 3,247 | (272 | ) | (6)(9) | 2,975 | 13,281 | (860 | ) | (6)(9) | 12,421 | |||||||||||||
General and administrative expense | 7,886 | (503 | ) | (7) | 7,383 | 31,819 | (1,945 | ) | (7) | 29,874 | |||||||||||||
Depreciation and amortization | 7,287 | (50 | ) | (8)(9) | 7,237 | 28,358 | (501 | ) | (8)(9) | 27,857 | |||||||||||||
Total expenses | 202,553 | (18,902 | ) | 183,651 | 744,882 | (24,947 | ) | 719,935 | |||||||||||||||
Income from operations | 7,952 | 18,823 | 26,775 | 78,273 | 24,868 | 103,141 | |||||||||||||||||
Other income (expense): | |||||||||||||||||||||||
Interest expense | (3,098 | ) | (3,098 | ) | (12,229 | ) | (12,229 | ) | |||||||||||||||
Interest income | 83 | 83 | 255 | 255 | |||||||||||||||||||
Other expense, net | (3,015 | ) | — | (3,015 | ) | (11,974 | ) | — | (11,974 | ) | |||||||||||||
Income before provision for income taxes | 4,937 | 18,823 | 23,760 | 66,299 | 24,868 | 91,167 | |||||||||||||||||
Tax impact of non-GAAP adjustments | 7,134 | (10) | 9,425 | (10) | |||||||||||||||||||
Tax true-up for effective tax rate | (149 | ) | (11) | ||||||||||||||||||||
Provision for income taxes | 2,020 | 6,985 | 9,005 | 25,134 | 9,425 | 34,559 | |||||||||||||||||
Income from continuing operations | 2,917 | 11,838 | 14,755 | 41,165 | 15,443 | 56,608 | |||||||||||||||||
Loss from discontinued operations, net of income tax | (1,252 | ) | (1,252 | ) | (1,357 | ) | (1,357 | ) | |||||||||||||||
Net income | 1,665 | 11,838 | 13,503 | 39,808 | 15,443 | 55,251 | |||||||||||||||||
Less: net loss attributable to noncontrolling interests | (272 | ) | 226 | (46 | ) | (783 | ) | 354 | (429 | ) | |||||||||||||
Net income attributable to The Ensign Group, Inc. | $ | 1,937 | $ | 11,612 | $ | 13,549 | $ | 40,591 | $ | 15,089 | $ | 55,680 | |||||||||||
Attributable to The Ensign Group, Inc. | |||||||||||||||||||||||
Net income attributable to The Ensign Group, Inc. | 1,937 | 11,612 | 13,549 | 40,591 | 15,089 | 55,680 | |||||||||||||||||
Loss from discontinued operations, net of income tax | (1,252 | ) | (1,252 | ) | (1,357 | ) | (1,357 | ) | |||||||||||||||
Income from continuing operations attributable to The Ensign Group, Inc. | $ | 3,189 | $ | 11,612 | $ | 14,801 | $ | 41,948 | $ | 15,089 | $ | 57,037 | |||||||||||
Net income per share | |||||||||||||||||||||||
Basic: | |||||||||||||||||||||||
Net income attributable to The Ensign Group, Inc. | 0.09 | 0.63 | 1.89 | 2.60 | |||||||||||||||||||
Loss from discontinued operations, net of income tax | (0.06 | ) | (0.06 | ) | (0.07 | ) | (0.06 | ) | |||||||||||||||
Income from continuing operations attributable to The Ensign Group, Inc. | $ | 0.15 | $ | 0.69 | $ | 1.96 | $ | 2.66 | |||||||||||||||
Diluted: | |||||||||||||||||||||||
Net income attributable to The Ensign Group, Inc. | 0.09 | 0.61 | 1.85 | 2.54 | |||||||||||||||||||
Loss from discontinued operations, net of income tax benefit | (0.05 | ) | (0.06 | ) | (0.06 | ) | (0.06 | ) | |||||||||||||||
Income from continuing operations attributable to The Ensign Group, Inc. | $ | 0.14 | $ | 0.67 | $ | 1.91 | $ | 2.60 | |||||||||||||||
Weighted average common shares outstanding: | |||||||||||||||||||||||
Basic | 21,605 | 21,605 | 21,429 | 21,429 | |||||||||||||||||||
Diluted | 22,075 | 22,075 | 21,942 | 21,942 | |||||||||||||||||||
(1) | Represents acquisition-related costs of $20 and $250 for the three and twelve months ended December 31, 2012, respectively. |
(2) | Represents costs of $152 and $591 for the three and twelve months ended December 31, 2012, respectively, incurred to recognized income tax credits which contributed to the decrease in the Company's effective tax rate. |
(3) | Represents the settlement of a class action lawsuit regarding minimum staffing requirements in the state of California of $2,596 during the period ended June 30, 2012. |
(4) | Represents the Company's estimated liability related to its efforts to achieve a global, company-wide resolution of any claims connected to the U.S. Department of Justice (DOJ) investigation. |
(5) | Represents impairment charges of $2,225 recorded at our urgent care franchising operations, which we attribute to a decline in the estimated fair value of redeemable noncontrolling interests. |
(6) | Represents straight-line rent amortization for a facility which the Company has begun construction activities, but had not commenced operations of a skilled nursing facility as of December 31, 2012. |
(7) | Represents legal costs incurred in connection with the ongoing investigation into the billing and reimbursement processes of some of our subsidiaries being conducted by the Department of Justice (DOJ). |
(8) | Represents amortization costs related to patient base intangible assets acquired. Patient base intangible assets are amortized over a period of four to eight months, depending on the classification of the patients and the level of occupancy in a new acquisition on the acquisition date. |
(9) | Represents revenues and expenses incurred at newly opened urgent care centers. |
(10) | Represents the tax impact of non-GAAP adjustments noted in (1) - (7) at a normalized rate of 37.9%. |
(11) | Represents an adjustment to the provision for income taxes to our effective tax rate of 37.9%. |
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||
(In thousands) | |||||||||||||||
Consolidated statements of income Data: | |||||||||||||||
Net income | $ | 13,349 | $ | 1,665 | $ | 23,854 | $ | 39,808 | |||||||
Net loss attributable to noncontrolling interests | 7 | 272 | 186 | 783 | |||||||||||
Loss from discontinued operations | — | 1,252 | 1,804 | 1,357 | |||||||||||
Interest expense, net | 3,203 | 3,015 | 12,281 | 11,974 | |||||||||||
Provision for income taxes | 8,563 | 2,020 | 20,003 | 25,134 | |||||||||||
Depreciation and amortization | 8,711 | 7,287 | 33,909 | 28,358 | |||||||||||
EBITDA | 33,833 | 15,511 | 92,037 | 107,414 | |||||||||||
Facility rent—cost of services | 3,557 | 3,247 | 13,613 | 13,281 | |||||||||||
EBITDAR | 37,390 | 18,758 | 105,650 | 120,695 | |||||||||||
— | |||||||||||||||
EBITDA | 33,833 | 15,511 | 92,037 | 107,414 | |||||||||||
Charge related to the U.S. Government inquiry(a) | — | 15,000 | 33,000 | 15,000 | |||||||||||
Expenses related to the Spin-Off(b) | 2,192 | — | 4,050 | — | |||||||||||
Legal costs(c) | (13 | ) | 504 | 1,098 | 1,945 | ||||||||||
Settlement of class action lawsuit(d) | — | — | 1,524 | 2,596 | |||||||||||
Impairment of goodwill and other indefinite-lived intangibles | 490 | 2,225 | 490 | 2,225 | |||||||||||
Urgent care center losses(e) | 406 | 374 | 1,844 | 546 | |||||||||||
Losses at skilled nursing facility not at full operation(f) | — | — | 1,256 | — | |||||||||||
Acquisition related costs(g) | 10 | 20 | 288 | 250 | |||||||||||
Costs incurred to recognize income tax credits(h) | 42 | 152 | 145 | 591 | |||||||||||
Rent related to non-core business items above(i) | 322 | 272 | 1,009 | 860 | |||||||||||
Adjusted EBITDA | 37,282 | 34,058 | 136,741 | 131,427 | |||||||||||
Facility rent—cost of services | 3,557 | 3,247 | 13,613 | 13,281 | |||||||||||
Less: rent related to non-core business items above(i) | (322 | ) | (272 | ) | (1,009 | ) | (860 | ) | |||||||
Adjusted EBITDAR | $ | 40,517 | $ | 37,033 | $ | 149,345 | $ | 143,848 |
(a) | Charges related to our efforts to achieve a global, company-wide, resolution of any claims connected to the U.S. Department of Justice (DOJ) investigation. |
(b) | Expenses incurred in connection with the Company's proposed spin-off of its real estate assets to a newly formed publicly traded real estate investment trust (REIT). |
(c) | Legal costs incurred in connection with the DOJ settlement. |
(d) | Settlement of a class action lawsuit regarding minimum staffing requirements in the state of California. |
(e) | Losses incurred at newly opened urgent care centers, excluding rent, depreciation, interest and income taxes. |
(f) | Losses incurred through the second quarter at one newly constructed skilled nursing facility which began operations during the first quarter of 2013, excluding rent, depreciation, interest and income taxes. The facility began running at full capacity during the third quarter of 2013, and therefore, results for the third and fourth quarter were not included in the results above. |
(g) | Costs incurred to acquire an operation which are not capitalizable. |
(h) | Costs incurred to recognize income tax credits which contributed to a decrease in effective tax rate. |
(i) | Rent related to newly opened urgent care centers and one newly constructed skilled nursing facility which began operations during the first quarter of 2013, not included in items (e) and (f) above. |
December 31, | December 31, | ||||||
2013 | 2012 | ||||||
Assets | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 65,755 | $ | 40,685 | |||
Accounts receivable — less allowance for doubtful accounts of $16,540 and $13,811 at December 31, 2013 and December 31, 2012, respectively | 111,370 | 94,187 | |||||
Investments — current | 5,511 | 5,195 | |||||
Prepaid income taxes | 9,915 | 3,787 | |||||
Prepaid expenses and other current assets | 9,213 | 8,606 | |||||
Deferred tax asset — current | 9,232 | 14,871 | |||||
Assets held for sale — current | — | 268 | |||||
Total current assets | 210,996 | 167,599 | |||||
Property and equipment, net | 479,770 | 447,855 | |||||
Insurance subsidiary deposits and investments | 16,888 | 17,315 | |||||
Escrow deposits | 1,000 | 4,635 | |||||
Deferred tax asset | 4,464 | 2,234 | |||||
Restricted and other assets | 9,804 | 8,640 | |||||
Intangible assets, net | 5,718 | 6,115 | |||||
Long-term assets held for sale | — | 11,324 | |||||
Goodwill | 23,935 | 21,557 | |||||
Other indefinite-lived intangibles | 7,740 | 3,588 | |||||
Total assets | $ | 760,315 | $ | 690,862 | |||
Liabilities and equity | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 23,793 | $ | 26,069 | |||
Accrued charge related to U.S. Government inquiry | — | 15,000 | |||||
Accrued wages and related liabilities | 40,093 | 35,847 | |||||
Accrued self-insurance liabilities — current | 15,461 | 16,034 | |||||
Liabilities held for sale — current | — | 339 | |||||
Other accrued liabilities | 25,698 | 20,871 | |||||
Current maturities of long-term debt | 7,411 | 7,187 | |||||
Total current liabilities | 112,456 | 121,347 | |||||
Long-term debt — less current maturities | 251,895 | 200,505 | |||||
Accrued self-insurance liabilities — less current portion | 33,642 | 34,849 | |||||
Fair value of interest rate swap | 1,828 | 2,866 | |||||
Long-term liabilities held for sale | — | 130 | |||||
Deferred rent and other long-term liabilities | 3,237 | 3,281 | |||||
Total equity | 357,257 | 327,884 | |||||
Total liabilities and equity | $ | 760,315 | $ | 690,862 |
Year Ended December 31, | |||||||
2013 | 2012 | ||||||
Net cash provided by operating activities | $ | 37,424 | $ | 82,050 | |||
Net cash used in investing activities | (65,235 | ) | (84,496 | ) | |||
Net cash provided by financing activities | 52,881 | 13,547 | |||||
Net increase in cash and cash equivalents | 25,070 | 11,101 | |||||
Cash and cash equivalents beginning of period | 40,685 | 29,584 | |||||
Cash and cash equivalents end of period | $ | 65,755 | $ | 40,685 |
Three Months Ended December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
(Dollars in thousands) | Change | % Change | ||||||||||||
Total Facility Results: | ||||||||||||||
Revenue | $ | 237,008 | $ | 210,505 | $ | 26,503 | 12.6 | % | ||||||
Number of facilities at period end | 119 | 108 | 11 | 10.2 | % | |||||||||
Actual patient days | 947,138 | 872,634 | 74,504 | 8.5 | % | |||||||||
Occupancy percentage — Operational beds | 78.0 | % | 78.3 | % | (0.3 | )% | ||||||||
Skilled mix by nursing days | 26.0 | % | 25.9 | % | 0.1 | % | ||||||||
Skilled mix by nursing revenue | 49.1 | % | 49.7 | % | (0.6 | )% |
Three Months Ended December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
(Dollars in thousands) | Change | % Change | ||||||||||||
Same Facility Results:(1) | ||||||||||||||
Revenue | $ | 174,913 | $ | 169,214 | $ | 5,699 | 3.4 | % | ||||||
Number of facilities at period end | 77 | 77 | — | — | % | |||||||||
Actual patient days | 664,098 | 661,257 | 2,841 | 0.4 | % | |||||||||
Occupancy percentage — Operational beds | 81.3 | % | 80.9 | % | 0.4 | % | ||||||||
Skilled mix by nursing days | 28.0 | % | 27.6 | % | 0.4 | % | ||||||||
Skilled mix by nursing revenue | 50.9 | % | 52.1 | % | (1.2 | )% |
Three Months Ended December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
(Dollars in thousands) | Change | % Change | ||||||||||||
Transitioning Facility Results:(2) | ||||||||||||||
Revenue | $ | 36,377 | $ | 34,869 | $ | 1,508 | 4.3 | % | ||||||
Number of facilities at period end | 25 | 25 | — | — | % | |||||||||
Actual patient days | 183,922 | 182,738 | 1,184 | 0.6 | % | |||||||||
Occupancy percentage — Operational beds | 74.4 | % | 73.9 | % | 0.5 | % | ||||||||
Skilled mix by nursing days | 19.5 | % | 18.8 | % | 0.7 | % | ||||||||
Skilled mix by nursing revenue | 41.8 | % | 38.8 | % | 3.0 | % |
Three Months Ended December 31, | |||||||||||||
2013 | 2012 | ||||||||||||
(Dollars in thousands) | Change | % Change | |||||||||||
Recently Acquired Facility Results:(3) | |||||||||||||
Revenue | $ | 25,718 | $ | 6,422 | $ | 19,296 | NM | ||||||
Number of facilities at period end | 17 | 6 | 11 | NM | |||||||||
Actual patient days | 99,118 | 28,639 | 70,479 | NM | |||||||||
Occupancy percentage — Operational beds | 65.7 | % | 56.8 | % | NM | ||||||||
Skilled mix by nursing days | 19.1 | % | 14.0 | % | NM | ||||||||
Skilled mix by nursing revenue | 40.9 | % | 23.5 | % | NM |
(1) | Same Facility results represent all facilities purchased prior to January 1, 2010. |
(2) | Transitioning Facility results represents all facilities purchased from January 1, 2010 to December 31, 2011. |
(3) | Recently Acquired Facility (or “Acquisitions”) results represent all facilities purchased on or subsequent to January 1, 2012. |
Twelve Months Ended December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
(Dollars in thousands) | Change | % Change | ||||||||||||
Total Facility Results: | ||||||||||||||
Revenue | $ | 904,556 | $ | 823,155 | $ | 81,401 | 9.9 | % | ||||||
Number of facilities at period end | 119 | 108 | 11 | 10.2 | % | |||||||||
Actual patient days | 3,648,651 | 3,452,598 | 196,053 | 5.7 | % | |||||||||
Occupancy percentage — Operational beds | 77.5 | % | 79.0 | % | (1.5 | )% | ||||||||
Skilled mix by nursing days | 26.4 | % | 25.9 | % | 0.5 | % | ||||||||
Skilled mix by nursing revenue | 50.0 | % | 50.0 | % | — | % |
Twelve Months Ended December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
(Dollars in thousands) | Change | % Change | ||||||||||||
Same Facility Results:(1) | ||||||||||||||
Revenue | $ | 679,610 | $ | 670,747 | $ | 8,863 | 1.3 | % | ||||||
Number of facilities at period end | 77 | 77 | — | — | % | |||||||||
Actual patient days | 2,618,541 | 2,638,029 | (19,488 | ) | (0.7 | )% | ||||||||
Occupancy percentage — Operational beds | 80.8 | % | 81.2 | % | (0.4 | )% | ||||||||
Skilled mix by nursing days | 28.3 | % | 27.5 | % | 0.8 | % | ||||||||
Skilled mix by nursing revenue | 52.1 | % | 52.0 | % | 0.1 | % |
Twelve Months Ended December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
(Dollars in thousands) | Change | % Change | ||||||||||||
Transitioning Facility Results:(2) | ||||||||||||||
Revenue | $ | 141,180 | $ | 135,639 | $ | 5,541 | 4.1 | % | ||||||
Number of facilities at period end | 25 | 25 | — | — | % | |||||||||
Actual patient days | 724,243 | 736,995 | (12,752 | ) | (1.7 | )% | ||||||||
Occupancy percentage — Operational beds | 73.8 | % | 74.9 | % | (1.1 | )% | ||||||||
Skilled mix by nursing days | 20.2 | % | 18.2 | % | 2.0 | % | ||||||||
Skilled mix by nursing revenue | 42.0 | % | 39.2 | % | 2.8 | % |
Twelve Months Ended December 31, | |||||||||||||
2013 | 2012 | ||||||||||||
(Dollars in thousands) | Change | % Change | |||||||||||
Recently Acquired Facility Results:(3) | |||||||||||||
Revenue | $ | 83,766 | $ | 16,769 | $ | 66,997 | NM | ||||||
Number of facilities at period end | 17 | 6 | 11 | NM | |||||||||
Actual patient days | 305,867 | 77,574 | 228,293 | NM | |||||||||
Occupancy percentage — Operational beds | 62.7 | % | 55.5 | % | NM | ||||||||
Skilled mix by nursing days | 18.0 | % | 11.2 | % | NM | ||||||||
Skilled mix by nursing revenue | 38.1 | % | 20.9 | % | NM |
(1) | Same Facility results represent all facilities purchased prior to January 1, 2010. |
(2) | Transitioning Facility results represents all facilities purchased from January 1, 2010 to December 31, 2011. |
(3) | Recently Acquired Facility (or “Acquisitions”) results represent all facilities purchased on or subsequent to January 1, 2012. |
Three Months Ended December 31, | ||||||||||||||||||||||||||||||||||
Same Facility | Transitioning | Acquisitions | Total | % | ||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | Change | ||||||||||||||||||||||||||
Skilled Nursing Average Daily Revenue Rates: | ||||||||||||||||||||||||||||||||||
Medicare | $ | 572.28 | $ | 565.15 | $ | 487.50 | $ | 474.63 | $ | 468.45 | $ | 424.77 | $ | 552.37 | $ | 547.86 | 0.8 | % | ||||||||||||||||
Managed care | 404.54 | 399.71 | 397.83 | 389.83 | 461.24 | 264.91 | 408.26 | 399.25 | 2.3 | % | ||||||||||||||||||||||||
Other skilled | 432.46 | 451.81 | 723.71 | 439.00 | 253.00 | — | 439.21 | 451.60 | (2.7 | )% | ||||||||||||||||||||||||
Total skilled revenue | 494.98 | 494.30 | 478.68 | 461.54 | 465.23 | 425.53 | 491.43 | 489.90 | 0.3 | % | ||||||||||||||||||||||||
Medicaid | 184.47 | 170.42 | 159.06 | 169.56 | 159.31 | 235.97 | 179.18 | 172.38 | 3.9 | % | ||||||||||||||||||||||||
Private and other payors | 190.34 | 185.72 | 165.11 | 167.11 | 155.97 | 170.02 | 179.57 | 179.55 | — | % | ||||||||||||||||||||||||
Total skilled nursing revenue | $ | 271.91 | $ | 261.30 | $ | 222.99 | $ | 223.84 | $ | 217.12 | $ | 254.16 | $ | 260.54 | $ | 255.72 | 1.9 | % |
Twelve Months Ended December 31, | ||||||||||||||||||||||||||||||||||
Same Facility | Transitioning | Acquisitions | Total | % | ||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | Change | ||||||||||||||||||||||||||
Skilled Nursing Average Daily Revenue Rates: | ||||||||||||||||||||||||||||||||||
Medicare | $ | 564.45 | $ | 555.44 | $ | 474.16 | $ | 471.25 | $ | 461.98 | $ | 418.73 | $ | 544.51 | $ | 541.63 | 0.5 | % | ||||||||||||||||
Managed care | 398.86 | 391.08 | 378.70 | 395.32 | 458.55 | 427.52 | 400.44 | 391.32 | 2.3 | % | ||||||||||||||||||||||||
Other skilled | 455.88 | 457.58 | 708.32 | 529.85 | 253.00 | — | 460.76 | 458.67 | 0.5 | % | ||||||||||||||||||||||||
Total skilled revenue | 492.13 | 490.63 | 462.86 | 460.25 | 460.78 | 418.88 | 487.53 | 486.98 | 0.1 | % | ||||||||||||||||||||||||
Medicaid | 176.97 | 168.85 | 158.45 | 155.16 | 167.26 | 204.57 | 174.04 | 167.78 | 3.7 | % | ||||||||||||||||||||||||
Private and other payors | 188.44 | 189.62 | 167.45 | 165.93 | 154.87 | 168.26 | 179.40 | 181.52 | (1.2 | )% | ||||||||||||||||||||||||
Total skilled nursing revenue | $ | 267.38 | $ | 259.48 | $ | 222.39 | $ | 213.93 | $ | 218.10 | $ | 223.11 | $ | 257.67 | $ | 252.18 | 2.2 | % |
Three Months Ended December 31, | |||||||||||||||||||||||
Same Facility | Transitioning | Acquisitions | Total | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Percentage of Skilled Nursing Revenue: | |||||||||||||||||||||||
Medicare | 30.5 | % | 31.9 | % | 34.4 | % | 33.4 | % | 25.6 | % | 23.5 | % | 30.6 | % | 31.8 | % | |||||||
Managed care | 14.8 | 14.7 | 5.8 | 4.8 | 15.2 | (0.1 | ) | 13.8 | 13.1 | ||||||||||||||
Other skilled | 5.6 | 5.5 | 1.6 | 0.6 | 0.1 | — | 4.7 | 4.8 | |||||||||||||||
Skilled mix | 50.9 | 52.1 | 41.8 | 38.8 | 40.9 | 23.4 | 49.1 | 49.7 | |||||||||||||||
Private and other payors | 7.6 | 7.6 | 21.0 | 21.3 | 12.4 | 8.5 | 9.5 | 9.3 | |||||||||||||||
Quality mix | 58.5 | 59.7 | 62.8 | 60.1 | 53.3 | 31.9 | 58.6 | 59.0 | |||||||||||||||
Medicaid | 41.5 | 40.3 | 37.2 | 39.9 | 46.7 | 68.1 | 41.4 | 41.0 | |||||||||||||||
Total skilled nursing | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % |
Three Months Ended December 31, | |||||||||||||||||||||||
Same Facility | Transitioning | Acquisitions | Total | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Percentage of Skilled Nursing Days: | |||||||||||||||||||||||
Medicare | 14.6 | % | 14.8 | % | 15.8 | % | 15.7 | % | 11.9 | % | 14.1 | % | 14.4 | % | 14.8 | % | |||||||
Managed care | 9.9 | 9.6 | 3.2 | 2.8 | 7.2 | (0.1 | ) | 8.8 | 8.4 | ||||||||||||||
Other skilled | 3.5 | 3.2 | 0.5 | 0.3 | — | — | 2.8 | 2.7 | |||||||||||||||
Skilled mix | 28.0 | 27.6 | 19.5 | 18.8 | 19.1 | 14.0 | 26.0 | 25.9 | |||||||||||||||
Private and other payors | 10.8 | 10.6 | 28.4 | 28.5 | 17.2 | 12.7 | 13.8 | 13.3 | |||||||||||||||
Quality mix | 38.8 | 38.2 | 47.9 | 47.3 | 36.3 | 26.7 | 39.8 | 39.2 | |||||||||||||||
Medicaid | 61.2 | 61.8 | 52.1 | 52.7 | 63.7 | 73.3 | 60.2 | 60.8 | |||||||||||||||
Total skilled nursing | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % |
Twelve Months Ended December 31, | |||||||||||||||||||||||
Same Facility | Transitioning | Acquisitions | Total | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Percentage of Skilled Nursing Revenue: | |||||||||||||||||||||||
Medicare | 31.3 | % | 33.0 | % | 35.1 | % | 33.3 | % | 26.6 | % | 20.6 | % | 31.4 | % | 32.9 | % | |||||||
Managed care | 15.2 | 13.7 | 5.7 | 5.3 | 11.5 | 0.3 | 13.9 | 12.4 | |||||||||||||||
Other skilled | 5.6 | 5.3 | 1.2 | 0.6 | — | — | 4.7 | 4.7 | |||||||||||||||
Skilled mix | 52.1 | 52.0 | 42.0 | 39.2 | 38.1 | 20.9 | 50.0 | 50.0 | |||||||||||||||
Private and other payors | 7.5 | 7.6 | 21.4 | 22.6 | 12.1 | 11.2 | 9.5 | 9.5 | |||||||||||||||
Quality mix | 59.6 | 59.6 | 63.4 | 61.8 | 50.2 | 32.1 | 59.5 | 59.5 | |||||||||||||||
Medicaid | 40.4 | 40.4 | 36.6 | 38.2 | 49.8 | 67.9 | 40.5 | 40.5 | |||||||||||||||
Total skilled nursing | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % |
Twelve Months Ended December 31, | |||||||||||||||||||||||
Same Facility | Transitioning | Acquisitions | Total | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Percentage of Skilled Nursing Days: | |||||||||||||||||||||||
Medicare | 14.8 | % | 15.4 | % | 16.5 | % | 15.1 | % | 12.6 | % | 11.0 | % | 14.8 | % | 15.3 | % | |||||||
Managed care | 10.2 | 9.1 | 3.3 | 2.8 | 5.4 | 0.2 | 8.9 | 8.0 | |||||||||||||||
Other skilled | 3.3 | 3.0 | 0.4 | 0.3 | — | — | 2.7 | 2.6 | |||||||||||||||
Skilled mix | 28.3 | 27.5 | 20.2 | 18.2 | 18.0 | 11.2 | 26.4 | 25.9 | |||||||||||||||
Private and other payors | 10.7 | 10.4 | 28.4 | 29.2 | 17.0 | 14.7 | 13.7 | 13.2 | |||||||||||||||
Quality mix | 39.0 | 37.9 | 48.6 | 47.4 | 35.0 | 25.9 | 40.1 | 39.1 | |||||||||||||||
Medicaid | 61.0 | 62.1 | 51.4 | 52.6 | 65.0 | 74.1 | 59.9 | 60.9 | |||||||||||||||
Total skilled nursing | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % |
Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
$ | % | $ | % | $ | % | $ | % | |||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||
Revenue: | ||||||||||||||||||||||||||||
Medicaid | $ | 86,502 | 36.5 | % | $ | 78,112 | 37.1 | % | $ | 323,803 | 35.8 | % | $ | 302,046 | 36.7 | % | ||||||||||||
Medicare | 74,703 | 31.5 | 68,863 | 32.7 | 292,917 | 32.4 | 278,578 | 33.8 | ||||||||||||||||||||
Medicaid-skilled | 9,469 | 4.0 | 8,690 | 4.1 | 36,085 | 4.0 | 33,031 | 4.0 | ||||||||||||||||||||
Total | 170,674 | 72.0 | 155,665 | 73.9 | 652,805 | 72.2 | 613,655 | 74.5 | ||||||||||||||||||||
Managed care | 30,722 | 13.0 | 26,668 | 12.7 | 118,168 | 13.1 | 98,655 | 12.0 | ||||||||||||||||||||
Private and other(1) | 35,612 | 15.0 | 28,172 | 13.4 | 133,583 | 14.7 | 110,845 | 13.5 | ||||||||||||||||||||
Total revenue | $ | 237,008 | 100.0 | % | $ | 210,505 | 100.0 | % | $ | 904,556 | 100.0 | % | $ | 823,155 | 100.0 | % | ||||||||||||
(1) Private and other payors includes revenue from urgent care centers and other ancillary businesses. |