QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
(State or Other Jurisdiction of Incorporation or Organization) | (I.R.S. Employer Identification No.) | ||||
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
☒ | Accelerated filer | ☐ | Non-Accelerated filer | ☐ | |||||||||||||
Smaller reporting company | Emerging growth company |
Page | ||||||||
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
(In Millions, Except Per Share Data) | |||||||||||
Net operating revenues | $ | $ | |||||||||
Operating expenses: | |||||||||||
Salaries and benefits | |||||||||||
Other operating expenses | |||||||||||
Occupancy costs | |||||||||||
Supplies | |||||||||||
General and administrative expenses | |||||||||||
Depreciation and amortization | |||||||||||
Total operating expenses | |||||||||||
Interest expense and amortization of debt discounts and fees | |||||||||||
Other income | ( | ( | |||||||||
Equity in net income of nonconsolidated affiliates | ( | ( | |||||||||
Income from continuing operations before income tax expense | |||||||||||
Provision for income tax expense | |||||||||||
Income from continuing operations | |||||||||||
Loss from discontinued operations, net of tax | ( | ( | |||||||||
Net and comprehensive income | |||||||||||
Less: Net and comprehensive income attributable to noncontrolling interests | ( | ( | |||||||||
Net and comprehensive income attributable to Encompass Health | $ | $ | |||||||||
Weighted average common shares outstanding: | |||||||||||
Basic | |||||||||||
Diluted | |||||||||||
Earnings per common share: | |||||||||||
Basic earnings per share attributable to Encompass Health common shareholders: | |||||||||||
Continuing operations | $ | $ | |||||||||
Discontinued operations | ( | ( | |||||||||
Net income | $ | $ | |||||||||
Diluted earnings per share attributable to Encompass Health common shareholders: | |||||||||||
Continuing operations | $ | $ | |||||||||
Discontinued operations | ( | ( | |||||||||
Net income | $ | $ | |||||||||
Amounts attributable to Encompass Health common shareholders: | |||||||||||
Income from continuing operations | $ | $ | |||||||||
Loss from discontinued operations, net of tax | ( | ( | |||||||||
Net income attributable to Encompass Health | $ | $ |
March 31, 2024 | December 31, 2023 | ||||||||||
(In Millions) | |||||||||||
Assets | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | $ | |||||||||
Restricted cash | |||||||||||
Accounts receivable | |||||||||||
Other current assets | |||||||||||
Total current assets | |||||||||||
Property and equipment, net | |||||||||||
Operating lease right-of-use assets | |||||||||||
Goodwill | |||||||||||
Intangible assets, net | |||||||||||
Other long-term assets | |||||||||||
Total assets(1) | $ | $ | |||||||||
Liabilities and Shareholders’ Equity | |||||||||||
Current liabilities: | |||||||||||
Current portion of long-term debt | $ | $ | |||||||||
Current operating lease liabilities | |||||||||||
Accounts payable | |||||||||||
Accrued expenses and other current liabilities | |||||||||||
Total current liabilities | |||||||||||
Long-term debt, net of current portion | |||||||||||
Long-term operating lease liabilities | |||||||||||
Deferred income tax liabilities | |||||||||||
Other long-term liabilities | |||||||||||
Total liabilities(1) | |||||||||||
Commitments and contingencies | |||||||||||
Redeemable noncontrolling interests | |||||||||||
Shareholders’ equity: | |||||||||||
Encompass Health shareholders’ equity | |||||||||||
Noncontrolling interests | |||||||||||
Total shareholders’ equity | |||||||||||
Total liabilities(1) and shareholders’ equity | $ | $ |
Three Months Ended March 31, 2024 | |||||||||||||||||||||||||||||||||||||||||
(In Millions) | |||||||||||||||||||||||||||||||||||||||||
Encompass Health Common Shareholders | |||||||||||||||||||||||||||||||||||||||||
Number of Common Shares Outstanding | Common Stock | Capital in Excess of Par Value | Accumulated Income | Treasury Stock | Noncontrolling Interests | Total | |||||||||||||||||||||||||||||||||||
Balance at beginning of period | $ | $ | $ | $ | ( | $ | $ | ||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | |||||||||||||||||||||||||||||||||||||
Receipt of treasury stock | ( | — | — | — | ( | — | ( | ||||||||||||||||||||||||||||||||||
Dividends declared ($ | — | — | ( | — | — | ( | |||||||||||||||||||||||||||||||||||
Stock-based compensation | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||
Distributions declared | — | — | — | — | — | ( | ( | ||||||||||||||||||||||||||||||||||
Capital contributions from consolidated affiliates | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||
Other | — | ( | — | ||||||||||||||||||||||||||||||||||||||
Balance at end of period | $ | $ | $ | $ | ( | $ | $ |
Three Months Ended March 31, 2023 | |||||||||||||||||||||||||||||||||||||||||
(In Millions) | |||||||||||||||||||||||||||||||||||||||||
Encompass Health Common Shareholders | |||||||||||||||||||||||||||||||||||||||||
Number of Common Shares Outstanding | Common Stock | Capital in Excess of Par Value | Accumulated Income | Treasury Stock | Noncontrolling Interests | Total | |||||||||||||||||||||||||||||||||||
Balance at beginning of period | $ | $ | $ | $ | ( | $ | $ | ||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | |||||||||||||||||||||||||||||||||||||
Receipt of treasury stock | ( | — | — | — | ( | — | ( | ||||||||||||||||||||||||||||||||||
Dividends declared ($ | — | — | — | ( | — | — | ( | ||||||||||||||||||||||||||||||||||
Stock-based compensation | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||
Distributions declared | — | — | — | — | — | ( | ( | ||||||||||||||||||||||||||||||||||
Capital contributions from consolidated affiliates | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||
Other | — | ( | — | ||||||||||||||||||||||||||||||||||||||
Balance at end of period | $ | $ | $ | $ | ( | $ | $ | ||||||||||||||||||||||||||||||||||
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
(In Millions) | |||||||||||
Cash flows from operating activities: | |||||||||||
Net income | $ | $ | |||||||||
Loss from discontinued operations, net of tax | |||||||||||
Adjustments to reconcile net income to net cash provided by operating activities— | |||||||||||
Depreciation and amortization | |||||||||||
Stock-based compensation | |||||||||||
Deferred tax expense | |||||||||||
Other, net | |||||||||||
Change in assets and liabilities, net of acquisitions— | |||||||||||
Accounts receivable | ( | ||||||||||
Other assets | ( | ( | |||||||||
Accounts payable | ( | ||||||||||
Other liabilities | |||||||||||
Net cash used in operating activities of discontinued operations | ( | ( | |||||||||
Total adjustments | |||||||||||
Net cash provided by operating activities | |||||||||||
Cash flows from investing activities: | |||||||||||
Purchases of property, equipment, and intangible assets | ( | ( | |||||||||
Proceeds from sale of restricted investments | |||||||||||
Other, net | ( | ( | |||||||||
Net cash used in investing activities | ( | ( | |||||||||
Cash flows from financing activities: | |||||||||||
Principal payments on debt, including pre-payments | ( | ( | |||||||||
Borrowings on revolving credit facility | |||||||||||
Payments on revolving credit facility | ( | ( | |||||||||
Taxes paid on behalf of employees for shares withheld | ( | ( | |||||||||
Contributions from noncontrolling interests of consolidated affiliates | |||||||||||
Dividends paid on common stock | ( | ( | |||||||||
Distributions paid to noncontrolling interests of consolidated affiliates | ( | ( | |||||||||
Other, net | ( | ( | |||||||||
Net cash used in financing activities | ( | ( | |||||||||
Increase in cash, cash equivalents, and restricted cash | |||||||||||
Cash, cash equivalents, and restricted cash at beginning of period | |||||||||||
Cash, cash equivalents, and restricted cash at end of period | $ | $ | |||||||||
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
(In Millions) | |||||||||||
Reconciliation of Cash, Cash Equivalents, and Restricted Cash | |||||||||||
Cash and cash equivalents at beginning of period | $ | $ | |||||||||
Restricted cash at beginning of period | |||||||||||
Cash, cash equivalents, and restricted cash at beginning of period | $ | $ | |||||||||
Cash and cash equivalents at end of period | $ | $ | |||||||||
Restricted cash at end of period | |||||||||||
Cash, cash equivalents, and restricted cash at end of period | $ | $ | |||||||||
Supplemental schedule of noncash operating, investing, and financing activities: | |||||||||||
Joint venture contributions | $ | $ |
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
Medicare | $ | $ | |||||||||
Medicare Advantage | |||||||||||
Managed care | |||||||||||
Medicaid | |||||||||||
Other third-party payors | |||||||||||
Workers’ compensation | |||||||||||
Patients | |||||||||||
Other income | |||||||||||
Total | $ | $ |
March 31, 2024 | December 31, 2023 | ||||||||||
Assets | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | $ | |||||||||
Accounts receivable | |||||||||||
Other current assets | |||||||||||
Total current assets | |||||||||||
Property and equipment, net | |||||||||||
Operating lease right-of-use assets | |||||||||||
Goodwill | |||||||||||
Intangible assets, net | |||||||||||
Other long-term assets | |||||||||||
Total assets | $ | $ | |||||||||
Liabilities | |||||||||||
Current liabilities: | |||||||||||
Current portion of long-term debt | $ | $ | |||||||||
Accounts payable | |||||||||||
Accrued expenses and other current liabilities | |||||||||||
Total current liabilities | |||||||||||
Long-term debt, net of current portion | |||||||||||
Long-term operating lease liabilities | |||||||||||
Total liabilities | $ | $ |
March 31, 2024 | December 31, 2023 | ||||||||||
Credit Agreement— | |||||||||||
Advances under revolving credit facility | $ | $ | |||||||||
Bonds payable— | |||||||||||
Other notes payable | |||||||||||
Finance lease obligations | |||||||||||
Less: Current portion | ( | ( | |||||||||
Long-term debt, net of current portion | $ | $ |
Face Amount | Net Amount | |||||||||||||
April 1 through December 31, 2024 | $ | $ | ||||||||||||
2025 | ||||||||||||||
2026 | ||||||||||||||
2027 | ||||||||||||||
2028 | ||||||||||||||
2029 | ||||||||||||||
Thereafter | ||||||||||||||
Total | $ | $ |
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
Balance at beginning of period | $ | $ | |||||||||
Net income attributable to noncontrolling interests | |||||||||||
Distributions declared | ( | ( | |||||||||
Balance at end of period | $ | $ |
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
Net income attributable to nonredeemable noncontrolling interests | $ | $ | |||||||||
Net income attributable to redeemable noncontrolling interests | |||||||||||
Net income attributable to noncontrolling interests | $ | $ |
Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||||||
As of March 31, 2024 | Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Valuation Technique (1) | ||||||||||||||||||||||||
Equity securities (2) | $ | $ | $ | $ | M | ||||||||||||||||||||||||
Redeemable noncontrolling interests | I | ||||||||||||||||||||||||||||
As of December 31, 2023 | |||||||||||||||||||||||||||||
Equity securities (2) | $ | $ | $ | $ | M | ||||||||||||||||||||||||
Redeemable noncontrolling interests | I |
As of March 31, 2024 | As of December 31, 2023 | ||||||||||||||||||||||
Carrying Amount | Estimated Fair Value | Carrying Amount | Estimated Fair Value | ||||||||||||||||||||
Long-term debt: | |||||||||||||||||||||||
$ | $ | $ | $ | ||||||||||||||||||||
Other notes payable | |||||||||||||||||||||||
Financial commitments: | |||||||||||||||||||||||
Letters of credit |
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
Basic: | |||||||||||
Numerator: | |||||||||||
Income from continuing operations | $ | $ | |||||||||
Less: Net income attributable to noncontrolling interests included in continuing operations | ( | ( | |||||||||
Less: Income allocated to participating securities | ( | ( | |||||||||
Income from continuing operations attributable to Encompass Health common shareholders | |||||||||||
Loss from discontinued operations attributable to Encompass Health common shareholders | ( | ( | |||||||||
Net income attributable to Encompass Health common shareholders | $ | $ | |||||||||
Denominator: | |||||||||||
Basic weighted average common shares outstanding | |||||||||||
Basic earnings per share attributable to Encompass Health common shareholders: | |||||||||||
Continuing operations | $ | $ | |||||||||
Discontinued operations | ( | ( | |||||||||
Net income | $ | $ | |||||||||
Diluted: | |||||||||||
Numerator: | |||||||||||
Income from continuing operations | $ | $ | |||||||||
Less: Net income attributable to noncontrolling interests included in continuing operations | ( | ( | |||||||||
Income from continuing operations attributable to Encompass Health common shareholders | |||||||||||
Loss from discontinued operations attributable to Encompass Health common shareholders | ( | ( | |||||||||
Net income attributable to Encompass Health common shareholders | $ | $ | |||||||||
Denominator: | |||||||||||
Diluted weighted average common shares outstanding | |||||||||||
Diluted earnings per share attributable to Encompass Health common shareholders: | |||||||||||
Continuing operations | $ | $ | |||||||||
Discontinued operations | ( | ( | |||||||||
Net income | $ | $ |
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
Basic weighted average common shares outstanding | |||||||||||
Restricted stock awards, dilutive stock options, and restricted stock units | |||||||||||
Diluted weighted average common shares outstanding |
Number of New Beds | |||||||||||
2024(2) | 2025(2) | 2026(2) | |||||||||
Kissimmee, Florida | 50 | — | — | ||||||||
Atlanta, Georgia(1) | 40 | — | — | ||||||||
Johnston, Rhode Island | 50 | — | — | ||||||||
Fort Mill, South Carolina | 39 | — | — | ||||||||
Louisville, Kentucky(1) | 40 | — | — | ||||||||
Houston, Texas | 61 | — | — | ||||||||
Daytona Beach, Florida | — | 50 | — | ||||||||
Fort Myers, Florida(1) | — | 60 | — | ||||||||
Lake Worth, Florida | — | 50 | — | ||||||||
Concordville, Pennsylvania | — | 50 | — | ||||||||
Norristown, Pennsylvania | — | 50 | — | ||||||||
Wildwood, Florida (in The Villages, Florida) | — | 50 | — | ||||||||
Athens, Georgia(1) | — | 40 | — | ||||||||
St. Petersburg, Florida | — | 50 | — | ||||||||
Palm Beach Gardens, Florida | — | — | 50 | ||||||||
Amarillo, Texas | — | — | 50 | ||||||||
Danbury, Connecticut | — | — | 40 | ||||||||
Avondale, Arizona | — | — | 60 | ||||||||
Loganville, Georgia(1) | — | — | 40 | ||||||||
San Antonio, Texas | — | — | 50 |
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
Medicare | 64.9 | % | 65.3 | % | |||||||
Medicare Advantage | 17.0 | % | 16.0 | % | |||||||
Managed care | 10.9 | % | 11.0 | % | |||||||
Medicaid | 3.4 | % | 4.1 | % | |||||||
Other third-party payors | 0.7 | % | 0.9 | % | |||||||
Workers’ compensation | 0.5 | % | 0.5 | % | |||||||
Patients | 0.3 | % | 0.2 | % | |||||||
Other income | 2.3 | % | 2.0 | % | |||||||
Total | 100.0 | % | 100.0 | % |
Three Months Ended March 31, | Percentage Change | ||||||||||||||||
2024 | 2023 | 2024 vs. 2023 | |||||||||||||||
(In Millions, Except Percentage Change) | |||||||||||||||||
Net operating revenues | $ | 1,316.0 | $ | 1,160.4 | 13.4 | % | |||||||||||
Operating expenses: | |||||||||||||||||
Salaries and benefits | 711.6 | 629.0 | 13.1 | % | |||||||||||||
Other operating expenses | 203.9 | 177.9 | 14.6 | % | |||||||||||||
Occupancy costs | 14.0 | 13.8 | 1.4 | % | |||||||||||||
Supplies | 58.5 | 53.8 | 8.7 | % | |||||||||||||
General and administrative expenses | 50.2 | 43.4 | 15.7 | % | |||||||||||||
Depreciation and amortization | 70.3 | 63.9 | 10.0 | % | |||||||||||||
Total operating expenses | 1,108.5 | 981.8 | 12.9 | % | |||||||||||||
Interest expense and amortization of debt discounts and fees | 35.2 | 36.4 | (3.3) | % | |||||||||||||
Other income | (5.4) | (3.6) | 50.0 | % | |||||||||||||
Equity in net income of nonconsolidated affiliates | (0.7) | (0.4) | 75.0 | % | |||||||||||||
Income from continuing operations before income tax expense | 178.4 | 146.2 | 22.0 | % | |||||||||||||
Provision for income tax expense | 38.3 | 31.9 | 20.1 | % | |||||||||||||
Income from continuing operations | 140.1 | 114.3 | 22.6 | % | |||||||||||||
Loss from discontinued operations, net of tax | (1.3) | (1.0) | 30.0 | % | |||||||||||||
Net income | 138.8 | 113.3 | 22.5 | % | |||||||||||||
Less: Net and comprehensive income attributable to noncontrolling interests | (26.3) | (25.6) | 2.7 | % | |||||||||||||
Net income attributable to Encompass Health | $ | 112.5 | $ | 87.7 | 28.3 | % |
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
Operating expenses: | |||||||||||
Salaries and benefits | 54.1 | % | 54.2 | % | |||||||
Other operating expenses | 15.5 | % | 15.3 | % | |||||||
Occupancy costs | 1.1 | % | 1.2 | % | |||||||
Supplies | 4.4 | % | 4.6 | % | |||||||
General and administrative expenses | 3.8 | % | 3.7 | % | |||||||
Depreciation and amortization | 5.3 | % | 5.5 | % | |||||||
Total operating expenses | 84.2 | % | 84.6 | % |
Three Months Ended March 31, | Percentage Change | ||||||||||||||||
2024 | 2023 | 2024 vs. 2023 | |||||||||||||||
(In Millions, Except Percentage Change) | |||||||||||||||||
Net operating revenues: | |||||||||||||||||
Inpatient | $ | 1,282.7 | $ | 1,134.2 | 13.1 | % | |||||||||||
Outpatient and other | 33.3 | 26.2 | 27.1 | % | |||||||||||||
Net operating revenues | $ | 1,316.0 | $ | 1,160.4 | 13.4 | % | |||||||||||
(Actual Amounts) | |||||||||||||||||
Discharges | 61,111 | 55,557 | 10.0 | % | |||||||||||||
Net patient revenue per discharge | $ | 20,990 | $ | 20,415 | 2.8 | % | |||||||||||
Outpatient visits | 29,744 | 31,852 | (6.6) | % | |||||||||||||
Average length of stay (days) | 12.3 | 12.5 | (1.6) | % | |||||||||||||
Occupancy % | 76.7 % | 73.4 % | 4.5 | % | |||||||||||||
# of licensed beds | 10,781 | 10,510 | 2.6 | % | |||||||||||||
Occupied beds | 8,269 | 7,714 | 7.2 | % | |||||||||||||
Full-time equivalents (FTEs) - internal | 27,209 | 25,122 | 8.3 | % | |||||||||||||
Contract labor FTEs | 434 | 459 | (5.4) | % | |||||||||||||
Total FTEs* | 27,643 | 25,581 | 8.1 | % | |||||||||||||
Employees per occupied bed | 3.34 | 3.32 | 0.6 | % |
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
Net cash provided by operating activities | $ | 238.8 | $ | 227.9 | |||||||
Net cash used in investing activities | (129.7) | (104.0) | |||||||||
Net cash used in financing activities | (40.6) | (58.0) | |||||||||
Increase in cash, cash equivalents, and restricted cash | $ | 68.5 | $ | 65.9 |
Total | Current | Long-term | |||||||||||||||
Long-term debt obligations: | |||||||||||||||||
Long-term debt, excluding finance lease obligations (a) | $ | 2,373.4 | $ | 3.6 | $ | 2,369.8 | |||||||||||
Interest on long-term debt (b) | 549.3 | 117.8 | 431.5 | ||||||||||||||
Finance lease obligations (c) | 493.5 | 47.0 | 446.5 | ||||||||||||||
Operating lease obligations (d) | 286.8 | 40.3 | 246.5 | ||||||||||||||
Purchase obligations (e) | 208.5 | 50.8 | 157.7 | ||||||||||||||
Total | $ | 3,911.5 | $ | 259.5 | $ | 3,652.0 |
Three Months Ended March 31, 2024 | |||||
(In Millions) | |||||
Net operating revenues | $ | 827.6 | |||
Intercompany revenues generated from non-guarantor subsidiaries | 24.6 | ||||
Total net operating revenues | $ | 852.2 | |||
Operating expenses | $ | 715.3 | |||
Intercompany expenses incurred in transactions with non-guarantor subsidiaries | 9.2 | ||||
Total operating expenses | $ | 724.5 | |||
Income from continuing operations | $ | 72.5 | |||
Net income | $ | 71.2 | |||
Net income attributable to Encompass Health | $ | 71.2 |
As of March 31, 2024 | As of December 31, 2023 | ||||||||||
(In Millions) | |||||||||||
Total current assets | $ | 644.8 | $ | 562.2 | |||||||
Property and equipment, net | $ | 2,251.5 | $ | 2,219.0 | |||||||
Goodwill | 906.9 | 902.6 | |||||||||
Intercompany receivable due from non-guarantor subsidiaries | 180.4 | 193.8 | |||||||||
Other noncurrent assets | 457.3 | 468.7 | |||||||||
Total noncurrent assets | $ | 3,796.1 | $ | 3,784.1 | |||||||
Total current liabilities | $ | 495.1 | $ | 496.1 | |||||||
Long-term debt, net of current portion | $ | 2,601.8 | $ | 2,604.7 | |||||||
Other noncurrent liabilities | 342.4 | 339.5 | |||||||||
Total noncurrent liabilities | $ | 2,944.2 | $ | 2,944.2 | |||||||
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
Net cash provided by operating activities | $ | 238.8 | $ | 227.9 | |||||||
Interest expense and amortization of debt discounts and fees | 35.2 | 36.4 | |||||||||
Gain on sale of investments, excluding impairments | 1.3 | 1.7 | |||||||||
Equity in net income of nonconsolidated affiliates | 0.7 | 0.4 | |||||||||
Net income attributable to noncontrolling interests in continuing operations | (26.3) | (25.6) | |||||||||
Amortization of debt-related items | (2.4) | (2.3) | |||||||||
Distributions from nonconsolidated affiliates | (0.8) | (0.1) | |||||||||
Current portion of income tax expense | 31.8 | 27.9 | |||||||||
Change in assets and liabilities | 1.6 | (37.9) | |||||||||
Cash used in operating activities of discontinued operations | 0.7 | 1.3 | |||||||||
Asset impairment impact on noncontrolling interests | (7.3) | — | |||||||||
Change in fair market value of equity securities | (0.3) | (0.5) | |||||||||
Other | — | (0.2) | |||||||||
Adjusted EBITDA | $ | 273.0 | $ | 229.0 |
Three Months Ended March 31, | |||||||||||
2024 | 2023 | ||||||||||
Net income | $ | 138.8 | $ | 113.3 | |||||||
Loss from discontinued operations, net of tax, attributable to Encompass Health | 1.3 | 1.0 | |||||||||
Net income attributable to noncontrolling interests included in continuing operations | (26.3) | (25.6) | |||||||||
Provision for income tax expense | 38.3 | 31.9 | |||||||||
Interest expense and amortization of debt discounts and fees | 35.2 | 36.4 | |||||||||
Loss on disposal or impairment of assets | 13.7 | 0.7 | |||||||||
Depreciation and amortization | 70.3 | 63.9 | |||||||||
Stock-based compensation | 9.3 | 7.9 | |||||||||
Change in fair market value of equity securities | (0.3) | (0.5) | |||||||||
Asset impairment impact on noncontrolling interests | (7.3) | — | |||||||||
Adjusted EBITDA | $ | 273.0 | $ | 229.0 |
Period | Total Number of Shares (or Units) Purchased(1) | Average Price Paid per Share (or Unit) ($) | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | Maximum Number (or Approximate Dollar Value) of Shares That May Yet Be Purchased Under the Plans or Programs(2) | ||||||||||||||||||||||
January 1 through January 31, 2024 | 111,761 | $ | 66.77 | — | $ | 198,053,924 | ||||||||||||||||||||
February 1 through February 28, 2024 | 64,410 | 75.17 | — | 198,053,924 | ||||||||||||||||||||||
March 1 through March 31, 2024 | 219 | 82.58 | — | 198,053,924 | ||||||||||||||||||||||
Total | 176,390 | 69.86 | — |
ENCOMPASS HEALTH CORPORATION | ||||||||
By: | /s/ Douglas E. Coltharp | |||||||
Douglas E. Coltharp | ||||||||
Executive Vice President and Chief Financial Officer | ||||||||
Date: | May 1, 2024 |
No. | Description | |||||||||||||
101 | Sections of the Encompass Health Corporation Quarterly Report on Form 10-Q for the quarter ended March 31, 2024, formatted in XBRL (eXtensible Business Reporting Language), submitted in the following files: | |||||||||||||
101.INS | XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document) | |||||||||||||
101.SCH | XBRL Taxonomy Extension Schema Document | |||||||||||||
101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document | |||||||||||||
101.DEF | XBRL Taxonomy Extension Definition Linkbase Document | |||||||||||||
101.LAB | XBRL Taxonomy Extension Label Linkbase Document | |||||||||||||
101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document | |||||||||||||
104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |
Advanced Homecare Holdings, Inc. | ||
Continental Medical Systems, LLC | ||
Continental Rehabilitation Hospital of Arizona, Inc. | ||
Encompass Health Acquisition Holdings Subsidiary, LLC | ||
Encompass Health Acquisition Holdings, LLC | ||
Encompass Health Alabama Real Estate, LLC | ||
Encompass Health Arizona Real Estate, LLC | ||
Encompass Health Arkansas Real Estate, LLC | ||
Encompass Health Boise Holdings, LLC | ||
Encompass Health Bryan Holdings, LLC | ||
Encompass Health California Real Estate, LLC | ||
Encompass Health Cape Coral Holdings, LLC | ||
Encompass Health Central Arkansas Holdings, Inc. | ||
Encompass Health Charleston Holdings, LLC | ||
Encompass Health Colorado Real Estate, LLC | ||
Encompass Health Dayton Holdings, LLC | ||
Encompass Health Deaconess Holdings, LLC | ||
Encompass Health Eau Claire Holdings, LLC | ||
Encompass Health Fairlawn Holdings, LLC | ||
Encompass Health GKBJH Holdings, LLC | ||
Encompass Health Grand Forks Holdings, LLC | ||
Encompass Health Gulfport Holdings, LLC | ||
Encompass Health Illinois Real Estate, LLC | ||
Encompass Health Iowa City Holdings, LLC | ||
Encompass Health Iowa Real Estate, LLC | ||
Encompass Health Johnson City Holdings, LLC | ||
Encompass Health Joint Ventures Holdings, LLC | ||
Encompass Health Jonesboro Holdings, Inc. | ||
Encompass Health Kansas Real Estate, LLC | ||
Encompass Health Kentucky Real Estate, LLC | ||
Encompass Health Kingsport Holdings, LLC | ||
Encompass Health Knoxville Holdings, LLC | ||
Encompass Health Littleton Holdings, LLC | ||
Encompass Health Louisiana Real Estate, LLC | ||
Encompass Health Lubbock Holdings, LLC | ||
Encompass Health Martin County Holdings, LLC | ||
Encompass Health Maryland Real Estate, LLC | ||
Encompass Health Massachusetts Real Estate, LLC | ||
Encompass Health Midland Odessa Holdings, LLC | ||
Encompass Health Moline Holdings, LLC | ||
Encompass Health Myrtle Beach Holdings, LLC | ||
Encompass Health Naples Holdings, LLC | ||
Encompass Health Nevada Real Estate, LLC | ||
Encompass Health New Mexico Real Estate, LLC | ||
Encompass Health Ohio Real Estate, LLC | ||
Encompass Health Owned Hospitals Holdings, LLC | ||
Encompass Health Pennsylvania Real Estate, LLC | ||
Encompass Health Properties, LLC |
Encompass Health Real Estate, LLC | ||
Encompass Health Rehabilitation Hospital of Abilene, LLC | ||
Encompass Health Rehabilitation Hospital of Albuquerque, LLC | ||
Encompass Health Rehabilitation Hospital of Altamonte Springs, LLC | ||
Encompass Health Rehabilitation Hospital of Arlington, LLC | ||
Encompass Health Rehabilitation Hospital of Austin, LLC | ||
Encompass Health Rehabilitation Hospital of Bakersfield, LLC | ||
Encompass Health Rehabilitation Hospital of Bluffton, LLC | ||
Encompass Health Rehabilitation Hospital of Braintree, LLC | ||
Encompass Health Rehabilitation Hospital of Cardinal Hill, LLC | ||
Encompass Health Rehabilitation Hospital of Cincinnati, LLC | ||
Encompass Health Rehabilitation Hospital of City View, Inc. | ||
Encompass Health Rehabilitation Hospital of Clermont, LLC | ||
Encompass Health Rehabilitation Hospital of Colorado Springs, Inc. | ||
Encompass Health Rehabilitation Hospital of Columbia, Inc. | ||
Encompass Health Rehabilitation Hospital of Concord, Inc. | ||
Encompass Health Rehabilitation Hospital of Cumming, LLC | ||
Encompass Health Rehabilitation Hospital of Cypress, LLC | ||
Encompass Health Rehabilitation Hospital of Dallas, LLC | ||
Encompass Health Rehabilitation Hospital of Desert Canyon, LLC | ||
Encompass Health Rehabilitation Hospital of Dothan, Inc. | ||
Encompass Health Rehabilitation Hospital of East Valley, LLC | ||
Encompass Health Rehabilitation Hospital of Erie, LLC | ||
Encompass Health Rehabilitation Hospital of Fitchburg, LLC | ||
Encompass Health Rehabilitation Hospital of Florence, Inc. | ||
Encompass Health Rehabilitation Hospital of Fort Smith, LLC | ||
Encompass Health Rehabilitation Hospital of Franklin, LLC | ||
Encompass Health Rehabilitation Hospital of Fredericksburg, LLC | ||
Encompass Health Rehabilitation Hospital of Gadsden, LLC | ||
Encompass Health Rehabilitation Hospital of Greenville, LLC | ||
Encompass Health Rehabilitation Hospital of Harmarville, LLC | ||
Encompass Health Rehabilitation Hospital of Henderson, LLC | ||
Encompass Health Rehabilitation Hospital of Humble, LLC | ||
Encompass Health Rehabilitation Hospital of Jacksonville, LLC | ||
Encompass Health Rehabilitation Hospital of Johnston, LLC | ||
Encompass Health Rehabilitation Hospital of Katy, LLC | ||
Encompass Health Rehabilitation Hospital of Lakeland, LLC | ||
Encompass Health Rehabilitation Hospital of Lakeview, LLC | ||
Encompass Health Rehabilitation Hospital of Largo, LLC | ||
Encompass Health Rehabilitation Hospital of Las Vegas, LLC | ||
Encompass Health Rehabilitation Hospital of Libertyville, LLC | ||
Encompass Health Rehabilitation Hospital of Littleton, LLC | ||
Encompass Health Rehabilitation Hospital of Manati, Inc. | ||
Encompass Health Rehabilitation Hospital of Mechanicsburg, LLC | ||
Encompass Health Rehabilitation Hospital of Miami, LLC | ||
Encompass Health Rehabilitation Hospital of Middletown, LLC | ||
Encompass Health Rehabilitation Hospital of Modesto, LLC | ||
Encompass Health Rehabilitation Hospital of Montgomery, Inc. | ||
Encompass Health Rehabilitation Hospital of Murrieta, LLC | ||
Encompass Health Rehabilitation Hospital of New England, LLC | ||
Encompass Health Rehabilitation Hospital of Nittany Valley, Inc. | ||
Encompass Health Rehabilitation Hospital of North Tampa, LLC | ||
Encompass Health Rehabilitation Hospital of Northern Kentucky, LLC | ||
Encompass Health Rehabilitation Hospital of Northern Virginia, LLC | ||
Encompass Health Rehabilitation Hospital of Northwest Tucson, L.P. |
Encompass Health Rehabilitation Hospital of Ocala, LLC | ||
Encompass Health Rehabilitation Hospital of Panama City, Inc. | ||
Encompass Health Rehabilitation Hospital of Pearland, LLC | ||
Encompass Health Rehabilitation Hospital of Pensacola, LLC | ||
Encompass Health Rehabilitation Hospital of Petersburg, LLC | ||
Encompass Health Rehabilitation Hospital of Plano, LLC | ||
Encompass Health Rehabilitation Hospital of Prosper, LLC | ||
Encompass Health Rehabilitation Hospital of Reading, LLC | ||
Encompass Health Rehabilitation Hospital of Richardson, LLC | ||
Encompass Health Rehabilitation Hospital of Round Rock, LLC | ||
Encompass Health Rehabilitation Hospital of San Antonio, Inc. | ||
Encompass Health Rehabilitation Hospital of San Juan, Inc. | ||
Encompass Health Rehabilitation Hospital of Sarasota, LLC | ||
Encompass Health Rehabilitation Hospital of Scottsdale, LLC | ||
Encompass Health Rehabilitation Hospital of Shelby County, LLC | ||
Encompass Health Rehabilitation Hospital of Shreveport, LLC | ||
Encompass Health Rehabilitation Hospital of Sioux Falls, LLC | ||
Encompass Health Rehabilitation Hospital of Spring Hill, Inc. | ||
Encompass Health Rehabilitation Hospital of St. Augustine, LLC | ||
Encompass Health Rehabilitation Hospital of Sugar Land, LLC | ||
Encompass Health Rehabilitation Hospital of Sunrise, LLC | ||
Encompass Health Rehabilitation Hospital of Tallahassee, LLC | ||
Encompass Health Rehabilitation Hospital of Texarkana, Inc. | ||
Encompass Health Rehabilitation Hospital of the Mid-Cities, LLC | ||
Encompass Health Rehabilitation Hospital of The Woodlands, Inc. | ||
Encompass Health Rehabilitation Hospital of Toledo, LLC | ||
Encompass Health Rehabilitation Hospital of Toms River, LLC | ||
Encompass Health Rehabilitation Hospital of Treasure Coast, Inc. | ||
Encompass Health Rehabilitation Hospital of Tustin, L.P. | ||
Encompass Health Rehabilitation Hospital of Utah, LLC | ||
Encompass Health Rehabilitation Hospital of Vineland, LLC | ||
Encompass Health Rehabilitation Hospital of Waco, LLC | ||
Encompass Health Rehabilitation Hospital of Western Massachusetts, LLC | ||
Encompass Health Rehabilitation Hospital of York, LLC | ||
Encompass Health Rehabilitation Hospital The Vintage, LLC | ||
Encompass Health Rehabilitation Hospital Vision Park, LLC | ||
Encompass Health Rehabilitation Institute of Tucson, LLC | ||
Encompass Health San Angelo Holdings, LLC | ||
Encompass Health Savannah Holdings, LLC | ||
Encompass Health Sea Pines Holdings, LLC | ||
Encompass Health Sewickley Holdings, LLC | ||
Encompass Health South Carolina Real Estate, LLC | ||
Encompass Health South Dakota Real Estate, LLC | ||
Encompass Health Southern Illinois Holdings, LLC | ||
Encompass Health Southern Maryland Holdings, LLC | ||
Encompass Health Support Companies, LLC | ||
Encompass Health Texas Real Estate, LLC | ||
Encompass Health Tucson Holdings, LLC | ||
Encompass Health Tulsa Holdings, LLC | ||
Encompass Health Tyler Holdings, Inc. | ||
Encompass Health Utah Real Estate, LLC | ||
Encompass Health ValleyofTheSun Rehabilitation Hospital, LLC | ||
Encompass Health Virginia Real Estate, LLC | ||
Encompass Health Walton Rehabilitation Hospital, LLC | ||
Encompass Health West Tennessee Holdings, LLC |
Encompass Health West Virginia Real Estate, LLC | ||
Encompass Health Westerville Holdings, LLC | ||
Encompass Health Winston-Salem Holdings, LLC | ||
Encompass Health Wisconsin Real Estate, LLC | ||
Encompass Health Yuma Holdings, Inc. | ||
Encompass IP Holdings Corporation | ||
HealthSouth Rehabilitation Hospital of Austin, Inc. | ||
HealthSouth Rehabilitation Hospital of Fort Worth, LLC | ||
Print Promotions Group, LLC | ||
Rebound, LLC | ||
Rehabilitation Hospital Corporation of America, LLC | ||
Rehabilitation Hospital of North Alabama, LLC | ||
Rehabilitation Hospital of Plano, LLC | ||
Reliant Blocker Corp. | ||
Western Neuro Care, Inc. |
Date: | May 1, 2024 | |||||||||||||
By: | /s/ MARK J. TARR | |||||||||||||
Mark J. Tarr | ||||||||||||||
President and Chief Executive Officer | ||||||||||||||
Date: | May 1, 2024 | |||||||||||||
By: | /s/ DOUGLAS E. COLTHARP | |||||||||||||
Douglas E. Coltharp | ||||||||||||||
Executive Vice President and | ||||||||||||||
Chief Financial Officer |
Date: | May 1, 2024 | |||||||||||||
By: | /s/ MARK J. TARR | |||||||||||||
Mark J. Tarr | ||||||||||||||
President and Chief Executive Officer | ||||||||||||||
Date: | May 1, 2024 | |||||||||||||
By: | /s/ DOUGLAS E. COLTHARP | |||||||||||||
Douglas E. Coltharp | ||||||||||||||
Executive Vice President and | ||||||||||||||
Chief Financial Officer |
Condensed Consolidated Balance Sheets - USD ($) $ in Millions |
Mar. 31, 2024 |
Dec. 31, 2023 |
||
---|---|---|---|---|
Current assets: | ||||
Cash and cash equivalents | $ 134.4 | $ 69.1 | ||
Restricted cash | 38.3 | 35.1 | ||
Accounts receivable | 619.3 | 611.6 | ||
Other current assets | 137.8 | 126.0 | ||
Total current assets | 929.8 | 841.8 | ||
Property and equipment, net | 3,370.3 | 3,301.0 | ||
Operating lease right-of-use assets | 199.1 | 208.5 | ||
Goodwill | 1,281.3 | 1,281.3 | ||
Intangible assets, net | 272.2 | 278.2 | ||
Other long-term assets | 178.7 | 191.6 | ||
Total assets | [1] | 6,231.4 | 6,102.4 | |
Current liabilities: | ||||
Current portion of long-term debt | 25.6 | 24.8 | ||
Current operating lease liabilities | 25.4 | 24.1 | ||
Accounts payable | 166.1 | 170.0 | ||
Accrued expenses and other current liabilities | 463.2 | 437.5 | ||
Total current liabilities | 680.3 | 656.4 | ||
Long-term debt, net of current portion | 2,682.6 | 2,687.8 | ||
Long-term operating lease liabilities | 185.8 | 196.1 | ||
Deferred income tax liabilities | 93.5 | 87.0 | ||
Other long-term liabilities | 185.8 | 177.9 | ||
Total liabilities | 3,828.0 | 3,805.2 | ||
Commitments and contingencies | ||||
Redeemable noncontrolling interests | 41.1 | 42.0 | ||
Shareholders’ equity: | ||||
Encompass Health shareholders’ equity | 1,741.9 | 1,647.5 | ||
Noncontrolling interests | 620.4 | 607.7 | ||
Total shareholders’ equity | 2,362.3 | 2,255.2 | ||
Total liabilities and shareholders' equity | [1] | $ 6,231.4 | $ 6,102.4 | |
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Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions |
Mar. 31, 2024 |
Dec. 31, 2023 |
||
---|---|---|---|---|
Assets | [1] | $ 6,231.4 | $ 6,102.4 | |
Liabilities | 3,828.0 | 3,805.2 | ||
VIE | ||||
Assets | 212.7 | 207.7 | ||
Liabilities | $ 42.7 | $ 42.2 | ||
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Condensed Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares |
3 Months Ended | |
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Mar. 31, 2024 |
Mar. 31, 2023 |
|
Statement of Stockholders' Equity [Abstract] | ||
Dividends declared on common stock (in dollars per share) | $ 0.15 | $ 0.15 |
Basis of Presentation |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Basis of Presentation | Basis of Presentation Encompass Health Corporation (the “Company” or “Encompass Health”), incorporated in Delaware in 1984, including its subsidiaries, is a provider of inpatient rehabilitation services. Our national network of inpatient rehabilitation hospitals stretches across 37 states and Puerto Rico, with concentrations of hospitals in Florida and Texas. As of March 31, 2024, we operate 160 inpatient rehabilitation hospitals. We are the sole owner of 98 of these hospitals. We retain 50.0% to 97.5% ownership in the remaining 62 jointly owned hospitals. The accompanying unaudited condensed consolidated financial statements of Encompass Health Corporation and Subsidiaries should be read in conjunction with the consolidated financial statements and accompanying notes contained in Encompass Health’s Annual Report on Form 10-K filed with the United States Securities and Exchange Commission on February 28, 2024 (the “2023 Form 10‑K”). The unaudited condensed consolidated financial statements have been prepared in accordance with the rules and regulations of the SEC applicable to interim financial information. Certain information and note disclosures included in financial statements prepared in accordance with generally accepted accounting principles in the United States of America have been omitted in these interim statements, as allowed by such SEC rules and regulations. The condensed consolidated balance sheet as of December 31, 2023 has been derived from audited financial statements, but it does not include all disclosures required by GAAP. However, we believe the disclosures are adequate to make the information presented not misleading. Certain prior year amounts may have been reclassified for comparative purposes to conform to the current-year financial statement presentation. The unaudited results of operations for the interim periods shown in these financial statements are not necessarily indicative of operating results for the entire year. In our opinion, the accompanying condensed consolidated financial statements recognize all adjustments of a normal recurring nature considered necessary to fairly state the financial position, results of operations, and cash flows for each interim period presented. Net Operating Revenues— Our Net operating revenues disaggregated by payor source are as follows (in millions):
See Note 1, Summary of Significant Accounting Policies, to the consolidated financial statements accompanying the 2023 Form 10-K for our policy related to Net operating revenues. Recently Adopted Accounting Pronouncements— In November 2023, the FASB issued ASU 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” which requires all public entities, including entities with a single reportable segment, to provide disclosure of (1) significant segment expenses that are regularly provided to the chief operating decision maker (“CODM”) and included within each reported measure of segment profit or loss, (2) the amount and description of the composition of other segment items which reconcile to segment profit or loss, and (3) the title and position of the entity’s CODM and an explanation of how the CODM uses the reported measure(s) of segment profit or loss in assessing segment performance and allocating resources. ASU 2023-07 is effective for our annual periods beginning January 1, 2024 and interim periods beginning January 1, 2025. Early adoption is permitted with retrospective application required for all prior periods presented in the financial statements. We are currently evaluating the requirements of this standard and any potential impact it may have on our condensed consolidated financial statements. In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures,” which intends to improve the transparency of income tax disclosures by requiring companies to (1) disclose consistent categories and greater disaggregation of information in the effective rate reconciliation and (2) provide information on income taxes paid disaggregated by jurisdiction. ASU 2023-09 is effective for our annual periods beginning January 1, 2025, with early adoption permitted. We are required to apply the guidance prospectively but have the option to apply it retrospectively. We are currently evaluating the requirements of this standard and any potential impact it may have on our condensed consolidated financial statements. We do not believe any other recently issued, but not yet effective, accounting standards will have a material effect on our condensed consolidated financial position, results of operations, or cash flows.
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Variable Interest Entities |
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Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Variable Interest Entities | Variable Interest Entities As of March 31, 2024 and December 31, 2023, we consolidated eight limited partnership-like entities that are variable interest entities (“VIEs”) and of which we are the primary beneficiary. Our ownership percentages in these entities range from 50.0% to 75.0% as of March 31, 2024. Through partnership and management agreements with or governing each of these entities, we manage all of these entities and handle all day-to-day operating decisions. Accordingly, we have the decision making power over the activities that most significantly impact the economic performance of our VIEs and an obligation to absorb losses or receive benefits from the VIE that could potentially be significant to the VIE. These decisions and significant activities include, but are not limited to, marketing efforts, oversight of patient admissions, medical training, nurse and therapist scheduling, provision of healthcare services, billing, collections, and creation and maintenance of medical records. The terms of the agreements governing each of our VIEs prohibit us from using the assets of each VIE to satisfy the obligations of other entities. The carrying amounts and classifications of the consolidated VIEs’ assets and liabilities, which are included in our condensed consolidated balance sheets, are as follows (in millions):
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Long-term Debt |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Long-term Debt | Long-term Debt Our long-term debt outstanding consists of the following (in millions):
The following chart shows scheduled principal payments due on long-term debt for the next five years and thereafter (in millions):
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Redeemable Noncontrolling Interests |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Noncontrolling Interest [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Redeemable Noncontrolling Interests | Redeemable Noncontrolling Interests The following is a summary of the activity related to our Redeemable noncontrolling interests (in millions):
The following table reconciles the net income attributable to nonredeemable Noncontrolling interests, as recorded in the shareholders’ equity section of the condensed consolidated balance sheets, and the net income attributable to Redeemable noncontrolling interests, as recorded in the mezzanine section of the condensed consolidated balance sheets, to the Net and comprehensive income attributable to noncontrolling interests presented in the condensed consolidated statements of comprehensive income (in millions):
See also Note 5, Fair Value Measurements.
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Fair Value Measurements |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Mar. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements Our financial assets and liabilities that are measured at fair value on a recurring basis are as follows (in millions):
(1) The three valuation techniques are: market approach (M), cost approach (C), and income approach (I). (2) As of March 31, 2024, $35.8 million are included in Other current assets and $77.2 million are included in Other long-term assets in the condensed consolidated balance sheet. As of December 31, 2023, $37.6 million are included in Other current assets and $88.6 million are included in Other long-term assets in the condensed consolidated balance sheet. There are assets and liabilities that are not required to be measured at fair value on a recurring basis. However, these assets may be recorded at fair value as a result of impairment charges or other adjustments made to the carrying value of the applicable assets. During the three months ended March 31, 2024 and 2023, we did not record any material gains or losses related to these assets. As discussed in Note 1, Summary of Significant Accounting Policies, “Fair Value Measurements,” to the consolidated financial statements accompanying the 2023 Form 10‑K, the carrying value equals fair value for our financial instruments that are not included in the table below and are classified as current in our condensed consolidated balance sheets. The carrying amounts and estimated fair values for all of our other financial instruments are presented in the following table (in millions):
Fair values for our long-term debt and financial commitments are determined using inputs, including quoted prices in nonactive markets, that are observable either directly or indirectly, or Level 2 inputs within the fair value hierarchy. See Note 1, Summary of Significant Accounting Policies, “Fair Value Measurements,” to the consolidated financial statements accompanying the 2023 Form 10‑K.
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Share-Based Payments |
3 Months Ended |
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Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Payments | Share-Based Payments During the three months ended March 31, 2024, we issued a total of 0.5 million restricted stock awards to members of our management team and our board of directors. Of the restricted stock awards issued to members of our management team, 0.2 million contain only a service condition, while the remainder contain a service and/or performance condition as well as a market condition for certain members of management. For the awards that include a performance and market condition, the number of shares that will ultimately be granted to employees may vary based on the Company’s performance during the applicable three-year performance measurement period and the applicable three-year market condition measurement period. Additionally, we granted 0.1 million stock options to members of our management team. The fair value of these awards and options was determined using the policies described in Note 1, Summary of Significant Accounting Policies, and Note 14, Share-Based Payments, to the consolidated financial statements accompanying the 2023 Form 10‑K.
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Income Taxes |
3 Months Ended |
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Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Our Provision for income tax expense of $38.3 million and $31.9 million for the three months ended March 31, 2024 and March 31, 2023, respectively, primarily resulted from the application of our estimated effective blended federal and state income tax rate.
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Earnings per Common Share |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings per Common Share | Earnings per Common Share The following table sets forth the computation of basic and diluted earnings per common share (in millions, except per share amounts):
The following table sets forth the reconciliation between basic weighted average common shares outstanding and diluted weighted average common shares outstanding (in millions):
See Note 17, Earnings per Common Share, to the consolidated financial statements accompanying the 2023 Form 10‑K for additional information related to our common stock.
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Contingencies and Other Commitments |
3 Months Ended |
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Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies and Other Commitments | Contingencies and Other Commitments We provide services in the highly regulated healthcare industry. Furthermore, operating inpatient rehabilitation hospitals requires significant staffing and involves intensive therapy for individuals suffering from significant physical or cognitive disabilities or injuries. As a result, various lawsuits, claims, and legal and regulatory proceedings have been and can be expected to be instituted or asserted against us. The resolution of any such lawsuits, claims, or legal and regulatory proceedings could materially and adversely affect our financial position, results of operations, and cash flows in a given period. Other Matters— The False Claims Act allows private citizens, called “relators,” to institute civil proceedings on behalf of the United States alleging violations of the False Claims Act. These lawsuits, also known as “whistleblower” or “qui tam” actions, can involve significant monetary damages, fines, attorneys’ fees and the award of bounties to the relators who successfully prosecute or bring these suits to the government. Qui tam cases are sealed at the time of filing, which means knowledge of the information contained in the complaint typically is limited to the relator, the federal government, and the presiding court. The defendant in a qui tam action may remain unaware of the existence of a sealed complaint or its specific claims for years. While the complaint is under seal, the government reviews the merits of the case and may conduct a broad investigation and seek discovery from the defendant and other parties before deciding whether to intervene in the case and take the lead on litigating the claims. The court lifts the seal when the government makes its decision on whether to intervene. If the government decides not to intervene, the relator may elect to continue to pursue the lawsuit individually on behalf of the government. It is possible that qui tam lawsuits have been filed against us, which suits remain under seal, or that we are unaware of such filings or precluded by existing law or court order from discussing or disclosing the filing of such suits. We may be subject to liability under one or more undisclosed qui tam cases brought pursuant to the False Claims Act. It is our obligation as a participant in Medicare and other federal healthcare programs to routinely conduct audits and reviews of the accuracy of our billing systems and other regulatory compliance matters. As a result of these reviews, we have made, and will continue to make, disclosures to the United States Department of Health and Human Services Office of Inspector General and the Centers for Medicare & Medicaid Services relating to amounts we suspect represent over-payments from these programs, whether due to inaccurate billing or otherwise. Some of these disclosures have resulted in, and may in the future result in, Encompass Health refunding amounts to Medicare or other federal healthcare programs. Other Commitments— We are a party to service and other contracts in connection with conducting our business. Minimum amounts due under these agreements are $43.1 million for the remainder of 2024, $33.2 million in 2025, $24.7 million in 2026, $23.3 million in 2027, $21.9 million in 2028, and $62.3 million thereafter. These contracts primarily relate to software licensing and support and contract services.
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Pay vs Performance Disclosure - USD ($) $ in Millions |
3 Months Ended | |
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Mar. 31, 2024 |
Mar. 31, 2023 |
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Pay vs Performance Disclosure | ||
Net Income (Loss) | $ 112.5 | $ 87.7 |
Insider Trading Arrangements |
3 Months Ended |
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Mar. 31, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Basis of Presentation (Policies) |
3 Months Ended |
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Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements— In November 2023, the FASB issued ASU 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” which requires all public entities, including entities with a single reportable segment, to provide disclosure of (1) significant segment expenses that are regularly provided to the chief operating decision maker (“CODM”) and included within each reported measure of segment profit or loss, (2) the amount and description of the composition of other segment items which reconcile to segment profit or loss, and (3) the title and position of the entity’s CODM and an explanation of how the CODM uses the reported measure(s) of segment profit or loss in assessing segment performance and allocating resources. ASU 2023-07 is effective for our annual periods beginning January 1, 2024 and interim periods beginning January 1, 2025. Early adoption is permitted with retrospective application required for all prior periods presented in the financial statements. We are currently evaluating the requirements of this standard and any potential impact it may have on our condensed consolidated financial statements. In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures,” which intends to improve the transparency of income tax disclosures by requiring companies to (1) disclose consistent categories and greater disaggregation of information in the effective rate reconciliation and (2) provide information on income taxes paid disaggregated by jurisdiction. ASU 2023-09 is effective for our annual periods beginning January 1, 2025, with early adoption permitted. We are required to apply the guidance prospectively but have the option to apply it retrospectively. We are currently evaluating the requirements of this standard and any potential impact it may have on our condensed consolidated financial statements. We do not believe any other recently issued, but not yet effective, accounting standards will have a material effect on our condensed consolidated financial position, results of operations, or cash flows.
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Basis of Presentation (Tables) |
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Mar. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Concentration of Net Operating Revenues by Payor | Our Net operating revenues disaggregated by payor source are as follows (in millions):
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Variable Interest Entities (Tables) |
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Mar. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Carrying Amounts and Classifications of VIE's Assets and Liabilities | The carrying amounts and classifications of the consolidated VIEs’ assets and liabilities, which are included in our condensed consolidated balance sheets, are as follows (in millions):
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Long-term Debt (Tables) |
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Mar. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Outstanding Long-term Debt | Our long-term debt outstanding consists of the following (in millions):
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Schedule of Debt Maturities | The following chart shows scheduled principal payments due on long-term debt for the next five years and thereafter (in millions):
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Redeemable Noncontrolling Interests (Tables) |
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Mar. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncontrolling Interest [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Redeemable Noncontrolling Interests Activity | The following is a summary of the activity related to our Redeemable noncontrolling interests (in millions):
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Schedule of Reconciliation of Noncontrolling Interests | The following table reconciles the net income attributable to nonredeemable Noncontrolling interests, as recorded in the shareholders’ equity section of the condensed consolidated balance sheets, and the net income attributable to Redeemable noncontrolling interests, as recorded in the mezzanine section of the condensed consolidated balance sheets, to the Net and comprehensive income attributable to noncontrolling interests presented in the condensed consolidated statements of comprehensive income (in millions):
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Fair Value Measurements (Tables) |
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Mar. 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on a Recurring Basis | Our financial assets and liabilities that are measured at fair value on a recurring basis are as follows (in millions):
(1) The three valuation techniques are: market approach (M), cost approach (C), and income approach (I). (2) As of March 31, 2024, $35.8 million are included in Other current assets and $77.2 million are included in Other long-term assets in the condensed consolidated balance sheet. As of December 31, 2023, $37.6 million are included in Other current assets and $88.6 million are included in Other long-term assets in the condensed consolidated balance sheet.
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Schedule of Carrying Amounts and Estimated Fair Values, Financial Instruments | The carrying amounts and estimated fair values for all of our other financial instruments are presented in the following table (in millions):
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Earnings per Common Share (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Computation of Basic and Diluted Earnings Per Common Share | The following table sets forth the computation of basic and diluted earnings per common share (in millions, except per share amounts):
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Schedule of Reconciliation of Weighted Average Number of Shares Outstanding | The following table sets forth the reconciliation between basic weighted average common shares outstanding and diluted weighted average common shares outstanding (in millions):
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Basis of Presentation - Additional Information (Details) |
Mar. 31, 2024
hospital
state
|
---|---|
Class of Stock [Line Items] | |
Number of states in which entity operates | state | 37 |
Number of inpatient rehabilitation hospitals operated | 160 |
Number of solely owned inpatient rehabilitation hospitals | 98 |
Number of jointly owned inpatient rehabilitation hospitals | 62 |
Minimum | |
Class of Stock [Line Items] | |
Joint venture ownership percentage | 50.00% |
Maximum | |
Class of Stock [Line Items] | |
Joint venture ownership percentage | 97.50% |
Basis of Presentation - Net Operating Revenues (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Mar. 31, 2024 |
Mar. 31, 2023 |
|
Disaggregation of Revenue [Line Items] | ||
Net operating revenues | $ 1,316.0 | $ 1,160.4 |
Medicare | ||
Disaggregation of Revenue [Line Items] | ||
Net operating revenues | 854.1 | 757.7 |
Medicare Advantage | ||
Disaggregation of Revenue [Line Items] | ||
Net operating revenues | 223.8 | 186.2 |
Managed care | ||
Disaggregation of Revenue [Line Items] | ||
Net operating revenues | 142.8 | 127.1 |
Medicaid | ||
Disaggregation of Revenue [Line Items] | ||
Net operating revenues | 44.8 | 47.4 |
Other third-party payors | ||
Disaggregation of Revenue [Line Items] | ||
Net operating revenues | 9.5 | 10.9 |
Workers’ compensation | ||
Disaggregation of Revenue [Line Items] | ||
Net operating revenues | 7.0 | 5.7 |
Patients | ||
Disaggregation of Revenue [Line Items] | ||
Net operating revenues | 3.9 | 2.7 |
Other income | ||
Disaggregation of Revenue [Line Items] | ||
Net operating revenues | $ 30.1 | $ 22.7 |
Variable Interest Entities - Additional Information (Details) - VIE - entity |
3 Months Ended | 12 Months Ended |
---|---|---|
Mar. 31, 2024 |
Dec. 31, 2023 |
|
Variable Interest Entity [Line Items] | ||
Number of consolidated limited partnership-like entities | 8 | 8 |
Minimum | ||
Variable Interest Entity [Line Items] | ||
Ownership interest in consolidated entities (as percent) | 50.00% | |
Maximum | ||
Variable Interest Entity [Line Items] | ||
Ownership interest in consolidated entities (as percent) | 75.00% |
Variable Interest Entities - Schedule of Carrying Amounts and Classifications of VIE's Assets and Liabilities (Details) - USD ($) $ in Millions |
Mar. 31, 2024 |
Dec. 31, 2023 |
Mar. 31, 2023 |
Dec. 31, 2022 |
||
---|---|---|---|---|---|---|
Current assets: | ||||||
Cash and cash equivalents | $ 134.4 | $ 69.1 | $ 85.0 | $ 21.8 | ||
Accounts receivable | 619.3 | 611.6 | ||||
Other current assets | 137.8 | 126.0 | ||||
Total current assets | 929.8 | 841.8 | ||||
Property and equipment, net | 3,370.3 | 3,301.0 | ||||
Operating lease right-of-use assets | 199.1 | 208.5 | ||||
Goodwill | 1,281.3 | 1,281.3 | ||||
Intangible assets, net | 272.2 | 278.2 | ||||
Other long-term assets | 178.7 | 191.6 | ||||
Total assets | [1] | 6,231.4 | 6,102.4 | |||
Current liabilities: | ||||||
Current portion of long-term debt | 25.6 | 24.8 | ||||
Accounts payable | 166.1 | 170.0 | ||||
Accrued expenses and other current liabilities | 463.2 | 437.5 | ||||
Total current liabilities | 680.3 | 656.4 | ||||
Long-term debt, net of current portion | 2,682.6 | 2,687.8 | ||||
Long-term operating lease liabilities | 185.8 | 196.1 | ||||
Total liabilities | 3,828.0 | 3,805.2 | ||||
VIE | ||||||
Current assets: | ||||||
Cash and cash equivalents | 0.7 | 0.2 | ||||
Accounts receivable | 35.4 | 36.7 | ||||
Other current assets | 7.0 | 5.0 | ||||
Total current assets | 43.1 | 41.9 | ||||
Property and equipment, net | 132.6 | 128.8 | ||||
Operating lease right-of-use assets | 1.4 | 1.4 | ||||
Goodwill | 15.9 | 15.9 | ||||
Intangible assets, net | 1.1 | 1.2 | ||||
Other long-term assets | 18.6 | 18.5 | ||||
Total assets | 212.7 | 207.7 | ||||
Current liabilities: | ||||||
Current portion of long-term debt | 0.9 | 0.9 | ||||
Accounts payable | 9.3 | 7.6 | ||||
Accrued expenses and other current liabilities | 17.7 | 18.7 | ||||
Total current liabilities | 27.9 | 27.2 | ||||
Long-term debt, net of current portion | 13.4 | 13.6 | ||||
Long-term operating lease liabilities | 1.4 | 1.4 | ||||
Total liabilities | $ 42.7 | $ 42.2 | ||||
|
Long-term Debt - Principal Payments Due on Long-term Debt (Details) $ in Millions |
Mar. 31, 2024
USD ($)
|
---|---|
Face Amount | |
Long-term Debt by Maturity | |
April 1 through December 31, 2024 | $ 19.0 |
2025 | 381.4 |
2026 | 29.2 |
2027 | 43.2 |
2028 | 831.7 |
2029 | 40.5 |
Thereafter | 1,404.8 |
Total | 2,749.8 |
Net Amount | |
Long-term Debt by Maturity | |
April 1 through December 31, 2024 | 19.0 |
2025 | 380.2 |
2026 | 29.2 |
2027 | 43.2 |
2028 | 817.6 |
2029 | 40.5 |
Thereafter | 1,378.5 |
Total | $ 2,708.2 |
Redeemable Noncontrolling Interests - Redeemable Noncontrolling Interests Activity (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Mar. 31, 2024 |
Mar. 31, 2023 |
|
Redeemable Noncontrolling Interest, Equity, Carrying Amount [Roll Forward] | ||
Balance at beginning of period | $ 42.0 | |
Net income attributable to noncontrolling interests | 1.5 | $ 2.1 |
Distributions declared | (30.5) | (31.2) |
Balance at end of period | 41.1 | |
Redeemable Noncontrolling Interest | ||
Redeemable Noncontrolling Interest, Equity, Carrying Amount [Roll Forward] | ||
Balance at beginning of period | 42.0 | 35.6 |
Net income attributable to noncontrolling interests | 1.5 | 2.1 |
Distributions declared | (2.4) | (0.2) |
Balance at end of period | $ 41.1 | $ 37.5 |
Redeemable Noncontrolling Interests - Reconciliation of Noncontrolling Interests (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Mar. 31, 2024 |
Mar. 31, 2023 |
|
Noncontrolling Interest [Abstract] | ||
Net income attributable to nonredeemable noncontrolling interests | $ 24.8 | $ 23.5 |
Net income attributable to redeemable noncontrolling interests | 1.5 | 2.1 |
Net income attributable to noncontrolling interests | $ 26.3 | $ 25.6 |
Fair Value Measurements - Additional Information (Details) $ in Millions |
3 Months Ended |
---|---|
Mar. 31, 2024
USD ($)
| |
Nonrecurring | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Gains or losses related to non-financial assets and liabilities | $ 0.0 |
Income Taxes (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Mar. 31, 2024 |
Mar. 31, 2023 |
|
Income Tax Disclosure [Abstract] | ||
Provision for income taxes | $ 38.3 | $ 31.9 |
Earnings per Common Share - Reconciliation of Weighted Average Number of Shares Outstanding (Details) - shares shares in Millions |
3 Months Ended | |
---|---|---|
Mar. 31, 2024 |
Mar. 31, 2023 |
|
Earnings Per Share [Abstract] | ||
Basic weighted average common shares outstanding (in shares) | 99.8 | 99.4 |
Restricted stock awards, dilutive stock options, and restricted stock units (in shares) | 2.4 | 1.5 |
Diluted weighted average common shares outstanding (in shares) | 102.2 | 100.9 |
Contingencies and Other Commitments (Details) $ in Millions |
Mar. 31, 2024
USD ($)
|
---|---|
Commitments and Contingencies Disclosure [Abstract] | |
Remainder of 2024 | $ 43.1 |
2025 | 33.2 |
2026 | 24.7 |
2027 | 23.3 |
2028 | 21.9 |
Thereafter | $ 62.3 |
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