{"id":701468,"date":"2022-10-26T17:39:50","date_gmt":"2022-10-26T21:39:50","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/encompass-health-reports-results-for-third-quarter-2022\/"},"modified":"2022-10-26T17:39:50","modified_gmt":"2022-10-26T21:39:50","slug":"encompass-health-reports-results-for-third-quarter-2022","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/encompass-health-reports-results-for-third-quarter-2022\/","title":{"rendered":"Encompass Health reports results for third quarter 2022"},"content":{"rendered":"
\n

PR Newswire<\/p>\n<\/p><\/div>\n

\n

\n BIRMINGHAM, Ala.\u00a0<\/span>, Oct. 26, 2022<\/span><\/span> \/PRNewswire\/ — Encompass Health Corporation (NYSE: EHC), the largest owner and operator of inpatient rehabilitation hospitals in the United States<\/span>, today reported its results of operations for the third quarter ended September 30, 2022<\/span>.<\/p>\n

\n

\n
\n \"(PRNewsfoto\/Encompass
\n <\/a>\n <\/p>\n<\/p><\/div>\n

“Our third quarter results are further evidence of the strong demand for our inpatient rehabilitation services,” said President and Chief Executive Officer of Encompass Health Mark Tarr. “Third quarter discharge growth was 7.5%, inclusive of 4.1% same-store growth. We made continued progress on reducing contract labor through our hiring and retention initiatives, but elevated staffing costs again impacted our profitability. Consequently, we have revised our 2022 guidance. We remain confident in the long-term prospects for our business.”\u00a0<\/p>\n

On July 1, 2022<\/span>, Encompass Health completed the spin off of Enhabit Home Health & Hospice (“Enhabit”), which is now an independent, publicly traded company. Enhabit’s historical results are reported in Encompass Health’s discontinued operations.\u00a0\u00a0\u00a0<\/p>\n

\n Summary results<\/b>\n <\/p>\n

\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n
\n Growth<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n \n <\/td>\n\n

\n
\n Q3 2022<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n Q3 2021<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n Dollars<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n Percent<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n \n <\/td>\n\n

\n (In Millions, Except Per Share Data)<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Net operating revenue<\/span>\n <\/p>\n<\/td>\n

\n

\n $\u00a0\u00a0\u00a0\u00a0\u00a0 1,089.5<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $\u00a0\u00a0\u00a0\u00a0\u00a0 1,010.8<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 78.7<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 7.8\u00a0%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Income from continuing operations attributable to
Encompass Health per diluted share<\/span>\n <\/p>\n<\/td>\n

\n

\n 0.63<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 0.76<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (0.13)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (17.1)\u00a0%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Adjusted earnings per share<\/span>\n <\/p>\n<\/td>\n

\n

\n 0.67<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 0.76<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (0.09)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (11.8)\u00a0%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Cash flows provided by operating activities<\/span>\n <\/p>\n<\/td>\n

\n

\n 70.1<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 177.6<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (107.5)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (60.5)\u00a0%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Adjusted EBITDA<\/span>\n <\/p>\n<\/td>\n

\n

\n 195.3<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 199.3<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (4.0)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (2.0)\u00a0%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Adjusted free cash flow<\/span>\n <\/p>\n<\/td>\n

\n

\n 26.6<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 87.7<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (61.1)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (69.7)\u00a0%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n \n <\/td>\n\n

\n
\n Nine Months Ended September 30,<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n

\n
\n 2022<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 2021<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n Cash flows provided by operating activities<\/span>\n <\/p>\n<\/td>\n

\n

\n $\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 533.6<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 592.0<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $\u00a0\u00a0\u00a0\u00a0\u00a0 (58.4)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (9.9)\u00a0%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Adjusted free cash flow<\/span>\n <\/p>\n<\/td>\n

\n

\n 294.1<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 302.0<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (7.9)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (2.6)\u00a0%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n<\/table><\/div>\n

See attached supplemental information for calculations of non-GAAP measures and reconciliations to their most comparable GAAP measure.<\/p>\n

\u00a0<\/p>\n

\n Net operating revenue and Adjusted EBITDA<\/b>\n <\/p>\n

\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n
\n % of Revenue<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n
\n % of Revenue<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n (In Millions)<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n Q3 2022<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n
\n Q3 2021<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n
\n Net operating revenue<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n $\u00a0 1,089.5<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n $\u00a0\u00a0\u00a0 1,010.8<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n % Change<\/span>\n <\/p>\n<\/td>\n

\n

\n 7.8\u00a0%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n Salaries and benefits<\/span>\n <\/p>\n<\/td>\n

\n

\n (605.6)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (55.6)\u00a0%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (537.0)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (53.1)\u00a0%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n Hospital operating expenses <\/span>\n <\/p>\n<\/td>\n

\n

\n (236.6)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (21.7)\u00a0%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (217.6)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (21.5)\u00a0%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n General and administrative expenses<\/span>\n <\/p>\n<\/td>\n

\n

\n (32.0)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (2.9)\u00a0%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (32.2)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n (3.2)\u00a0%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n Other income<\/span>\n <\/p>\n<\/td>\n

\n

\n 0.9<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n 0.7<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n Equity in nonconsolidated affiliates<\/span>\n <\/p>\n<\/td>\n

\n

\n 0.7<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n 0.9<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n Noncontrolling interests in continuing operations<\/span>\n <\/p>\n<\/td>\n

\n

\n (21.6)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n (26.3)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n
\n Adjusted EBITDA<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n $\u00a0\u00a0\u00a0\u00a0\u00a0 195.3<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n $\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 199.3<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n % Change<\/span>\n <\/p>\n<\/td>\n

\n

\n (2.0)\u00a0%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n (Actual Amounts)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n
\n Discharges<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n 53,743<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n 49,983<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n % Change<\/span>\n <\/p>\n<\/td>\n

\n

\n 7.5\u00a0%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n Same-store discharge growth<\/span>\n <\/p>\n<\/td>\n

\n

\n 4.1\u00a0%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n
\n Net patient revenue per discharge<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n $\u00a0\u00a0\u00a0 19,809<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n

\n $\u00a0\u00a0\u00a0\u00a0\u00a0 19,681<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n % Change<\/span>\n <\/p>\n<\/td>\n

\n

\n 0.7\u00a0%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n<\/table><\/div>\n