[July 29, 2016] |
|
Acadia Healthcare Reports Second Quarter GAAP EPS of $0.65 and Adjusted EPS of $0.73, up 28.1%
Acadia Healthcare Company, Inc. (NASDAQ: ACHC) today announced financial
results for the second quarter and six months ended June 30, 2016.
Revenue for the quarter increased 66.8% to $756.5 million from $453.7
million for the second quarter of 2015. Income from continuing
operations attributable to Acadia stockholders was $56.4 million, or
$0.65 per diluted share, compared with $33.8 million, or $0.49 per
diluted share, for the second quarter of 2015. Adjusted income from
continuing operations attributable to Acadia stockholders grew 60.0% to
$63.2 million for the second quarter of 2016 from $39.5 million for the
second quarter of 2015, and adjusted EPS increased 28.1% to $0.73 from
$0.57. Weighted average diluted shares outstanding increased 26.4% for
the second quarter of 2016 from the second quarter of 2015, primarily
due to the issuance of common stock in May 2015, the net proceeds of
which were primarily used to fund acquisitions, and in January and
February 2016 related to the acquisition of Priory Group. A
reconciliation of all non-GAAP financial results in this release appears
on pages 8 and 9.
For the first six months of 2016, revenue was $1.4 billion, an increase
of 67.6% from $819.4 million for the first six months of 2015. Income
from continuing operations attributable to Acadia stockholders was $82.1
million, or $0.97 per diluted share, compared with $48.4 million, or
$0.74 per diluted share, for the first six months of 2015. Adjusted
income from continuing operations attributable to Acadia stockholders
was $109.0 million for the first half of 2016, an increase of 63.7% from
$66.6 million for the same period of 2015, and adjusted EPS increased
26.7% to $1.28 from $1.01. Weighted average diluted shares outstanding
increased 29.3% for the first six months of 2016 from the first six
months of 2015.
"Acadia continued its strong earnings momentum in the second quarter,
with 28.1% growth in adjusted EPS on a 26.4% increase in shares
outstanding," commented Joey Jacobs, Chairman and Chief Executive
Officer of Acadia. "This growth reflected a substantial increase in our
beds during the last 12 months, primarily due to the completion of the
Priory Group acquisition in the first quarter of 2016, which brought
Acadia approximately 7,100 beds in 324 inpatient facilities. In total,
we added approximately 8,800 beds and 369 inpatient behavioral
healthcare facilities during this 12-month period. Approximately 680 of
these beds were additions to existing facilities and 260 were added
through three de novo acute inpatient facilities.
"During the second quarter, we added 125 new beds to existing facilities
in the U.S. and U.K. and 60 beds through opening one de novo facility.
We also completed three acquisitions with approximately 240 aggregate
beds. The acquisitions included Trust Point Hospital, a 100-bed acute
inpatient psychiatric facility in Murfreesboro, Tennessee, and two
addiction treatment residential facilities: the 108-bed Pocono Mountain
Recovery Center in Henryville, Pennsylvania, and 30-bed Serenity Knolls
in Forrest Knolls, California. In addition, we added two comprehensive
treatment centers during the quarter, one acquisition and one de novo.
We continue to believe that the growth in our beds positions Acadia well
to produce further significant profitable growth in 2016 and beyond."
In addition to the impact of acquisitions, the Company's revenue growth
for the second quarter of 2016 reflected an increase in same facility
revenue of 8.1% compared with the second quarter of 2015. Contributing
to this increase, patient days expanded 7.7% for the quarter and revenue
per patient day increased 0.4%. This increase was primarily due to new
beds added to facilities in the same facility base, complemented by
continuing initiatives at our facilities to grow their revenue. The
operating leverage created by this revenue growth drove a 70 basis point
improvement in consolidated same facility EBITDA margin to 28.1% versus
27.4% for the second quarter last year. Acadia's consolidated adjusted
EBITDA rose 62.8% to $172.2 million for the second quarter from $105.8
million for the same quarter last year, with consolidated adjusted
EBITDA margin of 22.8% and 23.3%, respectively.
Acadia completed the second quarter of 2016 with $30.7 million in cash
and cash equivalents. Net cash provided by continuing operations
increased 74.6% for the second quarter to $126.5 million compared with
the second quarter of 2015. At the end of the second quarter, the
Company had significant availability under its $300 million revolving
credit facility and its leverage ratio at June 30, 2016 was
approximately 5.3.
Yesterday, the Competition and Markets Authority ("CMA") in the U.K.
announced that it is considering Acadia's undertakings to address the
CMA's concerns about competition in the provision of behavioral
healthcare services in certain markets related to Acadia's acquisition
of Priory Group. As a result, and in lieu of a phase 2 investigation,
Acadia intends to sell 19 of its U.K. healthcare facilities with
approximately 750 beds. These facilities produced aggregate annual
revenues of approximately $132 million and adjusted EBITDA of $39
million, before any overhead allocation and assuming an exchange rate of
$1.30 per British Pound Sterling.
Acadia today updated its guidance for 2016 adjusted earnings per diluted
share to $2.63 to $2.65, primarily as a result of the recent decline in
the U.S. Dollar/British Pound Sterling exchange rate, as well as the
delay in realizing cost synergies from the Priory Group transaction
until the undertakings are approved and accepted by the CMA. Acadia's
guidance assumes an exchange rate of $1.30 per British Pound Sterling
for the second half of 2016 and a tax rate of 23%. The Company's
guidance does not include any cost synergies in 2016 from the Priory
Group transaction, the impact of any future acquisitions or
transaction-related expenses.
Acadia will hold a conference call to discuss its second quarter
financial results at 11:00 a.m. Eastern Time on Friday, July 29, 2016. A
live webcast of the conference call will be available at www.acadiahealthcare.com
in the "Investors" section of the website. The webcast of the conference
call will be available through August 12, 2016.
Risk Factors
This news release contains forward-looking statements. Generally words
such as "may," "will," "should," "could," "anticipate," "expect,"
"intend," "estimate," "plan," "continue," and "believe" or the negative
of or other variation on these and other similar expressions identify
forward-looking statements. These forward-looking statements are made
only as of the date of this news release. We do not undertake to update
or revise the forward-looking statements, whether as a result of new
information, future events or otherwise. Forward-looking statements are
based on current expectations and involve risks and uncertainties and
our future results could differ significantly from those expressed or
implied by our forward-looking statements. Factors that may cause actual
results to differ materially include, without limitation, (i) the CMA's
acceptance of our undertakings to address its concerns relating to the
Priory transaction, (ii) our ability to divest Priory facilities and
fulfill our undertakings to the CMA on acceptable terms and within
expected timeframes; (iii) potential difficulties operating our business
in light of political and economic instability in the U.K. and globally
following the referendum in the U.K. on June 23, 2016, in which voters
approved an exit from the European Union, or Brexit; (iv) the impact of
fluctuations in foreign exchange rates, including the recent devaluation
of the GBP relative to the USD following the Brexit vote; (v) Acadia's
ability to complete acquisitions and successfully integrate the
operations of acquired facilities, including Priory facilities; (vi)
Acadia's ability to add beds, expand services, enhance marketing
programs and improve efficiencies at its facilities; (vii) potential
reductions in payments received by Acadia from government and
third-party payors; (viii) the occurrence of patient incidents, which
could adversely affect the price of our common stock and result in
incremental regulatory burdens and governmental investigations; (ix) the
risk that Acadia may not generate sufficient cash from operations to
service its debt and meet its working capital and capital expenditure
requirements; and (x) potential operating difficulties, client
preferences, changes in competition and general economic or industry
conditions that may prevent Acadia from realizing the expected benefits
of its business strategy. These factors and others are more fully
described in Acadia's periodic reports and other filings with the SEC.
About Acadia
Acadia is a provider of inpatient behavioral healthcare services. Acadia
operates a network of 591 behavioral healthcare facilities with
approximately 17,800 beds in 39 states, the United Kingdom and Puerto
Rico. Acadia provides behavioral health and addiction services to its
patients in a variety of settings, including inpatient psychiatric
hospitals, residential treatment centers, outpatient clinics and
therapeutic school-based programs.
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|
|
|
|
|
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Acadia Healthcare Company, Inc.
|
Condensed Consolidated Statements of Income
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
|
|
|
|
2016
|
|
|
|
|
2015
|
|
|
|
|
2016
|
|
|
|
|
2015
|
|
|
|
|
(In thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue before provision for doubtful accounts
|
|
|
$
|
767,054
|
|
|
|
$
|
461,798
|
|
|
|
$
|
1,394,237
|
|
|
|
$
|
835,956
|
|
Provision for doubtful accounts
|
|
|
|
(10,506
|
)
|
|
|
|
(8,138
|
)
|
|
|
|
(20,876
|
)
|
|
|
|
(16,513
|
)
|
Revenue
|
|
|
|
756,548
|
|
|
|
|
453,660
|
|
|
|
|
1,373,361
|
|
|
|
|
819,443
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries, wages and benefits (including equity-based compensation
expense of $6,888, $5,355, $13,844 and $9,249, respectively)
|
|
|
|
408,287
|
|
|
|
|
243,302
|
|
|
|
|
749,315
|
|
|
|
|
449,173
|
|
Professional fees
|
|
|
|
50,292
|
|
|
|
|
30,029
|
|
|
|
|
90,283
|
|
|
|
|
52,456
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|
Supplies
|
|
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|
31,209
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|
|
|
|
20,542
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|
|
|
|
57,894
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|
|
|
|
36,796
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|
Rents and leases
|
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|
20,467
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|
|
|
|
8,211
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|
|
|
|
35,273
|
|
|
|
|
14,097
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|
Other operating expenses
|
|
|
|
80,955
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|
|
|
|
51,128
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|
|
|
|
151,202
|
|
|
|
|
91,655
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|
Depreciation and amortization
|
|
|
|
36,752
|
|
|
|
|
14,926
|
|
|
|
|
64,727
|
|
|
|
|
28,030
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|
Interest expense, net
|
|
|
|
48,758
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|
|
28,049
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|
|
|
|
86,472
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|
|
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|
50,195
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(Gain) loss on foreign currency derivatives
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(98
|
)
|
|
|
|
961
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|
|
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|
(508
|
)
|
|
|
|
908
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|
Transaction-related expenses
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|
|
6,074
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|
|
|
|
7,157
|
|
|
|
|
32,372
|
|
|
|
|
25,573
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|
Total expenses
|
|
|
|
682,696
|
|
|
|
|
404,305
|
|
|
|
|
1,267,030
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|
|
|
|
748,883
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Income from continuing operations before income taxes
|
|
|
|
73,852
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|
|
|
|
49,355
|
|
|
|
|
106,331
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|
|
|
|
70,560
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|
Provision for income taxes
|
|
|
|
18,261
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|
|
|
|
15,512
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|
|
|
|
25,371
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|
|
|
|
22,125
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|
Income from continuing operations
|
|
|
|
55,591
|
|
|
|
|
33,843
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|
|
|
|
80,960
|
|
|
|
|
48,435
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|
Income from discontinued operations, net of income taxes
|
|
|
|
-
|
|
|
|
|
1
|
|
|
|
|
-
|
|
|
|
|
3
|
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Net income
|
|
|
|
55,591
|
|
|
|
|
33,844
|
|
|
|
|
80,960
|
|
|
|
|
48,438
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|
Net loss attributable to noncontrolling interests
|
|
|
|
854
|
|
|
|
|
-
|
|
|
|
|
1,173
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|
|
|
|
-
|
|
Net income attributable to Acadia Healthcare Company, Inc.
|
|
|
$
|
56,445
|
|
|
|
$
|
33,844
|
|
|
|
$
|
82,133
|
|
|
|
$
|
48,438
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings attributable to Acadia Healthcare Company, Inc.
stockholders:
|
|
|
|
|
|
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Income from continuing operations
|
|
|
$
|
0.65
|
|
|
|
$
|
0.50
|
|
|
|
$
|
0.97
|
|
|
|
$
|
0.74
|
|
Income from discontinued operations
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
-
|
|
Net income
|
|
|
$
|
0.65
|
|
|
|
$
|
0.50
|
|
|
|
$
|
0.97
|
|
|
|
$
|
0.74
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings attributable to Acadia Healthcare Company, Inc.
stockholders:
|
|
|
|
|
|
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|
|
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|
Income from continuing operations
|
|
|
$
|
0.65
|
|
|
|
$
|
0.49
|
|
|
|
$
|
0.97
|
|
|
|
$
|
0.74
|
|
Income from discontinued operations
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
-
|
|
Net income
|
|
|
$
|
0.65
|
|
|
|
$
|
0.49
|
|
|
|
$
|
0.97
|
|
|
|
$
|
0.74
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average shares outstanding:
|
|
|
|
|
|
|
|
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|
Basic
|
|
|
|
86,553
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|
|
|
|
68,296
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|
|
|
|
84,748
|
|
|
|
|
65,429
|
|
Diluted
|
|
|
|
86,876
|
|
|
|
|
68,735
|
|
|
|
|
85,052
|
|
|
|
|
65,782
|
|
|
|
|
|
|
|
|
Acadia Healthcare Company, Inc.
|
Condensed Consolidated Balance Sheets
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30,
2016
|
|
|
December 31,
2015
|
|
|
|
(In thousands)
|
|
|
|
|
|
|
|
ASSETS
|
Current assets:
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
$
|
30,716
|
|
|
|
$
|
11,215
|
|
Accounts receivable, net of allowance for doubtful accounts of
$36,246 and $29,332, respectively
|
|
|
|
285,132
|
|
|
|
|
216,626
|
|
Other current assets
|
|
|
|
76,519
|
|
|
|
|
66,895
|
|
Total current assets
|
|
|
|
392,367
|
|
|
|
|
294,736
|
|
Property and equipment, net
|
|
|
|
3,274,540
|
|
|
|
|
1,709,053
|
|
Goodwill
|
|
|
|
2,832,201
|
|
|
|
|
2,128,215
|
|
Intangible assets, net
|
|
|
|
84,996
|
|
|
|
|
59,575
|
|
Deferred tax assets - noncurrent
|
|
|
|
17,929
|
|
|
|
|
49,114
|
|
Derivative instruments
|
|
|
|
40,459
|
|
|
|
|
-
|
|
Other assets
|
|
|
|
42,007
|
|
|
|
|
38,515
|
|
Total assets
|
|
|
$
|
6,684,499
|
|
|
|
$
|
4,279,208
|
|
|
|
|
|
|
|
|
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|
|
|
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|
LIABILITIES AND EQUITY
|
Current liabilities:
|
|
|
|
|
|
|
Current portion of long-term debt
|
|
|
$
|
73,410
|
|
|
|
$
|
45,360
|
|
Accounts payable
|
|
|
|
108,211
|
|
|
|
|
91,341
|
|
Accrued salaries and benefits
|
|
|
|
113,392
|
|
|
|
|
80,696
|
|
Other accrued liabilities
|
|
|
|
124,788
|
|
|
|
|
72,806
|
|
Total current liabilities
|
|
|
|
419,801
|
|
|
|
|
290,203
|
|
Long-term debt
|
|
|
|
3,578,383
|
|
|
|
|
2,195,384
|
|
Deferred tax liabilities - noncurrent
|
|
|
|
85,526
|
|
|
|
|
23,936
|
|
Other liabilities
|
|
|
|
151,628
|
|
|
|
|
78,602
|
|
Total liabilities
|
|
|
|
4,235,338
|
|
|
|
|
2,588,125
|
|
Redeemable noncontrolling interests
|
|
|
|
12,881
|
|
|
|
|
8,055
|
|
Equity:
|
|
|
|
|
Common stock
|
|
|
|
865
|
|
|
|
|
707
|
|
Additional paid-in capital
|
|
|
|
2,481,897
|
|
|
|
|
1,572,972
|
|
Accumulated other comprehensive loss
|
|
|
|
(342,611
|
)
|
|
|
|
(104,647
|
)
|
Retained earnings
|
|
|
|
296,129
|
|
|
|
|
213,996
|
|
Total equity
|
|
|
|
2,436,280
|
|
|
|
|
1,683,028
|
|
Total liabilities and equity
|
|
|
$
|
6,684,499
|
|
|
|
$
|
4,279,208
|
|
|
Acadia Healthcare Company, Inc.
|
Condensed Consolidated Statements of Cash Flows
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended June 30,
|
|
|
|
|
2016
|
|
|
|
|
2015
|
|
|
|
|
(In thousands)
|
|
|
|
|
|
|
|
Operating activities:
|
|
|
|
|
|
|
Net income
|
|
|
$
|
80,960
|
|
|
|
$
|
48,438
|
|
Adjustments to reconcile net income to net cash provided by
continuing operating activities:
|
|
|
|
|
|
Depreciation and amortization
|
|
|
|
64,727
|
|
|
|
|
28,030
|
|
Amortization of debt issuance costs
|
|
|
|
4,956
|
|
|
|
|
3,218
|
|
Equity-based compensation expense
|
|
|
|
13,844
|
|
|
|
|
9,249
|
|
Deferred income tax expense
|
|
|
|
16,821
|
|
|
|
|
24,682
|
|
Income from discontinued operations, net of taxes
|
|
|
|
-
|
|
|
|
|
(3
|
)
|
(Gain) loss on foreign currency derivatives
|
|
|
|
(508
|
)
|
|
|
|
908
|
|
Other
|
|
|
|
704
|
|
|
|
|
692
|
|
Change in operating assets and liabilities, net of effect of
acquisitions:
|
|
|
|
|
|
|
Accounts receivable, net
|
|
|
|
(18,982
|
)
|
|
|
|
(10,442
|
)
|
Other current assets
|
|
|
|
(7,256
|
)
|
|
|
|
(13,048
|
)
|
Other assets
|
|
|
|
1,582
|
|
|
|
|
(1,218
|
)
|
Accounts payable and other accrued liabilities
|
|
|
|
29,101
|
|
|
|
|
(4,313
|
)
|
Accrued salaries and benefits
|
|
|
|
(3,846
|
)
|
|
|
|
(225
|
)
|
Other liabilities
|
|
|
|
3,728
|
|
|
|
|
4,619
|
|
Net cash provided by continuing operating activities
|
|
|
|
185,831
|
|
|
|
|
90,587
|
|
Net cash (used in) provided by discontinued operating activities
|
|
|
|
(2,973
|
)
|
|
|
|
554
|
|
Net cash provided by operating activities
|
|
|
|
182,858
|
|
|
|
|
91,141
|
|
|
|
|
|
|
|
|
Investing activities:
|
|
|
|
|
|
|
Cash paid for acquisitions, net of cash acquired
|
|
|
|
(683,285
|
)
|
|
|
|
(286,734
|
)
|
Cash paid for capital expenditures
|
|
|
|
(177,718
|
)
|
|
|
|
(122,035
|
)
|
Cash paid for real estate acquisitions
|
|
|
|
(28,439
|
)
|
|
|
|
(3,428
|
)
|
Settlement of foreign currency derivatives
|
|
|
|
508
|
|
|
|
|
(908
|
)
|
Other
|
|
|
|
(1,084
|
)
|
|
|
|
(481
|
)
|
Net cash used in investing activities
|
|
|
|
(890,018
|
)
|
|
|
|
(413,586
|
)
|
|
|
|
|
|
|
|
Financing activities:
|
|
|
|
|
|
|
Borrowings on long-term debt
|
|
|
|
1,480,000
|
|
|
|
|
875,000
|
|
Borrowings on revolving credit facility
|
|
|
|
158,000
|
|
|
|
|
180,000
|
|
Principal payments on revolving credit facility
|
|
|
|
(166,000
|
)
|
|
|
|
(180,000
|
)
|
Principal payments on long-term debt
|
|
|
|
(29,869
|
)
|
|
|
|
(15,875
|
)
|
Repayment of assumed debt
|
|
|
|
(1,348,389
|
)
|
|
|
|
(904,467
|
)
|
Payment of debt issuance costs
|
|
|
|
(35,511
|
)
|
|
|
|
(22,775
|
)
|
Issuance of common stock, net
|
|
|
|
685,097
|
|
|
|
|
331,530
|
|
Common stock withheld for minimum statutory taxes, net
|
|
|
|
(7,365
|
)
|
|
|
|
(7,826
|
)
|
Excess tax benefit from equity awards
|
|
|
|
-
|
|
|
|
|
6,327
|
|
Other
|
|
|
|
(823
|
)
|
|
|
|
(150
|
)
|
Net cash provided by financing activities
|
|
|
|
735,140
|
|
|
|
|
261,764
|
|
|
|
|
|
|
|
|
Effect of exchange rate changes on cash
|
|
|
|
(8,479
|
)
|
|
|
|
1,213
|
|
|
|
|
|
|
|
|
Net increase (decrease) in cash and cash equivalents
|
|
|
|
19,501
|
|
|
|
|
(59,468
|
)
|
Cash and cash equivalents at beginning of the period
|
|
|
|
11,215
|
|
|
|
|
94,040
|
|
Cash and cash equivalents at end of the period
|
|
|
$
|
30,716
|
|
|
|
$
|
34,572
|
|
|
|
|
|
|
|
|
|
|
Effect of acquisitions:
|
|
|
|
|
|
|
Assets acquired, excluding cash
|
|
|
$
|
2,504,223
|
|
|
|
$
|
1,636,164
|
|
Liabilities assumed
|
|
|
|
(1,604,056
|
)
|
|
|
|
(1,009,944
|
)
|
Issuance of common stock in connection with acquisition
|
|
|
|
(216,882
|
)
|
|
|
|
(380,210
|
)
|
Deposits paid for acquisitions
|
|
|
|
-
|
|
|
|
|
40,724
|
|
Cash paid for acquisitions, net of cash acquired
|
|
|
$
|
683,285
|
|
|
|
$
|
286,734
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Acadia Healthcare Company, Inc.
|
Operating Statistics
|
(Unaudited, Revenue in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
|
Six Months Ended June 30,
|
|
|
|
|
|
|
|
2016
|
|
|
|
|
2015
|
|
|
|
% Change
|
|
|
|
|
2016
|
|
|
|
|
2015
|
|
|
|
% Change
|
|
Same Facility Results (a,c)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
|
$
|
478,360
|
|
|
|
$
|
442,346
|
|
|
|
8.1
|
%
|
|
|
$
|
869,772
|
|
|
|
$
|
800,939
|
|
|
|
8.6
|
%
|
|
Patient Days
|
|
|
|
692,049
|
|
|
|
|
642,508
|
|
|
|
7.7
|
%
|
|
|
|
1,265,750
|
|
|
|
|
1,170,756
|
|
|
|
8.1
|
%
|
|
Admissions
|
|
|
|
33,332
|
|
|
|
|
30,457
|
|
|
|
9.4
|
%
|
|
|
|
61,947
|
|
|
|
|
56,150
|
|
|
|
10.3
|
%
|
|
Average Length of Stay (b)
|
|
|
|
20.8
|
|
|
|
|
21.1
|
|
|
|
-1.6
|
%
|
|
|
|
20.4
|
|
|
|
|
20.9
|
|
|
|
-2.0
|
%
|
|
Revenue per Patient Day
|
|
|
$
|
691
|
|
|
|
$
|
688
|
|
|
|
0.4
|
%
|
|
|
$
|
687
|
|
|
|
$
|
684
|
|
|
|
0.4
|
%
|
|
EBITDA margin
|
|
|
|
28.1
|
%
|
|
|
|
27.4
|
%
|
|
|
70 bps
|
|
|
|
27.7
|
%
|
|
|
|
26.9
|
%
|
|
|
80 bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Same Facility Results (a)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
|
$
|
393,592
|
|
|
|
$
|
362,868
|
|
|
|
8.5
|
%
|
|
|
$
|
711,578
|
|
|
|
$
|
652,166
|
|
|
|
9.1
|
%
|
|
Patient Days
|
|
|
|
555,992
|
|
|
|
|
517,423
|
|
|
|
7.5
|
%
|
|
|
|
1,013,683
|
|
|
|
|
941,836
|
|
|
|
7.6
|
%
|
|
Admissions
|
|
|
|
33,007
|
|
|
|
|
30,121
|
|
|
|
9.6
|
%
|
|
|
|
61,363
|
|
|
|
|
55,565
|
|
|
|
10.4
|
%
|
|
Average Length of Stay (b)
|
|
|
|
16.8
|
|
|
|
|
17.2
|
|
|
|
-1.9
|
%
|
|
|
|
16.5
|
|
|
|
|
17.0
|
|
|
|
-2.5
|
%
|
|
Revenue per Patient Day
|
|
|
$
|
708
|
|
|
|
$
|
701
|
|
|
|
0.9
|
%
|
|
|
$
|
702
|
|
|
|
$
|
692
|
|
|
|
1.4
|
%
|
|
EBITDA margin
|
|
|
|
28.8
|
%
|
|
|
|
28.2
|
%
|
|
|
60 bps
|
|
|
|
28.2
|
%
|
|
|
|
27.4
|
%
|
|
|
80 bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.K. Same Facility Results (c)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
|
$
|
84,768
|
|
|
|
$
|
79,478
|
|
|
|
6.7
|
%
|
|
|
$
|
158,194
|
|
|
|
$
|
148,773
|
|
|
|
6.3
|
%
|
|
Patient Days
|
|
|
|
136,057
|
|
|
|
|
125,085
|
|
|
|
8.8
|
%
|
|
|
|
252,067
|
|
|
|
|
228,920
|
|
|
|
10.1
|
%
|
|
Admissions
|
|
|
|
325
|
|
|
|
|
336
|
|
|
|
-3.3
|
%
|
|
|
|
584
|
|
|
|
|
585
|
|
|
|
-0.2
|
%
|
|
Average Length of Stay (b)
|
|
|
|
418.6
|
|
|
|
|
372.3
|
|
|
|
12.5
|
%
|
|
|
|
431.6
|
|
|
|
|
391.3
|
|
|
|
10.3
|
%
|
|
Revenue per Patient Day
|
|
|
$
|
623
|
|
|
|
$
|
635
|
|
|
|
-1.9
|
%
|
|
|
$
|
628
|
|
|
|
$
|
650
|
|
|
|
-3.4
|
%
|
|
EBITDA margin
|
|
|
|
25.1
|
%
|
|
|
|
24.0
|
%
|
|
|
110 bps
|
|
|
|
25.2
|
%
|
|
|
|
24.8
|
%
|
|
|
40 bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Facility Results
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
|
$
|
430,209
|
|
|
|
$
|
366,886
|
|
|
|
17.3
|
%
|
|
|
$
|
838,473
|
|
|
|
$
|
657,393
|
|
|
|
27.5
|
%
|
|
Patient Days
|
|
|
|
590,919
|
|
|
|
|
517,423
|
|
|
|
14.2
|
%
|
|
|
|
1,152,242
|
|
|
|
|
941,836
|
|
|
|
22.3
|
%
|
|
Admissions
|
|
|
|
36,215
|
|
|
|
|
30,121
|
|
|
|
20.2
|
%
|
|
|
|
70,680
|
|
|
|
|
55,565
|
|
|
|
27.2
|
%
|
|
Average Length of Stay (b)
|
|
|
|
16.3
|
|
|
|
|
17.2
|
|
|
|
-5.0
|
%
|
|
|
|
16.3
|
|
|
|
|
17.0
|
|
|
|
-3.8
|
%
|
|
Revenue per Patient Day
|
|
|
$
|
728
|
|
|
|
$
|
709
|
|
|
|
2.7
|
%
|
|
|
$
|
728
|
|
|
|
$
|
698
|
|
|
|
4.3
|
%
|
|
EBITDA margin
|
|
|
|
27.6
|
%
|
|
|
|
27.9
|
%
|
|
|
-30 bps
|
|
|
|
26.9
|
%
|
|
|
|
27.2
|
%
|
|
|
-30 bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.K. Facility Results (c)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
|
$
|
325,883
|
|
|
|
$
|
79,478
|
|
|
|
310.0
|
%
|
|
|
$
|
532,858
|
|
|
|
$
|
148,773
|
|
|
|
258.2
|
%
|
|
Patient Days
|
|
|
|
756,687
|
|
|
|
|
125,085
|
|
|
|
504.9
|
%
|
|
|
|
1,210,702
|
|
|
|
|
228,920
|
|
|
|
428.9
|
%
|
|
Admissions
|
|
|
|
2,808
|
|
|
|
|
336
|
|
|
|
735.7
|
%
|
|
|
|
4,399
|
|
|
|
|
585
|
|
|
|
652.0
|
%
|
|
Average Length of Stay (b)
|
|
|
|
269.5
|
|
|
|
|
372.3
|
|
|
|
-27.6
|
%
|
|
|
|
275.2
|
|
|
|
|
391.3
|
|
|
|
-29.7
|
%
|
|
Revenue per Patient Day
|
|
|
$
|
431
|
|
|
|
$
|
635
|
|
|
|
-32.2
|
%
|
|
|
$
|
440
|
|
|
|
$
|
650
|
|
|
|
-32.3
|
%
|
|
EBITDA margin
|
|
|
|
22.4
|
%
|
|
|
|
24.0
|
%
|
|
|
-160 bps
|
|
|
|
22.1
|
%
|
|
|
|
24.8
|
%
|
|
|
-270 bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Facility Results (c)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
|
$
|
756,092
|
|
|
|
$
|
446,364
|
|
|
|
69.4
|
%
|
|
|
$
|
1,371,331
|
|
|
|
$
|
806,166
|
|
|
|
70.1
|
%
|
|
Patient Days
|
|
|
|
1,347,606
|
|
|
|
|
642,508
|
|
|
|
109.7
|
%
|
|
|
|
2,362,944
|
|
|
|
|
1,170,756
|
|
|
|
101.8
|
%
|
|
Admissions
|
|
|
|
39,023
|
|
|
|
|
30,457
|
|
|
|
28.1
|
%
|
|
|
|
75,079
|
|
|
|
|
56,150
|
|
|
|
33.7
|
%
|
|
Average Length of Stay (b)
|
|
|
|
34.5
|
|
|
|
|
21.1
|
|
|
|
63.7
|
%
|
|
|
|
31.5
|
|
|
|
|
20.9
|
|
|
|
50.9
|
%
|
|
Revenue per Patient Day
|
|
|
$
|
561
|
|
|
|
$
|
695
|
|
|
|
-19.2
|
%
|
|
|
$
|
580
|
|
|
|
$
|
689
|
|
|
|
-15.7
|
%
|
|
EBITDA margin
|
|
|
|
25.3
|
%
|
|
|
|
27.2
|
%
|
|
|
-190 bps
|
|
|
|
25.0
|
%
|
|
|
|
26.7
|
%
|
|
|
-170 bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a) Same-facility results for the three and six months ended June
30, 2015 exclude six outpatient programs that have been closed.
|
(b) Average length of stay is defined as patient days divided by
admissions.
|
(c) Revenue and revenue per patient day for the three and six months
ended June 30, 2015 are adjusted to reflect the foreign currency
exchange rate for the comparable period of 2016 in order to
eliminate the effect of changes in the exchange rate. The exchange
rate used in the adjusted revenue and revenue per patient day
amounts for both the three and six months ended June 30, 2015 is
1.43.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Acadia Healthcare Company, Inc.
|
Reconciliation of Net Income Attributable to Acadia Healthcare
Company, Inc. to Adjusted EBITDA
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
|
Six Months Ended June 30,
|
|
|
|
2016
|
|
|
|
|
2015
|
|
|
|
|
|
2016
|
|
|
|
|
2015
|
|
|
|
(in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to Acadia Healthcare Company, Inc.
|
|
$
|
56,445
|
|
|
|
$
|
33,844
|
|
|
|
|
$
|
82,133
|
|
|
|
$
|
48,438
|
|
Income from discontinued operations, net of income taxes
|
|
|
-
|
|
|
|
|
(1
|
)
|
|
|
|
|
-
|
|
|
|
|
(3
|
)
|
Net loss attributable to noncontrolling interests
|
|
|
(854
|
)
|
|
|
|
-
|
|
|
|
|
|
(1,173
|
)
|
|
|
|
-
|
|
Provision for income taxes
|
|
|
18,261
|
|
|
|
|
15,512
|
|
|
|
|
|
25,371
|
|
|
|
|
22,125
|
|
Interest expense, net
|
|
|
48,758
|
|
|
|
|
28,049
|
|
|
|
|
|
86,472
|
|
|
|
|
50,195
|
|
Depreciation and amortization
|
|
|
36,752
|
|
|
|
|
14,926
|
|
|
|
|
|
64,727
|
|
|
|
|
28,030
|
|
EBITDA
|
|
|
159,362
|
|
|
|
|
92,330
|
|
|
|
|
|
257,530
|
|
|
|
|
148,785
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity-based compensation expense (a)
|
|
|
6,888
|
|
|
|
|
5,355
|
|
|
|
|
|
13,844
|
|
|
|
|
9,249
|
|
(Gain) loss on foreign currency derivatives (b)
|
|
|
(98
|
)
|
|
|
|
961
|
|
|
|
|
|
(508
|
)
|
|
|
|
908
|
|
Transaction-related expenses (c)
|
|
|
6,074
|
|
|
|
|
7,157
|
|
|
|
|
|
32,372
|
|
|
|
|
25,573
|
|
Adjusted EBITDA
|
|
$
|
172,226
|
|
|
|
$
|
105,803
|
|
|
|
|
$
|
303,238
|
|
|
|
$
|
184,515
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See footnotes on page 10.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Acadia Healthcare Company, Inc.
|
Reconciliation of Adjusted Income from Continuing Operations
Attributable to Acadia Healthcare Company, Inc. to
|
Net Income Attributable to Acadia Healthcare Company, Inc.
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
|
|
|
|
2016
|
|
|
|
|
2015
|
|
|
|
|
2016
|
|
|
|
|
2015
|
|
|
|
|
(in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to Acadia Healthcare Company, Inc.
|
|
|
$
|
56,445
|
|
|
|
$
|
33,844
|
|
|
|
$
|
82,133
|
|
|
|
$
|
48,438
|
|
Income from discontinued operations, net of income taxes
|
|
|
|
-
|
|
|
|
|
(1
|
)
|
|
|
|
-
|
|
|
|
|
(3
|
)
|
Provision for income taxes
|
|
|
|
18,261
|
|
|
|
|
15,512
|
|
|
|
|
25,371
|
|
|
|
|
22,125
|
|
Income from continuing operations attributable to Acadia
Healthcare Company, Inc. before income taxes
|
|
|
|
74,706
|
|
|
|
|
49,355
|
|
|
|
|
107,504
|
|
|
|
|
70,560
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments to income from continuing operations:
|
|
|
|
|
|
|
|
|
|
|
|
(Gain) loss on foreign currency derivatives (b)
|
|
|
|
(98
|
)
|
|
|
|
961
|
|
|
|
|
(508
|
)
|
|
|
|
908
|
|
Transaction-related expenses (c)
|
|
|
|
6,074
|
|
|
|
|
7,157
|
|
|
|
|
32,372
|
|
|
|
|
25,573
|
|
Income tax provision reflecting tax effect of adjustments to
income from continuing operations (d)
|
|
|
|
(17,530
|
)
|
|
|
|
(18,006
|
)
|
|
|
|
(30,382
|
)
|
|
|
|
(30,470
|
)
|
Adjusted income from continuing operations attributable to Acadia
Healthcare Company, Inc.
|
|
|
$
|
63,152
|
|
|
|
$
|
39,467
|
|
|
|
$
|
108,986
|
|
|
|
$
|
66,571
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average shares outstanding - diluted
|
|
|
|
86,876
|
|
|
|
|
68,735
|
|
|
|
|
85,052
|
|
|
|
|
65,782
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted income from continuing operations attributable to Acadia
Healthcare Company, Inc. per diluted share
|
|
|
$
|
0.73
|
|
|
|
$
|
0.57
|
|
|
|
$
|
1.28
|
|
|
|
$
|
1.01
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See footnotes on page 10.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Acadia Healthcare Company, Inc.
|
Footnotes
|
|
|
|
We have included certain financial measures in this press release,
including EBITDA, Adjusted EBITDA and Adjusted income from
continuing operations, which are "non-GAAP financial measures" as
defined under the rules and regulations promulgated by the SEC. We
define EBITDA as net income adjusted for income from discontinued
operations, net loss attributable to noncontrolling interests, net
interest expense, income tax provision and depreciation and
amortization. We define Adjusted EBITDA as EBITDA adjusted for
equity-based compensation expense, (gain) loss on foreign currency
derivatives and transaction-related expenses.
|
|
|
|
EBITDA, Adjusted EBITDA and Adjusted income from continuing
operations are supplemental measures of our performance and are not
required by, or presented in accordance with, generally accepted
accounting principles in the United States ("GAAP"). EBITDA,
Adjusted EBITDA and Adjusted income from continuing operations are
not measures of our financial performance under GAAP and should not
be considered as alternatives to net income or any other performance
measures derived in accordance with GAAP or as an alternative to
cash flow from operating activities as measures of our liquidity.
Our measurements of EBITDA, Adjusted EBITDA and Adjusted income from
continuing operations may not be comparable to similarly titled
measures of other companies. We have included information concerning
EBITDA, Adjusted EBITDA and Adjusted income from continuing
operations in this press release because we believe that such
information is used by certain investors as measures of a company's
historical performance. We believe these measures are frequently
used by securities analysts, investors and other interested parties
in the evaluation of issuers of equity securities, many of which
present EBITDA, Adjusted EBITDA and Adjusted income from continuing
operations when reporting their results. Our presentation of EBITDA,
Adjusted EBITDA and Adjusted income from continuing operations
should not be construed as an inference that our future results will
be unaffected by unusual or nonrecurring items.
|
|
|
|
The Company is not able to provide a reconciliation of projected
adjusted earnings per diluted share, where provided, to expected
results due to the unknown effect, timing and potential significance
of transaction-related expenses and the tax effect of such expenses.
|
|
|
|
(a) Represents the equity-based compensation expense of Acadia.
|
|
|
|
(b) Represents the change in fair value of foreign currency
derivatives purchased by Acadia related to (i) acquisitions in the
U.K. and (ii) transfers of cash between the U.S. and U.K. under the
Company's cash management and foreign currency risk management
programs.
|
|
|
|
(c) Represents transaction-related expenses incurred by Acadia
related to acquisitions.
|
|
|
|
(d) Represents the income tax provision adjusted to reflect the tax
effect of the adjustments to income from continuing operations based
on tax rates of 21.7% and 31.3% for the three months ended June 30,
2016 and 2015, respectively, and 21.8% and 31.4% for the six months
ended June 30, 2016 and 2015, respectively.
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20160729005125/en/
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