The Joint Corp. Enters New Market, Opening the First Clinic in a Series of Six Planned Corporate Clinics

Rhea-AI Summary

The Joint Corp. (NASDAQ: JYNT) has opened a new corporate chiropractic clinic in Virginia Beach, VA, marking the first of six planned openings in the region for 2021. As part of their strategy, The Joint aims to open 20 to 30 corporate clinics this year, primarily through new greenfield locations and some franchise acquisitions. This expansion strategy will enhance their presence in the Southeast, aligning with their goal of reaching 1,000 clinics by the end of 2023. The company continues to evolve its retail healthcare model, reducing the need for insurance.

Positive

• Opened a new corporate clinic in Virginia Beach, part of six clinics planned for 2021.
• Guidance to open 20 to 30 corporate clinics in 2021 supports growth strategy.
• Aiming for a total of 1,000 clinics by the end of 2023.

Negative

• Expansion plans heavily reliant on greenfield clinics, which may face operational risks.
• COVID-19 impacts may affect clinic openings and patient demand.

Clinics Included in the May 6 Guidance of Opening 20 to 30 Corporate Clinics in 2021

SCOTTSDALE, Ariz., June 09, 2021 (GLOBE NEWSWIRE) -- The Joint Corp. (NASDAQ: JYNT), the nation’s largest operator, manager, and franchisor of chiropractic clinics, opened a new corporate clinic in Virginia Beach, VA. This is the first of six greenfield clinics scheduled to open in Virginia in 2021.

“The Joint is accelerating our expansion through franchised clinic openings and new strategically located corporate greenfield clinics in clustered locations,” said President and CEO Peter D. Holt. “We’re delighted to mark our first clinic opening in our newest market, the Virginia Beach area. This greenfield clinic, the first in a series of six scheduled to open in a short period of time, bolsters our position in the Southeast. By expanding our portfolio, we are increasing our presence as well as our national brand awareness, which attracts patients, increases demand, and drives growth.”

The Joint reiterated guidance on May 6 that the company expects to increase the number of corporate clinics by between 20 and 30 in 2021 through a combination of both opening new greenfield clinics and acquiring clinics from franchisees. As management drives toward its goal of 1,000 clinics opened by the end of 2023, openings will be more heavily weighted to greenfield clinics and less by franchised clinic acquisitions. The additional 2021 greenfield clinic openings are targeted for existing clusters in Arizona, California, and New Mexico.

About The Joint Chiropractic
The Joint Corp. revolutionized access to chiropractic care when it introduced its retail healthcare business model in 2010. Today, the company is making quality care convenient and affordable, while eliminating the need for insurance, for millions of patients seeking pain relief and ongoing wellness. With more than 600 locations nationwide and over eight million patient visits annually, The Joint Chiropractic is a key leader in the chiropractic industry. Named on Franchise Times “Top 200+ Franchises” and Entrepreneur’s “Franchise 500^®” lists, The Joint Chiropractic is an innovative force, where healthcare meets retail. For more information, visit www.thejoint.com. 

Business Structure
The Joint Corp. is a franchisor of clinics and an operator of clinics in certain states. In Arkansas, California, Colorado, District of Columbia, Florida, Illinois, Kansas, Kentucky, Maryland, Michigan, Minnesota, New Jersey, New York, North Carolina, Oregon, Pennsylvania, Rhode Island, South Dakota, Tennessee, Washington, West Virginia and Wyoming, The Joint Corp. and its franchisees provide management services to affiliated professional chiropractic practices.

Forward-Looking Statements
This press release contains statements about future events and expectations that constitute forward-looking statements. Forward-looking statements are based on our beliefs, assumptions and expectations of industry trends, our future financial and operating performance and our growth plans, taking into account the information currently available to us. These statements are not statements of historical fact. Forward-looking statements involve risks and uncertainties that may cause our actual results to differ materially from the expectations of future results we express or imply in any forward-looking statements, and you should not place undue reliance on such statements. Factors that could contribute to these differences include, but are not limited to, the continuing impact of the COVID-19 outbreak on the economy and our operations (including temporary clinic closures, shortened business hours and reduced patient demand), our failure to develop or acquire company-owned or managed clinics as rapidly as we intend, our failure to profitably operate company-owned or managed clinics, and the other factors described in “Risk Factors” in our Annual Report on Form 10-K as filed with the SEC for the year ended December 31, 2020, as updated or revised for any material changes described in any subsequently-filed Quarterly Reports on Form 10-Q or other SEC filings. Words such as, "anticipates," "believes," "continues," "estimates," "expects," "goal," "objectives," "intends," "may," "opportunity," "plans," "potential," "near-term," "long-term," "projections," "assumptions," "projects," "guidance," "forecasts," "outlook," "target," "trends," "should," "could," "would," "will," and similar expressions are intended to identify such forward-looking statements. We qualify any forward-looking statements entirely by these cautionary factors. We assume no obligation to update or revise any forward-looking statements for any reason or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future. Comparisons of results for current and any prior periods are not intended to express any future trends or indications of future performance, unless expressed as such, and should only be viewed as historical data.

Media Contact: Margie Wojciechowski, The Joint Corp., margie.wojciechowski@thejoint.com
Investor Contact: Kirsten Chapman, LHA Investor Relations, 415-433-3777, thejoint@lhai.com

FAQ

What is the significance of The Joint Corp.'s recent clinic opening in Virginia Beach?

The new clinic in Virginia Beach is part of The Joint's strategy to expand its footprint, with plans for six total openings in Virginia this year.

How many corporate clinics does The Joint Corp. plan to open in 2021?

The Joint Corp. plans to open between 20 and 30 corporate clinics in 2021.

What is the long-term goal for The Joint Corp. regarding clinic openings?

The long-term goal is to have 1,000 clinics operational by the end of 2023.

What challenges could The Joint Corp. face in its expansion plans?

Potential challenges include operational risks related to greenfield clinics and the ongoing impact of COVID-19 on patient demand.