U.S. Physical Therapy Reports Fourth Quarter and Full Year 2024 Results
U.S. Physical Therapy (USPH) reported its Q4 and full-year 2024 results, highlighting record quarterly patient volume. Key financial metrics for 2024 include:
- Adjusted EBITDA increased to $81.8 million, up $3.9 million from 2023
- Operating Results rose to $36.9 million
- Net income reached $31.4 million, compared to $28.2 million in 2023
Q4 2024 achievements include:
- Record-high average daily patient visits of 31.7 per clinic
- Total revenue from physical therapy operations increased 14.2% to $153.8 million
- Net rate per patient visit increased to $104.73
The company expanded its operations by adding 70 clinics in Q4, reaching a total of 768 clinics. The Board raised the quarterly dividend from $0.44 to $0.45 per share. Management projects 2025 Adjusted EBITDA between $88-93 million.
U.S. Physical Therapy (USPH) ha riportato i risultati del quarto trimestre e dell'intero anno 2024, evidenziando un volume record di pazienti nel trimestre. I principali indicatori finanziari per il 2024 includono:
- L'EBITDA rettificato è aumentato a 81,8 milioni di dollari, con un incremento di 3,9 milioni rispetto al 2023
- I risultati operativi sono saliti a 36,9 milioni di dollari
- L'utile netto ha raggiunto 31,4 milioni di dollari, rispetto ai 28,2 milioni del 2023
Le realizzazioni del quarto trimestre 2024 includono:
- Un numero record di visite medie giornaliere dei pazienti di 31,7 per clinica
- I ricavi totali delle operazioni di fisioterapia sono aumentati del 14,2% a 153,8 milioni di dollari
- La tariffa netta per visita del paziente è aumentata a 104,73 dollari
L'azienda ha ampliato le sue operazioni aggiungendo 70 cliniche nel quarto trimestre, raggiungendo un totale di 768 cliniche. Il Consiglio ha aumentato il dividendo trimestrale da 0,44 a 0,45 dollari per azione. La direzione prevede un EBITDA rettificato per il 2025 compreso tra 88 e 93 milioni di dollari.
U.S. Physical Therapy (USPH) informó sobre sus resultados del cuarto trimestre y del año completo 2024, destacando un volumen récord de pacientes en el trimestre. Los principales indicadores financieros para 2024 incluyen:
- El EBITDA ajustado aumentó a 81,8 millones de dólares, un incremento de 3,9 millones respecto a 2023
- Los resultados operativos subieron a 36,9 millones de dólares
- La utilidad neta alcanzó 31,4 millones de dólares, en comparación con 28,2 millones en 2023
Los logros del cuarto trimestre de 2024 incluyen:
- Un promedio récord de visitas diarias de pacientes de 31,7 por clínica
- Los ingresos totales de las operaciones de fisioterapia aumentaron un 14,2% a 153,8 millones de dólares
- La tarifa neta por visita de paciente aumentó a 104,73 dólares
La empresa amplió sus operaciones al agregar 70 clínicas en el cuarto trimestre, alcanzando un total de 768 clínicas. La Junta aumentó el dividendo trimestral de 0,44 a 0,45 dólares por acción. La dirección proyecta un EBITDA ajustado para 2025 entre 88 y 93 millones de dólares.
U.S. Physical Therapy (USPH)는 2024년 4분기 및 연간 실적을 발표하며 분기별 환자 수가 기록적으로 증가했다고 밝혔습니다. 2024년 주요 재무 지표는 다음과 같습니다:
- 조정 EBITDA가 8,180만 달러로 증가하여 2023년보다 390만 달러 증가
- 운영 결과가 3,690만 달러로 상승
- 순이익이 3,140만 달러에 도달하여 2023년의 2,820만 달러와 비교됨
2024년 4분기 성과는 다음과 같습니다:
- 클리닉당 평균 일일 환자 방문 수가 31.7명으로 기록적으로 증가
- 물리 치료 운영에서의 총 수익이 14.2% 증가하여 1억 5,380만 달러에 도달
- 환자 방문당 순 요금이 104.73달러로 증가
회사는 4분기에 70개의 클리닉을 추가하여 총 768개의 클리닉에 도달했습니다. 이사회는 분기 배당금을 주당 0.44달러에서 0.45달러로 인상했습니다. 경영진은 2025년 조정 EBITDA를 8,800만에서 9,300만 달러로 예상하고 있습니다.
U.S. Physical Therapy (USPH) a annoncé ses résultats du quatrième trimestre et de l'année entière 2024, mettant en avant un volume record de patients au cours du trimestre. Les principaux indicateurs financiers pour 2024 comprennent :
- L'EBITDA ajusté a augmenté à 81,8 millions de dollars, soit une hausse de 3,9 millions par rapport à 2023
- Les résultats d'exploitation ont atteint 36,9 millions de dollars
- Le bénéfice net a atteint 31,4 millions de dollars, contre 28,2 millions en 2023
Les réalisations du quatrième trimestre 2024 comprennent :
- Un nombre record de visites quotidiennes moyennes de patients de 31,7 par clinique
- Les revenus totaux des opérations de physiothérapie ont augmenté de 14,2 % pour atteindre 153,8 millions de dollars
- Le tarif net par visite de patient a augmenté à 104,73 dollars
L'entreprise a élargi ses opérations en ajoutant 70 cliniques au quatrième trimestre, atteignant un total de 768 cliniques. Le Conseil d'administration a augmenté le dividende trimestriel de 0,44 à 0,45 dollars par action. La direction prévoit un EBITDA ajusté pour 2025 compris entre 88 et 93 millions de dollars.
U.S. Physical Therapy (USPH) hat seine Ergebnisse für das vierte Quartal und das gesamte Jahr 2024 veröffentlicht und dabei ein Rekordvolumen an Patienten im Quartal hervorgehoben. Wichtige Finanzkennzahlen für 2024 umfassen:
- Das bereinigte EBITDA stieg auf 81,8 Millionen Dollar, ein Anstieg um 3,9 Millionen im Vergleich zu 2023
- Die Betriebsergebnisse stiegen auf 36,9 Millionen Dollar
- Der Nettogewinn erreichte 31,4 Millionen Dollar, verglichen mit 28,2 Millionen Dollar im Jahr 2023
Die Erfolge im vierten Quartal 2024 umfassen:
- Rekordhohe durchschnittliche tägliche Patientenbesuche von 31,7 pro Klinik
- Die Gesamteinnahmen aus den physikalischen Therapieoperationen stiegen um 14,2 % auf 153,8 Millionen Dollar
- Der Nettosatz pro Patientenbesuch erhöhte sich auf 104,73 Dollar
Das Unternehmen hat seine Aktivitäten durch die Eröffnung von 70 Kliniken im vierten Quartal ausgeweitet und erreicht nun insgesamt 768 Kliniken. Der Vorstand hat die vierteljährliche Dividende von 0,44 auf 0,45 Dollar pro Aktie erhöht. Das Management prognostiziert ein bereinigtes EBITDA für 2025 zwischen 88 und 93 Millionen Dollar.
- Record quarterly patient volume with 31.7 daily visits per clinic
- 14.2% increase in Q4 physical therapy revenue to $153.8M
- Net income grew to $31.4M in 2024 from $28.2M in 2023
- Added 70 new clinics in Q4 2024
- Dividend increase from $0.44 to $0.45 per share
- Operating Results per share declined to $2.45 in 2024 from $2.57 in 2023
- Gross profit margin decreased to 17.9% in Q4 2024 from 19.5% in Q4 2023
- Closure of 45 underperforming clinics with $4.4M charge
- $2.4M non-cash charge for impairment of assets held for sale
- Rising labor costs impacting profitability
Insights
USPH delivered record quarterly patient volume in Q4 2024 while navigating persistent Medicare reimbursement headwinds. The company achieved 14.2% growth in physical therapy revenue through a combination of strategic acquisitions, 3.1% same-clinic visit growth, and modest rate improvements. This volume-driven growth strategy helped offset margin compression, as physical therapy gross margins declined from 19.5% to 17.9% year-over-year in Q4.
The company's dual-segment approach continues to yield benefits, with the high-growth Industrial Injury Prevention (IIP) segment delivering 32.1% revenue growth (18.5% organic) in Q4. However, IIP margins compressed from 21.2% to 18.5%, suggesting integration costs from recent acquisitions or competitive pricing pressures.
USPH's aggressive clinic expansion strategy accelerated in Q4 with the addition of 70 new clinics, primarily through two strategic acquisitions: a 50% stake in a management services organization (50 clinics,
Management's strategic focus on commercial rate negotiations is yielding results, with the 1.0% increase in net rate per visit despite the
The
USPH's record 31.7 daily visits per clinic in Q4 represents exceptional operational execution in a challenging environment. This
USPH's portfolio optimization strategy is particularly noteworthy. Rather than pursuing growth at all costs, management has implemented a disciplined approach - closing 45 underperforming clinics throughout 2024 while strategically adding higher-potential locations. This rightsizing effort, while creating a
The company's October acquisition of a 50% stake in a management services organization represents a strategic evolution. This MSO model, which provides administrative services to 50 clinics, offers USPH a capital-efficient growth avenue with
Labor costs remain the primary operational challenge, with per-visit salary costs increasing
Management's optimistic outlook for 2025 is built on four operational pillars: (1) continued record patient demand, (2) commercial rate improvements offsetting Medicare headwinds, (3) operational efficiencies from scale, and (4) strategic acquisitions. The guided
Reports Record Quarterly Patient Volume
Company Provides 2025 Earnings Guidance
FINANCIAL HIGHLIGHTS
Year Ended December 31, 2024 versus Year Ended December 31, 2023
-
Adjusted EBITDA (1), a non-Generally Accepted Accounting Principles (“GAAP”) measure, was
$81.8 million $3.9 million $77.9 million -
Operating Results (1), a non-GAAP measure, was
$36.9 million $0.5 million $36.4 million $2.45 $2.57 $1.0 million -
Net income attributable to USPH’s shareholders (“USPH Net Income”), a GAAP measure, was
$31.4 million $28.2 million $4.4 million $2.4 million $1.0 million $17.5 million -
In accordance with GAAP, the revaluation of noncontrolling interest, net of taxes, is not included in net income but is charged directly to retained earnings; however, this change is included in the computation of earnings per share. Earnings per share, was
$1.84 $1.28
Fourth Quarter Ended December 31, 2024 versus Fourth Quarter Ended December 31, 2023
-
Non-GAAP Adjusted EBITDA (1) for the 2024 Fourth Quarter was
$21.8 million $19.0 million -
Non-GAAP Operating Results (1) for the 2024 Fourth Quarter was
$7.8 million $0.51 $8.9 million $0.59 $1.0 million -
USPH Net Income was
$9.2 million $0.7 million $0.2 million $2.4 million $1.0 million $17.5 million -
In accordance with GAAP, the revaluation of redeemable non-controlling interest, net of taxes, is not included in net income but is charged directly to retained earnings; however, this change is included in the computation of earnings per share. Earnings per share for the 2024 Fourth Quarter was
$0.52 $0.38 -
Total revenue from physical therapy operations for the 2024 Fourth Quarter increased
$19.2 million 14.2% , to$153.8 million -
Net rate per patient visit for the 2024 Fourth Quarter increased to
$104.73 $103.68 1.0% , despite the1.8% Medicare rate reduction which went into effect at the beginning of 2024 and the impact of acquisitions added during the quarter with net rates below the Company’s average net rate. The increase in net rate per patient visit reflects the Company’s strategic priority of increasing reimbursement rates through contract negotiations with commercial and other payors. -
Average daily patient visits per clinic was 31.7 for the 2024 Fourth Quarter, a record-high for a quarter in the Company’s history, compared to 29.9 in the comparable prior year quarter. Total patient visits were 1,432,801 in the 2024 Fourth Quarter, a
13.0% increase from the 2023 Fourth Quarter. -
Industrial injury prevention services (“IIP”) revenue was
$26.6 million 32.1% as compared to the 2023 Fourth Quarter. IIP gross profit was$4.9 million $0.7 million 15.6% , from$4.3 million - During the 2024 Fourth Quarter, the Company added 70 clinics (through acquisition or denovos) and closed 2 clinics bringing its total owned and/or managed clinic count to 768 as of December 31, 2024, compared to 714 as of December 31, 2023.
-
On October 31, 2024, the Company acquired a
50% equity interest in a management services organization that provides management and administrative services to 50 physical therapy clinics with the original owners retaining a50% equity interest. Through its managed therapy providers, the acquired company currently generates approximately$64.0 million $12.0 million -
On November 30, 2024, the Company acquired a
75% equity interest in an eight-clinic practice with the practice owners retaining a25% equity interest. The business currently generates$6.5 million -
The Company’s Board of Directors raised the Company’s quarterly dividend rate from
$0.44 $0.45 -
Management currently expects the Company’s Adjusted EBITDA for 2025 to be in the range of
$88 million $93 million
| ___________________________ | ||
| (1) | These are Non-GAAP Measures. See pages 13 to 15 of this release for the definition and reconciliation of Non-GAAP Adjusted EBITDA, Non-GAAP Operating Results and other Non-GAAP measures to the most directly comparable GAAP measure. |
|
MANAGEMENT’S COMMENTS
Chris Reading, Chief Executive Officer, said, “The past few years have been particularly challenging for our industry due in large part to the intersection and impact of Medicare reimbursement reductions done in sequence, and the rising cost of people and goods, impacted by inflation and exacerbated by a tight labor market. Despite those headwinds, our entire team has worked to find a way to grow in volume, rate, and ultimately in profit, although those results are certainly muted due to the cumulative Medicare reductions, which have been significant. As we near what we expect to be the end of these rate headwinds, we have found additional capabilities in terms of visit growth, new market expansions, positive commercial rate renegotiations and other initiatives we believe will deliver additional capacity and profitability in the future. We continue to work on the cost side of our business, which is largely people driven and, being a people-centric company, this has proven to be our greatest challenge and one where we are not (yet) satisfied with our result. To that end, we are piloting several initiatives which we believe could be impactful to our overall cost and labor efficiency while we continue more traditional efforts as well. We expect 2025 to be a solid growth year supported by these initiatives, a continued record demand for our services, further expected rate lift, and recent acquisitions in both physical therapy and our injury prevention business.”
2024 FOURTH QUARTER VERSUS 2023 FOURTH QUARTER
Additional supplemental tables of financial and performance metrics are presented on page 16 of this release.
Physical Therapy Operations
Three Months Ended |
|
Variance |
|
||||||||||||
December 31,
|
|
December 31,
|
|
$ |
|
% |
|
||||||||
(In thousands, except percentages) |
|||||||||||||||
Revenue related to: |
|
|
|
|
|
|
|
|
|||||||
Mature Clinics (1) |
$ |
126,129 |
|
$ |
122,235 |
|
$ |
3,894 |
|
3.2 |
% |
||||
Clinic additions (2) |
|
23,931 |
|
|
6,526 |
|
|
17,405 |
|
* |
(6) |
||||
Clinics sold or closed (3) |
|
- |
|
|
2,691 |
|
|
(2,691 |
) |
* |
(6) |
||||
Net patient revenue |
|
150,060 |
|
|
131,452 |
|
|
18,608 |
|
14.2 |
% |
||||
Other (4) |
|
3,747 |
|
|
3,177 |
|
|
570 |
|
17.9 |
% |
||||
Total |
|
153,807 |
|
|
134,629 |
|
|
19,178 |
|
14.2 |
% |
||||
Operating costs (4) |
|
126,214 |
|
|
108,380 |
|
|
17,834 |
|
16.5 |
% |
||||
Gross profit |
$ |
27,593 |
|
$ |
26,249 |
|
$ |
1,344 |
|
5.1 |
% |
||||
Financial and operating metrics (not in thousands): |
|||||||||||||||
Net rate per patient visit (1) |
$ |
104.73 |
|
$ |
103.68 |
|
$ |
1.05 |
|
1.0 |
% |
||||
Patient visits (1) |
|
1,432,801 |
|
|
1,267,842 |
|
|
164,959 |
|
13.0 |
% |
||||
Average daily visits per clinic (1) |
|
31.7 |
|
|
29.9 |
|
|
1.8 |
|
6.0 |
% |
||||
Gross margin |
|
17.9 |
% |
|
19.5 |
% |
|||||||||
Salaries and related costs per visit, clinics (5) |
$ |
63.00 |
|
$ |
59.72 |
|
$ |
3.28 |
|
5.5 |
% |
||||
Operating costs per visit, clinics (5) |
$ |
86.72 |
|
$ |
84.09 |
|
$ |
2.63 |
|
3.1 |
% |
||||
|
|||||||||||||||
(1) See Glossary of Terms - Revenue Metrics for definition. |
|||||||||||||||
(2) Includes 103 and 46 clinics added during the years ended December 31, 2024 and 2023, respectively. |
|||||||||||||||
(3) Includes 45 and 15 clinics closed during the years ended December 31, 2024 and 2023, respectively. |
|||||||||||||||
(4) Includes revenues and costs from management contracts. |
|||||||||||||||
(5) Excludes costs from management contracts. |
|||||||||||||||
(6) Not meaningful. |
|||||||||||||||
Net revenue from physical therapy operations increased
Operating costs from physical therapy operations increased
Gross profit from physical therapy operations in the 2024 Fourth Quarter increased
Industrial Injury Prevention Services
Three Months Ended |
|
Variance |
|||||||||||
December 31, 2024 |
|
December 31, 2023 |
|
$ |
|
% |
|||||||
(In thousands, except percentages) |
|||||||||||||
Net revenue |
$ |
26,639 |
|
$ |
20,172 |
|
$ |
6,467 |
32.1 |
% |
|||
Operating costs |
|
21,705 |
|
|
15,905 |
|
|
5,800 |
36.5 |
% |
|||
Gross profit |
$ |
4,934 |
|
$ |
4,267 |
|
$ |
667 |
15.6 |
% |
|||
Gross margin |
|
18.5 |
% |
|
21.2 |
% |
|||||||
IIP revenues increased
Corporate Office and Other Expenses
Corporate office costs were
A non-cash impairment charge of
Operating income was
Interest expense was
Interest income from investing excess cash (primarily proceeds from the secondary offering sale of the Company’s stock completed in May 2023) in a high-yield savings account decreased to
The Company revalued contingent and put-right liabilities related to certain acquisitions and recognized a net gain (a decrease in the related liabilities) of
The provision for income taxes was
| ___________________________ | ||
| (1) | These are Non-GAAP Measures. See pages 13 to 15 of this release for the definition and reconciliation of Non-GAAP Adjusted EBITDA, Non-GAAP Operating Results and other Non-GAAP measures to the most directly comparable GAAP measure. |
|
USPH Net Income and Non-GAAP Measures
Net income attributable to non-controlling interest (temporary and permanent) was
USPH Net Income was
In accordance with GAAP, the revaluation of redeemable non-controlling interest, net of taxes, is not included in net income but is charged directly to retained earnings; however, this change is included in the computation of earnings per share. Earnings per share for the 2024 Fourth Quarter was
Non-GAAP Adjusted EBITDA (1) was
| ___________________________ | ||
| (1) | These are Non-GAAP Measures. See pages 13 to 15 of this release for the definition and reconciliation of Non-GAAP Adjusted EBITDA, Non-GAAP Operating Results and other Non-GAAP measures to the most directly comparable GAAP measure. |
|
2024 YEAR VERSUS 2023 YEAR
Total net revenue for the 2024 Year increased
Revenues from physical therapy operations increased
Revenues from IIP increased
Corporate office costs were
A non-cash impairment charge of
Operating income was
Other expenses were
The provision for income tax was
USPH Net Income was
In accordance with GAAP, the revaluation of noncontrolling interest, net of taxes, is not included in net income but is charged directly to retained earnings; however, this change is included in the computation of earnings per share. Earnings per share, was
Non-GAAP Adjusted EBITDA (1) was
For additional information on 2024 Year results, please refer to the Company’s Annual Report on Form 10-K which is expected to be filed with the Securities and Exchange Commission on March 3, 2025.
___________________________ |
||
| (1) | These are Non-GAAP Measures. See pages 13 to 15 of this release for the definition and reconciliation of Non-GAAP Adjusted EBITDA, Non-GAAP Operating Results and other Non-GAAP measures to the most directly comparable GAAP measure. |
|
BALANCE SHEET AND CASH FLOW
Total cash and cash equivalents were
RECENT ACQUISITIONS
On October 31, 2024, the Company acquired a
On November 30, 2024, the Company acquired a
The Company’s strategy is to continue acquiring multi-clinic outpatient physical therapy practices, to develop outpatient physical therapy clinics as satellites in existing partnerships and to continue acquiring companies that provide industrial injury prevention services.
QUARTERLY DIVIDEND
The Company’s Board of Directors increased the Company’s quarterly dividend on February 25, 2025, from
2025 EARNINGS GUIDANCE
Management expects the Company’s Adjusted EBITDA for 2025 to be in the range of
- the full-year contribution from acquisitions completed in 2024
- the full-year impact of rate negotiations in commercial and other payor categories completed during 2024
- the partial-year impact of rate negotiations in commercial and other payor categories expected to be completed during 2025
- volume increases at the Company’s existing clinics, and
- continued double-digit growth in the Company’s industrial injury prevention business.
The annual guidance figures will not be updated unless there is a material development that causes management to believe that Adjusted EBITDA will be significantly outside the given range.
CONFERENCE CALL INFORMATION
FORWARD LOOKING STATEMENTS
This press release contains statements that are considered to be forward-looking within the meaning under Section 21E of the Securities Exchange Act of 1934, as amended. These statements contain forward-looking information relating to the financial condition, results of operations, plans, objectives, future performance and business of our Company. These statements (often using words such as “believes”, “expects”, “intends”, “plans”, “appear”, “should” and similar words) involve risks and uncertainties that could cause actual results to differ materially from those we expect. Included among such statements may be those relating to new clinics, availability of personnel and the reimbursement environment. The forward-looking statements are based on our current views and assumptions and actual results could differ materially from those anticipated in such forward-looking statements as a result of certain risks, uncertainties, and factors, which include, but are not limited to:
- changes in Medicare rules and guidelines and reimbursement or failure of our clinics to maintain their Medicare certification and/or enrollment status;
- revenue we receive from Medicare and Medicaid being subject to potential retroactive reduction;
- changes in reimbursement rates or payment methods from third party payors including government agencies, and changes in the deductibles and co-pays owed by patients;
- private third-party payors for our services may adopt payment policies that could limit our future revenue and profitability;
- compliance with federal and state laws and regulations relating to the privacy of individually identifiable patient information, and associated fines and penalties for failure to comply;
- compliance with state laws and regulations relating to the corporate practice of medicine and fee splitting, and associated fines and penalties for failure to comply ;
- competitive, economic or reimbursement conditions in our markets which may require us to reorganize or close certain clinics and thereby incur losses and/or closure costs including the possible write-down or write-off of goodwill and other intangible assets;
- the impact of future public health crises and epidemics/pandemics, such as was the case with the novel strain of COVID-19 and its variants;
- certain of our acquisition agreements contain put-rights related to a future purchase of significant equity interests in our subsidiaries or in a separate company;
- the impact of future vaccinations and/or testing mandates at the federal, state and/or local level, which could have an adverse impact on staffing, revenue, costs and the results of operations;
- our debt and financial obligations could adversely affect our financial condition, our ability to obtain future financing and our ability to operate our business;
- changes as the result of government enacted national healthcare reform;
- the ability to control variable interest entities for which we do not have a direct ownership;
- business and regulatory conditions including federal and state regulations;
- governmental and other third party payor inspections, reviews, investigations and audits, which may result in sanctions or reputational harm and increased costs;
- revenue and earnings expectations;
- contingent consideration provisions in certain our acquisition agreements, the value of which may impact future financial results;
- legal actions, which could subject us to increased operating costs and uninsured liabilities;
- general economic conditions, including but not limited to inflationary and recessionary periods;
-
actual or perceived events involving banking volatility or limited liability, defaults or other adverse developments that affect the
U.S or the international financial systems, may result in market wide liquidity problems which could have a material and adverse impact on our available cash and results of operations; - our business depends on hiring, training, and retaining qualified employees;
- availability and cost of qualified physical therapists;
- competitive environment in the industrial injury prevention services business, which could result in the termination or non-renewal of contractual service arrangements and other adverse financial consequences for that service line;
- our ability to identify and complete acquisitions, and the successful integration of the operations of the acquired businesses;
- impact on the business and cash reserves resulting from retirement or resignation of key partners and resulting purchase of their non-controlling interest (minority interests);
- maintaining our information technology systems with adequate safeguards to protect against cyber-attacks;
- a security breach of our or our third party vendors’ information technology systems may subject us to potential legal action and reputational harm and may result in a violation of the Health Insurance Portability and Accountability Act of 1996 of the Health Information Technology for Economic and Clinical Health Act;
- maintaining clients for which we perform management, industrial injury prevention related services, and other services, as a breach or termination of those contractual arrangements by such clients could cause operating results to be less than expected.
- maintaining adequate internal controls;
- maintaining necessary insurance coverage;
- availability, terms, and use of capital; and
- weather and other seasonal factors.
Many factors are beyond our control. Given these uncertainties, you should not place undue reliance on our forward-looking statements. For additional information regarding these and other risks and uncertainties, that could cause actual results to differ materially from those contained in our forward-looking statements, please refer to “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2023, filed with the Securities and Exchange Commission (“SEC”) on February 29, 2024 and any risk factors contained in subsequent quarterly and annual reports we file with the SEC. Our forward-looking statements represent our estimates and assumptions only as of the date of this report. Except as required by law, we are under no obligation to update any forward-looking statement as a result of new information, future events, or otherwise, except as required by law.
GLOSSARY OF TERMS – REVENUE METRICS
Mature clinics are clinics opened or acquired prior to January 1, 2023, and are still operating as of the balance sheet date.
Net rate per patient visit is net patient revenue related to our physical therapy operations divided by total number of patient visits (defined below) during the periods presented.
Patient visits is the number of unique patient visits during the periods presented.
Average daily visits per clinic is patient visits divided by the number of days in which normal business operations were conducted during the periods presented and further divided by the average number of clinics in operation during the periods presented.
Clinics are outpatient physical therapy clinics that are either owned or managed by the Company or one of its subsidiaries.
ABOUT U.S. PHYSICAL THERAPY, INC.
Founded in 1990, U.S. Physical Therapy, Inc. owns and/or manages 772 outpatient physical therapy clinics in 43 states. USPH clinics provide preventative and post-operative care for a variety of orthopedic-related disorders and sports-related injuries, treatment for neurologically-related injuries and rehabilitation of injured workers. USPH also has an industrial injury prevention business which provides onsite services for clients’ employees including injury prevention and rehabilitation, performance optimization, post-offer employment testing, functional capacity evaluations, and ergonomic assessments.
More information about U.S. Physical Therapy, Inc. is available at www.usph.com. The information included on that website is not incorporated into this press release.
U. S. PHYSICAL THERAPY, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) |
|||||||||||||||
Three Months Ended |
|
For the Year Ended |
|||||||||||||
December 31,
|
December 31,
|
December 31,
|
December 31,
|
||||||||||||
Net patient revenue |
$ |
150,060 |
|
$ |
131,452 |
|
$ |
560,553 |
|
$ |
514,556 |
|
|||
Other revenue |
|
30,387 |
|
|
23,349 |
|
|
110,792 |
|
|
90,246 |
|
|||
Net revenue |
|
180,447 |
|
|
154,801 |
|
|
671,345 |
|
|
604,802 |
|
|||
Operating cost: |
|||||||||||||||
Salaries and related costs |
|
109,494 |
|
|
90,633 |
|
|
399,394 |
|
|
353,390 |
|
|||
Rent, supplies, contract labor and other |
|
30,863 |
|
|
28,139 |
|
|
118,910 |
|
|
108,596 |
|
|||
Depreciation and amortization |
|
5,470 |
|
|
3,927 |
|
|
17,853 |
|
|
14,960 |
|
|||
Provision for credit losses |
|
1,847 |
|
|
1,572 |
|
|
6,912 |
|
|
6,172 |
|
|||
Clinic closure costs - lease and other |
|
246 |
|
|
14 |
|
|
4,355 |
|
|
175 |
|
|||
Total operating cost |
|
147,920 |
|
|
124,285 |
|
|
547,424 |
|
|
483,293 |
|
|||
Gross profit |
|
32,527 |
|
|
30,516 |
|
|
123,921 |
|
|
121,509 |
|
|||
Corporate office costs |
|
15,571 |
|
|
13,901 |
|
|
58,290 |
|
|
51,953 |
|
|||
Impairment of goodwill and other intangible assets |
|
- |
|
|
17,495 |
|
|
- |
|
|
17,495 |
|
|||
Impairment of assets held for sale |
|
2,418 |
|
|
- |
|
|
2,418 |
|
|
- |
|
|||
Operating income (loss) |
|
14,538 |
|
|
(880 |
) |
|
63,213 |
|
|
52,061 |
|
|||
Other (expense) income |
|||||||||||||||
Interest expense, debt and other |
|
(2,049 |
) |
|
(2,010 |
) |
|
(8,015 |
) |
|
(9,303 |
) |
|||
Interest income from investments |
|
306 |
|
|
1,583 |
|
|
3,941 |
|
|
3,774 |
|
|||
Change in fair value of contingent earn-out consideration |
|
5,113 |
|
|
(1,747 |
) |
|
(219 |
) |
|
(1,550 |
) |
|||
Change in revaluation of put-right liability |
|
54 |
|
|
2,926 |
|
|
(82 |
) |
|
2,582 |
|
|||
Equity in earnings of unconsolidated affiliate |
|
264 |
|
|
149 |
|
|
1,014 |
|
|
955 |
|
|||
Relief Funds |
|
- |
|
|
- |
|
|
- |
|
|
467 |
|
|||
Other |
|
96 |
|
|
85 |
|
|
357 |
|
|
390 |
|
|||
Total other (expense) income |
|
3,784 |
|
|
986 |
|
|
(3,004 |
) |
|
(2,685 |
) |
|||
Income before taxes |
|
18,322 |
|
|
106 |
|
|
60,209 |
|
|
49,376 |
|
|||
Provision for income taxes |
|
5,828 |
|
|
1,399 |
|
|
14,609 |
|
|
12,156 |
|
|||
Net income (loss) |
|
12,494 |
|
|
(1,293 |
) |
|
45,600 |
|
|
37,220 |
|
|||
Less: Net (income) loss attributable to non-controlling interest: |
|||||||||||||||
Redeemable non-controlling interest - temporary equity |
|
(2,505 |
) |
|
3,190 |
|
|
(10,044 |
) |
|
(4,426 |
) |
|||
Non-controlling interest - permanent equity |
|
(745 |
) |
|
(1,241 |
) |
|
(4,132 |
) |
|
(4,555 |
) |
|||
|
(3,250 |
) |
|
1,949 |
|
|
(14,176 |
) |
|
(8,981 |
) |
||||
Net income attributable to USPH shareholders |
$ |
9,244 |
|
$ |
656 |
|
$ |
31,424 |
|
$ |
28,239 |
|
|||
Basic and diluted earnings (loss) per share attributable to USPH shareholders (1) |
$ |
0.52 |
|
$ |
(0.38 |
) |
$ |
1.84 |
|
$ |
1.28 |
|
|||
Shares used in computation - basic and diluted |
|
15,089 |
|
|
14,987 |
|
|
15,064 |
|
|
14,188 |
|
|||
Dividends declared per common share |
$ |
0.44 |
|
$ |
0.43 |
|
$ |
1.76 |
|
$ |
1.72 |
|
|||
(1) See page 14 of this press release for the calculation of basic and diluted earnings per share. |
|||||||||||||||
U. S. PHYSICAL THERAPY, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (IN THOUSANDS) |
|||||||||||||||
Three Months Ended |
For the Year Ended |
||||||||||||||
December 31,
|
December 31,
|
December 31,
|
December 31,
|
||||||||||||
Net income (loss) |
$ |
12,494 |
|
$ |
(1,293 |
) |
$ |
45,600 |
|
$ |
37,220 |
|
|||
Other comprehensive income (loss) |
|||||||||||||||
Unrealized gain (loss) on cash flow hedge |
|
1,960 |
|
|
(3,982 |
) |
|
23 |
|
|
(1,642 |
) |
|||
Tax effect at statutory rate (federal and state) |
|
(500 |
) |
|
1,017 |
|
|
(6 |
) |
|
420 |
|
|||
Comprehensive income (loss) |
$ |
13,954 |
|
$ |
(4,258 |
) |
$ |
45,617 |
|
$ |
35,998 |
|
|||
Comprehensive (income) loss attributable to non-controlling interest |
|
(3,250 |
) |
|
1,949 |
|
|
(14,176 |
) |
|
(8,981 |
) |
|||
Comprehensive income (loss) attributable to USPH shareholders |
$ |
10,704 |
|
$ |
(2,309 |
) |
$ |
31,441 |
|
$ |
27,017 |
|
|||
|
|||||||||||||||
U. S. PHYSICAL THERAPY, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEET (IN THOUSANDS, EXCEPT SHARES AND PER SHARE AMOUNTS) |
|||||||
December 31,
|
|
December 31,
|
|||||
ASSETS |
|
|
|
||||
Current assets: |
|
|
|
||||
Cash and cash equivalents |
$ |
41,362 |
|
$ |
152,825 |
|
|
Patient accounts receivable, less provision for credit losses of |
|
59,040 |
|
|
51,866 |
|
|
Accounts receivable - other |
|
26,626 |
|
|
17,854 |
|
|
Other current assets |
|
10,555 |
|
|
10,830 |
|
|
Total current assets |
|
137,583 |
|
|
233,375 |
|
|
Fixed assets: |
|||||||
Furniture and equipment |
|
68,128 |
|
|
63,982 |
|
|
Leasehold improvements |
|
51,105 |
|
|
46,941 |
|
|
Fixed assets, gross |
|
119,233 |
|
|
110,923 |
|
|
Less accumulated depreciation and amortization |
|
(87,093 |
) |
|
(84,821 |
) |
|
Fixed assets, net |
|
32,140 |
|
|
26,102 |
|
|
Operating lease right-of-use assets |
|
133,936 |
|
|
103,431 |
|
|
Investment in unconsolidated affiliate |
|
12,190 |
|
|
12,256 |
|
|
Goodwill |
|
667,152 |
|
|
509,571 |
|
|
Other identifiable intangible assets, net |
|
179,311 |
|
|
109,682 |
|
|
Other assets |
|
5,155 |
|
|
2,821 |
|
|
Total assets |
$ |
1,167,467 |
|
$ |
997,238 |
|
|
|
|||||||
LIABILITIES, REDEEMABLE NON-CONTROLLING INTEREST, USPH SHAREHOLDERS’ EQUITY AND NON-CONTROLLING INTEREST |
|||||||
Current liabilities: |
|||||||
Accounts payable - trade |
$ |
5,936 |
|
$ |
3,898 |
|
|
Accrued expenses |
|
59,513 |
|
|
55,344 |
|
|
Current portion of operating lease liabilities |
|
39,835 |
|
|
35,252 |
|
|
Current portion of term loan and notes payable |
|
10,999 |
|
|
7,691 |
|
|
Total current liabilities |
|
116,283 |
|
|
102,185 |
|
|
Notes payable, net of current portion |
|
903 |
|
|
1,289 |
|
|
Revolving facility |
|
11,000 |
|
|
- |
|
|
Term loan, net of current portion and deferred financing costs |
|
130,627 |
|
|
137,702 |
|
|
Deferred taxes |
|
29,465 |
|
|
24,815 |
|
|
Operating lease liabilities, net of current portion |
|
101,868 |
|
|
76,653 |
|
|
Other long-term liabilities |
|
18,275 |
|
|
2,356 |
|
|
Total liabilities |
|
408,421 |
|
|
345,000 |
|
|
|
|||||||
Redeemable non-controlling interest - temporary equity |
|
269,025 |
|
|
174,828 |
|
|
|
|||||||
Commitments and Contingencies |
|||||||
|
|||||||
U.S. Physical Therapy, Inc. ("USPH") shareholders’ equity: |
|||||||
Preferred stock, |
|
- |
|
|
- |
|
|
Common stock, |
|||||||
17,309,120 and 17,202,291 shares issued, respectively |
|
172 |
|
|
172 |
|
|
Additional paid-in capital |
|
290,321 |
|
|
281,096 |
|
|
Accumulated other comprehensive gain |
|
2,799 |
|
|
2,782 |
|
|
Retained earnings |
|
227,265 |
|
|
223,772 |
|
|
Treasury stock at cost, 2,214,737 shares |
|
(31,628 |
) |
|
(31,628 |
) |
|
Total USPH shareholders’ equity |
|
488,929 |
|
|
476,194 |
|
|
Non-controlling interest - permanent equity |
|
1,092 |
|
|
1,216 |
|
|
Total USPH shareholders' equity and non-controlling interest - permanent equity |
|
490,021 |
|
|
477,410 |
|
|
Total liabilities, redeemable non-controlling interest, |
|||||||
USPH shareholders' equity and non-controlling interest - permanent equity |
$ |
1,167,467 |
|
$ |
997,238 |
|
|
|
|||||||
U. S. PHYSICAL THERAPY, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (IN THOUSANDS) |
|||||||
Year Ended |
|||||||
December 31, 2024 |
December 31, 2023 |
||||||
OPERATING ACTIVITIES |
|||||||
Net income including non-controlling interest |
$ |
45,600 |
|
$ |
37,220 |
|
|
Adjustments to reconcile net income including non-controlling interest to net cash provided by operating activities: |
|||||||
Depreciation and amortization |
|
18,681 |
|
|
15,695 |
|
|
Provision for credit losses |
|
6,912 |
|
|
6,172 |
|
|
Equity-based awards compensation expense |
|
7,823 |
|
|
7,236 |
|
|
Amortization of debt issue costs |
|
422 |
|
|
420 |
|
|
Change in deferred income taxes |
|
5,365 |
|
|
4,490 |
|
|
Change in revaluation of put-right liability |
|
82 |
|
|
(2,582 |
) |
|
Change in fair value of contingent earn-out consideration |
|
219 |
|
|
1,550 |
|
|
Equity of earnings in unconsolidated affiliate |
|
(1,014 |
) |
|
(955 |
) |
|
Loss on sale of clinics and fixed assets |
|
836 |
|
|
166 |
|
|
Impairment of goodwill and other intangible assets |
|
2,418 |
|
|
17,495 |
|
|
Changes in operating assets and liabilities: |
|||||||
Increase in patient accounts receivable |
|
(5,346 |
) |
|
(5,645 |
) |
|
Increase in accounts receivable - other |
|
(6,548 |
) |
|
(356 |
) |
|
Increase in other current and long term assets |
|
(818 |
) |
|
(197 |
) |
|
Decrease in accounts payable and accrued expenses |
|
1,713 |
|
|
15 |
|
|
(Increase) decrease in accounts payable and accrued expenses |
|
(1,405 |
) |
|
1,254 |
|
|
Net cash provided by operating activities |
|
74,940 |
|
|
81,978 |
|
|
INVESTING ACTIVITIES |
|||||||
Purchase of fixed assets |
|
(9,186 |
) |
|
(9,294 |
) |
|
Purchase of majority interest in businesses, net of cash acquired |
|
(133,087 |
) |
|
(26,582 |
) |
|
Purchase of redeemable non-controlling interest, temporary equity |
|
(8,052 |
) |
|
(10,986 |
) |
|
Purchase of non controlling interest, permanent equity |
|
(1,004 |
) |
|
(281 |
) |
|
Proceeds on sale of non-controlling interest, permanent equity |
|
26 |
|
|
102 |
|
|
Proceeds on sale of partnership interest - redeemable non-controlling interest, temporary equity |
|
79 |
|
|
875 |
|
|
Distributions from unconsolidated affiliate |
|
1,080 |
|
|
830 |
|
|
Other |
|
694 |
|
|
321 |
|
|
Net cash used in investing activities |
|
(149,450 |
) |
|
(45,015 |
) |
|
FINANCING ACTIVITIES |
|||||||
Proceeds from issuance of common stock pursuant to the secondary public offering, net of issuance costs |
|
- |
|
|
163,646 |
|
|
Proceeds from revolving facility |
|
19,000 |
|
|
24,000 |
|
|
Distributions to non-controlling interest, permanent and temporary equity |
|
(14,711 |
) |
|
(16,100 |
) |
|
Cash dividends paid to shareholders |
|
(26,540 |
) |
|
(24,128 |
) |
|
Payments on revolving facility |
|
(8,000 |
) |
|
(55,000 |
) |
|
Principal payments on notes payable |
|
(2,952 |
) |
|
(4,400 |
) |
|
Payments on term loan |
|
(3,750 |
) |
|
(3,750 |
) |
|
Net cash (used in) provided by financing activities |
|
(36,953 |
) |
|
84,268 |
|
|
Net (decrease) increase in cash and cash equivalents |
|
(111,463 |
) |
|
121,231 |
|
|
Cash and cash equivalents - beginning of period |
|
152,825 |
|
|
31,594 |
|
|
Cash and cash equivalents - end of period |
$ |
41,362 |
|
$ |
152,825 |
|
|
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION |
|||||||
Cash paid during the period for: |
|||||||
Income taxes |
$ |
4,832 |
|
$ |
4,926 |
|
|
Interest paid |
|
7,209 |
|
|
8,655 |
|
|
Non-cash investing and financing transactions during the period: |
|||||||
Purchase of businesses - seller financing portion |
|
2,060 |
|
|
1,815 |
|
|
Liabilities assumed associated with a purchase of a business |
|
670 |
|
|
524 |
|
|
Fair market value of initial contingent consideration related to purchase of businesses |
|
17,672 |
|
|
200 |
|
|
Notes payable related to purchase of redeemable non-controlling interest, temporary equity |
|
71 |
|
|
1,087 |
|
|
Notes payable related to the purchase of non-controlling interest, permanent equity |
|
- |
|
|
200 |
|
|
Notes receivable related to sale of redeemable non-controlling interest |
|
1,890 |
|
|
4,136 |
|
|
Notes receivable related to the sale of non-controlling interest, permanent equity |
|
282 |
|
|
458 |
|
|
Offset to notes receivable associated with purchase of redeemable non-controlling interest |
|
726 |
|
|
- |
|
|
Issuance of restricted stock related to purchase of business |
$ |
1,500 |
$ |
- |
|||
U. S. PHYSICAL THERAPY, INC. AND SUBSIDIARIES
ADJUSTED EBITDA AND OPERATING RESULTS
The following tables provide details of the basic and diluted earnings per share computation and reconcile net income attributable to USPH shareholders calculated in accordance with GAAP to Adjusted EBITDA, Operating Results and other non-GAAP measures. Management believes providing Adjusted EBITDA, Operating Results, and other non-GAAP measures to investors is useful information for comparing the Company's period-to-period results as well as for comparing with other similar businesses since most do not have redeemable instruments and therefore have different equity structures. Additionally, Management believes that these non-GAAP measures provide useful supplemental information to investors, analysts, and other stakeholders in assessing the Company’s operational performance and financial trends. Management uses Adjusted EBITDA, Operating Results and other non-GAAP measures, which eliminate certain items described above that can be subject to volatility and unusual costs, as the principal measures to evaluate and monitor financial performance period over period.
Adjusted EBITDA, a non-GAAP measure, is defined as net income attributable to USPH shareholders before interest income, interest expense, taxes, depreciation, amortization, change in fair value of contingent earn-out consideration, payments received from the federal government under the Corona virus Aid, Relief and Economic Security Act (“Relief Funds”), changes in revaluation of put-right liability, equity-based awards compensation expense, clinic closure costs, non-cash impairment charges, business acquisition related costs and other income and related portions for non-controlling interests.
Operating Results, a non-GAAP measure, equals net income attributable to USPH shareholders less, changes in revaluation of a put-right liability, Relief Funds, clinic closure costs, changes in fair value of contingent earn-out consideration, business acquisition related costs, non-cash impairment charges and any allocations to non-controlling interests, all net of taxes. Operating Results per share also excludes the impact of the revaluation of redeemable non-controlling interest and the associated tax impact.
Adjusted EBITDA, Operating Results and other non-GAAP measures presented are not measures of financial performance under GAAP. Adjusted EBITDA, Operating Results and other non-GAAP measures should not be considered in isolation or as an alternative to, or substitute for, net income attributable to USPH shareholders presented in the consolidated financial statements.
U. S. PHYSICAL THERAPY, INC. AND SUBSIDIARIES ADJUSTED EBITDA, OPERATING RESULTS AND EARNINGS PER SHARE (IN THOUSANDS, EXCEPT PER SHARE DATA) |
|||||||||||||||
|
Three Months Ended |
|
For the Year Ended |
||||||||||||
|
December 31,
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
||||||||
(In thousands, except per share data) |
|||||||||||||||
Adjusted EBITDA (a non-GAAP measure) |
|
|
|
|
|
|
|
||||||||
Net income attributable to USPH shareholders |
$ |
9,244 |
|
$ |
656 |
|
$ |
31,424 |
|
$ |
28,239 |
|
|||
Adjustments: |
|||||||||||||||
Provision for income taxes |
|
5,828 |
|
|
1,399 |
|
|
14,609 |
|
|
12,156 |
|
|||
Depreciation and amortization |
|
5,685 |
|
|
4,113 |
|
|
18,681 |
|
|
15,695 |
|
|||
Interest expense, debt and other, net |
|
2,049 |
|
|
2,010 |
|
|
8,015 |
|
|
9,303 |
|
|||
Interest income from investments |
|
(306 |
) |
|
(1,583 |
) |
|
(3,941 |
) |
|
(3,774 |
) |
|||
Impairment of goodwill and other intangible assets |
|
- |
|
|
17,495 |
|
|
- |
|
|
17,495 |
|
|||
Impairment of assets held for sale |
|
2,418 |
|
|
- |
|
|
2,418 |
|
|
- |
|
|||
Equity-based awards compensation expense |
|
1,986 |
|
|
1,785 |
|
|
7,823 |
|
|
7,236 |
|
|||
Change in revaluation of put-right liability |
|
(54 |
) |
|
(2,926 |
) |
|
82 |
|
|
(2,582 |
) |
|||
Change in fair value of contingent earn-out consideration |
|
(5,113 |
) |
|
1,747 |
|
|
219 |
|
|
1,550 |
|
|||
Clinic closure costs (1) |
|
246 |
|
|
14 |
|
|
4,355 |
|
|
175 |
|
|||
Business acquisition related costs (2) |
|
505 |
|
|
- |
|
|
819 |
|
|
- |
|
|||
Relief Funds |
|
- |
|
|
- |
|
|
- |
|
|
(467 |
) |
|||
Other income |
|
(96 |
) |
|
(85 |
) |
|
(357 |
) |
|
(390 |
) |
|||
Allocation to non-controlling interests |
|
(590 |
) |
|
(5,623 |
) |
|
(2,379 |
) |
|
(6,724 |
) |
|||
$ |
21,802 |
|
$ |
19,002 |
|
$ |
81,768 |
|
$ |
77,912 |
|
||||
Operating Results (a non-GAAP measure) |
|||||||||||||||
Net income attributable to USPH shareholders |
$ |
9,244 |
|
$ |
656 |
|
$ |
31,424 |
|
$ |
28,239 |
|
|||
Adjustments: |
|||||||||||||||
Impairment of goodwill and other intangible assets |
|
- |
|
|
17,495 |
|
|
- |
|
|
17,495 |
|
|||
Impairment of assets held for sale |
|
2,418 |
|
|
- |
|
|
2,418 |
|
|
- |
|
|||
Change in fair value of contingent earn-out consideration |
|
(5,113 |
) |
|
1,747 |
|
|
219 |
|
|
1,550 |
|
|||
Change in revaluation of put-right liability |
|
(54 |
) |
|
(2,926 |
) |
|
82 |
|
|
(2,582 |
) |
|||
Clinic closure costs (1) |
|
246 |
|
|
14 |
|
|
4,355 |
|
|
175 |
|
|||
Business acquisition related costs (2) |
|
505 |
|
|
- |
|
|
819 |
|
|
- |
|
|||
Relief Funds |
|
- |
|
|
- |
|
|
- |
|
|
(467 |
) |
|||
Allocation to non-controlling interest |
|
(8 |
) |
|
(5,251 |
) |
|
(521 |
) |
|
(5,196 |
) |
|||
Tax effect at statutory rate (federal and state) |
|
513 |
|
|
(2,830 |
) |
|
(1,884 |
) |
|
(2,804 |
) |
|||
$ |
7,751 |
|
$ |
8,905 |
|
$ |
36,912 |
|
$ |
36,410 |
|
||||
Operating Results per share (a non-GAAP measure) |
$ |
0.51 |
|
$ |
0.59 |
|
$ |
2.45 |
|
$ |
2.57 |
|
|||
Earnings per share |
|||||||||||||||
Computation of earnings per share - USPH shareholders: |
|||||||||||||||
Net income attributable to USPH shareholders |
$ |
9,244 |
|
$ |
656 |
|
$ |
31,424 |
|
$ |
28,239 |
|
|||
Charges to retained earnings: |
|||||||||||||||
Revaluation of redeemable non-controlling interest |
|
(1,806 |
) |
|
(8,577 |
) |
|
(4,964 |
) |
|
(13,565 |
) |
|||
Tax effect at statutory rate (federal and state) |
|
462 |
|
|
2,191 |
|
|
1,268 |
|
|
3,466 |
|
|||
$ |
7,900 |
|
$ |
(5,730 |
) |
$ |
27,728 |
|
$ |
18,140 |
|
||||
Earnings per share (basic and diluted) |
$ |
0.52 |
|
$ |
(0.38 |
) |
$ |
1.84 |
|
$ |
1.28 |
|
|||
Shares used in computation - basic and diluted |
|
15,089 |
|
|
14,987 |
|
|
15,064 |
|
|
14,188 |
|
|||
| _______________________________ | ||
(1) |
Costs associated with the closure of 2 and 45 clinics during the 2024 Fourth Quarter and 2024 Year, respectively. Closure costs in the 2023 Fourth Quarter and 2023 Year were not material. |
|
(2) |
Primarily consists of legal and consulting expenses related to the acquisition of |
|
U. S. PHYSICAL THERAPY, INC. AND SUBSIDIARIES RECONCILIATION OF NON-GAAP MEASURES TO THE MOST COMPARABLE GAAP MEASURES (IN THOUSANDS, EXCEPT PER SHARE DATA AND PERCENTAGES)
The tables below reconcile other non-GAAP measures to the most directly comparable GAAP measures. |
||||||||||||||||||||||||
Three Months Ended |
|
|||||||||||||||||||||||
December 31, 2024 |
December 31, 2023 |
|
||||||||||||||||||||||
As Reported
|
Closure
|
Non-Cash Impairment (2) |
As Adjusted
|
As Reported
|
Closure
|
Non-Cash Impairment (2) |
As Adjusted
|
|
||||||||||||||||
(in thousands, except per share data, and percentages) |
|
|||||||||||||||||||||||
Operating income (loss) |
$ |
14,538 |
$ |
246 |
$ |
2,418 |
$ |
17,202 |
$ |
(880) |
$ |
14 |
$ |
17,495 |
$ |
16,629 |
|
|||||||
Provision for taxes |
|
5,828 |
|
(63) |
|
(618) |
|
5,147 |
|
1,399 |
|
(4) |
|
(3,129) |
|
(1,734) |
|
|||||||
Minority interest |
|
(3,250) |
|
24 |
|
- |
|
(3,226) |
|
1,949 |
|
2 |
|
(5,249) |
|
(3,298) |
|
|||||||
USPH Net Income |
|
9,244 |
|
207 |
|
1,800 |
|
11,251 |
|
656 |
|
12 |
|
9,117 |
|
9,785 |
|
|||||||
Earnings per share |
$ |
0.52 |
$ |
0.01 |
$ |
0.12 |
$ |
0.65 |
$ |
(0.38) |
$ |
0.00 |
$ |
0.61 |
$ |
0.23 |
|
|||||||
|
||||||||||||||||||||||||
For the Year Ended |
|
|||||||||||||||||||||||
December 31, 2024 |
December 31, 2023 |
|
||||||||||||||||||||||
As Reported
|
Closure
|
Non-Cash Impairment (2) |
As Adjusted
|
As Reported
|
Closure
|
Non-Cash Impairment (2) |
As Adjusted
|
|
||||||||||||||||
(in thousands, except per share data, and percentages) |
|
|||||||||||||||||||||||
Operating costs |
$ |
547,424 |
$ |
(4,355) |
$ |
- |
$ |
543,069 |
$ |
483,293 |
$ |
(175) |
$ |
- |
$ |
483,118 |
|
|||||||
Gross profit |
|
123,921 |
|
4,355 |
|
- |
|
128,276 |
|
121,509 |
|
175 |
|
- |
|
121,684 |
|
|||||||
Gross margin |
|
|
* |
* |
|
|
|
|
* |
* |
|
|
|
|||||||||||
Operating income |
|
63,213 |
|
4,355 |
|
2,418 |
|
69,986 |
|
52,061 |
|
175 |
|
17,495 |
|
69,731 |
|
|||||||
Provision for taxes |
|
14,609 |
|
(1,113) |
|
(618) |
|
12,878 |
|
12,156 |
|
(45) |
|
(3,129) |
|
8,982 |
|
|||||||
Minority interest |
|
(14,176) |
|
492 |
|
- |
|
(13,684) |
|
(8,981) |
|
20 |
|
(5,249) |
|
(14,210) |
|
|||||||
USPH Net Income |
|
31,424 |
|
3,734 |
|
1,800 |
|
36,958 |
|
28,239 |
|
150 |
|
9,117 |
|
37,506 |
|
|||||||
Earnings per share |
$ |
1.84 |
$ |
0.25 |
$ |
0.12 |
$ |
2.21 |
$ |
1.28 |
$ |
0.01 |
$ |
0.64 |
$ |
1.93 |
|
|||||||
|
||||||||||||||||||||||||
Segment information - Physical Therapy Operations |
|
|||||||||||||||||||||||
Operating costs |
$ |
470,485 |
$ |
(4,355) |
$ |
- |
$ |
466,130 |
$ |
421,484 |
$ |
(175) |
$ |
- |
$ |
421,309 |
|
|||||||
Gross profit |
$ |
103,948 |
$ |
4,355 |
$ |
- |
$ |
108,303 |
$ |
105,064 |
$ |
175 |
|
- |
$ |
105,239 |
|
|||||||
Gross margin |
|
|
* |
* |
|
|
|
|
* |
* |
|
|
|
|||||||||||
| ___________________________ | ||
(1) |
Costs associated with the closure of 45 clinics during the 2024 Year. Closure costs for the comparable prior year periods were not material. We believe that presenting this information will allow investors to evaluate the performance of the Company's business more objectively. |
|
(2) |
A non-cash impairment charge of |
|
* Not meaningful |
||
U. S. PHYSICAL THERAPY, INC. AND SUBSIDIARIES SUPPLEMENTAL FINANCIAL AND PERFORMANCE METRICS |
|||||||||||||||
Revenue Metrics |
|||||||||||||||
Number of
|
Net Rate Per
|
Patient Visits (1) |
Average Daily Visits
|
||||||||||||
2024 |
2023 |
2024 |
2023 |
2024 |
2023 |
2024 |
2023 |
||||||||
First Quarter |
679 |
647 |
|
|
|
1,268,002 |
|
1,227,490 |
29.5 |
29.8 |
|||||
Second quarter |
681 |
656 |
|
|
|
1,335,335 |
|
1,267,140 |
30.6 |
30.4 |
|||||
Third quarter |
661 |
672 |
|
|
|
1,317,051 |
|
1,242,954 |
30.1 |
29.7 |
|||||
Fourth quarter |
729 |
671 |
|
|
|
1,432,801 |
|
1,267,842 |
31.7 |
29.9 |
|||||
Year |
729 |
|
671 |
|
|
|
|
|
5,353,189 |
|
5,005,426 |
|
30.4 |
|
30.0 |
| ___________________________ | ||
| (1) | See definition of the metrics above in the Glossary of Terms – Revenue Metrics on page 8. |
|
| (2) | The Company also has management contracts whereby it manages clinics owned by third parties. In addition to the clinic count shown above, as of December 31, 2024, the Company managed 39 clinics through the aforementioned management contracts bringing the total owned/managed clinics to 768. As of December 31, 2023, the Company managed 43 clinics bringing the total owned/managed clinics to 714. |
|
Clinic Count Roll Forward (1) |
|||||||
For the Three Months Ended |
For the Year Ended |
||||||
December 31,
|
December 31,
|
December 31,
|
December 31,
|
||||
Number of clinics owned or managed, beginning of period |
661 |
672 |
671 |
640 |
|||
Additions (2) |
70 |
6 |
103 |
46 |
|||
Closed or sold |
(2) |
(7) |
(45) |
(15) |
|||
Number of clinics owned or managed, end of period |
729 |
671 |
729 |
671 |
|||
| ___________________________ | ||
(1) |
The Company also manages clinics owned by third parties through management contracts. In addition to the clinic count shown above, as of December 31, 2024, the Company managed 39 clinics bringing the total owned/managed clinics to 768. As of December 31, 2023, the Company managed 43 clinics bringing the total owned/managed clinics to 714. |
|
(2) |
Includes clinics added through acquisitions. |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20250226867834/en/
U.S. Physical Therapy, Inc.
Carey Hendrickson, Chief Financial Officer
email: chendrickson@usph.com
Chris Reading, Chief Executive Officer
(713) 297-7000
Three Part Advisors
Joe Noyons
(817) 778-8424
Source: U.S. Physical Therapy, Inc.
FAQ
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How many clinics did USPH add during Q4 2024?
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What was USPH's average daily patient visits per clinic in Q4 2024?
