Sign In  |  Register  |  About Corte Madera  |  Contact Us

Corte Madera, CA
September 01, 2020 10:27am
7-Day Forecast | Traffic
  • Search Hotels in Corte Madera

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Acadia Healthcare Reports Third Quarter 2021 Results

Acadia Healthcare Company, Inc. (NASDAQ: ACHC) today announced financial results for the third quarter ended September 30, 2021.

Third Quarter 2021 Results

The Company reported revenue of $587.6 million for the third quarter of 2021, compared with $548.0 million for the third quarter of 2020. Adjusted EBITDA was $141.9 million for the third quarter of 2021, compared with $116.0 million for the same period last year. Results for the third quarter of 2020 included a reversal of the $18.1 million in other income that had been recorded in the second quarter of 2020 related to the Provider Relief Fund established by the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. Net income attributable to Acadia stockholders for the third quarter of 2021 was $66.1 million, or $0.73 per diluted share, compared to net income of $37.0 million, or $0.42 per diluted share, for the third quarter of 2020. Adjusted income from continuing operations attributable to Acadia stockholders was $0.72 per diluted share for the third quarter of 2021. Adjustments to income include transaction-related expenses, debt extinguishment costs, loss on impairment and the income tax effect of adjustments to income. A reconciliation of all non-GAAP financial results in this press release begins on page 9.

For the third quarter of 2021, Acadia’s same facility revenue increased 7.9% compared with the third quarter of 2020, including an increase in revenue per patient day of 5.6% and an increase in patient days of 2.2%. Same facility adjusted EBITDA margin was 29.0%.

Debbie Osteen, Chief Executive Officer of Acadia Healthcare Company, remarked, “We continue to see favorable momentum in our business as demand for our behavioral health services remains strong, especially within our acute and specialty service lines. Our teams faced some challenges during the third quarter related to Hurricane Ida and the surge of the Delta variant of COVID-19. We are extremely proud of them and applaud their dedication and caring for our patients under extraordinary conditions. Above all, the safety of our patients is our top priority, and we remain focused on providing consistent care for those seeking treatment for mental health and substance use issues.

“Our financial results for the third quarter were adversely affected by disruptions from Hurricane Ida in Louisiana, including temporary evacuation of one facility. The hurricane had a negative 0.3% impact on our revenue growth rate and a $0.01 impact on Adjusted EPS. In addition, our facilities in certain markets managed through an elevated level of COVID-19 cases during the third quarter. Despite these challenges, we continued to manage our operations safely and efficiently while maintaining our same high standards of patient care.”

Strategic Investments for Long-Term Growth

“We have made significant progress this year in executing on key strategic initiatives across our service lines as we have continued to make the right investments to support sustained, long-term growth. During the third quarter, we added 104 beds to our operations, bringing our total to 282 bed additions to existing facilities this year. We believe facility expansions offer the highest return on investment for Acadia, and we expect to meet our goal of adding approximately 300 beds to existing facilities by the end of the year.

“We also opened two new comprehensive treatment centers (CTCs) in the third quarter, located in Tennessee and Florida. CTCs are designed to address the growing and critical need for addiction treatment, especially for patients dealing with opioid use disorder. Through the end of the third quarter, we have opened five CTCs and expect to open six additional CTCs in underserved markets by the end of 2021.

“Forming strategic partnerships with leading healthcare systems across the country has been another important pathway for growth for Acadia. With the growing recognition and acceptance of behavioral health services driving demand, established providers are looking for ways to leverage their market presence and provide more treatment options in the communities they serve. We are proud of our 13 partnerships across the country, and we are excited about the opportunities to expand our reach into more communities. During the third quarter, we broke ground on new facilities with two of our JV partners – Geisinger and Lutheran Health Network of Indiana.

“Our success to date in 2021 confirms the strength of our operating model and our ability to execute our strategy. Looking ahead, we will continue to expand our network and serve more patients through our four distinct pathways for growth – bed expansions, wholly owned de novo facilities, strategic joint ventures and acquisitions,” added Osteen.

Cash and Liquidity

Acadia’s balance sheet remains strong with ample liquidity and capital to support its growth strategy. As of September 30, 2021, the Company had $196.3 million in cash and cash equivalents. During the third quarter, the Company repaid $25 million on its senior secured revolving credit facility, reducing the outstanding balance to $100 million as of September 30, 2021. The Company had $500 million available under its $600 million revolving credit facility as of September 30, 2021, and its net leverage ratio was approximately 2.2x.

During the third quarter, the Company continued its repayment of amounts received pursuant to the Medicare Accelerated and Advanced Payment Program under the CARES Act. In the third quarter of 2021, the Company repaid $10 million of the $45 million of advance payments received in 2020 under the Medicare Accelerated and Advanced Payment Program and will continue to repay the remaining balance on a monthly basis through September 2022. Also in the third quarter of 2021, the Company repaid half of the approximately $39 million of 2020 payroll tax deferrals with the remaining portion to be paid in 2022.

Financial Guidance

Acadia today narrowed its financial guidance for 2021, within previously announced ranges, as follows:

  • Revenue in a range of $2.295 billion to $2.315 billion;
  • Adjusted EBITDA in a range of $537 million to $547 million;
  • Adjusted earnings per diluted share in a range of $2.51 to $2.59, which reflects a revised estimate of stock compensation expense for the fourth quarter of 2021 in a range of $11 million to $13 million;
  • Operating cash flows in a range of $290 million to $325 million; and
  • Total capital expenditures in a range of $210 million to $230 million, which includes approximately $45 million for maintenance capital expenditures.

The Company’s guidance does not include the impact of any future acquisitions or transaction-related expenses.

Looking Ahead

“We are excited about the opportunities ahead for Acadia, as we focus on our primary objective to expand our market reach and support more patients with safe and quality care. We are especially pleased to see the growing acceptance and additional funding support for mental health and substance abuse issues. We have a unique opportunity to capitalize on these promising trends and meet the critical and growing demand for behavioral health services. Importantly, we have the capital structure to support our strategic growth initiatives and further enhance our position as the leading pure-play behavioral healthcare provider,” concluded Osteen.

Acadia will hold a conference call to discuss its third quarter financial results at 9:00 a.m. Eastern Time on Friday, October 29, 2021. 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 for 30 days.

About Acadia

Acadia is a leading provider of behavioral healthcare services across the United States. As of September 30, 2021, Acadia operated a network of 230 behavioral healthcare facilities with approximately 10,200 beds in 40 states and Puerto Rico. With more than 20,000 employees serving approximately 70,000 patients daily, Acadia is the largest stand-alone behavioral health company in the U.S. Acadia provides behavioral healthcare services to its patients in a variety of settings, including inpatient psychiatric hospitals, specialty treatment facilities, residential treatment centers and outpatient clinics.

Forward-Looking Information

This press 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 press 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 impact of the COVID-19 pandemic, including, without limitation, disruption to the U.S. economy and financial markets; reduced admissions and patient volumes; increased costs relating to labor, supply chain and other expenditures; and difficulty in collecting patient accounts receivable due to increases in the unemployment rate and the number of underinsured and uninsured patients; (ii) the impact of vaccine and other pandemic-related mandates imposed by local, state and federal authorities; (iii) potential difficulties in successfully integrating the operations of acquired facilities or realizing the expected benefits and synergies of our acquisitions, joint ventures and de novo transactions; (iv) Acadia’s ability to add beds, expand services, enhance marketing programs and improve efficiencies at its facilities; (v) potential reductions in payments received by Acadia from government and third-party payors; (vi) the occurrence of patient incidents, governmental investigations, litigation and adverse regulatory actions, which could adversely affect the price of our common stock and result in substantial payments and incremental regulatory burdens; (vii) 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 (viii) potential operating difficulties, labor costs, client preferences, changes in competition and general economic or industry conditions that may prevent Acadia from realizing the expected benefits of its business strategies. These factors and others are more fully described in Acadia’s periodic reports and other filings with the SEC.

Acadia Healthcare Company, Inc.

Condensed Consolidated Statements of Operations

(Unaudited)

Three Months Ended September 30,

Nine Months Ended September 30,

2021

2020

2021

2020

(In thousands, except per share amounts)

 
Revenue

$

587,559

$

547,961

$

1,720,914

$

1,548,653

 
Salaries, wages and benefits (including equity-based compensation expense of
$8,923, $5,471, $24,988 and $16,258, respectively)

309,118

290,619

922,684

852,864

Professional fees

35,602

29,372

101,915

91,009

Supplies

23,743

21,773

67,698

65,028

Rents and leases

9,658

9,365

28,690

27,975

Other operating expenses

76,502

68,213

222,263

202,540

Other income

-

18,070

-

-

Depreciation and amortization

27,805

24,132

78,349

70,298

Interest expense, net

15,706

37,315

61,420

118,398

Debt extinguishment costs

-

-

24,650

3,271

Loss on impairment

1,079

-

24,293

-

Transaction-related expenses

3,035

3,024

9,320

9,558

Total expenses

502,248

501,883

1,541,282

1,440,941

Income from continuing operations before income taxes

85,311

46,078

179,632

107,712

Provision for income taxes

17,411

9,191

42,948

24,174

Income from continuing operations

67,900

36,887

136,684

83,538

Income (loss) from discontinued operations, net of taxes

-

674

(12,641

)

29,804

Net income

67,900

37,561

124,043

113,342

Net income attributable to noncontrolling interests

(1,774

)

(563

)

(3,686

)

(1,802

)

Net income attributable to Acadia Healthcare Company, Inc.

$

66,126

$

36,998

$

120,357

$

111,540

 
Basic earnings per share attributable to Acadia Healthcare Company, Inc.
stockholders:
Income from continuing operations attributable to Acadia Healthcare
Company, Inc.

$

0.74

$

0.41

$

1.50

$

0.93

Income (loss) from discontinued operations

$

-

$

0.01

$

(0.14

)

$

0.34

Net income attributable to Acadia Healthcare Company, Inc.

$

0.74

$

0.42

$

1.36

$

1.27

 
Diluted earnings per share attributable to Acadia Healthcare Company, Inc.
stockholders:
Income from continuing operations attributable to Acadia Healthcare
Company, Inc.

$

0.73

$

0.41

$

1.47

$

0.92

Income (loss) from discontinued operations

$

-

$

0.01

$

(0.14

)

$

0.34

Net income attributable to Acadia Healthcare Company, Inc.

$

0.73

$

0.42

$

1.33

$

1.26

 
Weighted-average shares outstanding:
Basic

88,962

87,911

88,684

87,849

Diluted

90,889

88,856

90,604

88,449

 

Acadia Healthcare Company, Inc.

Condensed Consolidated Balance Sheets

(Unaudited)

September 30,

December 31,

2021

2020

(In thousands)

 

ASSETS

 
Current assets:
Cash and cash equivalents

$

196,313

$

378,697

Accounts receivable, net

282,161

273,551

Other current assets

88,685

61,332

Current assets held for sale

-

1,809,815

Total current assets

567,159

2,523,395

Property and equipment, net

1,665,025

1,622,896

Goodwill

2,103,503

2,105,264

Intangible assets, net

69,366

68,535

Deferred tax assets

3,112

3,209

Operating lease right-of-use assets

103,162

96,937

Other assets

83,400

79,126

Total assets

$

4,594,727

$

6,499,362

 
 

LIABILITIES AND EQUITY

 
Current liabilities:
Current portion of long-term debt

$

15,938

$

153,478

Accounts payable

85,924

87,815

Accrued salaries and benefits

124,164

124,912

Current portion of operating lease liabilities

20,062

18,916

Other accrued liabilities

157,204

178,453

Derivative instrument liabilities

-

84,584

Current liabilities held for sale

-

660,027

Total current liabilities

403,292

1,308,185

Long-term debt

1,413,407

2,968,948

Deferred tax liabilities

73,673

50,017

Operating lease liabilities

89,952

84,029

Other liabilities

117,883

133,412

Total liabilities

2,098,207

4,544,591

Redeemable noncontrolling interests

62,074

55,315

Equity:
Common stock

890

880

Additional paid-in capital

2,623,585

2,580,327

Accumulated other comprehensive loss

-

(371,365

)

Accumulated deficit

(190,029

)

(310,386

)

Total equity

2,434,446

1,899,456

Total liabilities and equity

$

4,594,727

$

6,499,362

 

Acadia Healthcare Company, Inc.

Condensed Consolidated Statements of Cash Flows

(Unaudited)

Nine Months Ended September 30,

2021

2020

(In thousands)

Operating activities:
Net income

$

124,043

$

113,342

Adjustments to reconcile net income to net cash provided by continuing operating activities:
Depreciation and amortization

78,349

70,298

Amortization of debt issuance costs

3,265

9,696

Equity-based compensation expense

24,988

16,258

Deferred income taxes

8,995

45,105

Loss (income) from discontinued operations, net of taxes

12,641

(29,804

)

Debt extinguishment costs

24,650

3,271

Loss on impairment

24,293

-

Other

881

1,024

Change in operating assets and liabilities:
Accounts receivable, net

(8,610

)

7,364

Other current assets

(2,758

)

(4,942

)

Other assets

(15,846

)

(880

)

Accounts payable and other accrued liabilities

6,358

19,854

Accrued salaries and benefits

18,820

14,150

Other liabilities

(11,633

)

(2,256

)

Government relief funds

(12,058

)

103,908

Net cash provided by continuing operating activities

276,378

366,388

Net cash provided by discontinued operating activities

253

105,852

Net cash provided by operating activities

276,631

472,240

 
Investing activities:
Cash paid for capital expenditures

(156,624

)

(168,804

)

Proceeds from U.K. Sale

1,511,020

-

Settlement of foreign currency derivatives

(84,795

)

-

Proceeds from sale of property and equipment

1,792

72

Cash paid for purchase of finance lease

(31,401

)

-

Other

4,906

(10,734

)

Net cash provided by (used in) continuing investing activities

1,244,898

(179,466

)

Net cash used in discontinued investing activities

-

(30,188

)

Net cash provided by (used in) investing activities

1,244,898

(209,654

)

 
Financing activities:
Borrowings on long-term debt

425,000

450,000

Borrowings on revolving credit facility

430,000

100,000

Principal payments on revolving credit facility

(330,000

)

(100,000

)

Principal payments on long-term debt

(5,313

)

(31,863

)

Repayment of long-term debt

(2,227,935

)

(450,000

)

Payment of debt issuance costs

(7,964

)

(11,220

)

Common stock withheld for minimum statutory taxes, net

16,072

(1,311

)

Distributions to noncontrolling interests

(926

)

(653

)

Other

(6,914

)

(1,291

)

Net cash used in continuing financing activities

(1,707,980

)

(46,338

)

Net cash used in discontinued financing activities

-

(2,226

)

Net cash used in financing activities

(1,707,980

)

(48,564

)

 
Effect of exchange rate changes on cash

4,067

488

 
Net (decrease) increase in cash and cash equivalents, including cash classified within
current assets held for sale

(182,384

)

214,510

Less: cash classified within current assets held for sale

-

(50,568

)

Net (decrease) increase in cash and cash equivalents

(182,384

)

163,942

Cash and cash equivalents at beginning of the period

378,697

124,192

Cash and cash equivalents at end of the period

$

196,313

$

288,134

 

Acadia Healthcare Company, Inc.

Operating Statistics

(Unaudited, Revenue in thousands)

Three Months Ended September 30,

Nine Months Ended September 30,

2021

2020

% Change

2021

2020

% Change

U.S. Same Facility Results (1)
Revenue

$

586,420

$

543,402

7.9

%

$

1,708,389

$

1,539,923

10.9

%

Patient Days

699,344

684,326

2.2

%

2,075,197

1,979,267

4.8

%

Admissions

45,070

44,781

0.6

%

135,377

129,234

4.8

%

Average Length of Stay (2)

15.5

15.3

1.5

%

15.3

15.3

0.1

%

Revenue per Patient Day

$

839

$

794

5.6

%

$

823

$

778

5.8

%

Adjusted EBITDA margin

29.0

%

25.4

%

360 bps

28.3

%

25.5

%

280 bps
 
U.S. Facility Results
Revenue

$

587,559

$

547,961

7.2

%

$

1,720,914

$

1,548,653

11.1

%

Patient Days

701,352

689,402

1.7

%

2,088,477

1,995,922

4.6

%

Admissions

45,246

44,877

0.8

%

136,384

129,638

5.2

%

Average Length of Stay (2)

15.5

15.4

0.9

%

15.3

15.4

-0.5

%

Revenue per Patient Day

$

838

$

795

5.4

%

$

824

$

776

6.2

%

Adjusted EBITDA margin

28.3

%

25.3

%

300 bps

27.7

%

25.4

%

230 bps
(1) Same facility results for the periods presented include facilities we have operated for more than one year and exclude certain closed services.
(2) Average length of stay is defined as patient days divided by admissions.

Acadia Healthcare Company, Inc.

Reconciliation of Net Income Attributable to Acadia Healthcare Company, Inc. to Adjusted EBITDA

(Unaudited)

Three Months Ended September 30,

Nine Months Ended September 30,

2021

2020

2021

2020

(in thousands)

 
Net income attributable to Acadia Healthcare Company, Inc.

$

66,126

$

36,998

$

120,357

$

111,540

Net income attributable to noncontrolling interests

1,774

563

3,686

1,802

(Income) loss from discontinued operations, net of taxes

-

(674

)

12,641

(29,804

)

Provision for income taxes

17,411

9,191

42,948

24,174

Interest expense, net

15,706

37,315

61,420

118,398

Depreciation and amortization

27,805

24,132

78,349

70,298

EBITDA

128,822

107,525

319,401

296,408

 
Adjustments:
Equity-based compensation expense (a)

8,923

5,471

24,988

16,258

Transaction-related expenses (b)

3,035

3,024

9,320

9,558

Debt extinguishment costs (c)

-

-

24,650

3,271

Loss on impairment (d)

1,079

-

24,293

-

Adjusted EBITDA

$

141,859

$

116,020

$

402,652

$

325,495

 
Adjusted EBITDA margin

24.1

%

21.2

%

23.4

%

21.0

%

 
See footnotes on page 12.
 
Acadia Healthcare Company, Inc.
Reconciliation of Net Income Attributable to Acadia Healthcare Company, Inc. to
Adjusted Income Attributable to Acadia Healthcare Company, Inc.
(Unaudited)
 
Three Months Ended
September 30, 2021
Nine Months Ended
September 30, 2021
(in thousands, except per share amounts)
 
Net income attributable to Acadia Healthcare Company, Inc.

$

66,126

$

120,357

Loss from discontinued operations, net of taxes

-

12,641

 
Adjustments to income:
Transaction-related expenses (b)

3,035

9,320

Debt extinguishment costs (c)

-

24,650

Loss on impairment (d)

1,079

24,293

Provision for income taxes

17,411

42,948

Adjusted income from continuing operations before income taxes attributable to
Acadia Healthcare Company, Inc.

87,651

234,209

Income tax effect of adjustments to income (e)

22,508

62,709

Adjusted income from continuing operations attributable to Acadia Healthcare Company, Inc.

$

65,143

$

171,500

 
Weighted-average shares outstanding - diluted

90,889

90,604

 
Adjusted income from continuing operations attributable to Acadia Healthcare Company, Inc.
per diluted share

$

0.72

$

1.89

 
 
Three Months Ended
September 30, 2020
Nine Months Ended
September 30, 2020
(in thousands, except per share amounts)
Net income attributable to Acadia Healthcare Company, Inc.

$

36,998

$

111,540

Income from discontinued operations, net of taxes

(674

)

(29,804

)

 
Adjustments to income:
Transaction-related expenses (b)

3,024

9,558

Debt extinguishment costs (c)

-

3,271

Provision for income taxes

9,191

24,174

Adjusted income from continuing operations before income taxes attributable to
Acadia Healthcare Company, Inc.

48,539

118,739

Adjusted income from discontinued operations before income taxes

24,367

54,775

Adjusted income before income taxes attributable to Acadia Healthcare Company, Inc.

72,906

173,514

Income tax effect of adjustments to income (e)

12,562

28,372

Adjusted income attributable to Acadia Healthcare Company, Inc.

$

60,344

$

145,142

 
Weighted-average shares outstanding - diluted

88,856

88,449

 
Adjusted income attributable to Acadia Healthcare Company, Inc. per diluted share (3)

$

0.68

$

1.64

(3) For the three and nine months ended September 30, 2020, Adjusted income attributable to Acadia Healthcare Company, Inc. per diluted share includes Adjusted income from discontinued operations before income taxes and is not directly comparable to Adjusted income from continuing operations attributable to Acadia Healthcare Company, Inc. per diluted share for the three and nine months ended September 30, 2021. Interest expense, which has been significantly reduced following debt repayments in the first quarter of 2021, is recorded in income from continuing operations and not allocated to discontinued operations because such allocation would not be meaningful. Therefore, 2020 reflects consolidated results inclusive of discontinued operations, and 2021 reflects only continuing operations.

See footnotes on page 12.

 

Acadia Healthcare Company, Inc.

Discontinued Operations Supplemental Financial Information

(Unaudited)

Statements of Discontinued Operations

Three Months Ended September 30,

Nine Months Ended September 30,

2021

2020

2021

2020

(in thousands)

 
Revenue

$

-

$

285,343

$

62,520

$

817,772

 
Salaries, wages and benefits

-

159,840

35,937

465,514

Professional fees

-

31,987

6,815

92,264

Supplies

-

9,434

2,217

28,274

Rents and leases

-

11,817

2,509

34,858

Other operating expenses

-

28,880

6,682

85,682

Depreciation and amortization

-

18,780

-

55,739

Interest expense, net

-

238

10

666

Loss on sale

-

-

14,254

-

Loss on impairment

-

20,239

-

20,239

Transaction-related expenses

-

5,479

6,265

7,735

Total expenses

-

286,694

74,689

790,971

(Loss) income from discontinued operations before income taxes

-

(1,351

)

(12,169

)

26,801

(Benefit from) provision for income taxes

-

(2,025

)

472

(3,003

)

Income (loss) from discontinued operations, net of taxes

-

674

(12,641

)

29,804

 
 
 

Reconciliation of Income (Loss) from Discontinued Operations to
Adjusted Income from Discontinued Operations before Income Taxes

Three Months Ended September 30,

Nine Months Ended September 30,

2021

2020

2021

2020

(in thousands)

 
Income (loss) from discontinued operations, net of taxes

$

-

$

674

$

(12,641

)

$

29,804

 
Adjustments to income:
Transaction-related expenses (b)

-

5,479

6,265

7,735

Loss on sale (f)

-

-

14,254

-

Loss on impairment (g)

-

20,239

-

20,239

Provision for (benefit from) income taxes

-

(2,025

)

472

(3,003

)

Adjusted income from discontinued operations before income taxes

$

-

$

24,367

$

8,350

$

54,775

 
See footnotes on page 12.
 
Acadia Healthcare Company, Inc.
Footnotes
 
We have included certain financial measures in this press release, including EBITDA, Adjusted EBITDA, Adjusted EBITDA margin, Adjusted income from continuing operations before income taxes attributable to Acadia Healthcare Company, Inc., Adjusted income from continuing operations attributable to Acadia Healthcare Company, Inc., Adjusted income from discontinued operations before income taxes and Adjusted income attributable to Acadia Healthcare Company, Inc., 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 net income attributable to noncontrolling interests, loss (income) from discontinued operations, net of taxes, provision for income taxes, net interest expense and depreciation and amortization. We define Adjusted EBITDA as EBITDA adjusted for equity-based compensation expense, transaction-related expenses, debt extinguishment costs and loss on impairment. We define Adjusted EBITDA margin as Adjusted EBITDA divided by revenue. We define Adjusted income from continuing operations before income taxes attributable to Acadia Healthcare Company, Inc. as net income adjusted for loss from discontinued operations, net of taxes, transaction-related expenses, debt extinguishment costs, loss on impairment and provision for income taxes. We define Adjusted income from continuing operations attributable to Acadia Healthcare Company, Inc. as net income attributable to Acadia Healthcare Company, Inc. adjusted for loss from discontinued operations, net of taxes, transaction-related expenses, debt extinguishment costs, loss on impairment, provision for income taxes and income tax effect of adjustments to income. We define Adjusted income from discontinued operations before income taxes as (loss) income from discontinued operations, net of taxes, adjusted for transaction-related expenses, loss on sale, loss on impairment and provision for (benefit from) income taxes.
 
We define Adjusted income attributable to Acadia Healthcare Company, Inc. as the sum of Adjusted income from continuing operations before income taxes attributable to Acadia Healthcare Company, Inc., Adjusted income from discontinued operations before income taxes and income tax effect of adjustments to income.
 
The non-GAAP financial measures presented herein 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”). The non-GAAP financial measures presented herein 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 these non-GAAP financial measures may not be comparable to similarly titled measures of other companies. We have included information concerning the non-GAAP financial measures 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 similar non-GAAP financial measures when reporting their results. Because the non-GAAP financial measures are not measurements determined in accordance with GAAP and are thus susceptible to varying calculations, the non-GAAP financial measures, as presented, may not be comparable to other similarly titled measures of other companies. Our presentation of these non-GAAP financial measures should not be construed as an inference that our future results will be unaffected by unusual or nonrecurring items.
 
(a) Represents the equity-based compensation expense of Acadia.
 
(b) Represents transaction-related expenses incurred by Acadia primarily related to termination, restructuring, strategic review, acquisition and other similar costs.
 
(c) Represents debt extinguishment costs recorded during the first quarter of 2021 in connection with the redemption of the 5.625% Senior Notes and 6.500% Senior Notes and the termination of the Prior Credit Facility and during the second quarter of 2020 in connection with the redemption of the 6.125% Senior Notes and 5.125% Senior Notes.
 
(d) The Company opened a 260-bed replacement hospital in Pennsylvania and recorded a non-cash property impairment charge of $23.2 million for the existing facility during the second quarter of 2021. Additionally, during the third quarter of 2021, the Company recorded a $1.1 million non-cash property impairment charge for one facility in Louisiana resulting from hurricane damage.
 
(e) Represents the income tax effect of adjustments to income based on tax rates of 25.7% and 17.2% for the three months ended September 30, 2021 and 2020, respectively, and 26.8% and 16.4% for the nine months ended September 30, 2021 and 2020, respectively. During the three and nine months ended September 30, 2021, the Company recorded a tax benefit of $0.2 million and $1.9 million, respectively, from ASU 2016-09 “Improvements to Employee Share-Based Payment Accounting”. During the three and nine months ended September 30, 2021, the Company recorded a tax benefit of $3.1 million related to the release of a valuation allowance placed on capital gains for certain facilities disposed of in prior periods. Both tax benefits were excluded from the adjusted tax provision for the three and nine months ended September 30, 2021.
 
(f) Represents the adjustments to the loss on sale recorded in connection with the sale of our U.K. operations in January 2021 to reflect an increase in the U.K. carrying value.
 
(g) For the three and nine months ended September 30, 2020, represents a non-cash lease impairment charge of $16.4 million and a non-cash long-lived asset impairment charge of $3.8 million related to the decision to close certain U.K. elderly care facilities.

Contacts:

Gretchen Hommrich
Director, Investor Relations
(615) 861-6000

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 CorteMadera.com & California Media Partners, LLC. All rights reserved.