The Ensign Group, Inc. (Nasdaq: ENSG), the parent company of the Ensign(TM) group of skilled nursing, rehabilitative care services and assisted living companies, today reported record results for the second quarter of fiscal year 2009.
The company’s highlights for the quarter include:
- Total revenue was a record $132.2 million, up 14.6% compared to $115.3 million for the second quarter of 2008
- Same-store skilled mix by revenue increased to 49.6%;
- The company’s average daily Medicare rate increased by 9.4% to $542 per patient day, an increase of $46 per patient day, as the company’s overall patient base continued shifting to a higher acuity mix;
- Consolidated net income climbed 25.5% to a record $8.2 million, compared to $6.5 million the year before, with net margins increasing to 6.2% from 5.7%
Ensign’s President and Chief Executive Officer Christopher Christensen congratulated Ensign’s facility leaders and their teams. "Despite muted occupancy and skilled mix growth in isolated areas, we are pleased to report that our same-store skilled mix nonetheless rose by 11 basis points, and earnings were up over 25%," he said. He attributed the record performance to the responsiveness of Ensign’s local leaders to unique changes in their individual markets.
In light of recently announced changes in Medicare and Medicaid rates which will not produce the assumed 2.0% rate increase that was used to set the company’s previous 2009 revenue guidance, Management revised its 2009 annual revenue guidance by $7 million, to $536 million to $541 million. However, Management reaffirmed its previously-published net income guidance of $1.58 per share to $1.63 per share for the year.
For the full 10-Q, click here.