EX-99.1 2 d812408dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

 

LOGO

 

Contact:

   Investor Contact:    Media Contact:
   Amedisys, Inc.    Amedisys, Inc.
   David Castille    Kendra Kimmons
   Managing Director, Treasury/Finance    Managing Director, Marketing & Communications
   (225) 299-3391    (225) 299-3720
   david.castille@amedisys.com    kendra.kimmons@amedisys.com

AMEDISYS REPORTS THIRD QUARTER FINANCIAL RESULTS

AMEDISYS TO HOST CONFERENCE CALL TODAY AT 10:00 A.M. ET

BATON ROUGE, Louisiana (October 29, 2014) — Amedisys, Inc. (NASDAQ: AMED), a leading home health and hospice company, today reported its financial results for the three and nine-month periods ended September 30, 2014.

Three-Month Periods Ended September 30, 2014 and 2013

 

    After adding back for the 2014 period, $1.0 million ($0.6 million, net of income tax) or $0.02 per diluted share and for the 2013 period $145.0 million ($90.2 million, net of income tax) or $2.86 per diluted share for certain items*, our adjusted results from continuing operations were as follows:

 

    Net service revenue of $300.3 million compared to $301.3 million in 2013.

 

    Net income from continuing operations attributable to Amedisys, Inc. of $9.1 million compared to net loss from continuing operations of $0.2 million in 2013. (Net income from continuing operations attributable to Amedisys, Inc. of $8.4 million compared to net loss from continuing operations attributable to Amedisys, Inc. of $90.3 million in 2013 on a GAAP basis.)

 

    Net income from continuing operations attributable to Amedisys, Inc. per diluted share of $0.28 compared to net loss from continuing operations attributable to Amedisys, Inc. of $0.01 per diluted share in 2013. (Net income from continuing operations attributable to Amedisys, Inc. per diluted share of $0.26 compared to net loss from continuing operations attributable to Amedisys Inc. per diluted share of $2.87 per diluted share in 2013 on a GAAP basis.)

 

    Earnings before interest, taxes, depreciation and amortization attributable to continuing operations (“EBITDA”) of $23.8 million compared to $8.8 million in 2013.

Nine-Month Periods Ended September 30, 2014 and 2013

 

    After adding back for the 2014 period, $17.9 million ($11.0 million, net of income tax) or $0.34 per diluted share and for the 2013 period $153.1 million ($95.2 million, net of income tax) or $3.06 per diluted share for certain items*, our adjusted results from continuing operations were as follows:

 

    Net service revenue of $904.0 million compared to $945.8 million in 2013.

 

    Net income from continuing operations attributable to Amedisys, Inc. of $14.9 million compared to net income from continuing operations of $10.3 million in 2013. (Net income from continuing operations attributable to Amedisys, Inc. of $3.9 million compared to net loss from continuing operations attributable to Amedisys, Inc. of $84.9 million in 2013 on a GAAP basis.)

 

    Net income from continuing operations attributable to Amedisys, Inc. per diluted share of $0.46 compared to net income from continuing operations attributable to Amedisys, Inc. of $0.33 per diluted share in 2013. (Net income from continuing operations attributable to Amedisys, Inc. per diluted share of $0.12 compared to net loss from continuing operations attributable to Amedisys Inc. per diluted share of $2.73 per diluted share in 2013 on a GAAP basis.)
    EBITDA of $51.4 million compared to $46.7 million in 2013.

Ronald A. LaBorde, Interim Chief Executive Officer stated, “We remain focused on high-quality patient care, organic growth and improving financial performance. Our third quarter results reflect the effort of our entire organization, and we are pleased with another quarter of progress.”

We urge caution in considering the current trends disclosed in this press release. The home health and hospice industry is highly competitive and subject to intensive regulations, and trends are subject to numerous factors, risks, and uncertainties, some of which are referenced in the cautionary language below and others that are described more fully in our reports filed with the Securities and Exchange Commission (“SEC”) including our Annual Report on Form 10-K for the fiscal year ended December 31, 2013, and subsequent Quarterly Reports on Form 10-Q, and current reports on Form 8-K which can be found on the SEC’s internet website, http://www.sec.gov, and our internet website, http://www.amedisys.com. We disclaim any obligations to update disclosed information on trends.

 

* See pages 10 & 11 for explanation of these certain items and the reconciliations of non-GAAP financial measures.


Earnings Call and Webcast Information

To participate on the conference call, please call a few minutes before 10:00 a.m. ET on Wednesday, October 29, 2014, to either (877) 512-9171 (Toll free) or (815) 573-0979 (Toll), use conference ID #21256886. A replay of the conference call will be available through November 29, 2014. The replay dial in number is (855) 859-2056 (Toll free) or (404) 537-3406 (Toll) and use conference ID #21256886.

The call will also be available through our website and for seven days thereafter at the following web address: http://investors.amedisys.com.

We are headquartered in Baton Rouge, Louisiana. Our common stock trades on the NASDAQ Global Select Market under the symbol “AMED.”

Additional information

Our company website address is www.amedisys.com. We use our website as a channel of distribution for important company information. Important information, including press releases, analyst presentations and financial information regarding our company, is routinely posted on and accessible on the Investor Relations subpage of our website, which is accessible by clicking on the tab labeled “Investors” on our website home page. We also use our website to expedite public access to time-critical information regarding our company in advance of or in lieu of distributing a press release or a filing with the SEC disclosing the same information. Therefore, investors should look to the Investor Relations subpage of our website for important and time-critical information. Visitors to our website can also register to receive automatic e-mail and other notifications alerting them when new information is made available on the Investor Relations subpage of our website.

Forward-Looking Statements

When included in this press release, words like “believes,” “belief,” “expects,” “plans,” “anticipates,” “intends,” “projects,” “estimates,” “may,” “might,” “would,” “should” and similar expressions are intended to identify forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve a variety of risks and uncertainties that could cause actual results to differ materially from those described therein. These risks and uncertainties include, but are not limited to the following: changes in Medicare and other medical payment levels, our ability to open care centers, acquire additional care centers and integrate and operate these care centers effectively, changes in or our failure to comply with existing Federal and State laws or regulations or the inability to comply with new government regulations on a timely basis, competition in the home health industry, changes in the case mix of patients and payment methodologies, changes in estimates and judgments associated with critical accounting policies, our ability to maintain or establish new patient referral sources, our ability to attract and retain qualified personnel, changes in payments and covered services due to the economic downturn and deficit spending by Federal and State governments, future cost containment initiatives undertaken by third-party payors, our access to financing due to the volatility and disruption of the capital and credit markets, our ability to meet debt service requirements and comply with covenants in debt agreements, business disruptions due to natural disasters or acts of terrorism, our ability to integrate and manage our information systems, our ability to comply with requirements stipulated in our corporate integrity agreement and changes in law or developments with respect to any litigation relating to the Company, including various other matters, many of which are beyond our control.

Because forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, you should not rely on any forward-looking statement as a prediction of future events. We expressly disclaim any obligation or undertaking and we do not intend to release publicly any updates or changes in our expectations concerning the forward-looking statements or any changes in events, conditions or circumstances upon which any forward-looking statement may be based, except as required by law.

Non-GAAP Financial Measures

This press release includes the following non-GAAP financial measures as defined under SEC rules: EBITDA, defined as net income (loss) from continuing operations attributable to Amedisys, Inc. before provision for income taxes, net interest expense and depreciation and amortization, adjusted EBITDA, defined as EBITDA excluding certain other items, adjusted net income (loss) from continuing operations attributable to Amedisys, Inc., defined as net income (loss) from continuing operations attributable to Amedisys, Inc. excluding certain other items, and adjusted net income (loss) from continuing operations attributable to Amedisys, Inc. per diluted share, defined as net income (loss) from continuing operations attributable to Amedisys, Inc. common stockholders per diluted share excluding certain other items. In accordance with SEC rules, we have provided herein a reconciliation of these non-GAAP financial measures to the most directly comparable measures under GAAP. Management believes that these are useful gauges of our performance and are common measures used in our industry to assess relative financial performance among companies.

 

2


AMEDISYS, INC. AND SUBSIDIARIES

SELECT CONSOLIDATED FINANCIAL STATEMENT DATA AND SUPPLEMENTAL INFORMATION

(Amounts in thousands, except share, per share data and statistical information)

(Unaudited)

Balance Sheet Information

 

     September 30, 2014     December 31, 2013  
ASSETS     

Current assets:

    

Cash and cash equivalents

   $ 5,542     $ 17,303  

Patient accounts receivable, net of allowance for doubtful accounts of $15,640 and $14,231

     102,859       111,133  

Prepaid expenses

     11,303       10,669  

Deferred income taxes

     10,153       55,329  

Other current assets

     12,577       10,785  

Assets held for sale

     —         60  
  

 

 

   

 

 

 

Total current assets

     142,434       205,279  

Property and equipment, net of accumulated depreciation of $142,066 and $129,891

     141,419       159,025  

Goodwill

     205,587       208,915  

Intangible assets, net of accumulated amortization of $25,370 and $25,133

     34,096       36,690  

Deferred income taxes

     128,478       90,214  

Other assets, net

     30,199       26,283  
  

 

 

   

 

 

 

Total assets

   $ 682,213     $ 726,406  
  

 

 

   

 

 

 
LIABILITIES AND EQUITY     

Current Liabilities:

    

Accounts payable

   $ 19,363     $ 20,139  

Accrued charge related to U.S. Department of Justice settlement

     35,000       150,000  

Payroll and employee benefits

     71,208       70,801  

Accrued expenses

     53,494       57,572  

Current portion of long-term obligations

     12,000       13,904  
  

 

 

   

 

 

 

Total current liabilities

     191,065       312,416  

Long-term obligations, less current portion

     102,299       33,000  

Other long-term obligations

     5,748       8,511  
  

 

 

   

 

 

 

Total liabilities

     299,112       353,927  
  

 

 

   

 

 

 

Equity:

    

Preferred stock, $0.001 par value, 5,000,000 shares authorized; none issued or outstanding

     —         —    

Common stock, $0.001 par value, 60,000,000 shares authorized; 34,306,877 and 33,413,970 shares issued; and 33,347,852 and 32,538,971 shares outstanding

     34       33  

Additional paid-in capital

     477,115       467,890  

Treasury stock at cost, 959,025 and 874,999 shares of common stock

     (19,483     (18,176

Accumulated other comprehensive income

     15       15  

Retained earnings

     (73,920     (77,561
  

 

 

   

 

 

 

Total Amedisys, Inc. stockholders’ equity

     383,761       372,201  

Noncontrolling interests

     (660     278  
  

 

 

   

 

 

 

Total equity

     383,101       372,479  
  

 

 

   

 

 

 

Total liabilities and equity

   $ 682,213     $ 726,406  
  

 

 

   

 

 

 

 

3


Statement of Operations Information

 

     For the Three-Month Periods
Ended September 30,
    For the Nine-Month Periods
Ended September 30,
 
     2014     2013     2014     2013  

Net service revenue

   $ 300,281     $ 301,285     $ 904,026     $ 945,847  

Cost of service, excluding depreciation and amortization

     170,159       175,233       519,686       538,660  

General and administrative expenses:

        

Salaries and benefits

     69,461       73,906       224,032       228,758  

Non-cash compensation

     1,697       1,653       3,197       4,933  

Other

     32,018       40,308       110,240       123,534  

Provision for doubtful accounts

     4,183       3,944       13,318       12,437  

Depreciation and amortization

     6,515       8,925       22,109       28,306  

U.S. Department of Justice settlement

     —         150,000       —         150,000  

Other intangibles impairment charge

     —         1,542       2,208       3,828  
  

 

 

   

 

 

   

 

 

   

 

 

 

Operating expenses

     284,033       455,511       894,790       1,090,456  
  

 

 

   

 

 

   

 

 

   

 

 

 

Operating income (loss)

     16,248       (154,226     9,236       (144,609

Other (expense) income:

        

Interest income

     24       18       46       40  

Interest expense

     (2,990     (672     (5,603     (2,478

Equity in earnings from equity investments

     563       354       2,234       1,054  

Miscellaneous, net

     110       6,553       544       6,075  
  

 

 

   

 

 

   

 

 

   

 

 

 

Total other (expense) income, net

     (2,293     6,253       (2,779     4,691  
  

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) before income taxes

     13,955       (147,973     6,457       (139,918

Income tax (expense) benefit

     (5,358     56,928       (2,483     53,736  
  

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations

     8,597       (91,045     3,974       (86,182

Discontinued operations, net of tax

     —         (733     (216     (1,615
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

     8,597       (91,778     3,758       (87,797

Net (income) loss attributable to noncontrolling interests

     (158     709       (117     1,248  
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss) attributable to Amedisys, Inc.

   $ 8,439     $ (91,069   $ 3,641     $ (86,549
  

 

 

   

 

 

   

 

 

   

 

 

 

Basic earnings per common share:

        

Income (loss) from continuing operations attributable to Amedisys, Inc. common stockholders

   $ 0.26     $ (2.87   $ 0.12     $ (2.73

Discontinued operations, net of tax

     —         (0.02     (0.01     (0.05
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss) attributable to Amedisys, Inc. common stockholders

   $ 0.26     $ (2.89   $ 0.11     $ (2.78
  

 

 

   

 

 

   

 

 

   

 

 

 

Weighted average shares outstanding

     32,468       31,505       32,194       31,102  
  

 

 

   

 

 

   

 

 

   

 

 

 

Diluted earnings per common share:

        

Income (loss) from continuing operations attributable to Amedisys, Inc. common stockholders

   $ 0.26     $ (2.87   $ 0.12     $ (2.73

Discontinued operations, net of tax

     —         (0.02     (0.01     (0.05
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss) attributable to Amedisys, Inc. common stockholders

   $ 0.26     $ (2.89   $ 0.11     $ (2.78
  

 

 

   

 

 

   

 

 

   

 

 

 

Weighted average shares outstanding

     32,934       31,505       32,690       31,102  
  

 

 

   

 

 

   

 

 

   

 

 

 

Amounts attributable to Amedisys, Inc. common stockholders:

        

Income (loss) from continuing operations

   $ 8,439     $ (90,336   $ 3,857     $ (84,934

Discontinued operations, net of tax

     —         (733     (216     (1,615
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

   $ 8,439     $ (91,069   $ 3,641     $ (86,549
  

 

 

   

 

 

   

 

 

   

 

 

 

 

4


Cash Flow and Days Revenue Outstanding, Net Information

 

     For the Three-Month Periods
Ended September 30,
    For the Nine-Month Periods
Ended September 30,
 
     2014     2013     2014     2013  

Net cash provided by (used in) operating activities

   $ 25,342     $ 27,885     $ (70,129   $ 93,862  

Net cash provided by (used in) investing activities

     230       (11,241     (9,162     (35,456

Net cash (used in) provided by financing activities

     (31,255     (3,136     67,530       (29,325
  

 

 

   

 

 

   

 

 

   

 

 

 

Net (decrease) increase in cash and cash equivalents

     (5,683     13,508       (11,761     29,081  

Cash and cash equivalents at beginning of period

     11,225       30,118       17,303       14,545  
  

 

 

   

 

 

   

 

 

   

 

 

 

Cash and cash equivalents at end of period

   $ 5,542     $ 43,626     $ 5,542     $ 43,626  
  

 

 

   

 

 

   

 

 

   

 

 

 

Days revenue outstanding, net (1)

     30.5       32.0       30.5       32.0  

 

(1) Our calculation of days revenue outstanding, net at September 30, 2014 and 2013 is derived by dividing our ending patient accounts receivable (i.e., net of estimated revenue adjustments and allowance for doubtful accounts) by our average daily net patient revenue for the three month-period ended September 30, 2014 and 2013, respectively.

 

5


Supplemental Information—Home Health

 

     For the Three-Month Periods Ended September 30,  
     2014     2013  

Financial Information (in millions):

    

Medicare

   $ 185.4     $ 193.5  

Non-Medicare

     51.8       43.3  
  

 

 

   

 

 

 

Net service revenue

     237.2       236.8  

Cost of service

     137.4       140.7  
  

 

 

   

 

 

 

Gross margin

     99.8       96.1  

Other operating expenses

     69.3       79.5  
  

 

 

   

 

 

 

Operating income before impairment charges (1)

   $ 30.5     $ 16.6  
  

 

 

   

 

 

 

Key Statistical Data:

    

Medicare:

    

Same Store Volume (2):

    

Revenue

     5     (12 %) 

Admissions

     3     (1 %) 

Recertifications

     5     (21 %) 

Total (3):

    

Admissions

     42,389       45,420  

Recertifications

     25,407       26,119  

Completed episodes

     66,906       70,401  

Visits

     1,190,962       1,253,329  

Average revenue per completed episode (4)

   $ 2,834     $ 2,822  

Visits per completed episode(5)

     17.3       17.3  

Non-Medicare:

    

Same Store Volume (2):

    

Revenue

     31     (28 %) 

Admissions

     26     (21 %) 

Recertifications

     24     (33 %) 

Total (3):

    

Admissions

     20,523       17,832  

Recertifications

     8,238       7,262  

Visits

     416,038       358,820  

Total (3):

    

Cost per Visit

   $ 85.47     $ 87.31  

Visits

     1,607,000       1,612,149  

 

6


     For the Nine-Month Periods Ended September 30,  
     2014     2013  

Financial Information (in millions):

    

Medicare

   $ 565.5     $ 610.6  

Non-Medicare

     151.9       138.7  
  

 

 

   

 

 

 

Net service revenue

     717.4       749.3  

Cost of service

     420.7       434.5  
  

 

 

   

 

 

 

Gross margin

     296.7       314.8  

Other operating expenses

     225.2       245.8  
  

 

 

   

 

 

 

Operating income before impairment charges (1)

   $ 71.5     $ 69.0  
  

 

 

   

 

 

 

Key Statistical Data:

    

Medicare:

    

Same Store Volume (2):

    

Revenue

     0     (10 %) 

Admissions

     0     0

Recertifications

     0     (19 %) 

Total (3):

    

Admissions

     132,890       143,161  

Recertifications

     77,468       82,299  

Completed episodes

     204,654       221,746  

Visits

     3,620,779       3,947,351  

Average revenue per completed episode (4)

   $ 2,819     $ 2,810  

Visits per completed episode(5)

     17.2       17.5  

Non-Medicare:

    

Same Store Volume (2):

    

Revenue

     17     (22 %) 

Admissions

     15     (15 %) 

Recertifications

     10     (25 %) 

Total (3):

    

Admissions

     62,447       57,653  

Recertifications

     23,746       22,994  

Visits

     1,218,659       1,161,678  

Total (3):

    

Cost per Visit

   $ 86.92     $ 85.04  

Visits

     4,839,438       5,109,029  

 

(1) Operating income of $15.1 million on a GAAP basis for the three-month period ended September 30, 2013. Operating income of $70.3 million and $65.2 million on a GAAP basis for the nine-month periods ended September 30, 2014 and 2013.
(2) Medicare and Non-Medicare revenue, admissions or recertifications same store volume is the percent increase (decrease) in our Medicare and Non-Medicare revenue, admissions or recertifications for the period as a percent of the Medicare and Non-Medicare revenue, admissions or recertifications of the prior period.
(3) Based on continuing operations for all periods presented.
(4) Average Medicare revenue per completed episode is the average Medicare revenue earned for each Medicare completed episode of care which excludes the impact of sequestration.
(5) Medicare visits per completed episode are the home health Medicare visits on completed episodes divided by the home health Medicare episodes completed during the period.

 

7


Supplemental Information—Hospice

 

     For the Three-Month Periods Ended September 30,  
     2014     2013  

Financial Information (in millions):

    

Medicare revenue

   $ 59.0     $ 60.6  

Non-Medicare revenue

     4.1       3.9  
  

 

 

   

 

 

 

Net service revenue

     63.1       64.5  

Cost of service

     32.8       34.5  
  

 

 

   

 

 

 

Gross margin

     30.3       30.0  

Other operating expenses

     14.7       17.8  
  

 

 

   

 

 

 

Operating income

   $ 15.6     $ 12.2  
  

 

 

   

 

 

 

Key Statistical Data:

    

Same store Medicare revenue growth (2)

     3     (13 %) 

Same store Non-Medicare revenue growth (2)

     15     3

Hospice admits

     4,002       4,352  

Average daily census

     4,596       4,917  

Revenue per day

   $ 149.16     $ 142.52  

Cost of service per day

   $ 77.38     $ 75.79  

Average length of stay

     100       98  

 

     For the Nine-Month Periods Ended September 30,  
     2014     2013  

Financial Information (in millions):

    

Medicare revenue

   $ 175.1     $ 185.0  

Non-Medicare revenue

     11.5       11.5  
  

 

 

   

 

 

 

Net service revenue

     186.6       196.5  

Cost of service

     99.0       104.2  
  

 

 

   

 

 

 

Gross margin

     87.6       92.3  

Other operating expenses

     47.4       55.6  
  

 

 

   

 

 

 

Operating income before impairment charges (1)

   $ 40.2     $ 36.7  
  

 

 

   

 

 

 

Key Statistical Data:

    

Same store Medicare revenue growth (2)

     (2 %)      (10 %) 

Same store Non-Medicare revenue growth (2)

     6     (2 %) 

Hospice admits

     12,947       13,964  

Average daily census

     4,655       4,998  

Revenue per day

   $ 146.85     $ 144.04  

Cost of service per day

   $ 77.70     $ 76.06  

Average length of stay

     100       100  

 

(1) Operating income of $39.2 million on a GAAP basis for the nine-month period ended September 30, 2014.
(2) Same store Medicare and Non-Medicare revenue volume is the percent increase (decrease) in our Medicare and Non-Medicare revenue for the period as a percent of the Medicare and Non-Medicare revenue of the prior period.

 

8


Supplemental Information—Corporate

 

     For the Three-Month Periods Ended September 30,  
     2014      2013  

Financial Information (in millions):

     

Other operating expenses

   $ 26.0      $ 25.6  

Depreciation and amortization

     3.9        5.9  
  

 

 

    

 

 

 

Total before U.S. Department of Justice settlement (1)

   $ 29.9      $ 31.5  
  

 

 

    

 

 

 
     For the Nine-Month Periods Ended September 30,  
     2014      2013  

Financial Information (in millions):

     

Other operating expenses

   $ 86.8      $ 77.6  

Depreciation and amortization

     13.5        18.9  
  

 

 

    

 

 

 

Total before U.S. Department of Justice settlement (1)

   $ 100.3      $ 96.5  
  

 

 

    

 

 

 

 

(1) Total of $181.5 million and $246.5 million on a GAAP basis for the three and nine-month periods ended September 30, 2013.

 

9


AMEDISYS, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAPP FINANCIAL MEASURES TO GAAP FINANCIAL STATEMENTS

(Amounts in thousands)

(Unaudited)

Earnings From Continuing Operations Before Interest, Taxes, Depreciation and Amortization (“EBITDA”) and Adjusted EBITDA

 

     For the Three-Month Periods
Ended September 30,
    For the Nine-Month Periods
Ended September 30,
 
     2014     2013     2014     2013  

Net income (loss) attributable to Amedisys, Inc.

   $ 8,439     $ (91,069   $ 3,641     $ (86,549

Less:

        

Discontinued operations, net of tax

     —         (733     (216     (1,615
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss) from continuing operations attributable to Amedisys, Inc.

     8,439       (90,336     3,857       (84,934

Add:

        

Income tax expense (benefit)

     5,358       (56,928     2,483       (53,736

Interest expense, net

     2,966       654       5,557       2,438  

Depreciation and amortization

     6,515       8,925       22,109       28,306  
  

 

 

   

 

 

   

 

 

   

 

 

 

EBITDA (1)

     23,278       (137,685     34,006       (107,926

Add:

        

Certain items (2)

     1,003       144,955       17,887       153,119  

Deferred financing fees (2)

     (488     —         (488     —    

Tax adjustments (2)

     —         1,534       —         1,534  
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA (3)

   $ 23,793     $ 8,804     $ 51,405     $ 46,727  
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted Net Income (Loss) From Continuing Operations Attributable to Amedisys, Inc. Reconciliation:

 

     For the Three-Month Periods
Ended September 30,
    For the Nine-Month Periods
Ended September 30,
 
     2014      2013     2014     2013  

Net income (loss) attributable to Amedisys, Inc.

   $ 8,439      $ (91,069   $ 3,641     $ (86,549

Less:

         

Discontinued Operations, net of tax

     —          (733     (216     (1,615
  

 

 

    

 

 

   

 

 

   

 

 

 

Net income (loss) from continuing operations attributable to Amedisys, Inc.

     8,439        (90,336     3,857       (84,934

Add:

         

Certain items (2)

     618        90,181       11,018       95,210  
  

 

 

    

 

 

   

 

 

   

 

 

 

Adjusted net income (loss) from continuing operations attributable to Amedisys, Inc. (4)

   $ 9,057      $ (155   $ 14,875     $ 10,276  
  

 

 

    

 

 

   

 

 

   

 

 

 

Adjusted Net Income (Loss) From Continuing Operations Attributable to Amedisys, Inc. per Diluted Share:

 

     For the Three-Month Periods
Ended September 30,
    For the Nine-Month Periods
Ended September 30,
 
     2014      2013     2014     2013  

Net income (loss) attributable to Amedisys, Inc. common stockholders per diluted share

   $ 0.26      $ (2.89   $ 0.11     $ (2.78

Less:

         

Discontinued operations, net of tax

     —          (0.02     (0.01     (0.05
  

 

 

    

 

 

   

 

 

   

 

 

 

Net income (loss) from continuing operations attributable to Amedisys, Inc. common stockholders per diluted share

     0.26        (2.87     0.12       (2.73

Add:

         

Certain items (2)

     0.02        2.86       0.34       3.06  
  

 

 

    

 

 

   

 

 

   

 

 

 

Adjusted net income (loss) from continuing operations attributable to Amedisys, Inc. common stockholders per diluted share (5)

   $ 0.28      $ (0.01   $ 0.46     $ 0.33  
  

 

 

    

 

 

   

 

 

   

 

 

 

 

(1) EBITDA is defined as net income (loss) from continuing operations attributable to Amedisys, Inc. before provision for income taxes, net interest expense, and depreciation and amortization. EBITDA should not be considered as an alternative to, or more meaningful than, income before income taxes, cash flow from operating activities, or other traditional indicators of operating performance. This calculation of EBITDA may not be comparable to a similarly titled measure reported by other companies, since not all companies calculate this non-GAAP financial measure in the same manner.

 

10


(2) The following details the certain other items for the three and nine-month periods ended September 30, 2014 and 2013:

 

    For the Three-Month Period
Ended September 30, 2014
    For the Nine-Month Period
Ended September 30, 2014
 
    (Income)
Expense
    Net     Diluted
EPS
    (Income)
Expense
    Net     Diluted
EPS
 

Other intangibles impairment charge

  $ —       $ —       $ —       $ 2,208     $ 1,360     $ 0.04  

Exit and restructuring activity costs

    —         —         —         9,954       6,132       0.19  

Relator fees

    —         —         —         3,938       2,426       0.07  

OIG self-disclosure

    —         —         —         1,450       893       0.03  

Software write-off

    —         —         —         1,465       902       0.03  

Gain on sale of care centers

    —         —         —         (2,131     (1,313     (0.04

Deferred financing fees

    488       301       0.01       488       301       0.01  

Loss on disposal of in-patient facility

    515       317       0.01       515       317       0.01  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 1,003     $ 618     $ 0.02     $ 17,887     $ 11,018     $ 0.34  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
    For the Three-Month Period
Ended September 30, 2013
    For the Nine-Month Period
Ended September 30, 2013
 
    (Income)
Expense
    Net     Diluted
EPS
    (Income)
Expense
    Net     Diluted
EPS
 

Other intangibles impairment charge

  $ 1,542     $ 950     $ 0.03     $ 3,828     $ 2,358     $ 0.08  

Exit and restructuring activity costs

    —         —         —         1,569       966       0.03  

U.S. Department of Justice settlement

    150,000       93,878       2.98       150,000       93,878       3.02  

D&O proceeds

    (5,530     (3,406     (0.11     (5,530     (3,406     (0.11

Tax adjustment

    (1,534     (1,534     (0.05     (1,534     (1,534     (0.05

OIG self-disclosure

    997       614       0.02       997       614       0.02  

Legal fees

    931       573       0.02       4,568       2,814       0.09  

Gain/Loss on sale of care centers

    (1,451     (894     (0.03     (779     (480     (0.02
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 144,955     $ 90,181     $ 2.86     $ 153,119     $ 95,210     $ 3.06  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

(3) Adjusted EBITDA is defined as net income (loss) from continuing operations attributable to Amedisys, Inc. before provision for income taxes, net interest expense, depreciation and amortization excluding certain other items as described in footnote 2. Adjusted EBITDA should not be considered as an alternative to, or more meaningful than, income before income taxes, cash flow from operating activities, or other traditional indicators of operating performance. This calculation of adjusted EBITDA may not be comparable to a similarly titled measure reported by other companies, since not all companies calculate this non-GAAP financial measure in the same manner.
(4) Adjusted net income (loss) from continuing operations attributable to Amedisys, Inc. is defined as net income (loss) from continuing operations attributable to Amedisys, Inc. excluding certain other items as described in footnote 2. Adjusted net income (loss) from continuing operations attributable to Amedisys, Inc. should not be considered as an alternative to, or more meaningful than, income before income taxes, cash flow from operating activities, or other traditional indicators of operating performance. This calculation of adjusted net income (loss) from continuing operations attributable to Amedisys, Inc. may not be comparable to a similarly titled measure reported by other companies, since not all companies calculate this non-GAAP measure in the same manner.
(5) Adjusted net income (loss) from continuing operations attributable to Amedisys, Inc. common stockholders per diluted share is defined as diluted income (loss) from continuing operations per share excluding the earnings per share effect of certain other items as described in footnote 2. Adjusted net income (loss) from continuing operations attributable to Amedisys, Inc. common stockholders per diluted share should not be considered as an alternative to, or more meaningful than, income before income taxes, cash flow from operating activities, or other traditional indicators or operating performance. This calculation of adjusted net income (loss) from continuing operations attributable to Amedisys, Inc. common stockholders per diluted share may not be comparable to a similarly titled measure reported by other companies, since not all companies calculate this non-GAAP financial measure in the same manner.

 

11