Enhabit, Inc. Files Q3 2024 10-Q

TL;DR

Enhabit's Q3 2024 10-Q is in. Check financials for home health care trends.

AI Summary

Enhabit, Inc. filed its 10-Q for the period ending September 30, 2024. The filing details financial performance and operational updates for the third quarter of 2024. Key financial figures and business segments are presented, reflecting the company's ongoing activities in the home health care services sector.

Why It Matters

This filing provides investors and analysts with the latest financial performance data for Enhabit, Inc., crucial for understanding the company's current health and future prospects in the home health care market.

Risk Assessment

Risk Level: medium — The company operates in the healthcare sector, which is subject to regulatory changes and reimbursement risks, and this filing provides insights into its current financial standing.

Key Numbers

• 20240930 — Period End Date (The 10-Q covers financial data up to this date.)
• 20241108 — Filing Date (The date the 10-Q was officially submitted to the SEC.)

Key Players & Entities

• Enhabit, Inc. (company) — Filer of the 10-Q
• 0001803737-24-000194 (document_id) — Accession Number for the filing
• 20240930 (date) — Period of report for the 10-Q
• 6688 N. CENTRAL EXPRESSWAY, SUITE 1300 (address) — Business and mailing address of Enhabit, Inc.
• DALLAS, TX (location) — City and State of Enhabit, Inc.'s address

FAQ

Key Financial Figures

• $0.01 — ich registered Common Stock, par value $0.01 per share EHAB New York Stock Exchange

Filing Documents

• ehab-20240930.htm (10-Q) — 1304KB
• exhibit102-2024directordef.htm (EX-10.2) — 89KB
• ehab10q9_30x24ex311.htm (EX-31.1) — 15KB
• ehab10q9_30x24ex312.htm (EX-31.2) — 15KB
• ehab10q9_30x24ex321.htm (EX-32.1) — 9KB
• ehab10q9_30x24ex322.htm (EX-32.2) — 9KB
• 0001803737-24-000194.txt ( ) — 6077KB
• ehab-20240930.xsd (EX-101.SCH) — 34KB
• ehab-20240930_cal.xml (EX-101.CAL) — 62KB
• ehab-20240930_def.xml (EX-101.DEF) — 174KB
• ehab-20240930_lab.xml (EX-101.LAB) — 481KB
• ehab-20240930_pre.xml (EX-101.PRE) — 354KB
• ehab-20240930_htm.xml (XML) — 801KB

- Financial Information

Part I - Financial Information 1

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) 1

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 18

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 27

Controls and Procedures

Item 4. Controls and Procedures 27

- Other Information

Part II - Other Information 28

Legal Proceedings

Item 1. Legal Proceedings 28

Risk Factors

Item 1A. Risk Factors 28

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 28

Other Information

Item 5. Other Information 28

Exhibits

Item 6. Exhibits 29 Signature 30 i CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This quarterly report contains historical information, as well as forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act")) that involve known and unknown risks and relate to, among other things, future events, projections, financial guidance, legislative or regulatory developments, strategy or growth opportunities, our future financial performance, our projected business results, or our projected capital expenditures. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. In some cases, the reader can identify forward-looking statements by terminology such as "may," "will," "should," "could," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "targets," "potential," or "continue" or the negative of these terms or other comparable terminology. Any forward-looking statement speaks only as of the date of this report, and the Company undertakes no duty to publicly update or revise such forward-looking information, whether as a result of new information, future events, or otherwise. Such forward-looking statements are necessarily estimates based upon current information and involve a number of risks and uncertainties, many of which are beyond our control. Actual events or results may differ materially from the results anticipated in these forward-looking statements as a result of a variety of factors. While it is impossible to identify all such factors, factors which could cause actual events or results to differ materially from those estimated by the Company include, but are not limited to, our ability to execute on our strategic plans; regulatory and other developments impacting the markets for our services; changes in reimbursement rates; general economic condi

- Financial Information

Part I - Financial Information

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) Enhabit, Inc. and Subsidiaries Condensed Consolidated Statements of Income (Unaudited) Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 (In Millions, Except Per Share Data) Net service revenue $ 253.6 $ 258.3 $ 776.6 $ 785.7 Cost of service, excluding depreciation and amortization 131.7 134.0 397.7 402.1 General and administrative expenses 103.8 108.8 321.3 327.1 Depreciation and amortization 8.2 7.7 23.6 23.2 Impairment of goodwill 107.9 — 107.9 85.8 Operating (loss) income ( 98.0 ) 7.8 ( 73.9 ) ( 52.5 ) Interest expense and amortization of debt discounts and fees 10.8 10.9 32.8 30.7 Other income — ( 0.1 ) — ( 0.2 ) Loss before income taxes and noncontrolling interests ( 108.8 ) ( 3.0 ) ( 106.7 ) ( 83.0 ) Income tax expense (benefit) 0.7 ( 0.8 ) 1.5 ( 9.9 ) Net loss ( 109.5 ) ( 2.2 ) ( 108.2 ) ( 73.1 ) Less: Net income attributable to noncontrolling interests 0.7 0.2 2.0 1.0 Net loss attributable to Enhabit, Inc. $ ( 110.2 ) $ ( 2.4 ) $ ( 110.2 ) $ ( 74.1 ) Weighted average common shares outstanding: Basic 50.2 49.9 50.2 49.8 Diluted 50.2 49.9 50.2 49.8 Loss per common share: Basic loss per share attributable to Enhabit, Inc. common stockholders $ ( 2.20 ) $ ( 0.05 ) $ ( 2.20 ) $ ( 1.48 ) Diluted loss per share attributable to Enhabit, Inc. common stockholders $ ( 2.20 ) $ ( 0.05 ) $ ( 2.20 ) $ ( 1.48 ) The accompanying notes are an integral part of these unaudited condensed consolidated financial statements. 1 Enhabit, Inc. and Subsidiaries Condensed Consolidated Statements of Comprehensive Income (Unaudited) Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 (In Millions) Net loss $ ( 109.5 ) $ ( 2.2 ) $ ( 108.2 ) $ ( 73.1 ) Other comprehensive (loss) income: Unrealized (loss) gain on cash flow hedges, net of tax (benefit) expense of $( 0.5 ), $ 0.2 , $( 0.1 ) and $ 0.8 , respectively ( 1.8 ) 0.7 ( 0.4 ) 2.3