Full Press Release Details
Healthcare Reports 78.1% Growth in Second Quarter Adjusted EPS to $0.57
More Than Doubles to $453.7 Million
Guidance for 2015 Adjusted Earnings per Diluted Share to New Range of
FRANKLIN, Tenn.--(BUSINESS WIRE)--August 4, 2015--Acadia Healthcare
Company, Inc. (NASDAQ: ACHC) today announced financial results for the
second quarter and six months ended June 30, 2015. For the quarter,
revenue increased 112.2% to $453.7 million from $213.8 million for the
second quarter of 2014. Income from continuing operations was $33.8
million, or $0.49 per diluted share, for the second quarter of 2015
compared with $22.5 million, or $0.43 per diluted share, for the second
quarter of 2014. Adjusted income from continuing operations increased
137.8% to $39.5 million for the second quarter of 2015 from $16.6
million for the second quarter of 2014, while adjusted income from
continuing operations per diluted share increased 78.1% to $0.57 from
$0.32. The adjusted results exclude transaction-related expenses of $7.2
million and $3.0 million for the second quarter of 2015 and 2014,
respectively, a $1.0 million loss on foreign currency derivatives for
the second quarter of 2015 and a $13.7 million gain on foreign currency
derivatives for the second quarter of 2014. Weighted average shares
outstanding increased 32.6% for the second quarter of 2015 from the
second quarter of 2014, primarily due to the issuance of common stock in
June 2014 and February and May 2015, the net proceeds of which have
primarily been used to fund acquisitions. A reconciliation of all
non-GAAP financial results in this release appears on pages 8 and 9.
For the first six months of 2015, revenue grew 97.4% to $819.4 million
from $415.2 million for the first six months of 2014. Income from
continuing operations for the first half of 2015 was $48.4 million, or
$0.74 per diluted share, compared with $35.5 million, or $0.69 per
diluted share, for the same period in 2014. Adjusted income from
continuing operations increased 117.5% to $66.6 million for the first
six months of 2015 from $30.6 million for the first six months of 2014,
while adjusted income from continuing operations per diluted share
increased 68.3% to $1.01 from $0.60. The adjusted results exclude
transaction-related expenses of $25.6 million and $4.6 million for the
first half of 2015 and 2014, respectively, a $0.9 million loss on
foreign currency derivatives for the first half of 2015 and a $13.7
million gain on foreign currency derivatives for the first half of 2014.
Weighted average shares outstanding increased 28.5% for the first six
months of 2015 compared with the same period in 2014.
"For the second quarter of 2015, Acadia's organic growth and acquisition
strategies continued to drive outstanding financial results," said Joey
Jacobs, Chairman and Chief Executive Officer of Acadia. "While the July
1, 2014, acquisition of Partnerships in Care (PiC) and the February 11,
2015, acquisition of CRC Health Group (CRC) were the primary drivers of
our growth for the latest quarter, we completed a total of 11
acquisitions in the 12 months ended June 30, 2015, adding 82 facilities
with more than 4,300 inpatient beds and 88 comprehensive treatment
"During the second quarter, we contributed to these totals with five
acquisitions in the United Kingdom, which added 21 facilities and over
500 beds to PiC's operations. As a result, PiC celebrated its first year
anniversary as part of Acadia with 45 facilities and over 1,800 beds
compared with 23 facilities and approximately 1,200 beds at the time of
"In addition to the accretive impact of acquisitions, our second quarter
financial results benefited from strong organic growth that drove
revenues and margin improvement. This growth primarily reflected the
addition of approximately 400 beds for the 12 months ended June 30,
2015, to existing facilities and one de novo facility, including
approximately 250 new beds added in the first half of 2015.
"Second quarter same facility revenue increased 9.0%, due largely to new
beds added to the same facility base over the previous 12 months, as
well as to our continuing initiatives to build revenue at each facility.
Same facility patient days increased 7.4% compared with the second
quarter last year, and same facility revenue per patient day rose 1.5%.
The increased operating leverage generated by significant same facility
revenue growth, combined with our efforts to improve facility
productivity and efficiency, produced a 120 basis point increase in same
facility EBITDA margin to 26.1% for the quarter. Acadia's consolidated
adjusted EBITDA for the second quarter of 2015 increased 136.6% to
$105.8 million from $44.7 million for the second quarter of 2014, while
our consolidated adjusted EBITDA margin increased 240 basis points to
"Since the end of the second quarter, we have completed an additional
transaction in the U.K., acquiring a 15-bed inpatient facility, which is
our first U.K. facility focused on addiction treatment. In addition, we
completed the acquisition of our first inpatient behavioral health
facility in Philadelphia, Pennsylvania, which operates approximately 150
beds. We believe Acadia is well positioned to continue executing its
acquisition and organic growth strategies, with $72.5 million of cash
flow from continuing operations for the second quarter of 2015 and full
availability under our $300 million revolving credit facility."
Acadia today increased its guidance for 2015 adjusted earnings per
diluted share to a range of $2.15 to $2.18 from the previous range of
$2.12 to $2.15. The Company's guidance does not include the impact of
any future acquisitions or transaction-related expenses.
Acadia will hold a conference call to discuss its second quarter
financial results at 9:00 a.m. Eastern Time on Wednesday, August 5,
2015. 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 through August 21, 2015.
This news 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 news 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) Acadia's