Full Press Release Details
Select Medical Holdings
Corporation Announces Results
For Its Second Quarter
Ended June 30, 2022 and Cash Dividend
MECHANICSBURG, PENNSYLVANIA
- August 4, 2022 - Select Medical Holdings Corporation ("Select Medical," "we," "us,"
or "our") (NYSE: SEM) today announced results for its second quarter ended June 30, 2022, and the declaration of a cash
For the second quarter ended
June 30, 2022, revenue increased 1.3% to $1,584.7 million, compared to $1,564.0 million for the same quarter, prior year. Income
from operations was $121.0 million for the second quarter ended June 30, 2022, compared to $284.0 million for the same quarter,
prior year. For the second quarter ended June 30, 2022, income from operations included $15.1 million of other operating income
related to the recognition of payments received under the Coronavirus Aid, Relief, and Economic Security Act ("CARES Act")
Public Health and Social Services Emergency Fund, also referred to as the Provider Relief Fund, compared to $98.0 million for the same
quarter, prior year. Net income was $66.3 million for the second quarter ended June 30, 2022, compared to $196.2 million for the
same quarter, prior year. Adjusted EBITDA was $181.0 million for the second quarter ended June 30, 2022, compared to $342.0 million
for the same quarter, prior year. Earnings per common share was $0.43 for the second quarter ended June 30, 2022, compared to $1.22
for the same quarter, prior year. The definition of Adjusted EBITDA and a reconciliation of net income to Adjusted EBITDA are presented
in table IX of this release.
For the six months ended
June 30, 2022, revenue increased 2.4% to $3,184.3 million, compared to $3,110.5 million for the same period, prior year. Income
from operations was $225.0 million for the six months ended June 30, 2022, compared to $486.0 million for the same period, prior
year. For the six months ended June 30, 2022, income from operations included $15.1 million of other operating income related to
the recognition of payments received under the Provider Relief Fund, compared to $114.1 million for the same period, prior year. Net
income was $122.2 million for the six months ended June 30, 2022, compared to $333.4 million for the same period, prior year. Adjusted
EBITDA was $344.8 million for the six months ended June 30, 2022, compared to $600.4 million for the same period, prior year. Earnings
per common share was $0.79 for the six months ended June 30, 2022, compared to $2.04 for the same period, prior year. The definition
of Adjusted EBITDA and a reconciliation of net income to Adjusted EBITDA are presented in table IX of this release.
In addition to providing
key statistics in tables VII and VIII of this release for both the second quarters and six months ended June 30, 2022 and 2021,
Select Medical also provided statistics for the comparable period in 2019. Select Medical believes this additional data provides insight
into how it has performed in comparison to the year prior to the widespread emergence of the coronavirus disease 2019 ("COVID-19")
in the United States. The effects of the COVID-19 pandemic, including the duration and extent of disruption on our operations, continues
to create uncertainties about Select Medical's future operating results and financial condition. Please refer to the risk factors
in Item 1A and the section titled "Effects of the COVID-19 Pandemic on our Results of Operations" in Item 7 of our
Annual Report on Form 10-K for the year ended December 31, 2021, for further discussion.
Select Medical is one of
the largest operators of critical illness recovery hospitals, rehabilitation hospitals, outpatient rehabilitation clinics, and occupational
health centers in the United States based on number of facilities. Select Medical's reportable segments include the critical illness
recovery hospital segment, the rehabilitation hospital segment, the outpatient rehabilitation segment, and the Concentra segment. As
of June 30, 2022, Select Medical operated 105 critical illness recovery hospitals in 28 states, 31 rehabilitation hospitals in 12
states, and 1,920 outpatient rehabilitation clinics in 38 states and the District of Columbia. Concentra operated 518 occupational health
centers in 41 states. At June 30, 2022, Select Medical had operations in 46 states and the District of Columbia. Information about
Select Medical is available at www.selectmedical.com.
Critical Illness Recovery Hospital Segment
For the second quarter ended
June 30, 2022, revenue for the critical illness recovery hospital segment increased to $545.9 million, compared to $544.1 million
for the same quarter, prior year. Adjusted EBITDA for the critical illness recovery hospital segment was $20.0 million for the second
quarter ended June 30, 2022, compared to $72.9 million for the same quarter, prior year. The Adjusted EBITDA margin for the critical
illness recovery hospital segment was 3.7% for the second quarter ended June 30, 2022, compared to 13.4% for the same quarter, prior
year. Certain critical illness recovery hospital key statistics are presented in table VII of this release for the second quarters ended
June 30, 2022 and 2021.
For the six months ended
June 30, 2022, revenue for the critical illness recovery hospital segment increased to $1,147.7 million, compared to $1,138.9 million
for the same period, prior year. Adjusted EBITDA for the critical illness recovery hospital segment was $56.0 million for the six months
ended June 30, 2022, compared to $186.2 million for the same period, prior year. For the six months ended June 30, 2021, Adjusted
EBITDA included $17.9 million of other operating income related to the outcome of litigation with the Centers for Medicare & Medicaid
Services. The Adjusted EBITDA margin for the critical illness recovery hospital segment was 4.9% for the six months ended June 30,
2022, compared to 16.3% for the same period, prior year. Certain critical illness recovery hospital key statistics are presented in table
VIII of this release for the six months ended June 30, 2022 and 2021.
Rehabilitation Hospital Segment
For the second quarter ended
June 30, 2022, revenue for the rehabilitation hospital segment increased 7.6% to $228.9 million, compared to $212.7 million for
the same quarter, prior year. Adjusted EBITDA for the rehabilitation hospital segment was $49.8 million for the second quarter ended
June 30, 2022, compared to $50.8 million for the same quarter, prior year. The Adjusted EBITDA margin for the rehabilitation hospital
segment was 21.8% for the second quarter ended June 30, 2022, compared to 23.9% for the same quarter, prior year. Certain rehabilitation
hospital key statistics are presented in table VII of this release for the second quarters ended June 30, 2022 and 2021.
For the six months ended
June 30, 2022, revenue for the rehabilitation hospital segment increased 6.9% to $449.5 million, compared to $420.5 million for
the same period, prior year. Adjusted EBITDA for the rehabilitation hospital segment was $92.2 million for the six months ended June 30,
2022, compared to $101.3 million for the same period, prior year. The Adjusted EBITDA margin for the rehabilitation hospital segment
was 20.5% for the six months ended June 30, 2022, compared to 24.1% for the same period, prior year. Certain rehabilitation hospital
key statistics are presented in table VIII of this release for the six months ended June 30, 2022 and 2021.
Outpatient Rehabilitation Segment
For the second quarter ended
June 30, 2022, revenue for the outpatient rehabilitation segment increased 2.4% to $287.3 million, compared to $280.4 million for
the same quarter, prior year. Adjusted EBITDA for the outpatient rehabilitation segment was $33.6 million for the second quarter ended
June 30, 2022, compared to $45.6 million for the same quarter, prior year. The Adjusted EBITDA margin for the outpatient rehabilitation
segment was 11.7% for the second quarter ended June 30, 2022, compared to 16.3% for the same quarter, prior year. Certain outpatient
rehabilitation key statistics are presented in table VII of this release for the second quarters ended June 30, 2022 and 2021.
For the six months ended
June 30, 2022, revenue for the outpatient rehabilitation segment increased 5.0% to $559.2 million, compared to $532.4 million for
the same period, prior year. Adjusted EBITDA for the outpatient rehabilitation segment was $60.2 million for the six months ended June 30,
2022, compared to $72.0 million for the same period, prior year. The Adjusted EBITDA margin for the outpatient rehabilitation segment
was 10.8% for the six months ended June 30, 2022, compared to 13.5% for the same period, prior year. Certain outpatient rehabilitation
key statistics are presented in table VIII of this release for the six months ended June 30, 2022 and 2021.
For the second quarter ended
June 30, 2022, revenue for the Concentra segment was $441.4 million, compared to $456.4 million for the same quarter, prior year.
Adjusted EBITDA for the Concentra segment was $92.6 million for the second quarter ended June 30, 2022, compared to $137.1 million
for the same quarter, prior year. For the second quarter ended June 30, 2021, Adjusted EBITDA included $32.3 million of other operating
income related to the recognition of payments received under the Provider Relief Fund. The Adjusted EBITDA margin for the Concentra segment
was 21.0% for the second quarter ended June 30, 2022, compared to 30.0% for the same quarter, prior year. Certain Concentra key
statistics are presented in table VII of this release for the second quarters ended June 30, 2022 and 2021.
For the six months ended
June 30, 2022, revenue for the Concentra segment was $864.8 million, compared to $879.2 million for the same period, prior year.
Adjusted EBITDA for the Concentra segment was $182.1 million for the six months ended June 30, 2022, compared to $219.1 million
for the same period, prior year. For the six months ended June 30, 2021, Adjusted EBITDA included $32.3 million of other operating
income related to the recognition of payments received under the Provider Relief Fund. The Adjusted EBITDA margin for the Concentra segment
was 21.1% for the six months ended June 30, 2022, compared to 24.9% for the same period, prior year. Certain Concentra key statistics
are presented in table VIII of this release for the six months ended June 30, 2022 and 2021.
Select Medical's board of directors declared a cash dividend of $0.125 per share. The dividend will be payable on or about September 2,