NASDAQ$CCRN

Cross Country Healthcare Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Second quarter financial results announced, exceeding expectations due to ability to attract and place professionals.

Cross Country Healthcare reported a strong second quarter, with revenue up 53% year-over-year and net income of $11.5 million, a significant improvement from the prior year's net loss. The company benefited from near-record demand and a tight labor market, driving higher compensation costs.

  • Consolidated revenue increased by 53% year-over-year to $331.8 million.
  • Net income attributable to common shareholders was $11.5 million compared to a net loss of $14.2 million in the prior year.
  • Diluted EPS was $0.31 per share, compared to a loss of $0.39 per share in the prior year.
  • Adjusted EBITDA was $24.3 million, or 7.3% of revenue, compared to $11.6 million, or 5.4% of revenue in the prior year.

Headline financials

Total Revenue

$332M

Previous: $217M+53.1%
EPS (adj)

$0.47

Previous: $0.16+193.7%
Capital Expenditures

-$3M

Previous: -$2.49M-20.6%
Free Cash Flow

$8.55M

Previous: -$16.6M+151.4%
Net Income

$11.5M

Previous: -$14.2M+181.6%
Operating Income

$15.9M

Previous: -$13.7M+216.2%
Gross Profit

-$259M

Previous: $50.7M-611.0%
Cash & Equivalents

$18.1M

Previous: $6.23M+190.8%
Total Assets

$494M

Previous: $352M+40.2%
Stock-Based Comp

$2.14M

Previous: $2.07M+3.1%

Revenue & EPS history

Cross Country Healthcare · Revenue · Quarterly

$332M

Q2 2021+53.1%vs Q2 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Cross Country Healthcare · $332M total across 2 segments · Q2 2021

  • Nurse and Allied Staffing
    $316M+59.6%
  • Physician Staffing
    $15.6M-7.3%

Forward guidance

For Q3 2021, Cross Country Healthcare expects revenue to be between $310 million and $320 million and Adjusted EPS to be between $0.30 and $0.35.

Tailwinds

  • Revenue is expected to be between $310 million and $320 million, representing a 60% - 65% year-over-year increase.
  • Gross Profit Margin is expected to be between 21.8% and 22.3%.
  • Adjusted EBITDA is projected to be between $18.0 million and $20.0 million, a 109% - 133% increase year-over-year.
  • Adjusted EPS is anticipated to be between $0.30 and $0.35.
  • Bill and pay rates are expected to continue to normalize through the third quarter with average bill rates remaining higher than the prior year though declining sequentially for certain specialties.

Headwinds

  • Revenue is expected to decline sequentially by (7)% - (4)%.
  • Gross Profit Margin is expected to decrease year-over-year by (290) bps - (240) bps.
  • Adjusted EBITDA is expected to decline sequentially by (26)% - (18)%.
  • Adjusted EPS is expected to decline sequentially by $(0.17) - $(0.12).
  • The above ranges do not include the potential impact of any future divestitures, mergers, acquisitions, or other business combinations, changes in debt structure, or future share repurchases.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

-2.7%

Avg return

Earnings day

-1.5%

Avg return

5 days after

+0.5%

Avg return

30 days after

44%

28 / 64 earnings

Positive

+24.6%

Q3 2021

Best reaction

-33.6%

Q2 2010

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.8%+0.4%+0.8%
Q4 2025+8.2%+7.9%+0.5%
Q3 2025-14.1%-7.2%-32.9%
Q1 2025+0.4%+0.8%-6.7%
Q4 2024+0.3%-6.0%-13.9%
Q3 2024+7.2%-6.1%+57.9%
Q2 2024-2.7%-8.2%-17.3%
Q1 2024-4.9%-9.0%-14.1%
Q4 2023-2.7%-0.3%+5.7%
Q3 2023-14.0%-19.0%-10.7%
Q2 2023-14.7%-14.0%-3.8%
Q1 2023+5.1%+9.9%+26.1%
Q4 2022-5.6%+3.2%-13.2%
Q3 2022-2.5%-11.3%-2.8%
Q2 2022-13.7%-14.1%-7.6%
Q1 2022-2.6%-7.1%+0.9%
Q4 2021-1.5%+6.6%+2.4%
Q3 2021+24.6%+18.0%+21.1%
Q2 2021+23.0%+14.6%+29.7%
Q1 2021+16.5%+24.0%+17.4%
Q4 2020+18.9%+24.6%+33.8%
Q3 2020-5.0%-3.0%+9.3%
Q2 2020+9.6%+4.7%+1.6%
Q1 2020-4.8%-2.0%+7.6%
Q4 2019+0.4%-12.2%-27.7%
Q3 2019+14.2%+16.9%+10.9%
Q2 2019-0.8%-5.5%+5.6%
Q1 2019+4.7%+18.7%+0.9%
Q4 2018-3.6%-11.6%-22.5%
Q3 2018+7.8%+3.4%+2.7%
Q2 2018-30.9%-26.0%-14.7%
Q1 2018-16.7%-11.0%-4.3%
Q4 2017-18.8%-13.6%-15.8%
Q3 2017-9.6%-13.8%-2.6%
Q2 2017+3.1%+1.2%+2.5%
Q1 2017-13.0%-15.1%-16.7%
Q4 2016+3.4%-5.3%-7.2%
Q3 2016+22.9%+24.3%+31.7%
Q2 2016-11.5%-17.0%-14.2%
Q1 2016+10.0%
Q4 2015-21.9%
Q3 2015+9.5%
Q2 2015+10.1%
Q1 2015-4.6%
Q4 2014-9.6%
Q3 2014-0.5%
Q2 2014+1.8%
Q1 2014-14.3%
Q4 2013-22.3%
Q3 2013+3.1%
Q2 2013-3.3%
Q1 2013+0.4%
Q4 2009-5.5%
Q3 2012-0.9%
Q2 2012-5.5%
Q1 2011-3.1%
Q1 2012+11.8%
Q4 2011+0.8%
Q3 2010+2.5%
Q3 2011+2.5%
Q2 2011-33.6%
Q4 2010-33.6%
Q2 2010-33.6%
Q1 2010-7.9%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro