NASDAQ$ENSG

The Ensign Group Inc. · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Ensign Group reported record operating results, with increased GAAP diluted earnings per share and consolidated GAAP revenues for Q2 2021.

The Ensign Group announced record operating results for the second quarter of 2021. GAAP diluted earnings per share was $0.87, representing an increase of 19.2% over the prior year quarter. Consolidated GAAP revenues were $638.5 million, an increase of 9.2% over the prior year quarter.

  • GAAP diluted earnings per share increased by 19.2% over the prior year quarter, reaching $0.87.
  • Consolidated GAAP revenues increased by 9.2% over the prior year quarter, totaling $638.5 million.
  • Total skilled services segment income increased to $90.0 million, up 15.0% compared to the prior year quarter.
  • Same store and transitioning occupancy increased sequentially over the first quarter by 1.7% and 1.5%, respectively.

Headline financials

Total Revenue

$639M

Previous: $585M+9.2%
EPS (adj)

$0.89

Previous: $0.78+14.1%
Capital Expenditures

$0.00

Previous: -$364K+100.0%
Free Cash Flow

$49.4M

Previous: $39.9M+23.9%
Net Income

$49.4M

Previous: $40.2M+22.8%
Operating Income

$64.9M

Previous: $55.4M+17.0%
Gross Profit

$150M

Previous: $133M+12.8%
Cash & Equivalents

$198M

Previous: $202M-1.6%
Total Assets

$2.65B

Previous: $2.49B+6.4%
Stock-Based Comp

$4.63M

Previous: $3.53M+31.3%

Revenue & EPS history

Ensign Group · Revenue · Quarterly

$639M

Q2 2021+9.2%vs Q2 2020
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Ensign Group · $613M total across 1 segment · Q2 2021

  • Skilled Services
    $613M

Forward guidance

Management raised the Company’s 2021 annual earnings guidance to $3.55 and $3.67 per diluted share and affirmed its previous annual revenue guidance of $2.62 billion to $2.69 billion.

Tailwinds

  • Strong results during the first and second quarters.
  • Continued positive trends in occupancies.
  • Local operators and their clinically-focused teams will rise to the challenge.
  • Access to the vaccine and many forms of testing.
  • Federal Government has extended the State of Emergency to October 18, 2021, which keeps in place many of the regulatory and other forms of assistance helpful to patient care.

Headwinds

  • Potential resurgence of COVID in some markets.
  • Impact of the new variant of the COVID virus.
  • Normalized health insurance costs.
  • Normal anticipated Medicare and Medicaid reimbursement rate increases, net of provider taxes.
  • Recovery of the COVID-19 pandemic.

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

+1.7%

Avg return

Earnings day

+2.4%

Avg return

5 days after

+4.9%

Avg return

30 days after

55%

36 / 66 earnings

Positive

+21.1%

Q2 2020

Best reaction

-14.9%

Q4 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.2%-5.8%-10.2%
Q4 2025+13.8%+17.8%+19.7%
Q3 2025-0.1%-2.1%-3.2%
Q2 2025+0.1%+1.8%+1.2%
Q1 2025+0.7%+2.9%+14.9%
Q4 2024-8.7%-13.3%-12.4%
Q3 2024+1.9%+4.6%-2.4%
Q2 2024+4.5%+6.5%+8.4%
Q1 2024-1.5%-2.0%+2.4%
Q4 2023+6.7%+3.9%+7.7%
Q3 2023-1.4%-1.4%+13.3%
Q2 2023+1.4%+3.2%+7.0%
Q1 2023-5.7%-4.6%-13.1%
Q4 2022-1.7%-4.4%-2.7%
Q3 2022-1.9%+1.8%+6.7%
Q2 2022+9.5%+6.5%+7.0%
Q1 2022-1.4%-3.8%+1.1%
Q4 2021+7.9%+6.0%+15.9%
Q3 2021+8.3%+11.3%+10.6%
Q2 2021-2.5%-1.3%-3.8%
Q1 2021-3.3%-2.5%-6.3%
Q4 2020+0.4%-2.1%-6.3%
Q3 2020+2.8%+4.8%+23.2%
Q2 2020+21.1%+21.5%+20.9%
Q1 2020+2.6%+2.6%+22.6%
Q4 2019+11.6%+13.9%-2.5%
Q3 2019+1.1%+1.9%+3.9%
Q2 2019-10.3%-15.7%-17.2%
Q1 2019-1.0%+5.0%+4.2%
Q4 2018+11.3%+10.0%+10.2%
Q3 2018+11.2%+20.5%+21.1%
Q2 2018-2.7%-0.1%+8.4%
Q1 2018+12.4%+17.8%+30.7%
Q4 2017+7.5%+8.7%+20.1%
Q3 2017-0.8%-0.2%-2.9%
Q2 2017-7.4%-7.3%-4.4%
Q1 2017+10.4%+9.5%+2.4%
Q4 2016-14.9%-15.5%-8.9%
Q3 2016+3.4%+5.3%+20.7%
Q2 2016-12.2%-8.9%-12.6%
Q1 2016+1.1%
Q4 2015-5.6%
Q3 2015+13.0%
Q2 2015-0.8%
Q1 2015+5.7%
Q4 2014-6.0%
Q3 2014+5.3%
Q2 2014-1.9%
Q1 2014-2.0%
Q4 2013-1.0%
Q3 2013+3.5%
Q2 2013-3.9%
Q1 2013-5.3%
Q4 2012+3.1%
Q3 2012-5.1%
Q2 2012+2.6%
Q1 2011-0.7%
Q1 2012-0.7%
Q4 2011+7.7%
Q4 2009+7.7%
Q3 2011+12.7%
Q3 2010+12.7%
Q4 2010+1.2%
Q2 2010+1.2%
Q2 2011+1.2%
Q1 2010-3.4%

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