Delaware | 001-41406 | 47-2409192 | ||||||
(State or other jurisdiction | (Commission | (IRS Employer | ||||||
of incorporation) | File Number) | Identification No.) |
☐ | Written communication pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | ||||
☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | ||||
☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
||||
☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
Common Stock, par value $0.01 per share | EHAB | New York Stock Exchange |
Exhibit Number |
Description | |||||||
104 | Cover Page Interactive Data File - the cover page iXBRL tags are embedded within the Inline XBRL document |
ENHABIT, INC. | ||||||||
By: | /s/ Dylan C. Black | |||||||
Name: | Dylan C. Black | |||||||
Title: | General Counsel |
($ in millions, except per share data) | Q2 | '24 vs. '23 | ||||||||||||||||||
2024 | 2023 | |||||||||||||||||||
Home health net service revenue | $ | 210.2 | $ | 213.8 | (1.7)% | |||||||||||||||
Hospice net service revenue | 50.4 | 48.5 | 3.9% | |||||||||||||||||
Total net service revenue | $ | 260.6 | $ | 262.3 | (0.6)% | |||||||||||||||
% of revenue | % of revenue | |||||||||||||||||||
Cost of service | 50.6% | $ | 131.8 | 51.7% | $ | 135.5 | (2.7)% | |||||||||||||
Gross margin | 49.4% | 128.8 | 48.3% | 126.8 | 1.6% | |||||||||||||||
General and administrative expenses | 39.5% | 103.0 | 39.2% | 102.7 | 0.3% | |||||||||||||||
Total operating expenses | 90.1% | $ | 234.8 | 90.8% | $ | 238.2 | (1.4)% | |||||||||||||
Other income | — | (0.1) | ||||||||||||||||||
Net income attributable to noncontrolling interests | 0.6 | 0.3 | ||||||||||||||||||
Adjusted EBITDA | $ | 25.2 | $ | 23.9 | 5.4% | |||||||||||||||
Adjusted EBITDA margin | 9.7% | 9.1% | ||||||||||||||||||
Impairment of goodwill | $ | — | $ | 85.8 | (100.0)% | |||||||||||||||
Net loss attributable to Enhabit, Inc. | $ | (0.2) | $ | (74.4) | (99.7)% | |||||||||||||||
Reported diluted EPS | $ | — | $ | (1.49) | (100.0)% | |||||||||||||||
Adjusted EPS |
$ | 0.07 | $ | 0.04 | 75.0% |
($ in millions) | Q2 | '24 vs. '23 | ||||||||||||
2024 | 2023 | |||||||||||||
Net service revenue: | ||||||||||||||
Medicare | $ | 121.7 | $ | 139.4 | (12.7)% | |||||||||
Non-Medicare | 86.3 | 71.8 | 20.2% | |||||||||||
Private duty(1) |
2.2 | 2.6 | (15.4)% | |||||||||||
Home health net service revenue | 210.2 | 213.8 | (1.7)% | |||||||||||
Cost of service | 106.9 | 111.4 | (4.0)% | |||||||||||
Gross margin | 49.1% | 47.9% | ||||||||||||
General and administrative expenses | 58.6 | 59.4 | (1.3)% | |||||||||||
Other income | — | (0.1) | (100.0)% | |||||||||||
Net income attributable to noncontrolling interests | 0.5 | 0.3 | 66.7% | |||||||||||
Adjusted EBITDA | $ | 44.2 | $ | 42.8 | 3.3% | |||||||||
% Adj. EBITDA margin | 21.0% | 20.0% | ||||||||||||
Operational metrics (actual amounts) |
||||||||||||||
Medicare: | ||||||||||||||
Admissions | 24,015 | 26,845 | (10.5)% | |||||||||||
Recertifications | 16,639 | 19,884 | (16.3)% | |||||||||||
Completed episodes | 41,620 | 47,528 | (12.4)% | |||||||||||
Visits | 597,742 | 691,857 | (13.6)% | |||||||||||
Visits per episode | 14.4 | 14.6 | (1.4)% | |||||||||||
Revenue per episode | $ | 2,924 | $ | 2,933 | (0.3)% | |||||||||
Non-Medicare: | ||||||||||||||
Admissions | 30,209 | 24,130 | 25.2% | |||||||||||
Recertifications | 14,587 | 13,458 | 8.4% | |||||||||||
Visits | 581,326 | 514,008 | 13.1% | |||||||||||
Total: | ||||||||||||||
Admissions | 54,224 | 50,975 | 6.4% | |||||||||||
Same-store total admissions growth |
6.2% | |||||||||||||
Recertifications | 31,226 | 33,342 | (6.3)% | |||||||||||
Same-store total recertifications growth |
(6.5)% | |||||||||||||
Visits | 1,179,068 | 1,205,865 | (2.2)% | |||||||||||
Visits per episode | 14.0 | 14.6 | (4.1)% | |||||||||||
Cost per visit | $ | 89 | $ | 91 | (2.2)% | |||||||||
(1) Private duty represents long-term comprehensive hourly nursing medical care. |
($ in millions) | Q2 | '24 vs. '23 | ||||||||||||
2024 | 2023 | |||||||||||||
Net service revenue | $ | 50.4 | $ | 48.5 | 3.9% | |||||||||
Cost of service | 24.9 | 24.1 | 3.3% | |||||||||||
Gross margin | 50.6% | 50.3% | ||||||||||||
General and administrative expenses | 16.3 | 16.1 | 1.2% | |||||||||||
Net income attributable to noncontrolling interests | 0.1 | — | NM | |||||||||||
Adjusted EBITDA | $ | 9.1 | $ | 8.3 | 9.6% | |||||||||
% Adj. EBITDA margin | 18.1% | 17.1% | ||||||||||||
Operational metrics (actual amounts) |
||||||||||||||
Total admissions | 2,888 | 2,837 | 1.8% | |||||||||||
Same-store total admissions growth | (0.2)% | |||||||||||||
Patient days | 320,026 | 311,465 | 2.7% | |||||||||||
Discharged average length of stay | 108 | 108 | —% | |||||||||||
Average daily census | 3,517 | 3,423 | 2.7% | |||||||||||
Revenue per patient day | $ | 157 | $ | 156 | 0.6% | |||||||||
Cost per patient day | $ | 78 | $ | 77 | 1.3% | |||||||||
References in the financial tables to percentage changes that are not meaningful are denoted by “NM”. |
($ in millions, except per share data) |
2024 Previous Guidance | 2024 Updated Guidance | ||||||
Net service revenue |
$1,076 to $1,102 | $1,050 to $1,063 | ||||||
Adjusted EBITDA |
$98 to $110 | $100 to $106 | ||||||
Adjusted EPS |
$0.12 to $0.43 | $0.19 to $0.37 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||||||||||||||
($ in millions, except per share data) | |||||||||||||||||||||||
Net service revenue | $ | 260.6 | $ | 262.3 | $ | 523.0 | $ | 527.4 | |||||||||||||||
Cost of service, excluding depreciation and amortization | 131.8 | 135.5 | 266.0 | 268.1 | |||||||||||||||||||
General and administrative expenses | 110.0 | 107.8 | 217.5 | 218.3 | |||||||||||||||||||
Depreciation and amortization | 7.6 | 7.7 | 15.4 | 15.5 | |||||||||||||||||||
Impairment of goodwill | — | 85.8 | — | 85.8 | |||||||||||||||||||
Operating income (loss) | 11.2 | (74.5) | 24.1 | (60.3) | |||||||||||||||||||
Interest expense and amortization of debt discounts and fees | 10.9 | 10.3 | 22.0 | 19.8 | |||||||||||||||||||
Other income | — | (0.1) | — | (0.1) | |||||||||||||||||||
Income (loss) before income taxes and noncontrolling interests | 0.3 | (84.7) | 2.1 | (80.0) | |||||||||||||||||||
Income tax (benefit) expense | (0.1) | (10.6) | 0.8 | (9.1) | |||||||||||||||||||
Net income (loss) | 0.4 | (74.1) | 1.3 | (70.9) | |||||||||||||||||||
Less: Net income attributable to noncontrolling interests | 0.6 | 0.3 | 1.3 | 0.8 | |||||||||||||||||||
Net loss attributable to Enhabit, Inc. | $ | (0.2) | $ | (74.4) | $ | — | $ | (71.7) | |||||||||||||||
Weighted average common shares outstanding: | |||||||||||||||||||||||
Basic | 50.1 | 49.8 | 50.1 | 49.8 | |||||||||||||||||||
Diluted | 50.1 | 49.8 | 50.1 | 49.8 | |||||||||||||||||||
Loss per common share: | |||||||||||||||||||||||
Basic loss per share attributable to Enhabit, Inc. common stockholders | $ | — | $ | (1.49) | $ | — | $ | (1.44) | |||||||||||||||
Diluted loss per share attributable to Enhabit, Inc. common stockholders | $ | — | $ | (1.49) | $ | — | $ | (1.44) |
June 30, 2024 |
December 31, 2023 |
||||||||||
($ in millions) | |||||||||||
Assets | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | 28.5 | $ | 27.4 | |||||||
Restricted cash | 1.7 | 2.4 | |||||||||
Accounts receivable, net of allowances | 166.0 | 164.7 | |||||||||
Prepaid expenses and other current assets | 10.6 | 15.6 | |||||||||
Total current assets | 206.8 | 210.1 | |||||||||
Property and equipment, net | 21.6 | 19.0 | |||||||||
Operating lease right-of-use assets | 55.0 | 57.5 | |||||||||
Goodwill | 1,061.7 | 1,061.7 | |||||||||
Intangible assets, net | 69.0 | 80.0 | |||||||||
Other long-term assets | 4.9 | 5.3 | |||||||||
Total assets | $ | 1,419.0 | $ | 1,433.6 | |||||||
Liabilities and stockholders’ equity | |||||||||||
Current liabilities: | |||||||||||
Current portion of long-term debt | $ | 23.0 | $ | 22.5 | |||||||
Current operating lease liabilities | 11.0 | 11.8 | |||||||||
Accounts payable | 8.5 | 7.6 | |||||||||
Accrued payroll | 37.0 | 38.5 | |||||||||
Refunds due patients and other third-party payors | 10.4 | 8.2 | |||||||||
Accrued medical insurance | 9.8 | 8.4 | |||||||||
Other current liabilities | 40.4 | 40.7 | |||||||||
Total current liabilities | 140.1 | 137.7 | |||||||||
Long-term debt, net of current portion | 512.7 | 530.1 | |||||||||
Long-term operating lease liabilities, net of current portion | 44.3 | 45.7 | |||||||||
Deferred income tax liabilities | 16.4 | 17.1 | |||||||||
Other long-term liabilities | 0.1 | 1.3 | |||||||||
Total liabilities | 713.6 | 731.9 | |||||||||
Redeemable noncontrolling interests | 5.0 | 5.0 | |||||||||
Stockholders’ equity: | |||||||||||
Total Enhabit, Inc. stockholders’ equity | 674.3 | 669.7 | |||||||||
Noncontrolling interests | 26.1 | 27.0 | |||||||||
Total stockholders’ equity | 700.4 | 696.7 | |||||||||
Total liabilities and stockholders’ equity | $ | 1,419.0 | $ | 1,433.6 |
Six Months Ended June 30, | |||||||||||
2024 | 2023 | ||||||||||
($ in millions) | |||||||||||
Cash flows from operating activities: | |||||||||||
Net income (loss) | $ | 1.3 | $ | (70.9) | |||||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities— | |||||||||||
Depreciation and amortization | 15.4 | 15.5 | |||||||||
Amortization of debt related costs | 0.7 | 0.5 | |||||||||
Impairment of goodwill | — | 85.8 | |||||||||
Stock-based compensation | 4.0 | 4.1 | |||||||||
Deferred tax benefit | (1.1) | (11.0) | |||||||||
Other |
(0.1) | 0.9 | |||||||||
Changes in assets and liabilities, net of acquisitions— | |||||||||||
Accounts receivable, net of allowances | (1.3) | 1.9 | |||||||||
Prepaid expenses and other assets | 5.9 | 19.2 | |||||||||
Accounts payable | 0.1 | 1.5 | |||||||||
Accrued payroll | (1.5) | (2.6) | |||||||||
Other liabilities | 3.5 | (5.7) | |||||||||
Net cash provided by operating activities | 26.9 | 39.2 | |||||||||
Cash flows from investing activities: | |||||||||||
Acquisition of businesses, net of cash acquired | — | (2.8) | |||||||||
Purchases of property and equipment, including capitalized software costs | (2.5) | (1.7) | |||||||||
Other | 0.8 | 0.5 | |||||||||
Net cash used in investing activities | (1.7) | (4.0) | |||||||||
Cash flows from financing activities: | |||||||||||
Principal payments on term loan facility | (10.0) | (10.0) | |||||||||
Principal payments on revolving credit facility | (10.0) | (10.0) | |||||||||
Distributions paid to noncontrolling interests of consolidated affiliates | (2.2) | (2.5) | |||||||||
Other | (2.6) | (3.4) | |||||||||
Net cash used in financing activities | (24.8) | (25.9) | |||||||||
Increase in cash, cash equivalents, and restricted cash | 0.4 | 9.3 | |||||||||
Cash, cash equivalents, and restricted cash at beginning of period | 29.8 | 27.2 | |||||||||
Cash, cash equivalents, and restricted cash at end of period | $ | 30.2 | $ | 36.5 | |||||||
Reconciliation of Diluted Earnings Per Share to Adjusted Earnings Per Share | |||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, |
||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||||||||||||||
Diluted earnings per share, as reported | $ | — | $ | (1.49) | $ | — | $ | (1.44) | |||||||||||||||
Adjustments, net of tax: | |||||||||||||||||||||||
Impairment of goodwill | — | 1.50 | — | 1.50 | |||||||||||||||||||
Unusual or nonrecurring items that are not typical of ongoing operations(1) |
0.07 | 0.03 | 0.13 | 0.07 | |||||||||||||||||||
Income tax adjustments(2) |
— | — | 0.01 | 0.01 | |||||||||||||||||||
Adjusted earnings per share | $ | 0.07 | $ | 0.04 | $ | 0.14 | $ | 0.14 |
Reconciliation of Adjusted EBITDA to Adjusted Earnings Per Share | |||||||||||||||||
Three Months Ended June 30, | |||||||||||||||||
2024 | |||||||||||||||||
Adjustments | |||||||||||||||||
As Reported | Unusual or Nonrecurring Items That are Not Typical of Ongoing Operations | As Adjusted | |||||||||||||||
($ in millions, except per share data) | |||||||||||||||||
Adjusted EBITDA(1) |
$ | 25.2 | $ | — | $ | 25.2 | |||||||||||
Interest expense and amortization of debt discounts and fees | (10.9) | — | (10.9) | ||||||||||||||
Depreciation and amortization | (7.6) | — | (7.6) | ||||||||||||||
Stock-based compensation | (2.2) | — | (2.2) | ||||||||||||||
Unusual or nonrecurring items that are not typical of ongoing operations(2) |
(4.8) | 4.8 | — | ||||||||||||||
(Loss) income before income taxes | (0.3) | 4.8 | 4.5 | ||||||||||||||
Income tax benefit (expense) | 0.1 | (1.3) | (1.2) | ||||||||||||||
Net (loss) income attributable to Enhabit, Inc. | $ | (0.2) | $ | 3.5 | $ | 3.3 | |||||||||||
Diluted EPS |
$ | — | $ | 0.07 | $ | 0.07 | |||||||||||
Diluted shares | 50.1 | 50.1 |
Reconciliation of Adjusted EBITDA to Adjusted Earnings Per Share | |||||||||||||||||||||||||||||
Three Months Ended June 30, | |||||||||||||||||||||||||||||
2023 | |||||||||||||||||||||||||||||
Adjustments | |||||||||||||||||||||||||||||
As Reported | Impairment of Goodwill | Unusual or Nonrecurring Items That are Not Typical of Ongoing Operations | Income Tax Adjustments(3) |
As Adjusted | |||||||||||||||||||||||||
($ in millions, except per share data) | |||||||||||||||||||||||||||||
Adjusted EBITDA(1) |
$ | 23.9 | $ | — | $ | — | $ | — | $ | 23.9 | |||||||||||||||||||
Interest expense and amortization of debt discounts and fees | (10.3) | — | — | — | (10.3) | ||||||||||||||||||||||||
Depreciation and amortization | (7.7) | — | — | — | (7.7) | ||||||||||||||||||||||||
Gain on disposal of assets | 0.1 | — | — | — | 0.1 | ||||||||||||||||||||||||
Impairment of goodwill | (85.8) | 85.8 | — | — | — | ||||||||||||||||||||||||
Stock-based compensation | (2.6) | — | — | — | (2.6) | ||||||||||||||||||||||||
Unusual or nonrecurring items that are not typical of ongoing operations(2) |
(2.6) | — | 2.6 | — | — | ||||||||||||||||||||||||
(Loss) income before income taxes | (85.0) | 85.8 | 2.6 | — | 3.4 | ||||||||||||||||||||||||
Income tax benefit (expense) | 10.6 | (11.1) | (1.0) | 0.1 | (1.4) | ||||||||||||||||||||||||
Net (loss) income attributable to Enhabit, Inc. | $ | (74.4) | $ | 74.7 | $ | 1.6 | $ | 0.1 | $ | 2.0 | |||||||||||||||||||
Diluted EPS |
$ | (1.49) | $ | 1.50 | $ | 0.03 | $ | — | $ | 0.04 | |||||||||||||||||||
Diluted shares | 49.8 | 49.8 |
Reconciliation of Adjusted EBITDA to Adjusted Earnings Per Share | |||||||||||||||||||||||
Six Months Ended June 30, | |||||||||||||||||||||||
2024 | |||||||||||||||||||||||
Adjustments | |||||||||||||||||||||||
As Reported | Unusual or Nonrecurring Items That are Not Typical of Ongoing Operations | Income Tax Adjustments(3) |
As Adjusted | ||||||||||||||||||||
($ in millions, except per share data) | |||||||||||||||||||||||
Adjusted EBITDA(1) |
$ | 50.5 | $ | — | $ | — | $ | 50.5 | |||||||||||||||
Interest expense and amortization of debt discounts and fees | (22.0) | — | — | (22.0) | |||||||||||||||||||
Depreciation and amortization | (15.4) | — | — | (15.4) | |||||||||||||||||||
Gain on disposal of assets | 0.2 | — | — | 0.2 | |||||||||||||||||||
Stock-based compensation | (4.0) | — | — | (4.0) | |||||||||||||||||||
Unusual or nonrecurring items that are not typical of ongoing operations(2) |
(8.5) | 8.5 | — | — | |||||||||||||||||||
Income before income taxes | 0.8 | 8.5 | — | 9.3 | |||||||||||||||||||
Income tax expense | (0.8) | (2.2) | 0.6 | (2.4) | |||||||||||||||||||
Net income attributable to Enhabit, Inc. | $ | — | $ | 6.3 | $ | 0.6 | $ | 6.9 | |||||||||||||||
Diluted EPS |
$ | — | $ | 0.13 | $ | 0.01 | $ | 0.14 | |||||||||||||||
Diluted shares | 50.1 | 50.1 |
Reconciliation of Adjusted EBITDA to Adjusted Earnings Per Share | |||||||||||||||||||||||||||||
Six Months Ended June 30, | |||||||||||||||||||||||||||||
2023 | |||||||||||||||||||||||||||||
Adjustments | |||||||||||||||||||||||||||||
As Reported | Impairment of Goodwill | Unusual or Nonrecurring Items That are Not Typical of Ongoing Operations | Income Tax Adjustments(3) |
As Adjusted | |||||||||||||||||||||||||
($ in millions, except per share data) | |||||||||||||||||||||||||||||
Adjusted EBITDA(1) |
$ | 49.2 | $ | — | $ | — | $ | — | $ | 49.2 | |||||||||||||||||||
Interest expense and amortization of debt discounts and fees | (19.8) | — | — | — | (19.8) | ||||||||||||||||||||||||
Depreciation and amortization | (15.5) | — | — | — | (15.5) | ||||||||||||||||||||||||
Gain on disposal of assets | 0.1 | — | — | — | 0.1 | ||||||||||||||||||||||||
Impairment of goodwill | (85.8) | 85.8 | — | — | — | ||||||||||||||||||||||||
Stock-based compensation | (4.1) | — | — | — | (4.1) | ||||||||||||||||||||||||
Unusual or nonrecurring items that are not typical of ongoing operations(2) |
(4.9) | — | 4.9 | — | — | ||||||||||||||||||||||||
(Loss) income before income taxes | (80.8) | 85.8 | 4.9 | — | 9.9 | ||||||||||||||||||||||||
Income tax benefit (expense) | 9.1 | (11.1) | (1.6) | 0.5 | (3.1) | ||||||||||||||||||||||||
Net (loss) income attributable to Enhabit, Inc. | $ | (71.7) | $ | 74.7 | $ | 3.3 | $ | 0.5 | $ | 6.8 | |||||||||||||||||||
Diluted EPS |
$ | (1.44) | $ | 1.50 | $ | 0.07 | $ | 0.01 | $ | 0.14 | |||||||||||||||||||
Diluted shares | 49.8 | 49.8 |
Reconciliation of Net Income (Loss) to Adjusted EBITDA | |||||||||||||||||||||||
Three Months Ended June 30, |
Six Months Ended June 30, |
||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||
Net income (loss) | $ | 0.4 | $ | (74.1) | $ | 1.3 | $ | (70.9) | |||||||||||||||
Interest expense and amortization of debt discounts and fees | 10.9 | 10.3 | 22.0 | 19.8 | |||||||||||||||||||
Income tax (benefit) expense | (0.1) | (10.6) | 0.8 | (9.1) | |||||||||||||||||||
Depreciation and amortization | 7.6 | 7.7 | 15.4 | 15.5 | |||||||||||||||||||
Gain on disposal of assets | — | (0.1) | (0.2) | (0.1) | |||||||||||||||||||
Impairment of goodwill | — | 85.8 | — | 85.8 | |||||||||||||||||||
Stock-based compensation | 2.2 | 2.6 | 4.0 | 4.1 | |||||||||||||||||||
Net income attributable to noncontrolling interests | (0.6) | (0.3) | (1.3) | (0.8) | |||||||||||||||||||
Unusual or nonrecurring items that are not typical of ongoing operations(1) |
4.8 | 2.6 | 8.5 | 4.9 | |||||||||||||||||||
Adjusted EBITDA | $ | 25.2 | $ | 23.9 | $ | 50.5 | $ | 49.2 |
Reconciliation of Net Cash Provided by Operating Activities to Adjusted EBITDA | |||||||||||||||||||||||
Three Months Ended June 30, |
Six Months Ended June 30, |
||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||
Net cash provided by operating activities | $ | 9.6 | $ | 9.6 | $ | 26.9 | $ | 39.2 | |||||||||||||||
Interest expense, excluding amortization of debt discounts and fees | 10.6 | 10.1 | 21.3 | 19.3 | |||||||||||||||||||
Current portion of income tax expense | 0.5 | 0.7 | 1.9 | 1.9 | |||||||||||||||||||
Change in assets and liabilities, excluding derivative instrument | 0.3 | 1.2 | (6.9) | (15.0) | |||||||||||||||||||
Net income attributable to noncontrolling interests | (0.6) | (0.3) | (1.3) | (0.8) | |||||||||||||||||||
Unusual or nonrecurring items that are not typical of ongoing operations(1) |
4.8 | 2.6 | 8.5 | 4.9 | |||||||||||||||||||
Other | — | — | 0.1 | (0.3) | |||||||||||||||||||
Adjusted EBITDA | $ | 25.2 | $ | 23.9 | $ | 50.5 | $ | 49.2 |
Reconciliation of Net Cash Provided by Operating Activities to Adjusted Free Cash Flow | |||||||||||||||||||||||
Three Months Ended June 30, |
Six Months Ended June 30, |
||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||
Net cash provided by operating activities | $ | 9.6 | $ | 9.6 | $ | 26.9 | $ | 39.2 | |||||||||||||||
Unusual or nonrecurring items that are not typical of ongoing operations(1) |
4.8 | 2.6 | 8.5 | 4.9 | |||||||||||||||||||
Capital expenditures for maintenance | (0.7) | (1.1) | (2.5) | (1.7) | |||||||||||||||||||
Other working capital adjustments | (1.1) | (0.5) | (1.7) | (1.0) | |||||||||||||||||||
Distributions paid to noncontrolling interests of consolidated affiliates | (2.2) | — | (2.2) | (2.5) | |||||||||||||||||||
Adjusted free cash flow | $ | 10.4 | $ | 10.6 | $ | 29.0 | $ | 38.9 |
Reconciliation of Gross Margin to Adjusted EBITDA Margin | |||||||||||||||||||||||
Three Months Ended June 30, |
Six Months Ended June 30, |
||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||||||||||||||
Gross margin as a percentage of revenue | 49.4 | % | 48.3 | % | 49.1 | % | 49.2 | % | |||||||||||||||
General and administrative expenses | (42.2) | % | (41.1) | % | (41.6) | % | (41.4) | % | |||||||||||||||
Stock-based compensation | 0.9 | % | 1.0 | % | 0.8 | % | 0.8 | % | |||||||||||||||
Noncontrolling interests | (0.2) | % | (0.1) | % | (0.2) | % | (0.2) | % | |||||||||||||||
Unusual or nonrecurring items that are not typical of ongoing operations(1) |
1.8 | % | 1.0 | % | 1.6 | % | 0.9 | % | |||||||||||||||
Adjusted EBITDA margin | 9.7 | % | 9.1 | % | 9.7 | % | 9.3 | % |