Surgery Partners(US:SGRY)2024-11-12 12:31Revenue Performance - Revenues for Q3 2024 increased 14.3% to $770.4 million compared to $674.1 million in Q3 2023[2] - Year-to-date revenues for 2024 increased 12.1% to $2,249.9 million from $2,007.9 million in the prior year[3] - Total revenue for the three months ended September 30, 2024, was $770.4 million, a 14.3% increase from $674.1 million in the same period of 2023[16] - Same-facility revenues rose 4.2% year-over-year, with a 3.7% increase in same-facility cases[2] Adjusted EBITDA and Margins - Adjusted EBITDA for Q3 2024 was $128.6 million, reflecting a 21.9% growth from $105.5 million in Q3 2023[2] - The adjusted EBITDA margin expanded by 100 basis points to 16.7%[1] - Adjusted EBITDA for the three months ended September 30, 2024, was $128.6 million, up from $105.5 million in the prior year, representing a 21.8% increase[16] - The adjusted EBITDA margin for the three months ended September 30, 2024, was 16.7%, up from 15.7% in the prior year[14] Cash Flow and Debt - The company ended Q3 2024 with $222 million in cash and $596 million in revolver capacity[4] - Operating cash flows for Q3 2024 were $65.2 million, down from $104.6 million in the prior year quarter[4] - The total net debt to EBITDA ratio was approximately 3.8x at the end of Q3 2024[4] - Long-term debt, less current maturities, rose to $3,094.2 million as of September 30, 2024, compared to $2,701.8 million at the end of 2023, indicating a 14.6% increase[12] Surgical Facilities and Cases - The number of surgical facilities increased to 166 as of September 30, 2024, compared to 152 at the end of the previous year[14] - Cases performed in the three months ended September 30, 2024, totaled 162,635, a 11.1% increase from 146,514 in the same period of 2023[14] - Revenue per case for the three months ended September 30, 2024, was $4,737, compared to $4,601 in the prior year, reflecting a 2.9% increase[14] Net Income and Earnings - Adjusted net income per share attributable to common stockholders for the three months ended September 30, 2024, was $0.19, unchanged from the same period in 2023[14] - Adjusted net income attributable to common stockholders for Q3 2024 was $23.9 million, slightly up from $23.7 million in Q3 2023, indicating a 0.8% increase[24] - Net income for Q3 2024 was $6.4 million, a significant decrease from $29.7 million in Q3 2023, reflecting a decline of 78.5%[24] - Adjusted net income per share attributable to common stockholders remained stable at $0.19 for both Q3 2024 and Q3 2023[24] Costs and Expenses - Transaction, integration, and acquisition costs for Q3 2024 were $31.5 million, compared to $13.0 million in Q3 2023, marking a 142.3% increase[24] - Start-up costs related to unconsolidated de novo surgical facilities increased to $0.9 million in Q3 2024 from $0.5 million in Q3 2023, a rise of 80%[22] Management and Affiliates - Adjusted EBITDA related to unconsolidated affiliates for Q3 2024 was $12.9 million, up from $10.2 million in Q3 2023, representing a 26.5% increase[22] - Equity in earnings of unconsolidated affiliates rose to $5.2 million in Q3 2024 from $3.5 million in Q3 2023, a growth of 48.6%[22] - Management fee revenues increased to $6.8 million in Q3 2024 from $6.2 million in Q3 2023, a growth of 9.7%[22] Shareholder Information - Basic weighted average common shares outstanding increased to 126,172 in Q3 2024 from 125,747 in Q3 2023[24] - Diluted weighted average common shares outstanding rose to 127,640 in Q3 2024 from 127,376 in Q3 2023[24]