Surgery Partners(US:SGRY)2025-11-10 12:32Revenue Performance - Third quarter 2025 revenues increased by 6.6% to $821.5 million compared to $770.4 million in the third quarter of 2024[3] - Same-facility revenues for the third quarter of 2025 rose by 6.3%, with a 2.8% increase in revenue per case and a 3.4% increase in same-facility cases[3] - Year-to-date 2025 revenues increased by 7.7% to $2,423.7 million compared to $2,249.9 million for the same period in 2024[4] - Full year 2025 revenue guidance is projected to be between $3.275 billion and $3.30 billion[2] Adjusted EBITDA - Adjusted EBITDA for the third quarter of 2025 was $136.4 million, reflecting a 6.1% increase from $128.6 million in the same period last year[5] - Year-to-date Adjusted EBITDA was $369.3 million, up from $344.4 million in the prior year[4] - Adjusted EBITDA for the three months ended September 30, 2025, was $136.4 million, up from $128.6 million in 2024, representing a growth of 6.1%[20] - Adjusted EBITDA guidance of $535 million to $540 million[2] Net Income and Loss - The company reported a net loss attributable to Surgery Partners, Inc. of $22.7 million for the third quarter of 2025, compared to a net loss of $31.7 million in the same quarter of 2024[5] - Net income for Q3 2025 was $25.3 million, compared to $6.4 million in Q3 2024, representing a significant increase[28] - Adjusted net income attributable to common stockholders for Q3 2025 was $16.5 million, down from $23.9 million in Q3 2024, indicating a decrease of approximately 30.5%[28] - For the nine months ended September 30, 2025, net income was $69.9 million, compared to $59.1 million for the same period in 2024, an increase of 18.8%[28] Cash and Debt - Cash and cash equivalents stood at $203.4 million, with an additional $405.9 million available under the revolving credit facility as of September 30, 2025[5] - The ratio of total net debt to EBITDA was approximately 4.2x at the end of the third quarter of 2025[7] Assets and Liabilities - As of September 30, 2025, total assets increased to $7,946.6 million from $7,890.0 million as of December 31, 2024, reflecting a growth of 0.7%[20] - Total liabilities increased to $4,393.6 million as of September 30, 2025, from $4,254.8 million at the end of 2024, reflecting a rise of 3.3%[20] Case Volume and Facilities - Case volume for the three months ended September 30, 2025, was 166,106, an increase from 162,635 in 2024, marking a growth of 2.9%[20] - The number of surgical facilities remained stable at 165 as of September 30, 2025, compared to 166 in the previous year[20] - For the nine months ended September 30, 2025, the company reported a total of 499,264 cases, an increase from 482,547 cases in 2024, representing a growth of 3.4%[20] Operating Activities - The company reported a net cash provided by operating activities of $83.6 million for the three months ended September 30, 2025, compared to $65.2 million in 2024, indicating a 28.5% increase[20] Transaction Costs and Expenses - Transaction and integration costs for Q3 2025 amounted to $12.6 million, down from $29.4 million in Q3 2024, a decrease of 57.3%[28] - Equity-based compensation expense decreased to $2.6 million in Q3 2025 from $7.1 million in Q3 2024, a reduction of 63.4%[28] Shareholder Information - Adjusted net income per share (diluted) for the three months ended September 30, 2025, was $0.13, down from $0.19 in 2024, a decrease of 31.6%[20] - Diluted adjusted net income per share for the nine months ended September 30, 2025 was $0.34, compared to $0.49 in 2024, a decline of 30.6%[28] - Weighted average common shares outstanding (basic) increased to 127,206 in Q3 2025 from 126,172 in Q3 2024, an increase of 0.8%[28] M&A and Portfolio Optimization - The company continues to evaluate M&A opportunities and portfolio optimization to drive sustained success[2]