NHC(US:NHC)2024-02-16 22:12Financial Performance - Net patient revenues for the year ended December 31, 2023, were $956,077,000, an increase from $900,231,000 in 2022[193]. - For the year ended December 31, 2023, net income attributable to National HealthCare Corporation was $66,798,000, a significant increase from $22,445,000 in 2022[198]. - Net patient revenues totaled $1,087,614,000, reflecting a $58,529,000 increase, or 5.7%, compared to the prior year[207]. - Same-facility net operating revenues increased by 11.3% when excluding government stimulus income and operations ceased in September 2022[205]. - The Company reported income before income taxes of $88,738,000 for the year ended December 31, 2023, compared to $27,231,000 in 2022[193]. - GAAP net income attributable to the company for 2022 was $22,445,000, a significant decrease from $138,590,000 in 2021, largely due to a $95.2 million gain from the Caris acquisition in 2021[221]. - Net patient revenues totaled $1,029,085,000 for 2022, reflecting a 6.6% increase compared to the prior year, with supplemental Medicaid payments contributing $19,442,000 in 2022[222]. - Comprehensive income attributable to National HealthCare Corporation for 2023 was $69,726, compared to $11,308 in 2022, reflecting a substantial increase[276]. - Earnings per share (EPS) for 2023 were $4.36 (basic), compared to $1.46 in 2022, representing a growth of 198.6%[273]. - Net income for 2023 was $65,288,000, a significant increase from $19,977,000 in 2022, reflecting a growth of approximately 226%[285]. Revenue Sources - The Company recorded government stimulus income from the Provider Relief Funds of $63,360,000, $11,457,000, and $0 for the years ended December 31, 2021, 2022, and 2023, respectively[180]. - Supplemental Medicaid payments contributed $20,214,000 to net patient revenues in 2023, slightly down from $20,482,000 in 2021[339]. - Medicare accounted for 34% of net patient revenues in 2023, down from 37% in 2022, while Medicaid increased to 30% from 28%[345]. - Other revenues totaled $53,930,000 in 2023, an increase from $45,196,000 in 2022[355]. - Rental income for 2023 was $23,926,000, a slight increase from $23,451,000 in 2022[356]. - Management fees from other healthcare centers amounted to $13,344,000 in 2023, up from $11,828,000 in 2022[361]. Operational Metrics - The overall occupancy rate in owned and leased skilled nursing facilities increased to 87.9% in 2023 from 83.8% in 2022 and 80.6% in 2021[183]. - The Company operates or manages 68 skilled nursing facilities with 8,732 licensed beds, 26 assisted living facilities with 1,501 units, and 35 homecare agencies across 8 states as of December 31, 2023[178]. - The Company has 40 skilled nursing facilities rated 4 or 5 stars, representing 59% of its total facilities, compared to an industry average of 36%[186]. - New operations contributed an increase of $25,821,000 in net patient revenues for the year ended December 31, 2023[209]. - The average census in owned and leased skilled nursing facilities rose to 83.8% in 2022 from 80.6% in 2021, with Medicare and managed care per diem rates increasing by 2.3% and 6.0%, respectively[223]. Costs and Expenses - Total costs and expenses for the year ended December 31, 2023, were $1,084,410,000, compared to $1,053,842,000 in 2022[193]. - Salaries, wages, and benefits increased by $26,175,000, or 3.8%, totaling $712,344,000, while the percentage of net operating revenues decreased to 62.4% from 63.2%[213]. - Total costs and expenses rose by $30,568,000, or 2.9%, to $1,084,410,000 in 2023[212]. - General and administrative costs for the year ended December 31, 2023, were $21,412,000, compared to $20,651,000 in 2022 and $20,160,000 in 2021[304]. Cash Flow and Liquidity - Cash provided by operating activities for the year ended December 31, 2023 was $111,216,000, a substantial increase from $8,742,000 in 2022[237]. - The company expects to meet its short-term liquidity requirements primarily from cash flows from operating activities, with current cash on hand of $107,076,000 and unrestricted marketable securities of $116,544,000[241]. - Total cash, cash equivalents, restricted cash, and restricted cash equivalents at the end of 2023 amounted to $125,968,000, up from $74,865,000 in 2022, representing a 68% increase[285]. - The company’s total cash and cash equivalents increased by $51,103,000 in 2023, compared to a decrease of $44,878,000 in 2022[285]. Investments and Marketable Securities - The fair value of the company's marketable equity securities is approximately $137,896,000, with an investment in NHI comprising about $91,071,000, or 66.0%, of the total[262]. - The company has net unrealized gains of $83,586,000 in its equity securities, with approximately $66,337,000 related to the investment in NHI[262]. - The company recorded unrealized gains of $14,944,000 from marketable equity securities for the year ended December 31, 2023[218]. - The company reported unrealized losses on marketable equity securities of $14,944,000 in 2023, contrasting with unrealized gains of $15,806,000 in 2022[285]. Liabilities and Reserves - The accrued professional liability and workers' compensation reserves totaled $103,259,000 as of December 31, 2023, compared to $102,469,000 in 2022[189]. - As of December 31, 2023, the accrued risk reserves totaled $103,259,000, which includes professional liability claims reserves for unpaid reported claims and estimates for incurred but unreported claims[270]. - Total liabilities for 2023 were $400,316, slightly up from $397,936 in 2022, indicating a marginal increase of 0.4%[281]. Accounting and Compliance - The company recognizes revenue as performance obligations are completed, with net patient revenues derived from various healthcare services[249]. - Medicare and Medicaid program revenues are subject to audit and retroactive adjustment, impacting the estimated transaction price for providing patient care[252]. - The company has not adopted any new accounting standards during 2023[247].