AdaptHealth Corp
For the period ended May 7, 2024. Filed May 7, 2024.
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May 7, 2024 · Filed May 7, 2024
Contents
EX-99.1 · EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin
EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin
This press release presents AdaptHealth’s EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin for the three months ended March 31, 2024 and 2023.
AdaptHealth defines EBITDA as net income (loss) attributable to AdaptHealth Corp., plus net income (loss) attributable to noncontrolling interests, interest expense, net, income tax expense (benefit), and depreciation and amortization, including patient equipment depreciation.
AdaptHealth defines Adjusted EBITDA as EBITDA (as defined above), plus equity-based compensation expense, change in fair value of the warrant liability, goodwill impairment, litigation settlement expense, and certain other non-recurring items of expense or income.
AdaptHealth defines Adjusted EBITDA Margin as Adjusted EBITDA (as defined above) as a percentage of net revenue.
The following unaudited table presents the reconciliation of net (loss) income attributable to AdaptHealth Corp. to EBITDA and Adjusted EBITDA, and the reconciliation of net (loss) income attributable to AdaptHealth Corp. as a percentage of net revenue to Adjusted EBITDA Margin, for the three months ended March 31, 2024 and 2023:
| Three Months Ended March 31, | |||||
|---|---|---|---|---|---|
| 2024 · 2023 | |||||
| (in thousands, except percentages) · Dollars · Revenue Percentage · Dollars · Revenue Percentage | |||||
| Net (loss) income attributable to AdaptHealth Corp. | $(2,134) | (0.3)% | $15,707 | 2.1% | |
| Income attributable to noncontrolling interest | 1,025 | 0.1% | 968 | 0.1% | |
| Interest expense, net | 32,472 | 4.1% | 31,955 | 4.3% | |
| Income tax expense (benefit) | 6,610 | 0.8% | (1,714) | (0.2)% | |
| Depreciation and amortization, including patient equipment depreciation | 92,876 | 11.7% | 93,813 | 12.6% | |
| EBITDA | 130,849 | 16.5% | 140,729 | 18.9% | |
| Equity-based compensation expense (a) | 4,533 | 0.6% | 5,916 | 0.8% | |
| Change in fair value of warrant liability (b) | 7,453 | 0.9% | (21,914) | (2.9)% | |
| Goodwill impairment (c) | 6,530 | 0.8% | — | —% | |
| Litigation settlement expense (d) | 5,105 | 0.6% | — | —% | |
| Other non-recurring expenses, net (e) | 4,015 | 0.5% | 9,233 | 1.2% | |
| Adjusted EBITDA | $158,485 | 20.0% | $133,964 | 18.0% | |
| Adjusted EBITDA Margin | 20.0% | 18.0% | |||
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| (a) | Represents equity-based compensation expense for awards granted to employees and non-employee directors. |
| (b) | Represents a non-cash charge or gain for the change in the estimated fair value of the warrant liability. |
| (c) | Represents a non-cash goodwill impairment charge relating to an immaterial business disposal during 2024. |
| (d) | Represents a $4.2 million charge for the change in fair value of shares expected to be issued in connection with the settlement of a previously disclosed securities class action lawsuit, as well as an expense of $0.9 million to settle a shareholder derivative complaint. The proposed settlements remain subject to final court approval and other customary closing conditions. |
| (e) | The 2024 period consists of $1.2 million of expenses associated with litigation, $1.0 million of consulting expenses associated with systems implementation activities, a $0.7 million write-down of assets, and $1.1 million of other non-recurring expenses. The 2023 period consists of $7.1 million of expenses associated with litigation, $1.2 million of consulting expenses associated with systems implementation activities, and $0.9 million of other non-recurring expenses. |
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.