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Jun 30, 2020

Acadia Healthcare Q2 2020 Earnings Report

Acadia Healthcare's financial results for Q2 2020 were announced, showing a decrease in revenue compared to the same period in 2019, but highlighting the ongoing need for their services.

Key Takeaways

Acadia Healthcare reported a decrease in revenue for Q2 2020, with $750.3 million compared to $789.4 million in Q2 2019. Net income attributable to Acadia stockholders was $41.1 million, or $0.46 per diluted share, compared to $48.1 million, or $0.55 per diluted share, for the same period in 2019.

Revenue for the second quarter of 2020 was $750.3 million, compared to $789.4 million for the second quarter of 2019.

Net income attributable to Acadia stockholders for the second quarter of 2020 was $41.1 million, or $0.46 per diluted share.

U.S. same facility revenue decreased 3.4%, including a 0.7% decrease in patient days and a 2.7% decrease in revenue per patient day, compared to the second quarter last year.

As of June 30, 2020, the Company had $212 million in cash and cash equivalents.

Total Revenue
$750M
Previous year: $789M
-4.9%
EPS
$0.54
Previous year: $0.61
-11.5%
US Same Facility Revenue Growth
-3.4%
US Same Facility Patient Days Growth
-0.7%
US Rev. per Patient Day Growth
-2.7%
Gross Profit
$293M
Previous year: $328M
-10.9%
Cash and Equivalents
$212M
Previous year: $43.5M
+386.8%
Free Cash Flow
$146M
Previous year: $15.1M
+863.1%
Total Assets
$6.83B
Previous year: $6.79B
+0.6%

Acadia Healthcare

Acadia Healthcare

Forward Guidance

Acadia believes there will continue to be a significant need for their services as the associated challenges brought on by the pandemic continue to affect everyone.

Positive Outlook

  • Strong demand for mental health and substance use treatments
  • Ongoing need for services due to the pandemic
  • Investments to serve patients’ needs through bed expansion
  • Extension of market reach
  • Advancement of market leadership as a behavioral healthcare facilities operator

Challenges Ahead

  • Impact of the COVID-19 pandemic
  • Potential difficulties operating business in light of political and economic instability in the U.K.
  • Impact of fluctuations in foreign exchange rates
  • Potential reductions in payments received from government and third-party payors
  • Risk of not generating sufficient cash from operations to service its debt