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Dec 31, 2023

Ensign Group Q4 2023 Earnings Report

Ensign Group reported Q4 2023 results with revenue increase and earnings per share.

Key Takeaways

Ensign Group reported a strong Q4 2023, with consolidated GAAP revenue of $980.4 million, a 21.1% increase over the prior year quarter. GAAP diluted earnings per share was $0.38, and adjusted diluted earnings per share was $1.28, a 16.4% increase over the prior year quarter. The company's same store occupancy was 79.9%, a 2.4% increase over the prior year quarter.

Consolidated GAAP revenue increased by 21.1% year-over-year to $980.4 million.

GAAP diluted earnings per share was $0.38, which includes the impact of certain litigation matters arising outside the ordinary course of business.

Adjusted diluted earnings per share increased by 16.4% year-over-year to $1.28.

Same store occupancy increased by 2.4% over the prior year quarter, reaching 79.9%.

Total Revenue
$971M
Previous year: $810M
+19.9%
EPS
$1.28
Previous year: $1.1
+16.4%
Occupancy percentage
79.9%
Previous year: 76.2%
+4.9%
Gross Profit
$149M
Previous year: $135M
+10.2%
Cash and Equivalents
$510M
Previous year: $316M
+61.1%
Free Cash Flow
$56.5M
Total Assets
$4.68B
Previous year: $3.45B
+35.5%

Ensign Group

Ensign Group

Ensign Group Revenue by Segment

Forward Guidance

The Ensign Group is issuing its annual 2024 earnings guidance of $5.29 to $5.47 per diluted share and annual revenue guidance of $4.13 billion to $4.17 billion.

Positive Outlook

  • 2024 earnings guidance represents an increase of 13% over 2023 results.
  • 2024 earnings guidance is 30% higher than 2022 results.
  • Company is well-positioned to have another outstanding year in 2024.
  • Pipeline for new deals remains strong.
  • Company has over a billion dollars in dry powder for future investments.

Challenges Ahead

  • Guidance excludes one-time charges, including certain expenses related to litigation matters arising outside of the ordinary course of business.
  • Guidance excludes acquisition-related costs.
  • Guidance excludes amortization costs related to intangible assets acquired and share-based compensation.
  • The company is unable to predict the full extent and duration of the financial impact of these changes on our business, financial condition and results of operations
  • There are risks and uncertainties related to the Company’s business, its industry and its common stock