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Dec 31, 2022

AMN Healthcare Q4 2022 Earnings Report

AMN Healthcare reported a decrease in revenue and net income compared to the previous year, but exceeded adjusted EBITDA margin guidance due to operating leverage.

Key Takeaways

AMN Healthcare announced its fourth quarter and full year 2022 financial results. The company's Q4 revenue was $1.126 billion, a 17% decrease over prior year. Net income was $82 million, or $1.88 per diluted share, compared with $116 million, or $2.42 per diluted share, in the same quarter last year. Adjusted diluted EPS was $2.48 compared with $2.95 in the year-ago quarter.

Consolidated revenue for the quarter was $1.126 billion, a 17% decrease over prior year.

Net income was $82 million (7.3% of revenue), or $1.88 per diluted share.

Adjusted diluted EPS was $2.48 compared with $2.95 in the year-ago quarter.

Revenue for the Nurse and Allied Solutions segment was $825 million, flat sequentially and lower by 24% year over year.

Total Revenue
$1.13B
Previous year: $1.36B
-17.4%
EPS
$2.48
Previous year: $2.95
-15.9%
Gross Profit
$375M
Previous year: $434M
-13.7%
Cash and Equivalents
$65M
Previous year: $181M
-64.1%
Free Cash Flow
$89M
Previous year: $63.1M
+41.0%
Total Assets
$3.36B
Previous year: $3.13B
+7.2%

AMN Healthcare

AMN Healthcare

AMN Healthcare Revenue by Segment

Forward Guidance

Consolidated revenue in the first quarter of 2023 is projected to be 27-29% lower than the record-high revenue of the year-ago period.

Positive Outlook

  • Gross margin is expected to be higher by approximately 90 basis points year over year, driven by an improved Nurse and Allied margin
  • Gross margin is expected to be higher by approximately 90 basis points year over year, driven by a revenue mix shift toward our higher-margin businesses.
  • Nurse and Allied Solutions segment revenue is expected to be flat sequentially
  • Guidance assumes an immaterial amount of labor disruption revenue in the quarter.
  • Stock repurchase authorization.

Challenges Ahead

  • Consolidated revenue in the first quarter of 2023 is projected to be 27-29% lower than the record-high revenue of the year-ago period.
  • Nurse and Allied Solutions segment revenue is expected to be 32-34% below prior year.
  • Physician and Leadership Solutions segment revenue in the first quarter to be down 10-12% year over year.
  • Technology and Workforce Solutions segment revenue also is expected to be down 10-12% year over year.
  • Normalizing trend in staffing demand and bill rates.