Encompass Health Q4 2019 Earnings Report

Encompass Health reported strong financial results and strategic progress for Q4 2019.

Key Takeaways

Encompass Health Corporation reported its Q4 2019 results, showing revenue growth driven by volume and pricing in the inpatient rehabilitation segment, and volume growth in the home health and hospice segment. The company had net operating revenues of $1,184.4 million and adjusted earnings per share of $0.85.

Encompass Health had a strong year with solid financial results and significant progress on strategic initiatives.

Revenue growth was driven by volume and pricing growth in the inpatient rehabilitation segment and volume growth in the home health and hospice segment.

The increase in income from continuing operations attributable to Encompass Health per diluted share in 2019 resulted primarily from increased revenue and a lower effective tax rate, as well as the accrual for the settlement with the United States Department of Justice (“DOJ Settlement”) in the fourth quarter of 2018.

The Company is confirming the following guidance ranges for full-year 2020: Net operating revenues of $4,850 to $4,950 million, Adjusted EBITDA of $935 to $965 million, and Adjusted earnings per share from continuing operations attributable to Encompass Health of $3.50 to $3.72.