Surgery Partners reported a nearly 45 percent increase in revenue for the third quarter of 2018.
Here are five things to know:
1. Surgery Partners' quarterly revenue hit $443.9 million, a 44.9 percent increase over the same period last year. The company also reported a $29.2 million net loss attributable to common stock.
2. Same-store revenue growth was up 11.4 percent year-over-year, with surgical cases increasing 13.9 percent to 127,199 for the quarter. "We continue to advance our agenda both operationally and strategically, as we remain focused on pruning the portfolio, investing in our platforms and processes and deploying capital to continue to execute on our inorganic growth opportunities," said CEO Wayne DeVeydt.
3. So far in 2018, Surgery Partners has increased revenue 48.3 percent to $1.3 billion and same-facility revenues have jumped 4.6 percent. There has been a 1.5 percent decrease in same-facility cases over the same time period, and the company's net loss attributable to common stockholders has hit $81.9 million, up significantly from $39 million after three quarters of 2017.
4. The company reported cash and cash equivalents of $79.1 million at the end of the quarter and net debt to EBITDA at 7.75x.
5. Surgery Partners lowered full-year revenue guidance to $1.75 million from $1.8 million and adjusted EBITDA to $230 million to $235 million. CFO Tom Cowhey said, "When we considered the seasonal increases that were required to hit our previous projection, coupled with our pruning efforts and continued growth investments, we made the decision to lower our 2018 Adjusted EBITDA projection."
6. By the end of 2018, the company expects to deploy at least $100 million in capital for acquisitions this year.
"Looking ahead to 2019, we firmly believe that the investments we have made in 2018 will drive organic growth across our business and leave us well positioned to make real progress toward our goal of becoming the trusted partner of choice for operating short stay surgical facilities across the United States," said Mr. DeVeydt.