The Pennant Group’s Cornerstone home health and hospice segment showed “impressive” results in the third quarter, Pennant CEO Daniel Walker announced Tuesday in advance of a Wednesday earnings call.
“Across the segment, the depth and quality of our leadership pipeline continue to improve, leading to growth in our existing agencies and the increased capacity to acquire new operations with built-in upside,” Walker said.
The $64.4 million in revenue for home health and hospice services for the third quarter is up by $9.2 million, or 16.7%, from the same quarter in 2019. The segment’s adjusted earnings before interest, taxes, depreciation, amortisation and restructuring or rent costs from operations was $13.5 million, up $5 million, or 59.2%, over the third quarter of 2019.
The 6,771 home health admissions seen by operators represents an increase of 28.8% sequentially over the second quarter and 21.9% over the third quarter of 2019. Total home health Medicare admissions were at 3,418, for an increase of 39% sequentially over the second quarter and 31.4% over the third quarter of 2019.
The hospice average daily census, 2,177, represents an increase of 21.8% over the prior-year quarter, and hospice total admissions were 2,133, for an increase of 25.4% over the prior-year quarter.During the quarter and since, the company has acquired four home health agencies and two hospice agencies, closed on a previously announced home health joint venture with San Diego-based Scripps Health, and started two hospice agencies.
