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Segment Reporting Segment Reporting (Tables)
12 Months Ended
Dec. 31, 2018
Segment Reporting [Abstract]  
Schedule of Selected Financial Information of Reportable Segments
Selected financial information for our reportable segments is as follows (in millions):
 
Inpatient Rehabilitation
 
Home Health and Hospice
 
For the Year Ended December 31,
 
For the Year Ended December 31,
 
2018
 
2017
 
2016
 
2018
 
2017
 
2016
Net operating revenues
$
3,346.2

 
$
3,141.3

 
$
2,964.1

 
$
931.1

 
$
772.6

 
$
678.5

Operating expenses:
 
 
 
 
 
 
 
 
 
 
 
Inpatient rehabilitation:
 
 
 
 
 
 
 
 
 
 
 
Salaries and benefits
1,701.5

 
1,603.8

 
1,493.4

 

 

 

Other operating expenses
502.3

 
462.5

 
431.5

 

 

 

Supplies
140.6

 
135.7

 
128.8

 

 

 

Occupancy costs
63.8

 
61.9

 
61.2

 

 

 

Home health and hospice:
 
 
 
 
 
 
 
 
 
 
 
Cost of services sold (excluding depreciation and amortization)

 

 

 
438.4

 
363.3

 
333.1

Support and overhead costs

 

 

 
323.5

 
277.2

 
237.2

 
2,408.2

 
2,263.9

 
2,114.9

 
761.9

 
640.5

 
570.3

Other income
(3.6
)
 
(4.1
)
 
(2.9
)
 
(0.5
)
 

 

Equity in net income of nonconsolidated affiliates
(7.5
)
 
(7.3
)
 
(9.1
)
 
(1.2
)
 
(0.7
)
 
(0.7
)
Noncontrolling interests
77.2

 
67.6

 
64.0

 
8.5

 
6.9

 
6.5

Segment Adjusted EBITDA
$
871.9

 
$
821.2

 
$
797.2

 
$
162.4

 
$
125.9

 
$
102.4

 
 
 
 
 
 
 
 
 
 
 
 
Capital expenditures
$
264.6

 
$
238.0

 
$
198.3

 
$
11.6

 
$
10.7

 
$
8.7

Reconciliation of Assets from Segment to Consolidated
 
Inpatient Rehabilitation
 
Home Health and Hospice
 
Encompass Health Consolidated
As of December 31, 2018
 
 
 
 
 
Total assets
$
3,900.9

 
$
1,314.6

 
$
5,175.0

Investments in and advances to nonconsolidated affiliates
9.5

 
2.7

 
12.2

As of December 31, 2017
 
 
 
 
 
Total assets*
$
3,759.9

 
$
1,150.5

 
$
4,864.5

Investments in and advances to nonconsolidated affiliates
9.3

 
2.6

 
11.9


(*) 2017 amounts have been revised to correct an error in our deferred tax assets as discussed in Note 1, Summary of Significant Accounting Policies, “Revision of Previously Issued Financial Statements.”
 
As of December 31, 2018
 
As of December 31, 2017
Total assets for reportable segments*
$
5,215.5

 
$
4,910.4

Reclassification of noncurrent deferred income tax liabilities to net noncurrent deferred income tax assets
(40.5
)
 
(45.9
)
Total consolidated assets*
$
5,175.0

 
$
4,864.5


(*) 2017 amounts have been revised to correct an error in our deferred tax assets as discussed in Note 1, Summary of Significant Accounting Policies, “Revision of Previously Issued Financial Statements.”
Reconciliation of Segment Adjusted EBITDA to Income from Continuing Operations Before Income Tax Expense
Segment reconciliations (in millions):
 
For the Year Ended December 31,
 
2018
 
2017
 
2016
Total segment Adjusted EBITDA
$
1,034.3

 
$
947.1

 
$
899.6

General and administrative expenses
(220.2
)
 
(171.7
)
 
(133.4
)
Depreciation and amortization
(199.7
)
 
(183.8
)
 
(172.6
)
Loss on disposal of assets
(5.7
)
 
(4.6
)
 
(0.7
)
Government, class action, and related settlements
(52.0
)
 

 

Professional feesaccounting, tax, and legal

 

 
(1.9
)
Loss on early extinguishment of debt

 
(10.7
)
 
(7.4
)
Interest expense and amortization of debt discounts and fees
(147.3
)
 
(154.4
)
 
(172.1
)
Net income attributable to noncontrolling interests
83.1

 
79.1

 
70.5

SARs mark-to-market impact on noncontrolling interests
2.6

 

 

Change in fair market value of equity securities
(1.9
)
 

 

Tax reform impact on noncontrolling interests

 
(4.6
)
 

Income from continuing operations before income tax expense
$
493.2

 
$
496.4

 
$
482.0

Reconciliation of Revenue from Segments to Consolidated
Additional detail regarding the revenues of our operating segments by service line follows (in millions):
 
For the Year Ended December 31,
 
2018
 
2017
 
2016
Inpatient rehabilitation:
 
 
 
 
 
Inpatient
$
3,247.9

 
$
3,039.3

 
$
2,853.9

Outpatient and other
98.3

 
102.0

 
110.2

Total inpatient rehabilitation
3,346.2

 
3,141.3

 
2,964.1

Home health and hospice:
 
 
 
 
 
Home health
814.6

 
702.4

 
630.8

Hospice
116.5

 
70.2

 
47.7

Total home health and hospice
931.1

 
772.6

 
678.5

Total net operating revenues
$
4,277.3

 
$
3,913.9

 
$
3,642.6