v2.4.1.9
Consolidating financial statements
3 Months Ended
Mar. 31, 2015
Organization Consolidation And Presentation Of Financial Statements [Abstract]  
Consolidating financial statements

20.

Condensed consolidating financial statements

The following information is presented in accordance with Rule 3-10 of Regulation S-X. The operating and investing activities of the separate legal entities included in the Company’s consolidated financial statements are fully interdependent and integrated. Revenues and operating expenses of the separate legal entities include intercompany charges for management and other administrative services. The Company’s senior notes are guaranteed by substantially all of its domestic wholly-owned subsidiaries. Each of the guarantor subsidiaries has guaranteed the notes on a joint and several basis. However, the guarantor subsidiaries can be released from their obligations in the event of a sale or other disposition of all or substantially all of the assets of such subsidiary, including by merger or consolidation or the sale of all equity interests in such subsidiary owned by the Company, if such subsidiary guarantor is designated as an unrestricted subsidiary or otherwise ceases to be a restricted subsidiary, and if such subsidiary guarantor no longer guaranties any other indebtedness of the Company. Non-wholly-owned subsidiaries, certain wholly-owned subsidiaries, foreign subsidiaries, joint ventures, partnerships, non-owned entities and third parties are not guarantors of these obligations.

Condensed Consolidating Statements of Income

 

 

 

DaVita

 

 

 

 

 

 

Non-

 

 

 

 

 

 

 

 

 

 

 

HealthCare

 

 

Guarantor

 

 

Guarantor

 

 

Consolidating

 

 

Consolidated

 

For the three months ended March 31, 2015

 

Partners Inc.

 

 

subsidiaries

 

 

subsidiaries

 

 

adjustments

 

 

total

 

Patient service revenues

 

$

 

 

$

1,581,959

 

 

$

723,843

 

 

$

(33,987

)

 

$

2,271,815

 

Less: Provision for uncollectible accounts

 

 

 

 

 

(64,077

)

 

 

(35,087

)

 

 

 

 

 

(99,164

)

Net patient service revenues

 

 

 

 

 

1,517,882

 

 

 

688,756

 

 

 

(33,987

)

 

 

2,172,651

 

Capitated revenues

 

 

 

 

 

447,338

 

 

 

403,124

 

 

 

53

 

 

 

850,515

 

Other revenues

 

 

168,265

 

 

 

411,028

 

 

 

6,312

 

 

 

(320,806

)

 

 

264,799

 

Total net revenues

 

 

168,265

 

 

 

2,376,248

 

 

 

1,098,192

 

 

 

(354,740

)

 

 

3,287,965

 

Operating expenses

 

 

123,769

 

 

 

2,597,953

 

 

 

985,139

 

 

 

(354,740

)

 

 

3,352,121

 

Operating income (loss)

 

 

44,496

 

 

 

(221,705

)

 

 

113,053

 

 

 

 

 

 

(64,156

)

Debt expense, including debt refinancing charges

 

 

(95,478

)

 

 

(85,783

)

 

 

(9,286

)

 

 

93,155

 

 

 

(97,392

)

Other income (loss)

 

 

91,023

 

 

 

53

 

 

 

1,546

 

 

 

(93,155

)

 

 

(533

)

Income tax expense (benefit)

 

 

17,514

 

 

 

(129,235

)

 

 

25,788

 

 

 

 

 

 

(85,933

)

Equity (loss) earnings in subsidiaries

 

 

(133,144

)

 

 

45,056

 

 

 

 

 

 

88,088

 

 

 

 

Net income

 

 

(110,617

)

 

 

(133,144

)

 

 

79,525

 

 

 

88,088

 

 

 

(76,148

)

Less: Net income attributable to noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

(34,469

)

 

 

(34,469

)

Net (loss) income attributable to DaVita HealthCare

   Partners Inc.

 

$

(110,617

)

 

$

(133,144

)

 

$

79,525

 

 

$

53,619

 

 

$

(110,617

)

 

 

 

DaVita

 

 

 

 

 

 

Non-

 

 

 

 

 

 

 

 

 

 

 

HealthCare

 

 

Guarantor

 

 

Guarantor

 

 

Consolidating

 

 

Consolidated

 

For the three months ended March 31, 2014

 

Partners Inc.

 

 

subsidiaries

 

 

subsidiaries

 

 

adjustments

 

 

total

 

Patient service revenues

 

$

 

 

$

1,513,748

 

 

$

598,887

 

 

$

1,463

 

 

$

2,114,098

 

Less: Provision for uncollectible accounts

 

 

 

 

 

(49,906

)

 

 

(33,291

)

 

 

 

 

 

(83,197

)

Net patient service revenues

 

 

 

 

 

1,463,842

 

 

 

565,596

 

 

 

1,463

 

 

 

2,030,901

 

Capitated revenues

 

 

 

 

 

697,081

 

 

 

366,129

 

 

 

(275,645

)

 

 

787,565

 

Other revenues

 

 

163,043

 

 

 

393,304

 

 

 

32,291

 

 

 

(364,328

)

 

 

224,310

 

Total net revenues

 

 

163,043

 

 

 

2,554,227

 

 

 

964,016

 

 

 

(638,510

)

 

 

3,042,776

 

Operating expenses

 

 

112,297

 

 

 

2,259,571

 

 

 

868,193

 

 

 

(638,510

)

 

 

2,601,551

 

Operating income

 

 

50,746

 

 

 

294,656

 

 

 

95,823

 

 

 

 

 

 

441,225

 

Debt expense

 

 

(105,283

)

 

 

(91,437

)

 

 

(9,739

)

 

 

100,124

 

 

 

(106,335

)

Other income (expense)

 

 

99,943

 

 

 

1,556

 

 

 

323

 

 

 

(100,124

)

 

 

1,698

 

Income tax expense

 

 

18,389

 

 

 

104,030

 

 

 

2,432

 

 

 

 

 

 

124,851

 

Equity earnings in subsidiaries

 

 

156,272

 

 

 

55,527

 

 

 

 

 

 

(211,799

)

 

 

 

Net income

 

 

183,289

 

 

 

156,272

 

 

 

83,975

 

 

 

(211,799

)

 

 

211,737

 

Less: Net income attributable to noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

(28,448

)

 

 

(28,448

)

Net income attributable to DaVita HealthCare

   Partners Inc.

 

$

183,289

 

 

$

156,272

 

 

$

83,975

 

 

$

(240,247

)

 

$

183,289

 

 

Condensed Consolidating Statements of Comprehensive Income

 

 

 

DaVita

 

 

 

 

 

 

Non-

 

 

 

 

 

 

 

 

 

 

 

HealthCare

 

 

Guarantor

 

 

Guarantor

 

 

Consolidating

 

 

Consolidated

 

For the three months ended March 31, 2015

 

Partners Inc.

 

 

subsidiaries

 

 

subsidiaries

 

 

adjustments

 

 

total

 

Net (loss) income

 

$

(110,617

)

 

$

(133,144

)

 

$

79,525

 

 

$

88,088

 

 

$

(76,148

)

Other comprehensive loss

 

 

(4,723

)

 

 

 

 

 

(17,885

)

 

 

 

 

 

(22,608

)

Total comprehensive (loss) income

 

 

(115,340

)

 

 

(133,144

)

 

 

61,640

 

 

 

88,088

 

 

 

(98,756

)

Less: comprehensive income attributable to the

   noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

(34,469

)

 

 

(34,469

)

Comprehensive (loss) income attributable to DaVita

   HealthCare Partners Inc.

 

$

(115,340

)

 

$

(133,144

)

 

$

61,640

 

 

$

53,619

 

 

$

(133,225

)

 

 

 

DaVita

 

 

 

 

 

 

Non-

 

 

 

 

 

 

 

 

 

 

 

HealthCare

 

 

Guarantor

 

 

Guarantor

 

 

Consolidating

 

 

Consolidated

 

For the three months ended March 31, 2014

 

Partners Inc.

 

 

subsidiaries

 

 

subsidiaries

 

 

adjustments

 

 

total

 

Net income

 

$

183,289

 

 

$

156,272

 

 

$

83,975

 

 

$

(211,799

)

 

$

211,737

 

Other comprehensive loss

 

 

978

 

 

 

 

 

 

28

 

 

 

 

 

 

1,006

 

Total comprehensive income

 

 

184,267

 

 

 

156,272

 

 

 

84,003

 

 

 

(211,799

)

 

 

212,743

 

Less: comprehensive income attributable to

   the noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

(28,448

)

 

 

(28,448

)

Comprehensive income attributable to DaVita

   HealthCare Partners Inc.

 

$

184,267

 

 

$

156,272

 

 

$

84,003

 

 

$

(240,247

)

 

$

184,295

 

 

Condensed Consolidating Balance Sheets

 

 

 

DaVita

 

 

 

 

 

 

Non-

 

 

 

 

 

 

 

 

 

 

 

HealthCare

 

 

Guarantor

 

 

Guarantor

 

 

Consolidating

 

 

Consolidated

 

As of March 31, 2015

 

Partners Inc.

 

 

subsidiaries

 

 

subsidiaries

 

 

adjustments

 

 

total

 

Cash and cash equivalents

 

$

753,870

 

 

$

62,441

 

 

$

194,960

 

 

$

 

 

$

1,011,271

 

Accounts receivable, net

 

 

 

 

 

1,031,229

 

 

 

643,953

 

 

 

 

 

 

1,675,182

 

Other current assets

 

 

437,483

 

 

 

1,089,920

 

 

 

86,939

 

 

 

 

 

 

1,614,342

 

Total current assets

 

 

1,191,353

 

 

 

2,183,590

 

 

 

925,852

 

 

 

 

 

 

4,300,795

 

Property and equipment, net

 

 

192,134

 

 

 

1,465,221

 

 

 

843,241

 

 

 

 

 

 

2,500,596

 

Amortizable intangibles, net

 

 

81,967

 

 

 

1,770,574

 

 

 

51,635

 

 

 

 

 

 

1,904,176

 

Investments in subsidiaries

 

 

8,564,454

 

 

 

1,562,768

 

 

 

 

 

 

(10,127,222

)

 

 

 

Intercompany receivables

 

 

3,724,255

 

 

 

 

 

 

587,512

 

 

 

(4,311,767

)

 

 

 

Other long-term assets and investments

 

 

63,795

 

 

 

57,381

 

 

 

108,530

 

 

 

 

 

 

229,706

 

Goodwill

 

 

 

 

 

7,959,443

 

 

 

1,471,947

 

 

 

 

 

 

9,431,390

 

Total assets

 

$

13,817,958

 

 

$

14,998,977

 

 

$

3,988,717

 

 

$

(14,438,989

)

 

$

18,366,663

 

Current liabilities

 

 

195,486

 

 

 

2,057,807

 

 

 

426,223

 

 

 

 

 

 

2,679,516

 

Intercompany payables

 

 

 

 

 

3,044,212

 

 

 

1,267,555

 

 

 

(4,311,767

)

 

 

 

Long-term debt and other long-term liabilities

 

 

8,106,169

 

 

 

1,332,504

 

 

 

229,368

 

 

 

 

 

 

9,668,041

 

Noncontrolling interests subject to put provisions

 

 

544,893

 

 

 

 

 

 

 

 

 

303,499

 

 

 

848,392

 

Total DaVita HealthCare Partners Inc. shareholders’ equity

 

 

4,971,410

 

 

 

8,564,454

 

 

 

1,562,768

 

 

 

(10,127,222

)

 

 

4,971,410

 

Noncontrolling interests not subject to put provisions

 

 

 

 

 

 

 

 

502,803

 

 

 

(303,499

)

 

 

199,304

 

Total equity

 

 

4,971,410

 

 

 

8,564,454

 

 

 

2,065,571

 

 

 

(10,430,721

)

 

 

5,170,714

 

Total liabilities and equity

 

$

13,817,958

 

 

$

14,998,977

 

 

$

3,988,717

 

 

$

(14,438,989

)

 

$

18,366,663

 

 

 

 

DaVita

 

 

 

 

 

 

Non-

 

 

 

 

 

 

 

 

 

 

 

HealthCare

 

 

Guarantor

 

 

Guarantor

 

 

Consolidating

 

 

Consolidated

 

As of December 31, 2014

 

Partners Inc.

 

 

subsidiaries

 

 

subsidiaries

 

 

adjustments

 

 

total

 

Cash and cash equivalents

 

$

698,876

 

 

$

77,921

 

 

$

188,444

 

 

$

 

 

$

965,241

 

Accounts receivable, net

 

 

 

 

 

915,851

 

 

 

609,998

 

 

 

 

 

 

1,525,849

 

Other current assets

 

 

362,672

 

 

 

930,093

 

 

 

92,942

 

 

 

 

 

 

1,385,707

 

Total current assets

 

 

1,061,548

 

 

 

1,923,865

 

 

 

891,384

 

 

 

 

 

 

3,876,797

 

Property and equipment, net

 

 

195,690

 

 

 

1,473,188

 

 

 

800,221

 

 

 

 

 

 

2,469,099

 

Amortizable intangibles, net

 

 

85,338

 

 

 

1,811,218

 

 

 

52,942

 

 

 

 

 

 

1,949,498

 

Investments in subsidiaries

 

 

8,868,335

 

 

 

1,561,195

 

 

 

 

 

 

(10,429,530

)

 

 

 

Intercompany receivables

 

 

3,723,454

 

 

 

 

 

 

564,241

 

 

 

(4,287,695

)

 

 

 

Other long-term assets and investments

 

 

70,309

 

 

 

60,385

 

 

 

101,332

 

 

 

 

 

 

232,026

 

Goodwill

 

 

 

 

 

7,958,221

 

 

 

1,457,074

 

 

 

 

 

 

9,415,295

 

Total assets

 

$

14,004,674

 

 

$

14,788,072

 

 

$

3,867,194

 

 

$

(14,717,225

)

 

$

17,942,715

 

Current liabilities

 

$

180,977

 

 

$

1,493,243

 

 

$

414,432

 

 

$

 

 

$

2,088,652

 

Intercompany payables

 

 

 

 

 

3,105,173

 

 

 

1,182,522

 

 

 

(4,287,695

)

 

 

 

Long-term debt and other long-term liabilities

 

 

8,124,863

 

 

 

1,321,321

 

 

 

217,603

 

 

 

 

 

 

9,663,787

 

Noncontrolling interests subject to put provisions

 

 

528,321

 

 

 

 

 

 

 

 

 

301,644

 

 

 

829,965

 

Total DaVita HealthCare Partners Inc. shareholders’ equity

 

 

5,170,513

 

 

 

8,868,335

 

 

 

1,561,195

 

 

 

(10,429,530

)

 

 

5,170,513

 

Noncontrolling interests not subject to put provisions

 

 

 

 

 

 

 

 

491,442

 

 

 

(301,644

)

 

 

189,798

 

Total equity

 

 

5,170,513

 

 

 

8,868,335

 

 

 

2,052,637

 

 

 

(10,731,174

)

 

 

5,360,311

 

Total liabilities and equity

 

$

14,004,674

 

 

$

14,788,072

 

 

$

3,867,194

 

 

$

(14,717,225

)

 

$

17,942,715

 

 

Condensed Consolidating Statements of Cash Flows

 

 

 

DaVita

 

 

 

 

 

 

Non-

 

 

 

 

 

 

 

 

 

 

 

HealthCare

 

 

Guarantor

 

 

Guarantor

 

 

Consolidating

 

 

Consolidated

 

For the three months ended March 31, 2015

 

Partners Inc.

 

 

subsidiaries

 

 

subsidiaries

 

 

adjustments

 

 

total

 

Cash flows from operating activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net (loss) income

 

$

(110,617

)

 

$

(133,144

)

 

$

79,525

 

 

$

88,088

 

 

$

(76,148

)

Changes in operating assets and liabilities and non-cash

   items included in net income

 

 

154,352

 

 

 

410,880

 

 

 

9,093

 

 

 

(88,088

)

 

 

486,237

 

Net cash provided by operating activities

 

 

43,735

 

 

 

277,736

 

 

 

88,618

 

 

 

 

 

 

410,089

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Additions of property and equipment, net

 

 

(6,230

)

 

 

(48,802

)

 

 

(66,389

)

 

 

 

 

 

(121,421

)

Acquisitions

 

 

 

 

 

(40,018

)

 

 

(632

)

 

 

 

 

 

(40,650

)

Proceeds from asset and business sales

 

 

 

 

 

2,565

 

 

 

 

 

 

 

 

 

2,565

 

Purchases/proceeds from investment sales and other items

 

 

(84,640

)

 

 

(537

)

 

 

(7,604

)

 

 

 

 

 

(92,781

)

Net cash used in investing activities

 

 

(90,870

)

 

 

(86,792

)

 

 

(74,625

)

 

 

 

 

 

(252,287

)

Cash flows from financing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Long-term debt and related financing costs, net

 

 

(21,250

)

 

 

(3,620

)

 

 

(3,569

)

 

 

 

 

 

(28,439

)

Intercompany borrowing

 

 

180,207

 

 

 

(202,804

)

 

 

22,597

 

 

 

 

 

 

 

Other items

 

 

(56,828

)

 

 

 

 

 

(25,601

)

 

 

 

 

 

(82,429

)

Net cash provided by (used in) financing activities

 

 

102,129

 

 

 

(206,424

)

 

 

(6,573

)

 

 

 

 

 

(110,868

)

Effect of exchange rate changes on cash

 

 

 

 

 

 

 

 

(904

)

 

 

 

 

 

(904

)

Net increase (decrease) in cash and cash equivalents

 

 

54,994

 

 

 

(15,480

)

 

 

6,516

 

 

 

 

 

 

46,030

 

Cash and cash equivalents at beginning of period

 

 

698,876

 

 

 

77,921

 

 

 

188,444

 

 

 

 

 

 

965,241

 

Cash and cash equivalents at end of period

 

$

753,870

 

 

$

62,441

 

 

$

194,960

 

 

$

 

 

$

1,011,271

 

 

 

 

DaVita

 

 

 

 

 

 

Non-

 

 

 

 

 

 

 

 

 

 

 

HealthCare

 

 

Guarantor

 

 

Guarantor

 

 

Consolidating

 

 

Consolidated

 

For the three months ended March 31, 2014

 

Partners Inc.

 

 

subsidiaries

 

 

subsidiaries

 

 

adjustments

 

 

total

 

Cash flows from operating activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income

 

$

183,289

 

 

$

156,272

 

 

$

83,975

 

 

$

(211,799

)

 

$

211,737

 

Changes in operating assets and liabilities and non-cash

   items included in net income

 

 

(28,933

)

 

 

(2,155

)

 

 

26,659

 

 

 

211,799

 

 

 

207,370

 

Net cash provided by operating activities

 

 

154,356

 

 

 

154,117

 

 

 

110,634

 

 

 

 

 

 

419,107

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Additions of property and equipment, net

 

 

(11,100

)

 

 

(60,113

)

 

 

(55,349

)

 

 

 

 

 

(126,562

)

Acquisitions

 

 

 

 

 

(67,857

)

 

 

 

 

 

 

 

 

(67,857

)

Proceeds from asset sales

 

 

 

 

 

56

 

 

 

 

 

 

 

 

 

56

 

Purchases of investments and other items

 

 

(776

)

 

 

135

 

 

 

(789

)

 

 

 

 

 

(1,430

)

Net cash used in investing activities

 

 

(11,876

)

 

 

(127,779

)

 

 

(56,138

)

 

 

 

 

 

(195,793

)

Cash flows from financing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Long-term debt and related financing costs, net

 

 

(62,853

)

 

 

(1,579

)

 

 

(721

)

 

 

 

 

 

(65,153

)

Intercompany borrowing

 

 

90,289

 

 

 

(57,572

)

 

 

(32,717

)

 

 

 

 

 

 

Other items

 

 

21,786

 

 

 

764

 

 

 

(19,522

)

 

 

 

 

 

3,028

 

Net cash provided by (used in) financing activities

 

 

49,222

 

 

 

(58,387

)

 

 

(52,960

)

 

 

 

 

 

(62,125

)

Effect of exchange rate changes on cash

 

 

 

 

 

 

 

 

631

 

 

 

 

 

 

631

 

Net increase (decrease) in cash and cash equivalents

 

 

191,702

 

 

 

(32,049

)

 

 

2,167

 

 

 

 

 

 

161,820

 

Cash and cash equivalents at beginning of period

 

 

602,188

 

 

 

175,004

 

 

 

169,057

 

 

 

 

 

 

946,249

 

Cash and cash equivalents at end of period

 

$

793,890

 

 

$

142,955

 

 

$

171,224

 

 

$

 

 

$

1,108,069