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Acquisitions of Businesses (Tables) | 12 Months Ended
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Dec. 31, 2025
Acquisitions of Businesses [Abstract] |
Clinic Acquisition | During 2025, 2024 and 2023, the Company acquired a majority interest in the following businesses: 2025 Acquisitions
|  |  |  | % Interest |  |  | Number of |
Acquisition |  | Date |  | Acquired |  |  | Clinics |
July 2025 Acquisition |  | July 31, 2025 |  |  | 60% |  |  |  | 3 |
April 2025 Acquisition |  | April 30, 2025 |  |  | 40%** |  |  |  | * |
February 2025 Acquisition |  | February 28, 2025 |  |  | 65% |  |  |  | 3 |
* | Home-care business
** | On April 30, 2025, the Company acquired an outpatient home care practice that provides speech and occupational therapy through its 50% owned subsidiary Metro. After the transaction, the Company’s ownership interest is 40%, the local partners have an ownership interest of 40% and the practice’s preacquisition owners have a 20% ownership interest.
2024 Acquisitions
Acquisition |  | Date |  | Acquired |  |  | Clinics |
November 2024 Acquisition |  | November 30, 2024 |  |  | 75% |  |  |  | 8 |
October 2024 Acquisition |  | October 31, 2024 |  |  | 50% |  |  |  | 50 |
August 2024 Acquisition |  | August 31, 2024 |  |  | 70% |  |  |  | 8 |
April 2024 Acquisition |  | April 30, 2024 |  |  | ** |  |  |  | * |
March 2024 Acquisition |  | March 29, 2024 |  |  | 50% |  |  |  | 9 |
* | IIP business
** | On April 30, 2024, one of our primary IIP businesses, Briotix Health Limited Partnership, acquired 100% of an IIP business.
2023 Acquisitions
|  |  |  | % Interest |  |  | Number of |
Acquisition |  | Date |  | Acquired |  |  | Clinics |
October 2023 Acquisition |  | October 31, 2023 |  |  | ** |  |  |  | * |
September 2023 Acquisition 1 |  | September 29, 2023 |  |  | 70% |  |  |  | 4 |
September 2023 Acquisition 2 |  | September 29, 2023 |  |  | 70% |  |  |  | 1 |
July 2023 Acquisition |  | July 31, 2023 |  |  | 70% |  |  |  | 7 |
May 2023 Acquisition |  | May 31, 2023 |  |  | 45% |  |  |  | 4 |
February 2023 Acquisition |  | February 28, 2023 |  |  | 80% |  |  |  | 1 |
* | IIP business
** | On October 31, 2023, we concurrently acquired 100% of an IIP business and a 55% equity interest in an ergonomics software business (“October 2023 Acquisition”).
Purchase Price Allocation | The following table provides details on the preliminary purchase price allocation for the 2025 acquisitions described above.
|  | Physical Therapy |
|  | Operations |
|  | (In thousands) |
Cash paid, net of cash acquired |  | $ | 15,614 |
Contingent payments |  |  | 5,730 |
Payable |  | 300 |
Total consideration |  | $ | 21,644 |
Estimated fair value of net tangible assets acquired: |  |  |  |
Total current assets |  | $ | 918 |
Total non-current assets |  |  | 345 |
Total liabilities |  |  | (495 | )
Net tangible assets acquired |  |  | 768 |
Customer and referral relationships |  |  | 5,981 |
Non-compete agreement |  |  | 310 |
Tradenames |  |  | 1,442 |
Goodwill |  |  | 21,198 |
Fair value of non-controlling interest (classified as redeemable non-controlling interest) |  |  | (8,055 | )
|  | $ | 21,644 |
The following table provides details on the purchase price allocations for the acquisitions completed in the twelve months ended December 31, 2024.
|  | For the Year Ended December 31, 2024 |
|  | Physical Therapy |
|  | IIP |  |  | Operations |  |  | Total |
|  | (In thousands) |
Cash paid, net of cash acquired |  | $ | 23,106 |  |  | $ | 109,981 |  |  | $ | 133,087 |
Seller note |  |  | 455 |  |  |  | 1,220 |  |  |  | 1,675 |
Deferred payments |  |  | - |  |  |  | 1,500 |  |  |  | 1,500 |
Contingent payments |  |  | 2,100 |  |  |  | 15,571 |  |  |  | 17,671 |
Note Payable |  |  | - |  |  |  | 302 |  |  |  | 302 |
Total consideration |  | $ | 25,661 |  |  | $ | 128,574 |  |  | $ | 154,235 |
Estimated fair value of net tangible assets acquired: |  |  |  |  |  |  |  |  |  |  |  |
Total current assets |  | $ | 1,132 |  |  | $ | 9,175 |  |  | $ | 10,307 |
Total non-current assets |  |  | 563 |  |  |  | 30,360 |  |  |  | 30,923 |
Total liabilities |  |  | (463 | ) |  |  | (29,403 | ) |  |  | (29,866 | )
Net tangible assets acquired |  |  | 1,232 |  |  |  | 10,132 |  |  |  | 11,364 |
Customer and referral relationships |  |  | 6,500 |  |  |  | 46,554 |  |  |  | 53,054 |
Non-compete agreement |  |  | 210 |  |  |  | 3,818 |  |  |  | 4,028 |
Tradenames |  |  | 1,400 |  |  |  | 16,567 |  |  |  | 17,967 |
Goodwill |  |  | 16,319 |  |  |  | 151,645 |  |  |  | 167,964 |
Fair value of non-controlling interest (classified as redeemable non-controlling interest) |  |  | - |  |  |  | (100,142 | ) |  |  | (100,142 | )
|  | $ | 25,661 |  |  | $ | 128,574 |  |  | $ | 154,235 |
The purchase price for the 2023 acquisitions has been allocated as follows.
|  |  |  |  | Physical Therapy |  |  |  |
|  | IIP |  |  | Operations |  |  | Total |
|  | (In thousands) |
Cash paid, net of cash acquired |  | $ | 3,955 |  |  | $ | 22,627 |  |  | $ | 26,582 |
Seller notes |  |  | - |  |  |  | 985 |  |  |  | 985 |
Contingent payments |  |  | - |  |  |  | 830 |  |  |  | 830 |
Total consideration |  |  | - |  |  |  | 200 |  |  |  | 200 |
|  | $ | 3,955 |  |  | $ | 24,642 |  |  | $ | 28,597 |
Total current assets |  | $ | 392 |  |  | $ | 1,141 |  |  | $ | 1,533 |
Total non-current assets |  |  | 335 |  |  |  | 3,149 |  |  |  | 3,484 |
Total liabilities |  |  | (41 | ) |  |  | (3,163 | ) |  |  | (3,204 | )
Net tangible assets acquired |  |  | 686 |  |  |  | 1,127 |  |  |  | 1,813 |
Customer and referral relationships |  |  | 757 |  |  |  | 6,819 |  |  |  | 7,576 |
Non-compete agreements |  |  | 37 |  |  |  | 329 |  |  |  | 366 |
Tradenames |  |  | 187 |  |  |  | 1,680 |  |  |  | 1,867 |
Goodwill |  |  | 2,562 |  |  |  | 25,521 |  |  |  | 28,083 |
Fair value of non-controlling interest (classified as redeemable non-controlling interest) |  |  | (274 | ) |  |  | (10,834 | ) |  |  | (11,108 | )
|  | $ | 3,955 |  |  | $ | 24,642 |  |  | $ | 28,597 |
Pro Forma Information | Following are the supplemental consolidated financial results of U.S. Physical Therapy Inc. on an unaudited pro forma basis, as if the 2024 acquisitions had been consummated on January 1, 2024.
|  | For the Year Ended |
|  | December 31, 2024 |  |  | December 31, 2023 |
|  | (In thousands) |
Net revenue |  | $ | 763,954 |  |  | $ | 678,743 |
Net income |  | $ | 52,927 |  |  | $ | 42,421 |
Operating results of the VIEs | The table below presents the operating results of the VIEs.
|  | December 31, 2025 |  |  | December 31, 2024 |
|  | (In thousands) |
Net revenue |  | $ | 90,579 |  |  | $ | 19,138 |
Operating cost: |  |  |  |  |  |  |  |
Salaries and related costs |  |  | 53,901 |  |  |  | 11,903 |
Rent, supplies, contract labor and other |  |  | 19,704 |  |  |  | 3,760 |
Depreciation and amortization |  |  | 3,863 |  |  |  | 1,123 |
Provision for credit losses |  |  | 592 |  |  |  | 188 |
Total operating cost |  |  | 78,060 |  |  |  | 16,974 |
Gross profit |  |  | 12,519 |  |  |  | 2,164 |
(Gain) on fair value adjustments |  |  | (758 | ) |  |  | - |
Other expense |  |  | 14 |  |  |  | 3 |
Provision for income taxes |  |  | 219 |  |  |  | - |
Net Income |  | $ | 13,044 |  |  | $ | 2,161 |

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