Ensign Group Q2 Earnings Beat on Occupancy, Stock Up 7.2%
Shares of The Ensign Group, Inc. (NASDAQ: ENSG) gained 7.2% since it reported second-quarter 2024 results on Jul 25, 2024. Strong quarterly results benefited from improved occupancy, skilled mix days, and higher skilled service revenues. However, declining cash flow from operations and a rise in overall expenses acted as a partial offset.
ENSG reported a second-quarter 2024 adjusted earnings per share of $1.32, which beat the Zacks Consensus Estimate by 2.3%. The bottom line increased 13.8% year over year.
Operating revenues of $1.04 billion improved 12.5% year over year in the quarter under review. The top line outpaced the consensus mark by 2%.
The Ensign Group, Inc. Price, Consensus and EPS Surprise
The Ensign Group, Inc. price-consensus-eps-surprise-chart | The Ensign Group, Inc. Quote
Q2 Update
Ensign Group’s adjusted net income grew 15.3% year over year to $76.4 million in the second quarter and beat our estimate of $75.2 million.
Same-store occupancy improved 280 basis points (bps) year over year while transitioning occupancy expanded 430 bps year over year.
Total expenses of $950.3 million escalated 12.7 % year over year in the quarter under review and came higher than our estimate of $932.7 million. The year-over-year increase was due to higher costs of services, general and administrative expenses, and rent.
Segmental Update
Skilled Services: The segment’s revenues rose 12.1% year over year …
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