NHC Reports Second Quarter 2025 Earnings

Business Wire

a day ago

MURFREESBORO, Tenn.--(BUSINESS WIRE)-- National HealthCare Corporation (NYSE American: NHC), the nation's oldest publicly traded senior health care company, announced today net operating revenues for the quarter ended June 30, 2025 totaled $374,910,000 compared to $300,658,000 for the quarter ended June 30, 2024, an increase of 24.7%. The increase in net operating revenues for the second quarter of 2025 compared to the second quarter of 2024 was due to an 9.6% increase in same-facility net operating revenues, as well as the August 1, 2024 acquisition of White Oak Management, Inc. ('White Oak').
For the quarter ended June 30, 2025, the reported GAAP net income attributable to NHC was $23,722,000 compared to $26,844,000 for the same period in 2024. Excluding the unrealized gains and losses in our marketable equity securities portfolio and other non-GAAP adjustments, adjusted net income for the quarter ended June 30, 2025 was $25,710,000 compared to $15,612,000 for the same period in 2024, an increase of 64.7% (*). The GAAP diluted earnings per share were $1.52 and $1.73 for the quarters ending June 30, 2025 and 2024, respectively. Adjusted diluted earnings per share were $1.65 and $1.00 for the quarters ending June 30, 2025 and 2024, respectively (*).
(*) - See the tables below that provide a reconciliation of GAAP to non-GAAP items.
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About NHC
As of August 1, 2025, NHC affiliates operate for themselves and third parties 80 skilled nursing facilities with 10,329 beds. NHC affiliates also operate 26 assisted living communities with 1,413 units, nine independent living communities with 777 units, three behavioral health hospitals, 34 homecare agencies, and 33 hospice agencies. NHC's other services include Alzheimer's and memory care units, pharmacy services, a rehabilitation services company, and providing management and accounting services to third party post-acute operators. Other information about the company can be found on our web site at www.nhccare.com.
Non-GAAP Financial Presentation
The Company is providing certain non-GAAP financial measures as the Company believes that these figures are helpful in allowing investors to more accurately assess the ongoing nature of the Company's operations and measure the Company's performance more consistently across periods. Therefore, the Company believes this information is meaningful in addition to the information contained in the GAAP presentation of financial information. The presentation of this additional non-GAAP financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP.
Forward-Looking Statements
Statements in this press release that are not historical facts are forward-looking statements. NHC cautions investors that any forward-looking statements made involve risks and uncertainties and are not guarantees of future performance. The risks and uncertainties are detailed from time to time in reports filed by NHC with the S.E.C., including Forms 8-K, 10-Q, and 10-K. All forward-looking statements represent NHC's best judgment as of the date of this release.
Selected Operating Statistics
Three Months Ended
Six Months Ended
June 30
June 30
2025
2024
2025
2024
(unaudited)
(unaudited)
Skilled Nursing Per Diems:
Medicare
$
614.85
$
577.71
$
613.47
$
579.81
Managed Care
486.17
447.96
489.30
459.48
Medicaid
286.43
264.49
284.07
264.88
Private Pay and Other
341.34
312.91
339.24
310.31
Average Skilled Nursing Per Diem
$
361.42
$
338.86
$
360.78
(1)
$
341.21
(1)
Skilled Nursing Patient Days:
Medicare
83,615
74,602
169,869
155,758
Managed Care
83,015
62,957
166,661
128,388
Medicaid
368,687
279,504
732,329
561,325
Private Pay and Other
194,202
150,234
378,796
307,677
Total Skilled Nursing Patient Days
729,519
567,297
1,447,655
(1)
1,153,148
(1)
(1) NHC exited three skilled nursing facilities in Missouri on March 1, 2024. For the six months ended June 30, 2024, the exited Missouri skilled nursing facilities had an average skilled nursing per diem of $275.64 and 20,267 patient days.
The tables below provide reconciliations of GAAP to non-GAAP items (in thousands, except per share amounts):
Three Months Ended
Six Months Ended
June 30
June 30
2025
2024
2025
2024
(unaudited)
(unaudited)
Net income attributable to National Healthcare Corporation
$
23,722
$
26,844
$
55,927
$
53,057
Non-GAAP adjustments
Unrealized (gains)/losses on marketable equity securities
5,061
(9,124
)
(5,921
)
(23,523
)
Operating losses for newly-opened operations not at full capacity
-
20
-
20
Gain on sale of property and equipment
(3,606
)
-
(3,606
)
-
Gain on sale of unconsolidated company
-
-
-
(1,024
)
Stock-based compensation expense
1,232
1,176
2,260
1,969
Acquisition-related expenses
-
2,194
-
2,194
Employee retention credit
-
(9,445
)
-
(9,445
)
Income tax provision/(benefit) on non-GAAP adjustments
(699
)
3,947
1,889
7,750
Non-GAAP Net income
$
25,710
$
15,612
$
50,549
$
30,998
GAAP diluted earnings per share
$
1.52
$
1.73
$
3.59
$
3.42
Non-GAAP adjustments
Unrealized (gains)/losses on marketable equity securities
0.32
(0.59
)
(0.38
)
(1.51
)
Gain on sale of property and equipment
(0.23
)
-
(0.23
)
-
Gain on sale of unconsolidated company
-
-
-
(0.07
)
Stock-based compensation expense
0.08
0.08
0.14
0.13
Acquisition-related expenses
-
0.14
-
0.14
Employee retention credit
-
(0.61
)
-
(0.61
)
Income tax provision/(benefit) on non-GAAP adjustments
(0.04
)
0.25
0.12
0.50
Non-GAAP diluted earnings per share
$
1.65
$
1.00
$
3.24
$
2.00
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