Latest news with #DavidDoherty
Yahoo
3 days ago
- Business
- Yahoo
SGRY Q1 Earnings Call: Volume Growth and Business Mix Shape Outlook Amid Margin Pressures
Healthcare company Surgery Partners (NASDAQ:SGRY) missed Wall Street's revenue expectations in Q1 CY2025, but sales rose 8.2% year on year to $776 million. Its non-GAAP profit of $0.04 per share was 1.4 cents below analysts' consensus estimates. Is now the time to buy SGRY? Find out in our full research report (it's free). Revenue: $776 million (8.2% year-on-year growth) Adjusted EPS: $0.04 vs analyst estimates of $0.05 ($0.01 miss) Adjusted Operating Income: $89.6 million vs analyst estimates of $64.31 million (11.5% margin, 39.3% beat) EBITDA guidance for the full year is $560 million at the midpoint, in line with analyst expectations Operating Margin: 8%, down from 10.6% in the same quarter last year Sales Volumes rose 4.8% year on year (1.3% in the same quarter last year) Market Capitalization: $2.96 billion Surgery Partners' first quarter results were shaped by higher surgical case volumes and a shift in procedure mix. Management pointed to 6.5% surgical case growth, led by gastrointestinal and musculoskeletal procedures, as the main driver behind revenue gains. CEO Eric Evans credited the company's expanding de novo (new facility) pipeline and robust physician recruitment, particularly in orthopedics, as key contributors to this momentum. However, Evans acknowledged that growth in lower-acuity specialties like GI, which carry lower reimbursement rates, pressured revenue per procedure. CFO David Doherty added that seasonality and calendar effects also influenced the mix and rate dynamics. Management maintained that these trends were anticipated and remain consistent with their internal expectations for the quarter. Looking forward, Surgery Partners' guidance centers on continued surgical volume increases, margin expansion initiatives, and sustained investment in both M&A and de novo facility openings. Management reiterated confidence in achieving its long-term growth algorithm, underpinned by ongoing physician recruitment and integration of recent acquisitions. CEO Eric Evans highlighted, 'We expect same-facility growth at or above the high end of our target, with more balanced volume and rate contributions as the year progresses.' CFO David Doherty cautioned that interest expense would be a headwind in coming quarters due to higher rates, but emphasized the company's strong liquidity and ability to fund growth without raising new debt or equity. Management reported no material supply chain risks from tariffs and minimal exposure to changes in Medicaid reimbursement, supporting the company's outlook for steady performance. Management attributed the quarter's performance to strong organic surgical case growth, strategic physician recruitment, and continued investment in new facilities, while acknowledging margin pressure from business mix and external cost factors. Surgical volume growth: Case growth was driven by higher volumes in gastrointestinal and orthopedic procedures, with total joint surgeries up 22% year-on-year. This reflects targeted investments in facility capabilities and recruitment of specialists. De novo facility expansion: The company's pipeline of newly opened and under-construction facilities is heavily weighted toward higher-acuity specialties like orthopedics. These new sites are expected to deliver long-term growth at a lower capital outlay compared to traditional acquisitions. Physician recruitment impact: Nearly 150 new physicians joined in the quarter, with this cohort bringing in higher-acuity and higher-revenue cases relative to prior years. Management expects this compounding effect to continue as new recruits ramp up their case volumes. Margin pressure from mix: A shift toward lower-acuity GI procedures, which receive lower reimbursement rates, led to lower revenue per case and contributed to a decline in operating margin. Management expects business mix to normalize over the course of the year. Investment in operating efficiency: Ongoing standardization of revenue cycle management and process integration from recent acquisitions are intended to drive future margin improvements. Management cited early benefits from these initiatives, particularly in reducing days sales outstanding and improving cash conversion. Surgery Partners' outlook for the remainder of 2025 is anchored by expectations for continued volume growth, margin recovery, and disciplined capital deployment. Balanced volume and rate growth: Management anticipates a more even contribution from both surgical volume and reimbursement rates as the year progresses, with particular emphasis on ramping newly recruited physicians and de novo facilities. Margin improvement initiatives: The company is pursuing ongoing cost efficiency efforts, including standardized revenue cycle management and operational improvements, to offset prior margin compression. Integration of recent acquisitions is expected to yield further gains. Capital allocation and liquidity: Leadership underlined sufficient liquidity and stable leverage to support targeted M&A and de novo development, without the need for additional debt or equity issuance. However, rising interest expense will be a headwind to free cash flow in the next few quarters. Key areas to monitor in upcoming quarters include (1) the pace at which new de novo facilities and recruited physicians ramp up case volumes, (2) the success of ongoing margin improvement and revenue cycle initiatives, and (3) progress in integrating recent acquisitions to drive incremental earnings. Continued stability in payer mix and the absence of supply chain disruptions will also be important indicators of execution. Surgery Partners currently trades at a forward P/E ratio of 21.3×. At this valuation, is it a buy or sell post earnings? Find out in our full research report (it's free). Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Irish Independent
16-05-2025
- Automotive
- Irish Independent
Number of animals euthanised after livestock lorry overturned on Co Armagh motorway
The motorway is still shut in some sections in the eastern direction near Lurgan, Co Armagh, following the incident which involved about 40 cows on Friday morning. David Doherty, area commander for the Northern Ireland Fire and Rescue Service (NIFRS), said the driver 'is safe and well'. He told the BBC Nolan Show: 'At the minute, we have 30 firefighters on scene, we have appliances form Dungannon, Portadown and Armagh. 'We have two specialist animal rescue teams… and we have our specialist rescue team.'We have an overturned lorry. Thankfully, the driver is safe and well. 'There are 40 cattle trapped in the lorry, we are carrying out an extraction of those animals. 'We have a rescue plan in place, we are off-loading those animals into another vehicle and we will transport them away safely. 'It is a challenging operation at the moment.' We need your consent to load this Social Media content. We use a number of different Social Media outlets to manage extra content that can set cookies on your device and collect data about your activity. Please review your details and accept them to load the content He added: 'We have vets on scene at the minute to do an assessment on the animals. 'It is a multi-agency programme, and we have DAERA looking after the animal welfare. 'It will be a protracted operation. A large vehicle like this with two decks, which has obviously been affected by the impact of the crash. 'It is quite a comprehensive operation, that is why our specialist crew are here assisting our normal crews. 'It is quite a complex task for our firefighters.' Mr Doherty said rescue workers were moving as quickly as possible to free the cows. He said: 'We have to bring them out on to a safe environment, where we can put them on to another vehicle where they won't be exposed to any further harm.' We need your consent to load this Social Media content. We use a number of different Social Media outlets to manage extra content that can set cookies on your device and collect data about your activity. Please review your details and accept them to load the content A PSNI spokesperson said: 'The westbound lane on the M1 near Lurgan has now fully reopened, following an earlier closure due to an overturned cattle lorry. 'Some sections of the eastbound lane will remain closed while the vehicle is recovered. 'This may take a number of hours. 'Motorists travelling eastbound can come off at junction 13, travel along the Derryhubbert Road, where traffic lights will be in place, and back on to the M1 at junction 12.' A Department of Agriculture, Environment and Rural Affairs spokesperson said: 'The department is aware of the accident and has deployed a vet and an animal health and welfare inspector to assist at the scene. 'The incident remains ongoing.' In a separate incident, the M1 is also closed following a collision closer to Belfast. A PSNI statement said: 'Road users are advised that a collision on the M1 eastbound, between Finaghy and the Blacks Road, city-bound, is causing delays. 'Please seek an alternative route if possible.'
RTÉ News
16-05-2025
- Automotive
- RTÉ News
Operation under way to free 40 cows after lorry overturns on M1
An operation is taking place to free cattle from a livestock lorry which overturned on the M1 in Co Armagh. The motorway is closed in both directions near Lurgan, Co Armagh, following the incident which involved about 40 cows this morning. David Doherty, area commander for the Northern Ireland Fire and Rescue Service (NIFRS), said the driver "is safe and well". He told the BBC Nolan Show: "At the minute, we have 30 firefighters on scene, we have appliances from Dungannon, Portadown and Armagh. "We have two specialist animal rescue we have our specialist rescue team. "We have an overturned lorry. Thankfully, the driver is safe and well. There are 40 cattle trapped in the lorry, we are carrying out an extraction of those animals. "We have a rescue plan in place, we are off-loading those animals into another vehicle and we will transport them away safely. "It is a challenging operation at the moment. Unfortunately, both ways of the motorway are currently closed, and may be for several hours." He added: "We have vets on scene at the minute to do an assessment on the animals. "It is a multi-agency programme, and we have DAERA looking after the animal welfare. "It will be a protracted operation. A large vehicle like this with two decks, which has obviously been affected by the impact of the crash. "It is quite a comprehensive operation, that is why our specialist crew are here assisting our normal crews. "It is quite a complex task for our firefighters." Mr Doherty said rescue workers were moving as quickly as possible to free the cows. He said: "We have to bring them out onto a safe environment, where we can put them onto another vehicle where they won't be exposed to any further harm." The PSNI said the motorway closure is in place from junction 12 at Birches off the Dungannon Road junction and junction 13, known as Beatties junction, near the Black Island Road turn-off. A PSNI spokesperson said: "A closure remains in place on the M1 following an overturned lorry near junction 13 between Tamnamore and The Birches. "Motorists travelling city-bound on the M1 are advised to leave the motorway at junction 15, the Moy Road roundabout, and travel through Armagh before joining the M12 at Portadown. "The opposite applies to those travelling countrywards." A Department of Agriculture, Environment and Rural Affairs spokesperson said: "The department is aware of the accident and whilst our vets are not required on the scene at the moment, we have offered support and resources to those on the ground. "The incident remains ongoing." In a separate incident, the M1 is also closed following a collision closer to Belfast. A PSNI statement said: "Road users are advised that a collision on the M1 eastbound, between Finaghy and the Blacks Road, city-bound, is causing delays.
Belfast Telegraph
16-05-2025
- Automotive
- Belfast Telegraph
Number of animals euthanised after livestock lorry overturned on M1
Fire crews undertook a complex rescue operation after a lorry carrying 40 cows overturned on the M1. Most of the cows were transferred to another lorry, however a small number of the animals had to be euthanised. Some sections of the east-bound lane will remain closed while the vehicle is recovered, potentially taking a number of hours. Motorists travelling east-bound can come off at junction 13 and travel along the Derryhubbert Road, where traffic lights are in place, and back onto the M1 at junction 12. A section of the route, from junction 12 at the Birches in Portadown and junction 13 near the Black Island Road turn-off, had been closed for most of the day. NI Fire and Rescue Service (NIFRS) Area Commander David Doherty told BBC Radio Ulster's The Nolan Show this morning that the driver of the vehicle is 'safe and well'. Dozens of cattle remained trapped following the incident on Friday morning. 'At the minute, we have firefighters on scene, we have appliances form Dungannon, Portadown and Armagh,' Mr Doherty previously said. 'We have two specialist animal rescue teams, and we have our specialist rescue team from Central fire station at the minute. 'We have an overturned lorry. The driver is safe and well. There are 40 cattle trapped in the lorry, we are carrying out an extraction of those animals. 'We have a rescue plan in place we are off loading those animals and we will transport them away safely. 'It is a challenging operation at the moment. Both ways of the motorway are currently closed, and may be for several hours.' He added: 'I cannot speculate (on how the lorry overturned), the Fire Service is concentrating on the rescue. 'We have vets on scene at the minute to do an assessment on the animals, the vets are for their welfare. 'It is a multi-agency programme, and we have DAERA here for the animal welfare. 'It will be a proactive operation. A large vehicle like this with two decks, which has obviously been affected by the impact of the crash. 'It is quite a comprehensive operation, that is why our specialist crew are here with our normal crews. It is quite a complex task for our fire fighters. 'We are rescuing them (cows) as quick as we can as with any vehicle accident. There will be issues there, there is entrapment. 'But we are working as fast as we can for their welfare. We have to do it as quickly and as safely as possible. 'We have to work to bring them out onto a safe environment, where we can put them onto another vehicle so they can't be exposed to any further harm. 'It is closed from exit 12 up until exit 13.' Mid Ulster MLA Linda Dillon has expressed relief that the driver was unharmed. 'This is major disruption and it is good to hear that the lorry driver is safe and well and vets are on the scene to assess the cattle,' the Sinn Féin representative said. 'Emergency services are at the scene and we hope the overturned lorry will be removed as quickly as possible and the M1 reopens soon but I would advise drivers to avoid the area for the time being. 'We have been contacted by students who were due to sit final exams in Belfast this morning and this has caused them a great deal of distress. 'I have been in contact with universities to see if anything can be done to facilitate these students.' Balmoral show returns for 2025 Lurgan councillor, Peter Haire, had called urged road users to allow for extra time on their journeys. 'It's going to cause chaos for people travelling to Belfast,' said the DUP representative. 'I would urge people to take alternative routes. It helps that it is a Friday and people may be working from home. 'However, a lot of people will be travelling to the Balmoral Show. So there is going to be a lot of delay. 'I would ask people to take more time for their journey, and take a different route.' Police said a closure remains in place this afternoon. Motorists travelling city-bound on the M1 are advised to leave the motorway at junction 15, the Moy Road roundabout, and travel through Armagh before joining the M12 at Portadown.
Irish Daily Mirror
16-05-2025
- Automotive
- Irish Daily Mirror
'Complex' operation on major road to rescue 40 cows trapped after lorry crash
An operation is ongoing to free cattle from a livestock lorry after it overturned on the M1 on Friday morning. The motorway is shut in both directions near Dungannon, Co Tyrone following the incident, which involved about 40 cows, Belfast Live reports. David Doherty, area commander for the Northern Ireland Fire and Rescue Service (NIFRS), said the driver 'is safe and well'. He told the BBC Nolan Show: 'At the minute, we have 30 firefighters on scene, we have appliances from Dungannon, Portadown and Armagh. 'We have two specialist animal rescue teams… and we have our specialist rescue team. 'We have an overturned lorry. Thankfully, the driver is safe and well. There are 40 cattle trapped in the lorry, we are carrying out an extraction of those animals. 'We have a rescue plan in place. We are off-loading those animals into another vehicle and we will transport them away safely. 'It is a challenging operation at the moment. Unfortunately, both ways of the motorway are currently closed, and may be for several hours.' A spokesperson for the Northern Ireland Ambulance Service confirmed one person was brought to hospital following the incident. A NIAS spokesperson said: "The Northern Ireland Ambulance Service received a 999 call at 05:27am on Friday, 16 May, following reports of a road traffic collision on the M1 Motorway "NIAS dispatched two Emergency Crews to the incident. Following initial assessment and treatment at scene, one person was taken to Craigavon Area Hospital by ambulance."
