Acadia Healthcare Company has reported a 76.84 percent jump in profit for the quarter ended Sep. 30, 2014. The company has earned $25.40 million, or $0.43 a share in the quarter, compared with $14.36 million, or $0.29 a share for the same period last year.
Revenue during the quarter surged 59.43 percent to $294.48 million from $184.70 million in the previous year period. Gross margin for the quarter expanded 53 basis points over the previous year period to 95.22 percent. Total expenses were 93.52 percent of quarterly revenues, up from 93.24 percent for the same period last year. That has resulted in a contraction of 27 basis points in operating margin to 6.48 percent.
Operating income for the quarter was $19.09 million, compared with $12.48 million in the previous year period.
Joey Jacobs, chairman and chief executive officer of Acadia. "We were pleased to complete the acquisition of PiC during the third quarter, which is the U.K.'s second-largest independent behavioral healthcare provider. The PiC transaction added 23 inpatient psychiatric facilities with over 1,200 licensed beds to Acadia's operations and was meaningfully accretive to our third quarter results. In addition, during the third quarter we acquired McCallum Place, an eating disorder treatment facility with 85 beds offering residential, partial hospitalization and intensive outpatient treatment programs located in St. Louis, Missouri, and Austin, Texas."
Cash Flow
Acadia Healthcare Company has generated cash of $69.05 million from operating activities during the nine month period, up 49.36 percent or $22.82 million, when compared with the last year period.
The company has spent $801.20 million cash to meet investing activities during the nine month period as against cash outgo of $192.05 million in the last year period. It has incurred net capital expenditure of $92.93 million on net basis during the nine month period, up 67.90 percent or $37.58 million from year ago period.
Cash flow from financing activities was $771.20 million for the nine month period, up 667.71 percent or $670.74 million, when compared with the last year period. It has borrowed net of $301.88 million through debt. It has raised net of $374.43 million by selling common stocks.
Cash and cash equivalents stood at $42.18 million as on Sep. 30, 2014, up 945.59 percent or $38.14 million from $4.03 million on Sep. 30, 2013.
Working Capital
Acadia Healthcare Company has recorded an increase in the working capital over the last year. It stood at $87.30 million as at Sep. 30, 2014, up 109.82 percent or $45.69 million from $41.61 million on Sep. 30, 2013. Current ratio was at 1.61 as on Sep. 30, 2014, up from 1.41 on Sep. 30, 2013.
Days sales outstanding went down to 38 days for the quarter compared with 45 days for the same period last year. At the same time, days payable outstanding went down to 245 days for the quarter from 256 for the same period last year.
Debt Level
Acadia Healthcare Company has witnessed an increase in total debt over the last one year. It stood at $1,029.32 million as on Sep. 30, 2014, up 75.87 percent or $444.06 million from $585.26 million on Sep. 30, 2013.
Total debt was 48.09 percent of total assets as on Sep. 30, 2014, compared with 50.32 percent on Sep. 30, 2013. Debt to equity ratio was at 1.16 as on Sep. 30, 2014, down from 1.25 as on Sep. 30, 2013. Interest coverage ratio improved to 1.36 for the quarter from 1.32 for the same period last year.
