A strong second quarter for Encompass Health prompted the provider of integrated healthcare and home-based patient care to boost guidance for the remainder of 2021.
Birmingham, AL-based Encompass reported adjusted earnings per share of $1.17 in the quarter ending June 30, compared to $0.31 in the same period last year. Revenues for the quarter totaled $1.29 billion, a nearly 20% increase from the $1.07 billion the company reported last year.
“Business momentum accelerated in the second quarter of 2021 and resulted in strong revenue and earnings growth in both segments over the same period of 2020 and 2019,” Encompass Health President and CEO Mark Tarr said. “As a result of our strong operating trends and year-to-date performance, we are again raising our full-year 2021 guidance.”
Revenue growth for the company’s home health and hospice units were up 15% and 12.6% respectively. The company attributed some of that growth to the acquisition of Frontier Home Health and Hospice in June.
Late last year, Encompass announced that it was exploring strategic alternatives for its home health and hospice business that could result in a spin off or sale. The company’s board of directors thinks a full or partial separation of those businesses will enhance their value. The review is ongoing.
