Company Quick10K Filing
Ensign Group
Price47.92 EPS1
Shares56 P/E32
MCap2,701 P/FCF20
Net Debt234 EBIT116
TEV2,935 TEV/EBIT25
TTM 2019-09-30, in MM, except price, ratios
10-Q 2020-03-31 Filed 2020-05-11
10-K 2019-12-31 Filed 2020-02-05
10-Q 2019-09-30 Filed 2019-10-30
10-Q 2019-06-30 Filed 2019-08-01
10-Q 2019-03-31 Filed 2019-05-06
10-K 2018-12-31 Filed 2019-02-06
10-Q 2018-09-30 Filed 2018-10-31
10-Q 2018-06-30 Filed 2018-08-02
10-Q 2018-03-31 Filed 2018-05-02
10-K 2017-12-31 Filed 2018-02-08
10-Q 2017-09-30 Filed 2017-11-08
10-Q 2017-06-30 Filed 2017-08-03
10-Q 2017-03-31 Filed 2017-05-01
10-K 2016-12-31 Filed 2017-02-08
10-Q 2016-09-30 Filed 2016-11-02
10-Q 2016-06-30 Filed 2016-08-01
10-Q 2016-03-31 Filed 2016-05-10
10-K 2015-12-31 Filed 2016-02-10
10-Q 2015-09-30 Filed 2015-11-03
10-Q 2015-06-30 Filed 2015-08-04
10-Q 2015-03-31 Filed 2015-05-06
10-K 2014-12-31 Filed 2015-02-09
10-Q 2014-09-30 Filed 2014-11-05
10-Q 2014-06-30 Filed 2014-08-07
10-Q 2014-03-31 Filed 2014-05-08
10-K 2013-12-31 Filed 2014-02-13
10-Q 2013-09-30 Filed 2013-11-07
10-Q 2013-06-30 Filed 2013-08-07
10-Q 2013-03-31 Filed 2013-05-01
10-K 2012-12-31 Filed 2013-02-13
10-Q 2012-09-30 Filed 2012-11-07
10-Q 2012-06-30 Filed 2012-08-01
10-Q 2012-03-31 Filed 2012-05-02
10-K 2011-12-31 Filed 2012-02-16
10-Q 2011-09-30 Filed 2011-11-02
10-Q 2011-06-30 Filed 2011-08-03
10-Q 2011-03-31 Filed 2011-05-04
10-K 2010-12-31 Filed 2011-02-16
10-Q 2010-09-30 Filed 2010-10-28
10-Q 2010-06-30 Filed 2010-08-09
10-Q 2010-03-31 Filed 2010-05-05
10-K 2009-12-31 Filed 2010-02-17
8-K 2020-05-28
8-K 2020-05-11
8-K 2020-02-05
8-K 2019-11-20
8-K 2019-10-30
8-K 2019-10-01
8-K 2019-10-01
8-K 2019-09-09
8-K 2019-08-27
8-K 2019-08-01
8-K 2019-06-17
8-K 2019-05-30
8-K 2019-05-06
8-K 2019-05-06
8-K 2019-03-18
8-K 2019-02-19
8-K 2019-02-06
8-K 2018-11-28
8-K 2018-10-31
8-K 2018-08-04
8-K 2018-08-02
8-K 2018-06-19
8-K 2018-05-31
8-K 2018-05-02
8-K 2018-02-08
8-K 2017-12-27

ENSG 10Q Quarterly Report

Part I.
Item 1. Financial Statements
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations
Item 3. Quantitative and Qualitative Disclosures About Market Risk
Item 4. Controls and Procedures
Part II.
Item 1. Legal Proceedings
Item 1A. Risk Factors
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
Item 3. Defaults Upon Senior Securities
Item 4. Mine Safety Disclosures
Item 5. Other Information
Item 6. Exhibits
EX-31.1 ensgq12020ex311.htm
EX-31.2 ensgq12020ex312.htm
EX-32.1 ensgq12020ex321.htm
EX-32.2 ensgq12020ex322.htm

Ensign Group Earnings 2020-03-31

Balance SheetIncome StatementCash Flow
2.41.91.41.00.50.02012201420172020
Assets, Equity
0.70.50.40.20.1-0.12012201420172020
Rev, G Profit, Net Income
0.20.10.10.0-0.0-0.12012201420172020
Ops, Inv, Fin

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Table of Contents


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
_____________________________
FORM 10-Q
þQUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934.
For the quarterly period ended March 31, 2020.
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934.
For the transition period from                      to                     .
Commission file number: 001-33757
_____________________________
ensg-20200331_g1.jpg
THE ENSIGN GROUP, INC.

(Exact Name of Registrant as Specified in Its Charter)
Delaware33-0861263
(State or Other Jurisdiction of(I.R.S. Employer
Incorporation or Organization)Identification No.)

29222 Rancho Viejo Road, Suite 127
San Juan Capistrano, CA 92675
(Address of Principal Executive Offices and Zip Code)
(949487-9500
(Registrant’s Telephone Number, Including Area Code)
_____________________________

Securities registered pursuant to Section 12(g) of the Act:

Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, par value $0.001 per shareENSGNASDAQ Global Select Market
Securities registered pursuant to Section 12(g) of the Act:
None
Indicate by check mark:
whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.þYesNo
whether the registrant has submitted electronically, every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).þYesNo
whether the registrant is a large accelerated filer, an accelerated filer, non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act:
Large accelerated filerþAccelerated filerNon-accelerated filerSmaller reporting companyEmerging growth company
If an emerging growth company, indicate if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.YesNo
whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).YesþNo
As of May 8, 2020, 53,672,126 shares of the registrant’s common stock, $0.001 par value, were outstanding.


THE ENSIGN GROUP, INC.
QUARTERLY REPORT ON FORM 10-Q
FOR THE THREE MONTHS ENDED MARCH 31, 2020
TABLE OF CONTENTS


PAGE
Item 3. Quantitative and Qualitative Disclosures About Market Risk







PART I.

Item 1.  FINANCIAL STATEMENTS

THE ENSIGN GROUP, INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
March 31, 2020December 31, 2019
(In thousands, except par values)
Assets   
Current assets:   
Cash and cash equivalents$63,217  $59,175  
Accounts receivable—less allowance for doubtful accounts of $3,421 and $2,472 at March 31, 2020 and December 31, 2019, respectively
329,518  308,985  
Investments—current15,021  17,754  
Prepaid income taxes  739  
Prepaid expenses and other current assets25,565  24,428  
Total current assets433,321  411,081  
Property and equipment, net783,291  767,565  
Right-of-use assets 1,044,060  1,046,901  
Insurance subsidiary deposits and investments32,916  30,571  
Escrow deposits  14,050  
Deferred tax assets3,612  4,615  
Restricted and other assets 30,138  26,207  
Intangible assets, net 3,131  3,382  
Goodwill 54,469  54,469  
Other indefinite-lived intangibles 3,068  3,068  
Total assets$2,388,006  $2,361,909  
Liabilities and equity  
Current liabilities:  
Accounts payable$40,917  $44,973  
Accrued wages and related liabilities134,478  151,009  
Lease liabilities—current 46,055  44,964  
Accrued self-insurance liabilities—current28,873  29,252  
Other accrued liabilities77,093  70,273  
Current maturities of long-term debt2,727  2,702  
Total current liabilities330,143  343,173  
Long-term debt—less current maturities344,558  325,217  
Long-term lease liabilities—less current portion 970,350  973,983  
Accrued self-insurance liabilities—less current portion60,185  58,114  
Other long-term liabilities5,955  5,278  
Total liabilities1,711,191  1,705,765  
Commitments and contingencies (Notes 15, 17 and 18)
Equity  
Ensign Group, Inc. stockholders' equity:
Common stock: $0.001 par value; 100,000 shares authorized; 56,437 and 53,666 shares issued and outstanding at March 31, 2020, respectively, and 56,176 and 53,487 shares issued and outstanding at December 31, 2019, respectively (Note 19)
57  56  
Additional paid-in capital315,786  307,914  
Retained earnings429,689  391,523  
Common stock in treasury, at cost, 2,771 and 2,079 shares at March 31, 2020 and December 31, 2019, respectively (Note 19)
(70,296) (45,296) 
Total Ensign Group, Inc. stockholders' equity675,236  654,197  
Non-controlling interest1,579  1,947  
Total equity
676,815  656,144  
Total liabilities and equity$2,388,006  $2,361,909  
See accompanying notes to condensed consolidated financial statements.
1

Table of Contents
THE ENSIGN GROUP, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME
Three Months Ended March 31,
 20202019
(In thousands, except per share data)
Revenue$589,613  $471,308  
Expense:
Cost of services454,521  371,989  
Rent—cost of services 32,330  30,181  
General and administrative expense32,249  27,260  
Depreciation and amortization13,720  11,929  
Total expenses532,820  441,359  
Income from operations56,793  29,949  
Other income (expense):
Interest expense(3,665) (3,672) 
Interest income698  563  
Other expense, net(2,967) (3,109) 
Income before provision for income taxes53,826  26,840  
Provision for income taxes12,625  5,275  
Net income from continuing operations41,201  21,565  
Net income from discontinued operations, net of tax (Note 3)  6,042  
Net income 41,201  27,607  
Less:
Net income attributable to noncontrolling interests in continuing operations352  85  
Net income attributable to noncontrolling interests in discontinued operations
(Note 3)
  150  
Net income attributable to noncontrolling interests352  235  
Net income attributable to The Ensign Group, Inc.$40,849  $27,372  
Amounts attributable to The Ensign Group, Inc.:
Income from continuing operations attributable to The Ensign Group, Inc.$40,849  $21,480  
Income from discontinued operations, net of income tax (Note 3)  5,892  
Net income attributable to The Ensign Group, Inc. $40,849  $27,372  
Net income per share attributable to The Ensign Group, Inc.:
Basic:
Continuing operations$0.76  $0.41  
Discontinued operations  0.11  
Basic income per share attributable to The Ensign Group, Inc.$0.76  $0.52  
Diluted:
Continuing operations$0.73  $0.39  
Discontinued operations  0.10  
Diluted income per share attributable to The Ensign Group, Inc.$0.73  $0.49  
Weighted average common shares outstanding: 
Basic53,475  53,081  
Diluted55,796  55,698  
See accompanying notes to condensed consolidated financial statements.
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THE ENSIGN GROUP, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY

 Common Stock Additional Paid-In Capital Retained Earnings Treasury StockNon-Controlling Interest
(In thousands)Shares Amount   Shares AmountTotal
Balance - January 1, 202053,487  $56  $307,914  $391,523  2,079  $(45,296) $1,947  $656,144  
Issuance of common stock to employees and directors resulting from the exercise of stock options148    1,552  —      —  1,552  
Issuance of restricted stock723  1  3,085  —  —  —  —  3,086  
Dividends declared ($0.0500 per share)—  —  —  (2,683) —  —  —  (2,683) 
Employee stock award compensation—  —  3,235  —  —  —  —  3,235  
Repurchase of common stock (Note 19)(692) —  —  —  692  (25,000) —  (25,000) 
Net income attributable to noncontrolling interest—  —  —  —  —  —  352  352  
Distribution to noncontrolling interest holder—  —  —  —  —  —  (720) (720) 
Net income attributable to the Ensign Group, Inc.—  —  —  40,849  —  —  —  40,849  
Balance - March 31, 202053,666  $57  $315,786  $429,689  2,771  $(70,296) $1,579  $676,815  

 Common Stock Additional Paid-In Capital Retained Earnings Treasury Stock Non-Controlling Interest
(In thousands)Shares Amount   Shares Amount Total
Balance - January 1, 201952,584  $55  $284,384  $344,901  1,932  $(38,405) $11,405  $602,340  
Issuance of common stock to employees and directors resulting from the exercise of stock options and grant of stock awards371    5,616  —      —  5,616  
Dividends declared ($0.0475 per share)—  —  —  (2,543) —  —  —  (2,543) 
Employee stock award compensation—  —  2,612  —  —  —  —  2,612  
Noncontrolling interest attributable to subsidiary equity plan (Note 16)—  —  —  (317) —  —  658  341  
Cumulative effect of accounting change, net of tax—  —  —  9,030  —  —  —  9,030  
Net income attributable to noncontrolling interest—  —  —  —  —  —  235  235  
Net income attributable to the Ensign Group, Inc.—  —  —  27,372  —  —  —  27,372  
Balance - March 31, 201952,955  $55  $292,612  $378,443  1,932  $(38,405) $12,298  $645,003  
See accompanying notes to condensed consolidated financial statements.

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THE ENSIGN GROUP, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
Three Months Ended March 31,
(In thousands)20202019
Cash flows from operating activities:  
Net income $41,201  $27,607  
Net income from discontinued operations, net of tax  (6,042) 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization13,720  11,929  
Amortization of deferred financing fees210  293  
Non-cash leasing arrangement (Note 17)125  (254) 
Deferred income taxes 1,003    
Provision for doubtful accounts 1,312  417  
Stock-based compensation3,235  2,456  
Loss on insurance claims and disposal of assets101  18  
Change in operating assets and liabilities 
Accounts receivable (21,845) (14,200) 
Prepaid income taxes739  6,072  
Prepaid expenses and other assets(5,301) 4,411  
Operating lease obligations(181) (3,985) 
Accounts payable(3,257) 724  
Accrued wages and related liabilities(13,443) (11,045) 
Income taxes payable10,882  990  
Other accrued liabilities(4,040) (5,675) 
Accrued self-insurance liabilities1,985  1,352  
Other long-term liabilities677  686  
Net cash provided by continuing operating activities27,123  15,754  
Net cash provided by discontinued operating activities (Note 3)  4,052  
Net cash provided by operating activities27,123  19,806  
Cash flows from investing activities:  
Purchase of property and equipment(15,810) (12,801) 
Cash payments for business acquisitions (Note 8)  (6,504) 
Cash payments for asset acquisitions (Note 8)(14,054) (5,763) 
Escrow deposits  (300) 
Escrow deposits used to fund acquisitions14,050  7,271  
Cash proceeds from the sale of assets and insurance proceeds 121  2,521  
Purchases of investments(1,008) (8,169) 
Maturities of investments1,396  6,046  
Other restricted assets(237) (149) 
Net cash used in continuing investing activities(15,542) (17,848) 
Net cash used in discontinued investing activities (Note 3)  (2,509) 
Net cash used in investing activities(15,542) (20,357) 
Cash flows from financing activities:  
Proceeds from revolving credit facility and other debt (Note 15)260,000  265,000  
Payments on revolving credit facility and other debt (Note 15)(240,666) (257,517) 
Issuance of common stock upon exercise of options1,552  2,334  
Repurchase of shares of common stock (Note 19)(25,000)   
Dividends paid(2,705) (2,525) 
Non-controlling interest distribution(720)