EHC FY 2007 Earnings Report — Encompass Health Corporation Revenue & Financial Results | Market Cap Arena

Encompass Health CorporationEHC

FY 2007 Earnings

Reported February 26, 2008

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2007	Prior Q	FY 2006	QoQ Change	YoY Change
Revenue	$1.7B	—	$1.7B	—	1.5%
Op. Income	$188M	—	$68M	—	176.6%
Gross Margin	94.2%	—	45.9%	—	48.3pp
Net Margin	37.6%	—	-36.5%	—	74.1pp
EPS (Diluted)	$7.10	—	$-6.92	—	202.6%
Free Cash Flow	$191M	—	-$220M	—	187.1%

Income Statement

Item	Amount
REVENUE	$1.7B
Cost of Revenue	$100M
GROSS PROFIT	$1.6B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$1.4B
Other Expenses	$264M
Operating Expenses	$1.6B
Cost & Expenses	$1.7B
OPERATING INCOME	$188M
Interest Income	$0
Interest Expense	$0
Other Income/Expenses	-$312M
INCOME BEFORE TAX	-$124M
Income Tax Expense	-$322M
Net Income from Continuing Ops	$198M
Net Income from Discontinued Ops	$455M
Other Adjustments	$31M
NET INCOME	$653M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$627M
D&A	$85M
EBIT	$188M
EBITDA	$273M
EPS	$8
EPS Diluted	$7

Cash Flow Statement

Item	Amount
Net Income	$653M
Depreciation & Amortization	$85M
Stock-Based Compensation	$8M
Deferred Income Tax	$8M
Other Non-Cash Items	-$344M
Change in Working Capital	-$179M
OPERATING CASH FLOW	$231M
Capital Expenditure	-$39M
Acquisitions (Net)	$1.2B
Purchases of Investments	-$23M
Sales/Maturities of Investments	$66M
Other Investing Activities	$600.0K
NET CASH FROM INVESTING	$1.2B
Net Debt Issuance	-$1.3B
Common Stock Repurchased	$0
Common Dividends Paid	$0
Other Financing Activities	-$74M
NET CASH FROM FINANCING	-$1.4B
FREE CASH FLOW	$191M
Net Change in Cash	-$21M

Balance Sheet

Item	Amount
Cash & Equivalents	$20M
Short-Term Investments	$29M
Net Receivables	$448M
Inventory	$89M
Other Current Assets	$116M
TOTAL CURRENT ASSETS	$637M
PP&E (Net)	$744M
Goodwill	$406M
Intangible Assets	$26M
Long-Term Investments	$43M
Tax Assets	-$43M
Other Non-Current Assets	$237M
TOTAL NON-CURRENT ASSETS	$1.4B
TOTAL ASSETS	$2.1B
Account Payables	$49M
Short-Term Debt	$68M
Deferred Revenue	$93M
Other Current Liabilities	$761M
TOTAL CURRENT LIABILITIES	$971M
Long-Term Debt	$2.0B
Deferred Revenue NC	$387M
Deferred Tax Liabilities	$30M
Other Non-Current Liabilities	-$242M
TOTAL NON-CURRENT LIABILITIES	$2.5B
TOTAL LIABILITIES	$3.5B
Common Stock	$900.0K
Additional Paid-In Capital	$2.8B
Retained Earnings	-$4.1B
Treasury Stock	-$310M
Accum. Other Comp. Income	-$800.0K
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	-$1.6B
Minority Interest	$97M
TOTAL EQUITY	-$1.5B
TOTAL LIABILITIES & EQUITY	$2.1B
Total Debt	$2.0B
Net Debt	$2.0B