Community Health Systems, Inc. · NYSE:CYH
Community Health Systems — Q2 2023 Earnings Presentation
16 slides from Community Health Systems's earnings presentation, Aug 3, 2023
Slide 1: Earnings Presentation – 2nd Quarter, 2023
Earnings Presentation – 2nd Quarter, 2023 August 2, 2023
Slide 2: Disclaimer Statement
Disclaimer Statement This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995 that involve risk and uncer
Slide 3: Community Health Systems
Community Health Systems Earnings Presentation – 2nd Quarter, 2023 3
Slide 4: Near-Term Priorities
Near-Term Priorities By The Numbers Near-term priorities designed to positively position CHS for long-term success 4
Slide 5: Income Summary
Income Summary (Amounts in millions, except margin and per share amounts) Three Months Ended June 30, Six Months Ended June 30, By The Numbers 2023 2022 Change 2023 2022 Change Net Operating Revenues $ 3,115 $ 2,934 6.2% $ 6,223 $ 6,044 3.0% Adjusted EBITDA(1) $ 373 $ 253 47.4% $ 707 $ 662 6.8% Adju
Slide 6: Diluted EPS – Excluding Adjustments
Diluted EPS – Excluding Adjustments Three Months Ended Six Months Ended By The Numbers June 30, June 30, 2023 2022 2023 2022 Net loss, as reported $ (0.29) $ (2.52) $ (0.68) $ (2.54) Adjustments: Loss from early extinguishment of debt - - - 0.11 Impairment and (gain) loss on sale of businesses, net
Slide 7: 2Q 2023 Summary
2Q 2023 Summary By The Numbers Sequential 2Q 2023 2Q 2023 YTD 2023 compared to compared to compared to 1Q 2023 2Q 2022 YTD 2022 Same Store Consolidated Same Store Consolidated Same Store Net Operating Revenue 1.1% 6.2% 9.2% 3.0% 5.3% Net Revenue per AA -0.8% 4.1% -1.8% Admissions -0.4% 0.9% 4.8% 1.0
Slide 8: Non-Labor Expense
Non-Labor Expense ($ in millions) 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 By The Numbers Supplies $491 $500 $529 $521 $499 $487 $492 $498 $507 $504 Other Non-Labor $749 $740 $730 $743 $740 $757 $799 $805 $818 $829 Total Non-Labor $1,240 $1,240 $1,259 $1,264 $1,239 $1,244 $1,291 $1,303 $1,3
Slide 9: Payor Mix (Consolidated)
Payor Mix (Consolidated) Key 14.4% 15.2% Managed Care & Other 16.7% 16.3% Medicaid 2Q 2Q Medicare Managed Care 47.9% 2023 20.2% 47.1% 2022 21.0% Medicare Self-Pay 0.8% 0.4% • Payor mix as % of net revenue. • Total consolidated 14.0% 15.1% uncompensated care as % of 17.1% 16.4% adjusted net revenue (
Slide 10: Cash Flow & Capital Expenditures
Cash Flow & Capital Expenditures Cash Flows from Operations Capital Expenditures Excluding Received and Repaid Medicare Accelerated Payments By The Numbers ($ in millions) ($ in millions) $1,200 $1,097 $ 500 $469 $950 $440 $415 $900 $ 400 $ 300 $600 $227 $191 $ 200 $300 $300 $154 $ 100 $91 $- $0 202
Slide 11: Balance Sheet Data
Balance Sheet Data By The Numbers ($ in millions) June 30, 2023 December 31, 2022 Working Capital $ 1,116 $ 896 Total Assets $ 14,648 $ 14,669 Total Debt $ 11,758 $ 11,635 Stockholders’ Deficit $ (1,489) $ (1,367) • At June 30, 2023, substantially all of our debt was fixed rate debt. • Days revenue
Slide 12: Debt Maturity Profile
Debt Maturity Profile June 30, 2023 ($ in millions) By The$ 3,000 Numbers $1,232 $ 2,000 $1,386 $2,600 $ 1,000 $2,101 $1,535 $1,058 $900 $756 $0 2023 2024 2025 2026 2027 2028 2029 2030 2031 First Lien Notes Second Lien Notes Unsecured Notes Note: Debt maturity profile does not include $1 billion ABL
Slide 13: Medium-Term Financial Goals
Medium-Term Financial Goals Medium-Term By The Numbers Within 3-5 Years Net Revenue Growth Mid-Single Digit Adjusted EBITDA Margin Mid-Teens Annual Free Cash Flow Positive Financial Leverage (Net Debt / EBITDA) Below 5.5x Financial and operational goals focused on improving EBITDA margin and free ca
Slide 14: APPENDIX: Other Financial Information
APPENDIX: Other Financial Information
Slide 15: Unaudited Supplemental Information
Unaudited Supplemental Information EBITDA is a non-GAAP financial measure which consists of net income (loss) attributable to Community Health Systems, Inc. before interest, income taxes, and depreciation and amortization. Adjusted By The Numbers EBITDA, also a non-GAAP financial measure, is EBITDA
Slide 16: Unaudited Supplemental Information
Unaudited Supplemental Information The following table reflects the reconciliation of Adjusted EBITDA, as defined, to net loss attributable to Community By The Numbers Health Systems, Inc. stockholders as derived directly from the condensed consolidated financial statements (in millions): Three Mont
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