Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2017 | Aug. 01, 2017 | |
Document Information [Line Items] | ||
Entity Registrant Name | NATIONAL HEALTHCARE CORP | |
Entity Central Index Key | 1,047,335 | |
Trading Symbol | nhc | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Well-known Seasoned Issuer | No | |
Entity Common Stock, Shares Outstanding (in shares) | 15,195,030 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Interim Condensed Consolidated
Interim Condensed Consolidated Statements of Income (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Revenues: | ||||
Net patient revenues | $ 227,847,000 | $ 216,487,000 | $ 455,806,000 | $ 434,593,000 |
Other revenues | 11,610,000 | 11,281,000 | 22,894,000 | 22,763,000 |
Net operating revenues | 239,457,000 | 227,768,000 | 478,700,000 | 457,356,000 |
Cost and Expenses: | ||||
Salaries, wages and benefits | 142,684,000 | 135,068,000 | 280,739,000 | 265,088,000 |
Other operating | 62,856,000 | 57,306,000 | 126,739,000 | 118,615,000 |
Facility rent | 10,079,000 | 10,319,000 | 20,167,000 | 20,646,000 |
Depreciation and amortization | 10,481,000 | 9,495,000 | 20,776,000 | 18,849,000 |
Interest | 1,219,000 | 939,000 | 2,277,000 | 1,893,000 |
Total costs and expenses | 227,319,000 | 213,127,000 | 450,698,000 | 425,091,000 |
Income Before Non–Operating Income | 12,138,000 | 14,641,000 | 28,002,000 | 32,265,000 |
Non–Operating Income | 5,189,000 | 4,925,000 | 9,957,000 | 9,698,000 |
Income Before Income Taxes | 17,327,000 | 19,566,000 | 37,959,000 | 41,963,000 |
Income Tax Provision | (6,758,000) | (7,700,000) | (14,757,000) | (16,398,000) |
Net Income | 10,569,000 | 11,866,000 | 23,202,000 | 25,565,000 |
Loss Attributable To Noncontrolling Interest | 86,000 | 181,000 | ||
Net Income Attributable to National HealthCare Corporation | $ 10,655,000 | $ 11,866,000 | $ 23,383,000 | $ 25,565,000 |
Earnings Per Share Attributable to National HealthCare Corporation Stockholders: | ||||
Basic (in dollars per share) | $ 0.70 | $ 0.78 | $ 1.54 | $ 1.69 |
Diluted (in dollars per share) | $ 0.70 | $ 0.78 | $ 1.54 | $ 1.68 |
Weighted Average Common Shares Outstanding: | ||||
Basic (in shares) | 15,189,818 | 15,266,559 | 15,181,700 | 15,091,732 |
Diluted (in shares) | 15,220,448 | 15,289,104 | 15,216,336 | 15,212,275 |
Dividends declared to common stockholders per (in dollars per share) | $ 0.48 | $ 0.45 | $ 0.93 | $ 0.85 |
Interim Condensed Consolidated3
Interim Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Net income | $ 10,569 | $ 11,866 | $ 23,202 | $ 25,565 |
Other Comprehensive Income: | ||||
Unrealized gains on investments in marketable securities | 13,297 | 18,123 | 12,356 | 30,627 |
Reclassification adjustment for realized gains on sale of securities | (204) | (261) | (238) | (540) |
Income tax expense related to items of other comprehensive income | (5,054) | (6,887) | (4,646) | (11,554) |
Other Comprehensive Income, net of tax | 8,039 | 10,975 | 7,472 | 18,533 |
Loss Attributable To Noncontrolling Interest | 86 | 181 | ||
Comprehensive Income Attributable to National HealthCare Corporation | $ 18,694 | $ 22,841 | $ 30,855 | $ 44,098 |
Interim Condensed Consolidated4
Interim Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Jun. 30, 2017 | Dec. 31, 2016 |
Current Assets: | ||
Cash and cash equivalents | $ 60,848,000 | $ 26,335,000 |
Restricted cash and cash equivalents | 3,582,000 | 3,125,000 |
Marketable securities | 148,137,000 | 138,013,000 |
Restricted marketable securities | 21,963,000 | 22,773,000 |
Accounts receivable, less allowance for doubtful accounts of $7,408 and $5,743, respectively | 79,640,000 | 82,531,000 |
Inventories | 7,198,000 | 7,508,000 |
Prepaid expenses and other assets | 3,617,000 | 2,648,000 |
Notes receivable, current portion | 1,299,000 | 3,259,000 |
Federal income tax receivable | 2,447,000 | 4,665,000 |
Total current assets | 328,731,000 | 290,857,000 |
Property and Equipment: | ||
Property and equipment, at cost | 949,753,000 | 933,140,000 |
Accumulated depreciation and amortization | (394,224,000) | (373,516,000) |
Net property and equipment | 555,529,000 | 559,624,000 |
Other Assets: | ||
Restricted cash and cash equivalents | 2,166,000 | 2,129,000 |
Restricted marketable securities | 141,991,000 | 160,931,000 |
Deposits and other assets | 5,639,000 | 5,244,000 |
Goodwill | 17,600,000 | 17,600,000 |
Notes receivable, less current portion | 12,245,000 | 13,820,000 |
Investments in limited liability companies | 36,345,000 | 37,242,000 |
Total other assets | 215,986,000 | 236,966,000 |
Total assets | 1,100,246,000 | 1,087,447,000 |
Current Liabilities: | ||
Trade accounts payable | 14,738,000 | 18,593,000 |
Capital lease obligations, current portion | 3,587,000 | 3,481,000 |
Accrued payroll | 53,311,000 | 65,912,000 |
Amounts due to third party payors | 17,950,000 | 17,019,000 |
Accrued risk reserves, current portion | 25,545,000 | 25,898,000 |
Other current liabilities | 14,623,000 | 13,207,000 |
Dividends payable | 7,294,000 | 6,818,000 |
Total current liabilities | 137,048,000 | 150,928,000 |
Long–term debt | 120,000,000 | 120,000,000 |
Capital lease obligations, less current portion | 24,927,000 | 26,748,000 |
Accrued risk reserves, less current portion | 68,996,000 | 65,264,000 |
Refundable entrance fees | 9,167,000 | 9,924,000 |
Obligation to provide future services | 3,236,000 | 3,236,000 |
Deferred income taxes | 25,178,000 | 22,072,000 |
Other noncurrent liabilities | 17,350,000 | 16,302,000 |
Deferred revenue | 4,886,000 | 3,362,000 |
Total liabilities | 410,788,000 | 417,836,000 |
Stockholders’ Equity: | ||
Common stock, $.01 par value; 45,000,000 and 30,000,000 shares authorized, respectively; 15,195,030 and 15,162,938 shares, respectively, issued and outstanding | 152,000 | 152,000 |
Capital in excess of par value | 213,785,000 | 211,457,000 |
Retained earnings | 401,192,000 | 391,934,000 |
Accumulated other comprehensive income | 73,540,000 | 66,068,000 |
Total National HealthCare Corporation stockholders’ equity | 688,669,000 | 669,611,000 |
Noncontrolling interest | 789,000 | |
Total stockholders' equity | 689,458,000 | 669,611,000 |
Total liabilities and stockholders’ equity | $ 1,100,246,000 | $ 1,087,447,000 |
Interim Condensed Consolidated5
Interim Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Allowance for doubtful accounts | $ 7,408 | $ 5,743 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 45,000,000 | 30,000,000 |
Common stock,shares, issued (in shares) | 15,195,030 | 15,162,938 |
Common stock, shares outstanding (in shares) | 15,195,030 | 15,162,938 |
Interim Condensed Consolidated6
Interim Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Cash Flows From Operating Activities: | ||
Net income | $ 23,202 | $ 25,565 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 20,776 | 18,849 |
Provision for doubtful accounts receivable | 3,795 | 3,795 |
Equity in earnings of unconsolidated investments | (3,380) | (3,120) |
Distributions from unconsolidated investments | 4,337 | 5,635 |
Gains on sale of restricted marketable securities | (238) | (540) |
Deferred income taxes | (1,540) | (244) |
Stock–based compensation | 832 | 494 |
Changes in operating assets and liabilities, net of the effect of acquisitions: | ||
Accounts receivable | (904) | 3,072 |
Income tax receivable | 2,218 | 2,288 |
Inventories | 310 | 431 |
Prepaid expenses and other assets | (969) | (967) |
Trade accounts payable | (3,855) | 1,675 |
Accrued payroll | (12,601) | (15,333) |
Amounts due to third party payors | 931 | 1,756 |
Other current liabilities and accrued risk reserves | 4,819 | 609 |
Other noncurrent liabilities | 1,048 | 1,073 |
Deferred revenue | (1,524) | (1,390) |
Net cash provided by operating activities | 40,305 | 46,428 |
Cash Flows From Investing Activities: | ||
Additions to property and equipment | (16,681) | (36,127) |
Investments in unconsolidated companies | (176) | (904) |
Investments in notes receivable | (2,144) | |
Collections of notes receivable | 3,651 | 428 |
Purchase of restricted marketable securities | (22,775) | (23,852) |
Sale of restricted marketable securities | 44,756 | 25,697 |
Net cash provided by (used in) investing activities | 8,775 | (36,902) |
Cash Flows From Financing Activities: | ||
Tax expense from stock–based compensation | (1,134) | |
Principal payments under capital lease obligations | (1,715) | (1,614) |
Dividends paid to common stockholders | (13,649) | (12,101) |
Issuance of common shares | 1,496 | 10,070 |
Equity attributable to noncontrolling interest | 970 | |
Entrance fee refunds | (757) | (34) |
Change in deposits | (418) | 216 |
Net cash used in financing activities | (14,073) | (4,597) |
Net Increase in Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | 35,007 | 4,929 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Beginning of Period | 31,589 | 49,314 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, End of Period | 66,596 | 54,243 |
Balance Sheet Classifications: | ||
Total Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | $ 31,589 | $ 49,314 |
Interim Condensed Consolidated7
Interim Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Noncontrolling Interest [Member] | Total |
Balance at Jun. 30, 2016 | $ 153 | $ 218,896 | $ 380,597 | $ 71,897 | $ 671,543 | |
Balance (in shares) at Dec. 31, 2015 | 15,000,616 | |||||
Balance at Dec. 31, 2015 | $ 150 | 209,469 | 368,013 | 53,364 | 630,996 | |
Net income attributable to National HealthCare Corporation | 25,565 | 25,565 | ||||
Net loss attributable to noncontrolling interest | ||||||
Other comprehensive income | 18,533 | 18,533 | ||||
Stock–based compensation | 494 | 494 | ||||
Tax benefit (expense) from exercise of stock options | (1,134) | (1,134) | ||||
Shares sold – options exercised (in shares) | 278,623 | |||||
Shares sold – options exercised | $ 3 | 10,067 | 10,070 | |||
Dividends declared to common stockholders | (12,981) | (12,981) | ||||
Balance (in shares) at Jun. 30, 2016 | 15,279,239 | |||||
Balance at Dec. 31, 2016 | $ 152 | 211,457 | 391,934 | 66,068 | 669,611 | |
Balance (in shares) at Dec. 31, 2015 | 15,000,616 | |||||
Balance at Dec. 31, 2015 | $ 150 | 209,469 | 368,013 | 53,364 | $ 630,996 | |
Shares sold – options exercised (in shares) | 499,066 | |||||
Balance (in shares) at Dec. 31, 2016 | 15,162,938 | |||||
Balance at Jun. 30, 2017 | $ 152 | 213,785 | 401,192 | 73,540 | 789 | $ 689,458 |
Balance at Dec. 31, 2016 | 152 | 211,457 | 391,934 | 66,068 | 669,611 | |
Net income attributable to National HealthCare Corporation | 23,383 | 23,383 | ||||
Net loss attributable to noncontrolling interest | (181) | (181) | ||||
Equity contributed by noncontrolling interest | 970 | 970 | ||||
Other comprehensive income | $ 7,472 | 7,472 | ||||
Stock–based compensation | 832 | $ 832 | ||||
Shares sold – options exercised (in shares) | 32,092 | 31,992 | ||||
Shares sold – options exercised | $ 1,496 | $ 1,496 | ||||
Dividends declared to common stockholders | $ (14,125) | $ (14,125) | ||||
Balance (in shares) at Jun. 30, 2017 | 15,195,030 |
Interim Condensed Consolidated8
Interim Condensed Consolidated Statements of Stockholders' Equity (Unaudited) (Parentheticals) - $ / shares | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Common Stock [Member] | ||
Dividends declared to common stockholders per (in dollars per share) | $ 0.93 | $ 0.85 |
Dividends declared to common stockholders per (in dollars per share) | $ 0.93 | $ 0.85 |
Note 1 - Description of Busines
Note 1 - Description of Business | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | Note 1 – Description of Business National HealthCare Corporation June 30, 2017, 76 9,597 25 five 36 10 |
Note 2 - Summary of Significant
Note 2 - Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | Note 2 – Summary of Significant Accounting Policies The listing below is not not December 31, 2016 December 31, 2016 www.nhccare.com Basis of Presentation The unaudited interim condensed consolidated financial statements to which these notes are attached include all normal, recurring adjustments which are necessary to fairly present the financial position, results of operations and cash flows of NHC. All significant intercompany transactions and balances have been eliminated in consolidation. The consolidated financial statements include the accounts of all entities controlled by NHC. The Company presents noncontrolling interest within the equity section of its consolidated balance sheets. The Company presents the amount of consolidated net income (loss) that is attributable to NHC and the noncontrolling interest in its consolidated statements of income and comprehensive income. We assume that users of these interim financial statements have read or have access to the audited December 31, 2016 may not may Estimates and Assumptions The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates and could cause our reported net income to vary significantly from period to period. Change in Accounting Principle Effective December 31, 2016, No. 2016–18, Statement of Cash Flows (Topic 230 As described in the guidance for accounting changes under ASC Topic 250, six June 30, 2016 December 31, 2016: Consolidated Statement of Cash Flows ( in thousands Six Months Ended June 30, 2016 As Previously Reported Effect of Accounting Change As Adjusted Cash Flows from Operating Activities: Restricted cash and cash equivalents $ (10,342 ) $ 10,342 $ – Net cash provided by operating activities 36,086 10,342 46,428 Cash Flows from Investing Activities: Change in restricted cash and cash equivalents 4,748 (4,748 ) – Net cash used in investing activities (32,154 ) (4,748 ) (36,902 ) Net (Decrease) Increase in Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents (665 ) 5,594 4,929 Cash, Cash Equivalents, Restricted Cash, and Restricted Cash, Equivalents, Beginning of Period 38,208 11,106 49,314 Cash, Cash Equivalents, Restricted Cash, and Restricted Cash, Equivalents, End of Period $ 37,543 $ 16,700 $ 54,243 Recently Adopted Accounting Guidance In November 2016, No. 2016–18, 230 December 15, 2017, December 31, 2016, Change in Accounting Principle No. 2016–18. In March 2016, 2016 09, Compensation – Stock Compensation (Topic 718 2016 09 2016 09 December 15, 2016, January 1, 2017, 2016 09. $123,000 $244,000 three six June 30, 2017, Recent Accounting Guidance Not In February 2016, 2016 02, 842 December 15, 2018, In January 2016, No. 2016 01, (Topic 825 No. 2016 01 No. 2016 01 No. 2016 01 December 15, 2017, No. 2016 01 may No. 2016 01. In May 2014, No. 2014–09 five 1. 2. 3. 4. 5. For a public entity, this update is effective for annual reporting periods beginning after December 15, 2017, As we progress with our implementation efforts to adopt the New Revenue Standard, management continues to evaluate and refine its estimates of the anticipated impacts it will have on our revenue recognition policies, procedures, financial position, results of operations, cash flows, financial disclosures and control framework. Specifically, the Company is continuing to evaluate its population of revenue sources to determine the potential effects the New Revenue Standard will have on the amount or timing of certain industry-specific healthcare revenue sources, which, at this time, includes revenue recorded from our CCRC, settlements with third Revenue Recognition – Third Party Payors Approximately 65% may no $17,950,000 $17,019,000 June 30, 2017 December 31, 2016, Revenue Recognition – Private P ay For private pay patients in skilled nursing or assisted living facilities, we bill room and board in advance with payment being due in the month the services are performed. Charges for ancillary, pharmacy, therapy and other services to private patients are billed in the month following the performance of services; however, all billings are recognized as revenue when the services are performed. Revenue Recognition – Subordination of Fees and Uncert ain Collections We provide management services to certain senior care facilities and to others we provide accounting and financial services. We generally charge 6% 7% third not may no We agree to subordinate our fees to the other expenses of a managed center because we believe we know how to improve the quality of patient services and finances of a senior healthcare center. We believe subordinating our fees demonstrates to the owner and employees of the managed center how confident we are of the impact we can have in making the center operations successful. We may not may may may Segment Reporting In accordance with the provisions of ASC 280, first 2017 he Company now has two 1 2 5 Other Operating Expenses Other operating expenses include the costs of care and services that we provide to the residents of our facilities and the costs of maintaining our facilities. Our primary patient care costs include drugs, medical supplies, purchased professional services, food, and professional liability insurance and licensing fees. The primary facility costs include utilities and property insurance. General and Administrative Costs With the Company being a healthcare provider, the majority of our expenses are "cost of revenue" items. Costs that could be classified as "general and administrative" by the Company would include its corporate office costs, excluding stock-based compensation, which were $15,262,000 $14,364,000 six June 30, 2017 2016, Property and Equipment Property and equipment are recorded at cost. Depreciation is provided by the straight-line method over the expected useful lives of the assets estimated as follows: buildings and improvements, 20 40 3 15 not Capital leases are recorded at the lower of fair market value or the present value of future minimum lease payments. Capital leases are amortized in accordance with the provision codified within Accounting Standards Codification (“ASC”) Subtopic 840 30, Leases – Capital Leases Accrued Risk Reserves We are self– insured for risks related to health insurance and have wholly–owned limited purpose insurance companies that insure risks related to workers’ compensation and general and professional liability insurance claims. The accrued risk reserves include a liability for reported claims and estimates for incurred but unreported claims. Our policy is to engage an external, independent actuary to assist in estimating our exposure for claims obligations (for both asserted and unasserted claims). We reassess our accrued risk reserves on a quarterly basis. Professional liability remains an area of particular concern to us. The long-term care industry has seen an increase in personal injury/wrongful death claims based on alleged negligence by skilled nursing facilities and their employees in providing care to residents. As of June 30, 2017, 61 2005 June 30, 2017. We are principally self-insured for incidents occurring in all centers owned or leased by us. The coverages include both primary policies and excess policies. In all years, settlements, if any, in excess of available insurance policy limits and our own reserves would be expensed by us. Continuing Care Contracts and Refundable Entrance Fee We have one Residents at this retirement center may 10% 90% 40% June 30, 2017 December 31, 2016 $9,167,000 $9,924,000, Obligation to Provide Future Services W e annually estimate the present value of the cost of future services and the use of facilities to be provided to the current CCRC residents and compare that amount with the balance of non-refundable deferred revenue from entrance fees received. If the present value of the cost of future services exceeds the related anticipated revenues, a liability is recorded (obligation to provide future services) with a corresponding charge to income. As of June 30, 2017, December 31, 2016, $3,236,000 Other Noncurrent Liabilities Other noncurrent liabilities include reserves primarily related to various uncertain income tax positions. D eferred Revenue Deferred revenue includes the deferred gain on the sale of assets to National Health Corporation (“National”), the non-refundable portion ( 10% not Noncontrolling Interest The noncontrolling interest in a subsidiary is presented within total equity in the Company's interim condensed consolidated balance sheets. The Company presents the noncontrolling interest and the amount of consolidated net income attributable to NHC in its interim condensed consolidated statements of income and comprehensive income and net income per share is calculated based on net income attributable to NHC’s stockholders. The carrying amount of the noncontrolling interest is adjusted based on an allocation of subsidiary earnings based on ownership interest. Variable Interest Entities We have equity interests in unconsolidated limited liability companies that operate various post-acute and senior healthcare businesses. We analyze our investments in these limited liability companies to determine if the company is considered a VIE and would require consolidation. To the extent that we own interests in a VIE and we (i) are the sole entity that has the power to direct the activities of the VIE and (ii) have the obligation or rights to absorb the VIE's losses or receive its benefits, then we would be determined to be the primary beneficiary and would consolidate the VIE. To the extent we own interests in a VIE, then at each reporting period, we re-assess our conclusions as to which, if any, party within the VIE is considered the primary beneficiary. The Company's maximum exposure to losses in its investments in unconsolidated VIEs cannot be quantified and may may not |
Note 3 - Other Revenues
Note 3 - Other Revenues | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Other Revenues [Text Block] | N ote 3 – Other Revenues Other revenues are outlined in the table below. Revenues from management and accounting services include management and accounting fees provided to managed healthcare facilities. Revenues from rental income include health care real estate properties owned by us and leased to third Other revenues include the following: Three Months Ended June 30 Six Months Ended June 30 (in thousands) 2017 2016 2017 2016 Rental Income $ 5,515 $ 5,435 $ 11,001 $ 11,005 Management and accounting services fees 3,752 3,506 7,611 7,255 Insurance services 2,087 1,815 3,644 3,739 Other 256 525 638 764 $ 11,610 $ 11,281 22,894 22,763 Management Fees from National We manage five three six June 30, 2017, $989,000 $1,925,000 three six June 30, 2016, $926,000 $1,895,000 Because the amount collectable cannot be reasonably determined when the management services are provided, and because we cannot estimate the timing or amount of expected future collections, the unpaid fees from the five may five may may may five no Insurance Services For workers’ compensation insurance services, the premium revenues reflected in the interim condensed consolidated statements of income for the three six June 30, 2017 $1,409,000 $2,688,000. three six June 30, 2016, $1,150,000 $2,383,000, For professional liability insurance services, the premium revenues reflected in the interim condensed consolidated statements of income for the three six June 30, 2017 $678,000 $956,000, three six June 30, 2016, $665,000 $1,356,000, |
Note 4 - Non-operating Income
Note 4 - Non-operating Income | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Other Nonoperating Income and Expense [Text Block] | N ote 4 – Non – Operating Income Non–operating income is outlined in the table below. Non–operating income includes equity in earnings of unconsolidated investments, dividends and other realized gains and losses on marketable securities, and interest income. Our most significant equity method investment is a 75.1% Three Months Ended June 30 Six Months Ended June 30 (in thousands) 2017 2016 2017 2016 Equity in earnings of unconsolidated investments $ 1,854 $ 1,615 $ 3,380 $ 3,120 Dividends and other net realized gains and losses on sales of securities 1,899 1,901 3,623 3,762 Interest income 1,436 1,409 2,954 2,816 $ 5,189 $ 4,925 $ 9,957 $ 9,698 |
Note 5 - Business Segments
Note 5 - Business Segments | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | Note 5 – Business Segments The Company has two 1 2 ’s Chief Executive Officer, as CODM, to assess performance and allocate resources. The Company also reports an “all other” category that includes revenues from rental income, management and accounting services fees, insurance services, and costs of the corporate office. The Company has presented the financial information for the three six June 30, 2016 three six June 30, 2017, egments to the All Other category to accurately reflect the allocation of certain corporate office expenses. For additional information on these reportable segments see Note 1 Description of Business”. The Company ’s CODM evaluates performance and allocates capital resources to each segment based on an operating model that is designed to improve the quality of patient care and profitability of the Company while enhancing long-term shareholder value. The CODM does not not The following table sets forth the Company’s interim condensed consolidated statements of income by business segment (in thousands Three Months Ended June 30, 2017 Inpatient Services Homecare All Other Total Revenues: Net patient revenues $ 211,888 $ 15,959 $ - $ 227,847 Other revenues 225 - 11,385 11,610 Net operating revenues 212,113 15,959 11,385 239,457 Costs and Expenses: Salaries, wages and benefits 124,287 8,615 9,782 142,684 Other operating 55,989 5,058 1,809 62,856 Rent 8,257 499 1,323 10,079 Depreciation and amortization 9,396 39 1,046 10,481 Interest 436 - 783 1,219 Total costs and expenses 198,365 14,211 14,743 227,319 Income (Loss) Before Non-Operating Income 13,748 1,748 (3,358 ) 12,138 Non-Operating Income - - 5,189 5,189 Income Before Income Taxes $ 13,748 $ 1,748 $ 1,831 $ 17,327 Three Months Ended June 30, 2016 Inpatient Services Homecare All Other Total Revenues: Net patient revenues $ 200,617 $ 15,870 $ - $ 216,487 Other revenues 198 - 11,083 11,281 Net operating revenues 200,815 15,870 11,083 227,768 Costs and Expenses: Salaries, wages and benefits 117,106 8,216 9,746 135,068 Other operating 50,472 5,092 1,742 57,306 Rent 8,449 481 1,389 10,319 Depreciation and amortization 8,359 46 1,090 9,495 Interest 487 - 452 939 Total costs and expenses 184,873 13,835 14,419 213,127 Income (Loss) Before Non-Operating Income 15,942 2,035 (3,336 ) 14,641 Non-Operating Income - - 4,925 4,925 Income Before Income Taxes $ 15,942 $ 2,035 $ 1,589 $ 19,566 Six Months Ended June 30, 2017 Inpatient Services Homecare All Other Total Revenues: Net patient revenues $ 424,190 $ 31,616 $ - $ 455,806 Other revenues 451 - 22,443 22,894 Net operating revenues 424,641 31,616 22,443 478,700 Costs and Expenses: Salaries, wages and benefits 242,535 16,442 21,762 280,739 Other operating 112,859 10,193 3,687 126,739 Rent 16,424 987 2,756 20,167 Depreciation and amortization 18,605 80 2,091 20,776 Interest 886 - 1,391 2,277 Total costs and expenses 391,309 27,702 31,687 450,698 Income (Loss) Before Non-Operating Income 33,332 3,914 (9,244 ) 28,002 Non-Operating Income - - 9,957 9,957 Income Before Income Taxes $ 33,332 $ 3,914 $ 713 $ 37,959 Six Months Ended June 30, 2016 Inpatient Services Homecare All Other Total Revenues: Net patient revenues $ 402,700 $ 31,893 $ - $ 434,593 Other revenues 367 - 22,396 22,763 Net operating revenues 403,067 31,893 22,396 457,356 Costs and Expenses: Salaries, wages and benefits 227,670 16,197 21,221 265,088 Other operating 104,351 10,386 3,878 118,615 Rent 16,809 968 2,869 20,646 Depreciation and amortization 16,573 92 2,184 18,849 Interest 985 - 908 1,893 Total costs and expenses 366,388 27,643 31,060 425,091 Income (Loss) Before Non-Operating Income 36,679 4,250 (8,664 ) 32,265 Non-Operating Income - - 9,698 9,698 Income Before Income Taxes $ 36,679 $ 4,250 1,034 $ 41,963 |
Note 6 - Long-term Leases
Note 6 - Long-term Leases | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Leases of Lessee Disclosure [Text Block] | Note 6 – Long-Term Leases Capital Leases Fixed assets recorded under the capital leases, which are included in property and equipment in the interim condensed consolidated balance sheets, are as follows: June 30, 2017 December 31, 2016 (in thousands) Buildings and personal property $ 39,032 $ 39,032 Accumulated amortization (13,083 ) (11,120 ) $ 25,949 $ 27,912 Operating Leases At June 30, 2017, 35 seven three two $34,200,000 4% $9,314,000 $9,480,000 three June 30, 2017 2016, $18,628,000 $18,960,000 six June 30, 2017 2016, Minimum Lease Payments The approximate future minimum lease payments required under all leases that have remaining non-cancelable lease terms at June 30, 2017 Operating Leases Capital Leases (in thousands) 201 8 $ 34,200 $ 5,200 201 9 34,200 5,200 20 20 34,200 5,200 20 21 34,200 5,200 20 22 34,200 5,200 Thereafter 159,650 8,667 Total minimum lease payments $ 330,650 $ 34,667 Less: Amounts representing interest (6,153 ) Present value of minimum lease payments 28,514 Less: Current portion (3,587 ) Long-term capital lease obligations $ 24,927 |
Note 7 - Earnings Per Share
Note 7 - Earnings Per Share | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | Note 7 – Earnings per Share Basic net income per share is computed based on the weighted average number of common shares outstanding for each period presented. Diluted net income per share reflects the potential dilution that would have occurred if securities to issue common stock were exercised, converted, or resulted in the issuance of common stock that would have then shared in our earnings. The following table summarizes the earnings and the weighted average number of common shares used in the calculation of basic and diluted earnings per share (in thousands, except for share and per share amounts): Three Months Ended June 30 Six Months Ended June 30 2017 2016 2017 2016 Basic: Weighted average common shares outstanding 15,189,818 15,266,559 15,181,700 15,091,732 Net income attributable to National Health Care Corporation $ 10,655 $ 11,866 $ 23,383 $ 25,565 Earnings per common share, basic $ 0.70 $ 0.78 $ 1.54 $ 1.69 Diluted: Weighted average common shares outstanding 15,189,818 15,266,559 15,181,700 15,091,732 Dilutive effect of stock options 30,630 22,545 34,636 23,406 Dilutive effect of contingent issuable stock - - - 97,137 Weighted a verage common shares outstanding 15,220,448 15,289,104 15,216,336 15,212,275 Net income attributable to National Health Care Corporation $ 10,655 $ 11,866 $ 23,383 $ 25,565 Earnings per common share, diluted $ 0.70 $ 0.78 $ 1.54 $ 1.68 In the above table, options to purchase 1,124,689 12,120 three six June 30, 2017 2016, |
Note 8 - Investments in Marketa
Note 8 - Investments in Marketable Securities | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | Note 8 – Inve stments in Marketable Securities Our investments in marketable securities are classified as available for sale securities. Realized gains and losses from securities sales are recognized in results of operations upon disposition of the securities using the specific identification method on a trade date basis. Refer to Note 9 Marketable securities and restricted marketable securities consist of the following: June 30, 2017 December 31, 2016 (in thousands) Amortized Cost Fair Value Amortized Cost Fair Value Investments a vailable for sale: Marketable equity securities $ 30,176 $ 148,137 $ 30,176 $ 138,013 Restricted investments available for sale: Corporate debt securities 67,997 68,496 71,311 71,100 Commercial mortgage –backed securities 51,188 50,905 56,889 56,168 U.S. Treasury securities 20,899 20,533 25,748 25,181 State and municipal securities 24,141 24,020 32,020 31,255 $ 194,401 $ 312,091 $ 216,144 $ 321,717 Included in the available for sale marketable equity securities are the following (in thousands, except share amounts) : June 30, 2017 December 31, 2016 Shares Cost Fair Value Shares Cost Fair Value NHI Common Stock 1,630,642 $ 24,734 $ 129,147 1,630,642 $ 24,734 $ 120,945 The amortized cost and estimated fair value of debt securities classified as available for sale, by contractual maturity, are as follows: June 30, 2017 December 31, 2016 (in thousands) Cost Fair Value Cost Fair Value Maturities: Within 1 year $ 14,628 $ 14,628 $ 14,181 $ 14,216 1 to 5 years 66,519 66,747 79,827 79,502 6 to 10 years 81,923 81,424 91,211 89,269 Over 10 years 1,155 1,155 749 717 $ 164,225 $ 163,954 $ 185,968 $ 183,704 Gross unrealized gains related to available for sale securities are $119,086,000 $108,730,000 June 30, 2017 December 31, 2016, $1,396,000 $3,157,000 June 30, 2017 December 31, 2016, not not no six June 30, 2017 December 31, 2016. Proceeds from the sale of securities during the six June 30, 2017 2016 $44,756,000 $25,697,000, $238,000 $540,000 six June 30, 2017 2016, |
Note 9 - Fair Value Measurement
Note 9 - Fair Value Measurements | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | Note 9 – Fair Value Measurements The accounting standard for fair value measurements provides a framework for measuring fair value and requires expanded disclosures regarding fair value measurements. Fair value is defined as the price that would be received for an asset or the exit price that would be paid to transfer a liability in the principal or most advantageous market in an orderly transaction between market participants on the measurement date. This accounting standard establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs, where available. The following summarizes the three may Level 1 – The valuation is based on quoted prices in active markets for identical instruments. Level 2 – The valuation is based on observable inputs such as quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not Level 3 – The valuation is based on unobservable inputs that are supported by minimal or no 3 A financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. Valuation of Marketable Securities The Company determines fair value for marketable securities with Level 1 2 2 third We validated the prices provided by our broker by reviewing their pricing methods, obtaining market values from other pricing sources, analyzing pricing data in certain instances and confirming that the relevant markets are active. After completing our validation procedures, we did not June 30, 2017. not 1 2 six June 30, 2017. Other The carrying amounts of cash and cash equivalents, restricted cash and cash equivalents, accounts receivable, and accounts payable approximate fair value due to their short–term nature. The estimated fair value of notes receivable approximates the carrying value based principally on their underlying interest rates and terms, maturities, collateral and credit status of the receivables. Our long–term debt approximates fair value due to variable interest rates, but fair value is also determined using Level 2 June 30, 2017, no The following table summarizes fair value measurements by level at June 30, 2017 December 31, 2016 (in thousands) Fair Value Measurements Using June 30, 2017 Fair Value Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 60,848 $ 60,848 $ – $ – Restricted cash and cash equivalents 5,748 5,748 – – Marketable equity securities 148,137 148,137 – – Corporate debt securities 68,496 47,900 20,596 – M ortgage–backed securities 50,905 – 50,905 – U.S. Treasury securities 20,533 20,533 – – State and municipal securities 24,020 – 24,020 – Total financial assets $ 378,687 $ 283,166 $ 95,521 $ – Fair Value Measurements Using December 31, 2016 Fair Value Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 26,335 $ 26,335 $ – $ – Restricted cash and cash equivalents 5,254 5,254 – – Marketable equity securities 138,013 138,013 – – Corporate debt securities 71,100 42,323 28,777 – M ortgage-backed securities 56,168 – 56,168 – U.S. Treasury securities 25,181 25,181 – – State and municipal securities 31,255 – 31,255 – Total financial assets $ 353,306 $ 237,106 $ 116,200 $ – |
Note 10 - Long-term Debt
Note 10 - Long-term Debt | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | Note 10 – Long – Term Debt Long–term debt consists of the following: Weighted Average Interest Rate Maturities June 30, 2017 December 31, 2016 Variable (dollars in thousands) Revolving Credit Facility, interest payable monthly 2.6% 2020 $ 110,000 $ 110,000 Unsecured term note payable to National, interest payable quarterly, principal payable at maturity 3.6% 2018 10,000 10,000 120,000 120,000 Less current portion – – $ 120,000 $ 120,000 The $10 January 1, 2018. not $175 available to provide financing. $175,000,000 In October 2015, $175 five October 2020). 1.40% 0.40%. 1%, 1.00%. The Credit Agreement contains customary representations and financial covenants, including covenants that restrict, among other things, asset dispositions, mergers and acquisitions, dividends, restricted payments, debt, liens, investments and affiliate transactions. The Credit Agreement contains customary events of default. |
Note 11 - Stock Repurchase Prog
Note 11 - Stock Repurchase Program | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Treasury Stock [Text Block] | Note 1 1 - Stock Repurchase Program In August 2016, $25 September 1, 2016 August 31, 2017. No |
Note 12 - Stock-based Compensat
Note 12 - Stock-based Compensation | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Note 1 2 – S tock – Based Compensation NHC recognizes stock–based compensation expense for all stock options and restricted stock granted over the requisite service period using the fair value for these grants as estimated at the date of grant either using the Black–Scholes pricing model for stock options or the quoted market price for restricted stock. The Compensation Committee of the Board of Directors (“the Committee”) has the authority to select the participants to be granted options; to designate whether the option granted is an incentive stock option (“ISO”), a non–qualified option, or a stock appreciation right; to establish the number of shares of common stock that may may not may not ten not In May 2015, 2010 2010 1,200,000 2,575,000 six June 30, 2017 1,062,500 52,500 9,689 June 30, 2017, 568,744 2010 Compensation expense is recognized only for the awards that ultimately vest. Stock–based compensation totaled $740,000 $208,000 three June 30, 2017 2016, $832,000 $494,000 six June 30, 2017 2016, At June 30, 2017, $7,951,000 five Stock Options The following table summarizes the significant assumptions used to value the options granted for the six June 30, 2017 December 31, 2016. 201 7 201 6 Risk –free interest rate 2.08 % 0.89 % Expected volatility 16.6 % 15.8 % Expected life, in years 4.8 2.2 Expected dividend yield 3.10 % 3.09 % The following table summarizes our outstanding stock options for the six June 30, 2017 December 31, 2016. Number of Shares Weighted Average Exercise Price Aggregate Intrinsic Value Options outstanding at January 1, 201 6 621,390 $ 48.15 $ – Options granted 56,291 62.54 – Options exercised (499,066 ) 47.16 – Options cancelled (656 ) 46.69 – Options outstanding at December 31, 2016 177,959 55.48 – Options granted 1,124,689 72.96 – Options exercised (31,992 ) 46.54 – Options cancelled – – – Options outstanding at June 30, 2017 1,270,656 $ 71.18 $ 1,854,000 Options exercisable at June 30, 2017 198,467 $ 61.54 $ 1,854,000 Options Outstanding June 30, 2017 Exercise Prices Weighted Average Exercise Price Weighted Average Remaining Contractual Life in Years 60,000 $47.45 - $52.93 $ 50.88 1.5 1,210,656 $61.25 - $75.45 72.18 4.5 1,270,656 $ 71.18 4.4 |
Note 13 - Income Taxes
Note 13 - Income Taxes | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | Note 13 – Income Taxes The income tax provision for the three June 30, 2017 $6,758,000 39.0% three June 30, 2017 $146,200 $84,000, $123,000 three June 30, 2016 $7,700,000 39.4% three June 30, 2016 $190,000 $143,000 The income tax provision for the six June 30, 2017 $14,757,000 38.9% six June 30, 2017 $321,000 $133,400 $244,000 six June 30, 2016 $16,398,000 39.1% six June 30, 2016 $365,000 $229,000 Interest and penalties expense related to U.S. federal and state income tax returns are included within income tax expense. The Company is no 2013 |
Note 14 - Contingencies and Com
Note 14 - Contingencies and Commitments | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | Note 1 4 – Contingencies and Commitments Accrued Risk Reserves We are self– insured for risks related to health insurance and have wholly–owned limited purpose insurance companies that insure risks related to workers’ compensation and general and professional liability insurance claims both for our owned or leased entities and certain of the entities to which we provide management or accounting services. The liability we have recognized for reported claims and estimates for incurred but unreported claims totals $94,541,000 $91,162,000 June 30, 2017 December 31, 2016, As a result of the terms of our insurance policies and our use of wholly–owned limited purpose insurance companies, we have retained significant insurance risk with respect to workers’ compensation and general and professional liability. We consider the professional services of independent actuaries to assist us in estimating our exposures for claims obligations (for both asserted and unasserted claims) related to deductibles and exposures in excess of coverage limits, and we maintain reserves for these obligations. Such estimates are based on many variables including historical and statistical information and other factors. Workers ’ Compensation For workers’ compensation, we utilize a wholly–owned Tennessee domiciled property/casualty insurance company to write coverage for NHC affiliates and for third–party customers. Policies are written for a duration of twelve $1,000,000 General and Professional Liability Lawsuits and Insurance The senior care industry has experienced increases in both the number of personal injury/wrongful death claims and in the severity of awards based upon alleged negligence by nursing facilities and their employees in providing care to residents. As of June 30, 2017, 61 Insurance coverage for both periods includes both primary policies and excess policies. The primary coverage is in the amount of $1.0 $3.0 2016 2017, $9.0 third Civil Investigative Demand On December 19, 2013, On October 7, 2014, The Company is cooperating fully with these requests. We are unable to evaluate the outcome of this investigation at this time. It is possible that this investigation could lead to a claim that could have a material adverse effect on our consolidated financial position, results of operations and cash flows. Caris HealthCare, L.P. Investigation On December 9, 2014, qui tam 75.1% A qui tam May 22, 2014, United States of America, State of Tennessee, and State of Virginia ex rel. Barbara Hinkle v. Caris Healthcare, L.P. No. 3:14–cv–212 On June 16, 2016, qui tam June 20, 2016, October 11, 2016, June 2013 December 2013 April 2010 June 2013. qui tam May 30, 2017, March 2019. Caris denies the allegations in the United States' complaint and intends to defend itself vigorously. Given the early stage of this action, we are unable to assess the probable outcome or potential liability, if any, arising from this action. It is possible that this claim could have a material adverse effect on our consolidated financial position, results of operations and cash flows. Financing Commitments In conjunction with our management contract with National, we have entered into a line of credit arrangement whereby we may $2,000,000. June 30, 2017, not Governmental Regulations Laws and regulations governing the Medicare, Medicaid and other federal healthcare programs are complex and subject to interpretation. Management believes that it is in compliance with all applicable laws and regulations in all material respects. However, compliance with such laws and regulations can be subject to future government review and interpretation as well as significant regulatory action including fines, penalties, and exclusions from the Medicare, Medicaid and other federal healthcare programs. |
Note 15 - Common Stock Authoriz
Note 15 - Common Stock Authorized | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | Note 15 – Common Stock Authorized On May 9, 2017, 15,000,000 30,000,000 45,000,000 $0.01. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation The unaudited interim condensed consolidated financial statements to which these notes are attached include all normal, recurring adjustments which are necessary to fairly present the financial position, results of operations and cash flows of NHC. All significant intercompany transactions and balances have been eliminated in consolidation. The consolidated financial statements include the accounts of all entities controlled by NHC. The Company presents noncontrolling interest within the equity section of its consolidated balance sheets. The Company presents the amount of consolidated net income (loss) that is attributable to NHC and the noncontrolling interest in its consolidated statements of income and comprehensive income. We assume that users of these interim financial statements have read or have access to the audited December 31, 2016 may not may |
Use of Estimates, Policy [Policy Text Block] | Estimates and Assumptions The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates and could cause our reported net income to vary significantly from period to period. |
Change in Accounting Principle, Policy [Policy Text Block] | Change in Accounting Principle Effective December 31, 2016, No. 2016–18, Statement of Cash Flows (Topic 230 As described in the guidance for accounting changes under ASC Topic 250, six June 30, 2016 December 31, 2016: Consolidated Statement of Cash Flows ( in thousands Six Months Ended June 30, 2016 As Previously Reported Effect of Accounting Change As Adjusted Cash Flows from Operating Activities: Restricted cash and cash equivalents $ (10,342 ) $ 10,342 $ – Net cash provided by operating activities 36,086 10,342 46,428 Cash Flows from Investing Activities: Change in restricted cash and cash equivalents 4,748 (4,748 ) – Net cash used in investing activities (32,154 ) (4,748 ) (36,902 ) Net (Decrease) Increase in Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents (665 ) 5,594 4,929 Cash, Cash Equivalents, Restricted Cash, and Restricted Cash, Equivalents, Beginning of Period 38,208 11,106 49,314 Cash, Cash Equivalents, Restricted Cash, and Restricted Cash, Equivalents, End of Period $ 37,543 $ 16,700 $ 54,243 |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Adopted Accounting Guidance In November 2016, No. 2016–18, 230 December 15, 2017, December 31, 2016, Change in Accounting Principle No. 2016–18. In March 2016, 2016 09, Compensation – Stock Compensation (Topic 718 2016 09 2016 09 December 15, 2016, January 1, 2017, 2016 09. $123,000 $244,000 three six June 30, 2017, Recent Accounting Guidance Not In February 2016, 2016 02, 842 December 15, 2018, In January 2016, No. 2016 01, (Topic 825 No. 2016 01 No. 2016 01 No. 2016 01 December 15, 2017, No. 2016 01 may No. 2016 01. In May 2014, No. 2014–09 five 1. 2. 3. 4. 5. For a public entity, this update is effective for annual reporting periods beginning after December 15, 2017, As we progress with our implementation efforts to adopt the New Revenue Standard, management continues to evaluate and refine its estimates of the anticipated impacts it will have on our revenue recognition policies, procedures, financial position, results of operations, cash flows, financial disclosures and control framework. Specifically, the Company is continuing to evaluate its population of revenue sources to determine the potential effects the New Revenue Standard will have on the amount or timing of certain industry-specific healthcare revenue sources, which, at this time, includes revenue recorded from our CCRC, settlements with third |
Contractual Adjustments and Third Party Settlements, Policy [Policy Text Block] | Revenue Recognition – Third Party Payors Approximately 65% may no $17,950,000 $17,019,000 June 30, 2017 December 31, 2016, |
Revenue Recognition for Alternative Revenue Programs, Policy [Policy Text Block] | Revenue Recognition – Private P ay For private pay patients in skilled nursing or assisted living facilities, we bill room and board in advance with payment being due in the month the services are performed. Charges for ancillary, pharmacy, therapy and other services to private patients are billed in the month following the performance of services; however, all billings are recognized as revenue when the services are performed. |
Premiums Receivable, Allowance for Doubtful Accounts, Estimation Methodology, Policy [Policy Text Block] | Revenue Recognition – Subordination of Fees and Uncert ain Collections We provide management services to certain senior care facilities and to others we provide accounting and financial services. We generally charge 6% 7% third not may no We agree to subordinate our fees to the other expenses of a managed center because we believe we know how to improve the quality of patient services and finances of a senior healthcare center. We believe subordinating our fees demonstrates to the owner and employees of the managed center how confident we are of the impact we can have in making the center operations successful. We may not may may may |
Segment Reporting, Policy [Policy Text Block] | Segment Reporting In accordance with the provisions of ASC 280, first 2017 he Company now has two 1 2 5 |
Other Operating Expenses Policy [Policy Text Block] | Other Operating Expenses Other operating expenses include the costs of care and services that we provide to the residents of our facilities and the costs of maintaining our facilities. Our primary patient care costs include drugs, medical supplies, purchased professional services, food, and professional liability insurance and licensing fees. The primary facility costs include utilities and property insurance. |
Selling, General and Administrative Expenses, Policy [Policy Text Block] | General and Administrative Costs With the Company being a healthcare provider, the majority of our expenses are "cost of revenue" items. Costs that could be classified as "general and administrative" by the Company would include its corporate office costs, excluding stock-based compensation, which were $15,262,000 $14,364,000 six June 30, 2017 2016, |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment Property and equipment are recorded at cost. Depreciation is provided by the straight-line method over the expected useful lives of the assets estimated as follows: buildings and improvements, 20 40 3 15 not Capital leases are recorded at the lower of fair market value or the present value of future minimum lease payments. Capital leases are amortized in accordance with the provision codified within Accounting Standards Codification (“ASC”) Subtopic 840 30, Leases – Capital Leases |
Liability Reserve Estimate, Policy [Policy Text Block] | Accrued Risk Reserves We are self– insured for risks related to health insurance and have wholly–owned limited purpose insurance companies that insure risks related to workers’ compensation and general and professional liability insurance claims. The accrued risk reserves include a liability for reported claims and estimates for incurred but unreported claims. Our policy is to engage an external, independent actuary to assist in estimating our exposure for claims obligations (for both asserted and unasserted claims). We reassess our accrued risk reserves on a quarterly basis. Professional liability remains an area of particular concern to us. The long-term care industry has seen an increase in personal injury/wrongful death claims based on alleged negligence by skilled nursing facilities and their employees in providing care to residents. As of June 30, 2017, 61 2005 June 30, 2017. We are principally self-insured for incidents occurring in all centers owned or leased by us. The coverages include both primary policies and excess policies. In all years, settlements, if any, in excess of available insurance policy limits and our own reserves would be expensed by us. |
Continuing Care Retirement Communities, Advance Fees, Policy [Policy Text Block] | Continuing Care Contracts and Refundable Entrance Fee We have one Residents at this retirement center may 10% 90% 40% June 30, 2017 December 31, 2016 $9,167,000 $9,924,000, Obligation to Provide Future Services W e annually estimate the present value of the cost of future services and the use of facilities to be provided to the current CCRC residents and compare that amount with the balance of non-refundable deferred revenue from entrance fees received. If the present value of the cost of future services exceeds the related anticipated revenues, a liability is recorded (obligation to provide future services) with a corresponding charge to income. As of June 30, 2017, December 31, 2016, $3,236,000 |
Other Noncurrent Liabilities [Policy Text Block] | Other Noncurrent Liabilities Other noncurrent liabilities include reserves primarily related to various uncertain income tax positions. |
Revenue Recognition, Deferred Revenue [Policy Text Block] | D eferred Revenue Deferred revenue includes the deferred gain on the sale of assets to National Health Corporation (“National”), the non-refundable portion ( 10% not |
Noncontrolling Interest, Policy [Policy Text Block] | Noncontrolling Interest The noncontrolling interest in a subsidiary is presented within total equity in the Company's interim condensed consolidated balance sheets. The Company presents the noncontrolling interest and the amount of consolidated net income attributable to NHC in its interim condensed consolidated statements of income and comprehensive income and net income per share is calculated based on net income attributable to NHC’s stockholders. The carrying amount of the noncontrolling interest is adjusted based on an allocation of subsidiary earnings based on ownership interest. |
Consolidation, Variable Interest Entity, Policy [Policy Text Block] | Variable Interest Entities We have equity interests in unconsolidated limited liability companies that operate various post-acute and senior healthcare businesses. We analyze our investments in these limited liability companies to determine if the company is considered a VIE and would require consolidation. To the extent that we own interests in a VIE and we (i) are the sole entity that has the power to direct the activities of the VIE and (ii) have the obligation or rights to absorb the VIE's losses or receive its benefits, then we would be determined to be the primary beneficiary and would consolidate the VIE. To the extent we own interests in a VIE, then at each reporting period, we re-assess our conclusions as to which, if any, party within the VIE is considered the primary beneficiary. The Company's maximum exposure to losses in its investments in unconsolidated VIEs cannot be quantified and may may not |
Note 2 - Summary of Significa25
Note 2 - Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
New Accounting Pronouncement, Early Adoption [Table Text Block] | Six Months Ended June 30, 2016 As Previously Reported Effect of Accounting Change As Adjusted Cash Flows from Operating Activities: Restricted cash and cash equivalents $ (10,342 ) $ 10,342 $ – Net cash provided by operating activities 36,086 10,342 46,428 Cash Flows from Investing Activities: Change in restricted cash and cash equivalents 4,748 (4,748 ) – Net cash used in investing activities (32,154 ) (4,748 ) (36,902 ) Net (Decrease) Increase in Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents (665 ) 5,594 4,929 Cash, Cash Equivalents, Restricted Cash, and Restricted Cash, Equivalents, Beginning of Period 38,208 11,106 49,314 Cash, Cash Equivalents, Restricted Cash, and Restricted Cash, Equivalents, End of Period $ 37,543 $ 16,700 $ 54,243 |
Note 3 - Other Revenues (Tables
Note 3 - Other Revenues (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Other Revenues [Table Text Block] | Three Months Ended June 30 Six Months Ended June 30 (in thousands) 2017 2016 2017 2016 Rental Income $ 5,515 $ 5,435 $ 11,001 $ 11,005 Management and accounting services fees 3,752 3,506 7,611 7,255 Insurance services 2,087 1,815 3,644 3,739 Other 256 525 638 764 $ 11,610 $ 11,281 22,894 22,763 |
Note 4 - Non-operating Income (
Note 4 - Non-operating Income (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Other Nonoperating Income, by Component [Table Text Block] | Three Months Ended June 30 Six Months Ended June 30 (in thousands) 2017 2016 2017 2016 Equity in earnings of unconsolidated investments $ 1,854 $ 1,615 $ 3,380 $ 3,120 Dividends and other net realized gains and losses on sales of securities 1,899 1,901 3,623 3,762 Interest income 1,436 1,409 2,954 2,816 $ 5,189 $ 4,925 $ 9,957 $ 9,698 |
Note 5 - Business Segments (Tab
Note 5 - Business Segments (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Three Months Ended June 30, 2017 Inpatient Services Homecare All Other Total Revenues: Net patient revenues $ 211,888 $ 15,959 $ - $ 227,847 Other revenues 225 - 11,385 11,610 Net operating revenues 212,113 15,959 11,385 239,457 Costs and Expenses: Salaries, wages and benefits 124,287 8,615 9,782 142,684 Other operating 55,989 5,058 1,809 62,856 Rent 8,257 499 1,323 10,079 Depreciation and amortization 9,396 39 1,046 10,481 Interest 436 - 783 1,219 Total costs and expenses 198,365 14,211 14,743 227,319 Income (Loss) Before Non-Operating Income 13,748 1,748 (3,358 ) 12,138 Non-Operating Income - - 5,189 5,189 Income Before Income Taxes $ 13,748 $ 1,748 $ 1,831 $ 17,327 Three Months Ended June 30, 2016 Inpatient Services Homecare All Other Total Revenues: Net patient revenues $ 200,617 $ 15,870 $ - $ 216,487 Other revenues 198 - 11,083 11,281 Net operating revenues 200,815 15,870 11,083 227,768 Costs and Expenses: Salaries, wages and benefits 117,106 8,216 9,746 135,068 Other operating 50,472 5,092 1,742 57,306 Rent 8,449 481 1,389 10,319 Depreciation and amortization 8,359 46 1,090 9,495 Interest 487 - 452 939 Total costs and expenses 184,873 13,835 14,419 213,127 Income (Loss) Before Non-Operating Income 15,942 2,035 (3,336 ) 14,641 Non-Operating Income - - 4,925 4,925 Income Before Income Taxes $ 15,942 $ 2,035 $ 1,589 $ 19,566 Six Months Ended June 30, 2017 Inpatient Services Homecare All Other Total Revenues: Net patient revenues $ 424,190 $ 31,616 $ - $ 455,806 Other revenues 451 - 22,443 22,894 Net operating revenues 424,641 31,616 22,443 478,700 Costs and Expenses: Salaries, wages and benefits 242,535 16,442 21,762 280,739 Other operating 112,859 10,193 3,687 126,739 Rent 16,424 987 2,756 20,167 Depreciation and amortization 18,605 80 2,091 20,776 Interest 886 - 1,391 2,277 Total costs and expenses 391,309 27,702 31,687 450,698 Income (Loss) Before Non-Operating Income 33,332 3,914 (9,244 ) 28,002 Non-Operating Income - - 9,957 9,957 Income Before Income Taxes $ 33,332 $ 3,914 $ 713 $ 37,959 Six Months Ended June 30, 2016 Inpatient Services Homecare All Other Total Revenues: Net patient revenues $ 402,700 $ 31,893 $ - $ 434,593 Other revenues 367 - 22,396 22,763 Net operating revenues 403,067 31,893 22,396 457,356 Costs and Expenses: Salaries, wages and benefits 227,670 16,197 21,221 265,088 Other operating 104,351 10,386 3,878 118,615 Rent 16,809 968 2,869 20,646 Depreciation and amortization 16,573 92 2,184 18,849 Interest 985 - 908 1,893 Total costs and expenses 366,388 27,643 31,060 425,091 Income (Loss) Before Non-Operating Income 36,679 4,250 (8,664 ) 32,265 Non-Operating Income - - 9,698 9,698 Income Before Income Taxes $ 36,679 $ 4,250 1,034 $ 41,963 |
Note 6 - Long-term Leases (Tabl
Note 6 - Long-term Leases (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Capital Leased Assets [Table Text Block] | June 30, 2017 December 31, 2016 (in thousands) Buildings and personal property $ 39,032 $ 39,032 Accumulated amortization (13,083 ) (11,120 ) $ 25,949 $ 27,912 |
Schedule of Future Minimum Lease Payments for Capital Leases [Table Text Block] | Operating Leases Capital Leases (in thousands) 201 8 $ 34,200 $ 5,200 201 9 34,200 5,200 20 20 34,200 5,200 20 21 34,200 5,200 20 22 34,200 5,200 Thereafter 159,650 8,667 Total minimum lease payments $ 330,650 $ 34,667 Less: Amounts representing interest (6,153 ) Present value of minimum lease payments 28,514 Less: Current portion (3,587 ) Long-term capital lease obligations $ 24,927 |
Note 7 - Earnings Per Share (Ta
Note 7 - Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended June 30 Six Months Ended June 30 2017 2016 2017 2016 Basic: Weighted average common shares outstanding 15,189,818 15,266,559 15,181,700 15,091,732 Net income attributable to National Health Care Corporation $ 10,655 $ 11,866 $ 23,383 $ 25,565 Earnings per common share, basic $ 0.70 $ 0.78 $ 1.54 $ 1.69 Diluted: Weighted average common shares outstanding 15,189,818 15,266,559 15,181,700 15,091,732 Dilutive effect of stock options 30,630 22,545 34,636 23,406 Dilutive effect of contingent issuable stock - - - 97,137 Weighted a verage common shares outstanding 15,220,448 15,289,104 15,216,336 15,212,275 Net income attributable to National Health Care Corporation $ 10,655 $ 11,866 $ 23,383 $ 25,565 Earnings per common share, diluted $ 0.70 $ 0.78 $ 1.54 $ 1.68 |
Note 8 - Investments in Marke31
Note 8 - Investments in Marketable Securities (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Available-for-sale Securities [Table Text Block] | June 30, 2017 December 31, 2016 (in thousands) Amortized Cost Fair Value Amortized Cost Fair Value Investments a vailable for sale: Marketable equity securities $ 30,176 $ 148,137 $ 30,176 $ 138,013 Restricted investments available for sale: Corporate debt securities 67,997 68,496 71,311 71,100 Commercial mortgage –backed securities 51,188 50,905 56,889 56,168 U.S. Treasury securities 20,899 20,533 25,748 25,181 State and municipal securities 24,141 24,020 32,020 31,255 $ 194,401 $ 312,091 $ 216,144 $ 321,717 |
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | June 30, 2017 December 31, 2016 Shares Cost Fair Value Shares Cost Fair Value NHI Common Stock 1,630,642 $ 24,734 $ 129,147 1,630,642 $ 24,734 $ 120,945 |
Investments Classified by Contractual Maturity Date [Table Text Block] | June 30, 2017 December 31, 2016 (in thousands) Cost Fair Value Cost Fair Value Maturities: Within 1 year $ 14,628 $ 14,628 $ 14,181 $ 14,216 1 to 5 years 66,519 66,747 79,827 79,502 6 to 10 years 81,923 81,424 91,211 89,269 Over 10 years 1,155 1,155 749 717 $ 164,225 $ 163,954 $ 185,968 $ 183,704 |
Note 9 - Fair Value Measureme32
Note 9 - Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Fair Value Measurements Using June 30, 2017 Fair Value Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 60,848 $ 60,848 $ – $ – Restricted cash and cash equivalents 5,748 5,748 – – Marketable equity securities 148,137 148,137 – – Corporate debt securities 68,496 47,900 20,596 – M ortgage–backed securities 50,905 – 50,905 – U.S. Treasury securities 20,533 20,533 – – State and municipal securities 24,020 – 24,020 – Total financial assets $ 378,687 $ 283,166 $ 95,521 $ – Fair Value Measurements Using December 31, 2016 Fair Value Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 26,335 $ 26,335 $ – $ – Restricted cash and cash equivalents 5,254 5,254 – – Marketable equity securities 138,013 138,013 – – Corporate debt securities 71,100 42,323 28,777 – M ortgage-backed securities 56,168 – 56,168 – U.S. Treasury securities 25,181 25,181 – – State and municipal securities 31,255 – 31,255 – Total financial assets $ 353,306 $ 237,106 $ 116,200 $ – |
Note 10 - Long-term Debt (Table
Note 10 - Long-term Debt (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Debt [Table Text Block] | Weighted Average Interest Rate Maturities June 30, 2017 December 31, 2016 Variable (dollars in thousands) Revolving Credit Facility, interest payable monthly 2.6% 2020 $ 110,000 $ 110,000 Unsecured term note payable to National, interest payable quarterly, principal payable at maturity 3.6% 2018 10,000 10,000 120,000 120,000 Less current portion – – $ 120,000 $ 120,000 |
Note 12 - Stock-based Compens34
Note 12 - Stock-based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | 201 7 201 6 Risk –free interest rate 2.08 % 0.89 % Expected volatility 16.6 % 15.8 % Expected life, in years 4.8 2.2 Expected dividend yield 3.10 % 3.09 % |
Share-based Compensation, Stock Options, Activity [Table Text Block] | Number of Shares Weighted Average Exercise Price Aggregate Intrinsic Value Options outstanding at January 1, 201 6 621,390 $ 48.15 $ – Options granted 56,291 62.54 – Options exercised (499,066 ) 47.16 – Options cancelled (656 ) 46.69 – Options outstanding at December 31, 2016 177,959 55.48 – Options granted 1,124,689 72.96 – Options exercised (31,992 ) 46.54 – Options cancelled – – – Options outstanding at June 30, 2017 1,270,656 $ 71.18 $ 1,854,000 Options exercisable at June 30, 2017 198,467 $ 61.54 $ 1,854,000 |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | Options Outstanding June 30, 2017 Exercise Prices Weighted Average Exercise Price Weighted Average Remaining Contractual Life in Years 60,000 $47.45 - $52.93 $ 50.88 1.5 1,210,656 $61.25 - $75.45 72.18 4.5 1,270,656 $ 71.18 4.4 |
Note 1 - Description of Busin35
Note 1 - Description of Business (Details Textual) | Jun. 30, 2017 |
Number of Skilled Nursing Centers | 76 |
Number of Beds | 9,597 |
Number of Assisted Living Facilities | 25 |
Number of Independent Living Facilities | 5 |
Number of Homecare Programs | 36 |
Number of States in which Entity Operates | 10 |
Note 2 - Summary of Significa36
Note 2 - Summary of Significant Accounting Policies (Details Textual) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Dec. 31, 2016USD ($) | |
Income Tax Expense (Benefit) | $ 6,758,000 | $ 7,700,000 | $ 14,757,000 | $ 16,398,000 | |
Number of Reportable Segments | 2 | ||||
Number of Operating Segments | 2 | ||||
Continuing Care Retirement Communities Advance Fees, Obligation for Future Services, Amount | $ 3,236,000 | $ 3,236,000 | $ 3,236,000 | ||
Malpractice Loss Contingency, Number of Claims | 61 | 61 | |||
Appreciation [Member] | |||||
Malpractice Loss Contingency, Number of Claims | 61 | 61 | |||
Appreciation of Apartment Over Original Residents Entry Fee Percentage | 40.00% | ||||
Refundable Advance Fees [Member] | |||||
Customer Refundable Fees | $ 9,167,000 | $ 9,167,000 | 9,924,000 | ||
Nonrefundable Resident Entry Fee Percentage | 10.00% | ||||
Original Entry Fee [Member] | |||||
Refundable Resident Entry Fee Percentage | 90.00% | ||||
Corporate Office Costs [Member] | |||||
General and Administrative Expense | $ 15,262,000 | $ 14,364,000 | |||
Minimum [Member] | |||||
Management Services Fees | 6.00% | ||||
Minimum [Member] | Building and Building Improvements [Member] | |||||
Property, Plant and Equipment, Useful Life | 20 years | ||||
Minimum [Member] | Equipment and Furniture [Member] | |||||
Property, Plant and Equipment, Useful Life | 3 years | ||||
Maximum [Member] | |||||
Management Services Fees | 7.00% | ||||
Maximum [Member] | Building and Building Improvements [Member] | |||||
Property, Plant and Equipment, Useful Life | 40 years | ||||
Maximum [Member] | Equipment and Furniture [Member] | |||||
Property, Plant and Equipment, Useful Life | 15 years | ||||
Medicare and Medicaid [Member] | |||||
Allowance for Doubtful Accounts Receivable | 17,950,000 | $ 17,950,000 | $ 17,019,000 | ||
Percent of Revenues Derived from Medicare, Medicaid and Other Government Programs [Member] | |||||
Concentration Risk, Percentage | 65.00% | ||||
Accounting Standards Update 2016-09 [Member] | |||||
Income Tax Expense (Benefit) | $ (123,000) | $ (244,000) |
Note 2 - Summary of Significa37
Note 2 - Summary of Significant Accounting Policies - Effect of the Accounting Change on the Statements of Cash Flows (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Net cash provided by operating activities | $ 40,305 | $ 46,428 |
Net cash used in investing activities | 8,775 | (36,902) |
Net (Decrease) Increase in Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | 35,007 | 4,929 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Beginning of Period | 31,589 | 49,314 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, End of Period | $ 66,596 | 54,243 |
New Accounting Pronouncement, Early Adoption, Effect [Member] | ||
Restricted cash and cash equivalents | ||
Net cash provided by operating activities | 46,428 | |
Change in restricted cash and cash equivalents | ||
Net cash used in investing activities | (36,902) | |
Net (Decrease) Increase in Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | 4,929 | |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Beginning of Period | 49,314 | |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, End of Period | 54,243 | |
New Accounting Pronouncement, Early Adoption, Effect [Member] | Scenario, Previously Reported [Member] | ||
Restricted cash and cash equivalents | (10,342) | |
Net cash provided by operating activities | 36,086 | |
Change in restricted cash and cash equivalents | 4,748 | |
Net cash used in investing activities | (32,154) | |
Net (Decrease) Increase in Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | (665) | |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Beginning of Period | 38,208 | |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, End of Period | 37,543 | |
New Accounting Pronouncement, Early Adoption, Effect [Member] | Restatement Adjustment [Member] | ||
Restricted cash and cash equivalents | 10,342 | |
Net cash provided by operating activities | 10,342 | |
Change in restricted cash and cash equivalents | (4,748) | |
Net cash used in investing activities | (4,748) | |
Net (Decrease) Increase in Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | 5,594 | |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Beginning of Period | 11,106 | |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, End of Period | $ 16,700 |
Note 3 - Other Revenues (Detail
Note 3 - Other Revenues (Details Textual) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | |
Number of Skilled Nursing Centers | 76 | 76 | ||
Workers Compensation Premium Revenue [Member] | ||||
Health Care Organization, Premium Revenue | $ 1,409,000 | $ 1,150,000 | $ 2,688,000 | $ 2,383,000 |
Professional Liability Insurance [Member] | ||||
Health Care Organization, Premium Revenue | $ 678,000 | 665,000 | $ 956,000 | 1,356,000 |
National [Member] | ||||
Number of Skilled Nursing Centers | 5 | 5 | ||
Management Fees Revenue | $ 989,000 | $ 926,000 | $ 1,925,000 | $ 1,895,000 |
Note 3 - Other Revenues - Summa
Note 3 - Other Revenues - Summary of Other Revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Other Revenues | $ 11,610 | $ 11,281 | $ 22,894 | $ 22,763 |
Other Income [Member] | ||||
Other Revenues | 256 | 525 | 638 | 764 |
Rental Income [Member] | ||||
Other Revenues | 5,515 | 5,435 | 11,001 | 11,005 |
Management and Accounting Services Fees [Member] | ||||
Other Revenues | 3,752 | 3,506 | 7,611 | 7,255 |
Insurance Services [Member] | ||||
Other Revenues | $ 2,087 | $ 1,815 | $ 3,644 | $ 3,739 |
Note 4 - Non-operating Income40
Note 4 - Non-operating Income (Details Textual) | Jun. 30, 2017 |
Caris [Member] | |
Equity Method Investment, Ownership Percentage | 75.10% |
Note 4 - Non-operating Income -
Note 4 - Non-operating Income - Schedule of Non-operating Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Equity in earnings of unconsolidated investments | $ 1,854 | $ 1,615 | $ 3,380 | $ 3,120 |
Dividends and other net realized gains and losses on sales of securities | 1,899 | 1,901 | 3,623 | 3,762 |
Interest income | 1,436 | 1,409 | 2,954 | 2,816 |
Other non-operating income | $ 5,189 | $ 4,925 | $ 9,957 | $ 9,698 |
Note 5 - Business Segments (Det
Note 5 - Business Segments (Details Textual) | 6 Months Ended |
Jun. 30, 2017 | |
Number of Operating Segments | 2 |
Note 5 - Business Segments - Su
Note 5 - Business Segments - Summary of Financial Information by Reporting Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Revenues: | ||||
Net patient revenues | $ 227,847 | $ 216,487 | $ 455,806 | $ 434,593 |
Other revenues | 11,610 | 11,281 | 22,894 | 22,763 |
Net operating revenues | 239,457 | 227,768 | 478,700 | 457,356 |
Cost and Expenses: | ||||
Salaries, wages and benefits | 142,684 | 135,068 | 280,739 | 265,088 |
Other operating | 62,856 | 57,306 | 126,739 | 118,615 |
Operating Leases, Rent Expense | 10,079 | 10,319 | 20,167 | 20,646 |
Depreciation and amortization | 10,481 | 9,495 | 20,776 | 18,849 |
Interest | 1,219 | 939 | 2,277 | 1,893 |
Total costs and expenses | 227,319 | 213,127 | 450,698 | 425,091 |
Income (Loss) Before Non-Operating Income | 12,138 | 14,641 | 28,002 | 32,265 |
Non–Operating Income | 5,189 | 4,925 | 9,957 | 9,698 |
Income Before Income Taxes | 17,327 | 19,566 | 37,959 | 41,963 |
Inpatient Services Segment [Member] | ||||
Revenues: | ||||
Net patient revenues | 211,888 | 200,617 | 424,190 | 402,700 |
Other revenues | 225 | 198 | 451 | 367 |
Net operating revenues | 212,113 | 200,815 | 424,641 | 403,067 |
Cost and Expenses: | ||||
Salaries, wages and benefits | 124,287 | 117,106 | 242,535 | 227,670 |
Other operating | 55,989 | 50,472 | 112,859 | 104,351 |
Operating Leases, Rent Expense | 8,257 | 8,449 | 16,424 | 16,809 |
Depreciation and amortization | 9,396 | 8,359 | 18,605 | 16,573 |
Interest | 436 | 487 | 886 | 985 |
Total costs and expenses | 198,365 | 184,873 | 391,309 | 366,388 |
Income (Loss) Before Non-Operating Income | 13,748 | 15,942 | 33,332 | 36,679 |
Non–Operating Income | ||||
Income Before Income Taxes | 13,748 | 15,942 | 33,332 | 36,679 |
Homecare Services Segment [Member] | ||||
Revenues: | ||||
Net patient revenues | 15,959 | 15,870 | 31,616 | 31,893 |
Other revenues | ||||
Net operating revenues | 15,959 | 15,870 | 31,616 | 31,893 |
Cost and Expenses: | ||||
Salaries, wages and benefits | 8,615 | 8,216 | 16,442 | 16,197 |
Other operating | 5,058 | 5,092 | 10,193 | 10,386 |
Operating Leases, Rent Expense | 499 | 481 | 987 | 968 |
Depreciation and amortization | 39 | 46 | 80 | 92 |
Interest | ||||
Total costs and expenses | 14,211 | 13,835 | 27,702 | 27,643 |
Income (Loss) Before Non-Operating Income | 1,748 | 2,035 | 3,914 | 4,250 |
Non–Operating Income | ||||
Income Before Income Taxes | 1,748 | 2,035 | 3,914 | 4,250 |
Other Segments [Member] | ||||
Revenues: | ||||
Net patient revenues | ||||
Other revenues | 11,385 | 11,083 | 22,443 | 22,396 |
Net operating revenues | 11,385 | 11,083 | 22,443 | 22,396 |
Cost and Expenses: | ||||
Salaries, wages and benefits | 9,782 | 9,746 | 21,762 | 21,221 |
Other operating | 1,809 | 1,742 | 3,687 | 3,878 |
Operating Leases, Rent Expense | 1,323 | 1,389 | 2,756 | 2,869 |
Depreciation and amortization | 1,046 | 1,090 | 2,091 | 2,184 |
Interest | 783 | 452 | 1,391 | 908 |
Total costs and expenses | 14,743 | 14,419 | 31,687 | 31,060 |
Income (Loss) Before Non-Operating Income | (3,358) | (3,336) | (9,244) | (8,664) |
Non–Operating Income | 5,189 | 4,925 | 9,957 | 9,698 |
Income Before Income Taxes | $ 1,831 | $ 1,589 | $ 713 | $ 1,034 |
Note 6 - Long-term Leases (Deta
Note 6 - Long-term Leases (Details Textual) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | |
Operating Leases, Rent Expense | $ 10,079,000 | $ 10,319,000 | $ 20,167,000 | $ 20,646,000 |
Two Leases with NHI [Member] | ||||
Number of Skilled Nursing Centers Leased from NHI | 35 | 35 | ||
Number of Assisted Living Centers Leased from NHI | 7 | 7 | ||
Number of Independent Living Centers Leased from NHI | 3 | 3 | ||
Number of Lease Agreements with NHI | 2 | 2 | ||
Operating Leases, Rent Expense, Minimum Rentals | $ 34,200,000 | |||
Operating Lease Additional Percentage Rent Percentage | 4.00% | |||
Operating Leases, Rent Expense | $ 9,314,000 | $ 9,480,000 | $ 18,628,000 | $ 18,960,000 |
Note 6 - Long-term Leases - Fix
Note 6 - Long-term Leases - Fixed Assets Recorded Under Capital Leases (Details) - Buildings and Personal Property [Member] - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Buildings and personal property | $ 39,032 | $ 39,032 |
Accumulated amortization | (13,083) | (11,120) |
Total capital leases | $ 25,949 | $ 27,912 |
Note 6 - Long-term Leases - Fut
Note 6 - Long-term Leases - Future Minimum Lease Payments (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
2018, operating leases | $ 34,200 | |
2018, capital leases | 5,200 | |
2019, operating leases | 34,200 | |
2019, capital leases | 5,200 | |
2020, operating leases | 34,200 | |
2020, capital leases | 5,200 | |
2021, operating leases | 34,200 | |
2021, capital leases | 5,200 | |
2022, operating leases | 34,200 | |
2022, capital leases | 5,200 | |
Thereafter, operating leases | 159,650 | |
Thereafter, capital leases | 8,667 | |
Total minimum lease payments, operating leases | 330,650 | |
Total minimum lease payments, capital leases | 34,667 | |
Less: Amounts representing interest, capital leases | (6,153) | |
Present value of minimum lease payments, capital leases | 28,514 | |
Less: Current portion, capital leases | (3,587) | $ (3,481) |
Long-term capital lease obligations, capital leases | $ 24,927 | $ 26,748 |
Note 7 - Earnings Per Share (De
Note 7 - Earnings Per Share (Details Textual) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Incentive Stock Option [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 1,124,689 | 12,120 | 1,124,689 | 12,120 |
Note 7 - Earnings Per Share - S
Note 7 - Earnings Per Share - Summary of Earnings and Weighted Average Number of Common Shares Used in Calculation of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Basic (in shares) | 15,189,818 | 15,266,559 | 15,181,700 | 15,091,732 |
Net income attributable to National HealthCare Corporation | $ 10,655 | $ 11,866 | $ 23,383 | $ 25,565 |
Earnings per common share, basic (in dollars per share) | $ 0.70 | $ 0.78 | $ 1.54 | $ 1.69 |
Dilutive effect of contingent issuable stock (in shares) | 97,137 | |||
Diluted (in shares) | 15,220,448 | 15,289,104 | 15,216,336 | 15,212,275 |
Net income attributable to National HealthCare Corporation | $ 10,655 | $ 11,866 | $ 23,383 | $ 25,565 |
Earnings per common share, diluted (in dollars per share) | $ 0.70 | $ 0.78 | $ 1.54 | $ 1.68 |
Employee Stock Option [Member] | ||||
Dilutive effect share-based awards (in shares) | 30,630 | 22,545 | 34,636 | 23,406 |
Note 8 - Investments in Marke49
Note 8 - Investments in Marketable Securities (Details Textual) - USD ($) | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | $ 119,086,000 | $ 108,730,000 | |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | 1,396,000 | 3,157,000 | |
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities | 0 | $ 0 | |
Proceeds from Sale and Maturity of Marketable Securities | 44,756,000 | $ 25,697,000 | |
Realized Investment Gains (Losses) | $ 238,000 | $ 540,000 |
Note 8 - Investments in Marke50
Note 8 - Investments in Marketable Securities - Marketable Securities and Restricted Marketable Securities (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Restricted investments available for sale, amortized cost | $ 164,225 | $ 185,968 |
Investments available for sale, amortized cost | 194,401 | 216,144 |
Available-for-sale securities | 312,091 | 321,717 |
Equity Securities [Member] | ||
Unrestricted investments available for sale, fair value | 148,137 | 138,013 |
Unrestricted investments available for sale, amortized cost | 30,176 | 30,176 |
Corporate Debt Securities [Member] | ||
Restricted investments available for sale, amortized cost | 67,997 | 71,311 |
Restricted investments available for sale, fair value | 68,496 | 71,100 |
Commercial Mortgage Backed Securities [Member] | ||
Restricted investments available for sale, amortized cost | 51,188 | 56,889 |
Restricted investments available for sale, fair value | 50,905 | 56,168 |
US Government Corporations and Agencies Securities [Member] | ||
Restricted investments available for sale, amortized cost | 20,899 | 25,748 |
Restricted investments available for sale, fair value | 20,533 | 25,181 |
US States and Political Subdivisions Debt Securities [Member] | ||
Restricted investments available for sale, amortized cost | 24,141 | 32,020 |
Restricted investments available for sale, fair value | $ 24,020 | $ 31,255 |
Note 8 - Investments in Marke51
Note 8 - Investments in Marketable Securities - Available for Sale Marketable Equity Securities (Details) - NHI Common Stock [Member] - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
NHI Common Stock, Shares (in shares) | 1,630,642 | 1,630,642 |
NHI Common Stock, Cost | $ 24,734 | $ 24,734 |
NHI Common Stock, Fair Value | $ 129,147 | $ 120,945 |
Note 8 - Investments in Marke52
Note 8 - Investments in Marketable Securities - Amortized Cost and Estimated Fair Value of Debt Securities as Available for Sale (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Within 1 year, cost | $ 14,628 | $ 14,181 |
Within 1 year, fair value | 14,628 | 14,216 |
1 to 5 years, cost | 66,519 | 79,827 |
1 to 5 years, fair value | 66,747 | 79,502 |
6 to 10 years, cost | 81,923 | 91,211 |
6 to 10 years, fair value | 81,424 | 89,269 |
Over 10 years, fair value | 1,155 | 717 |
Over 10 years, cost | 1,155 | 749 |
Cost | 164,225 | 185,968 |
Fair Value | $ 163,954 | $ 183,704 |
Note 9 - Fair Value Measureme53
Note 9 - Fair Value Measurements - Summary of Fair Value Measurements by Level (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | Jun. 30, 2016 |
Restricted cash and cash equivalents | $ 5,748 | $ 16,700 | |
Available-for-sale securities | 312,091 | $ 321,717 | |
Fair Value, Measurements, Recurring [Member] | |||
Total financial assets | 378,687 | 353,306 | |
Cash and cash equivalents | 60,848 | 26,335 | |
Restricted cash and cash equivalents | 5,748 | 5,254 | |
Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | |||
Available-for-sale securities | 148,137 | 138,013 | |
Fair Value, Measurements, Recurring [Member] | Corporate Debt Securities [Member] | |||
Available-for-sale securities | 68,496 | 71,100 | |
Fair Value, Measurements, Recurring [Member] | Commercial Mortgage Backed Securities [Member] | |||
Available-for-sale securities | 50,905 | 56,168 | |
Fair Value, Measurements, Recurring [Member] | US Treasury Securities [Member] | |||
Available-for-sale securities | 20,533 | 25,181 | |
Fair Value, Measurements, Recurring [Member] | US States and Political Subdivisions Debt Securities [Member] | |||
Available-for-sale securities | 24,020 | 31,255 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Total financial assets | 283,166 | 237,106 | |
Cash and cash equivalents | 60,848 | 26,335 | |
Restricted cash and cash equivalents | 5,748 | 5,254 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | |||
Available-for-sale securities | 148,137 | 138,013 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Corporate Debt Securities [Member] | |||
Available-for-sale securities | 47,900 | 42,323 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Commercial Mortgage Backed Securities [Member] | |||
Available-for-sale securities | |||
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | US Treasury Securities [Member] | |||
Available-for-sale securities | 20,533 | 25,181 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | US States and Political Subdivisions Debt Securities [Member] | |||
Available-for-sale securities | |||
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Total financial assets | 95,521 | 116,200 | |
Cash and cash equivalents | |||
Restricted cash and cash equivalents | |||
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Equity Securities [Member] | |||
Available-for-sale securities | |||
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Corporate Debt Securities [Member] | |||
Available-for-sale securities | 20,596 | 28,777 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Commercial Mortgage Backed Securities [Member] | |||
Available-for-sale securities | 50,905 | 56,168 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | US Treasury Securities [Member] | |||
Available-for-sale securities | |||
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | US States and Political Subdivisions Debt Securities [Member] | |||
Available-for-sale securities | $ 24,020 | $ 31,255 |
Note 10 - Long-term Debt (Detai
Note 10 - Long-term Debt (Details Textual) - USD ($) $ in Millions | 1 Months Ended | ||
Oct. 31, 2015 | Jun. 30, 2017 | Dec. 31, 2016 | |
Long-term Debt | $ 120 | $ 120 | |
Bank of America [Member] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 175 | ||
Debt Instrument, Term | 5 years | ||
Bank of America [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||
Debt Instrument, Basis Spread on Variable Rate | 1.40% | ||
Debt Instrument, Basis Spread on Base Rate | 1.00% | ||
Bank of America [Member] | Base Rate [Member] | |||
Debt Instrument, Basis Spread on Variable Rate | 0.40% | ||
Bank of America [Member] | Federal Funds Effective Swap Rate [Member] | |||
Debt Instrument, Basis Spread on Base Rate | 0.50% | ||
Unsecured Term Note Payable [Member] | |||
Long-term Debt | $ 10 | $ 10 |
Note 10 - Long-term Debt - Sche
Note 10 - Long-term Debt - Schedule of Debt (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2017 | Dec. 31, 2016 | |
Long-term debt | $ 120 | $ 120 |
Long-term debt, noncurrent | $ 120 | 120 |
Unsecured Term Note Payable [Member] | ||
Long-term debt maturity | 2,018 | |
Long-term debt | $ 10 | 10 |
Long-term debt, interest rate | 3.60% | |
Revolving Credit Facility [Member] | ||
Long-term debt maturity | 2,020 | |
Long-term debt | $ 110 | $ 110 |
Long-term debt, interest rate | 2.60% |
Note 11 - Stock Repurchase Pr56
Note 11 - Stock Repurchase Program (Details Textual) - Common Stock [Member] - USD ($) shares in Thousands, $ in Millions | 10 Months Ended | |
Jun. 30, 2017 | Aug. 31, 2016 | |
Stock Repurchase Program, Authorized Amount | $ 25 | |
Stock Repurchased and Retired During Period, Shares | 0 |
Note 12 - Stock-based Compens57
Note 12 - Stock-based Compensation (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | May 31, 2015 | May 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 1,124,689 | 56,291 | |||||
Allocated Share-based Compensation Expense | $ 740,000 | $ 208,000 | $ 832,000 | $ 494,000 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 7,951,000 | $ 7,951,000 | |||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 5 years | ||||||
2010 Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 2,575,000 | 1,200,000 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 1,062,500 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 568,744 | 568,744 | |||||
2010 Plan [Member] | Director [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Shares Issued in Period | 52,500 | ||||||
Employee Stock Purchase Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 9,689 | ||||||
Incentive Stock Option [Member] | Maximum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years |
Note 12 - Stock-based Compens58
Note 12 - Stock-based Compensation - Summary of Assumptions Used to Value Options Granted (Details) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Dec. 31, 2016 | |
Risk–free interest rate | 2.08% | 0.89% |
Expected volatility | 16.60% | 15.80% |
Expected life, in years (Year) | 4 years 292 days | 2 years 73 days |
Expected dividend yield | 3.10% | 3.09% |
Note 12 - Stock-based Compens59
Note 12 - Stock-based Compensation - Summary of Outstanding Stock Options (Details) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Dec. 31, 2016 | |
Options outstanding, shares (in shares) | 177,959 | 621,390 |
Options outstanding, weighted average exercise price (in dollars per share) | $ 55.48 | $ 48.15 |
Number of Shares - Options Granted (in shares) | 1,124,689 | 56,291 |
Weighted Average Exercise Price - Options Granted (in dollars per share) | $ 72.96 | $ 62.54 |
Number of Shares - Options Exercised (in shares) | (31,992) | (499,066) |
Weighted Average Exercise Price - Options Exercised (in dollars per share) | $ 46.54 | $ 47.16 |
Number of Shares - Options cancelled (in shares) | (656) | |
Weighted Average Exercise Price - Options cancelled (in dollars per share) | $ 46.69 | |
Options outstanding, shares (in shares) | 1,270,656 | 177,959 |
Options outstanding, weighted average exercise price (in dollars per share) | $ 71.18 | $ 55.48 |
Options outstanding, aggregate intrinsic value | $ 1,854,000 | |
Options exercisable (in shares) | 198,467 | |
Options exercisable, weighted average exercise price (in dollars per share) | $ 61.54 | |
Options exercisable, aggregate intrinsic value | $ 1,854,000 |
Note 12 - Stock-based Compens60
Note 12 - Stock-based Compensation - Options Outstanding (Details) | 6 Months Ended |
Jun. 30, 2017$ / sharesshares | |
Options outstanding (in shares) | shares | 1,270,656 |
Exercise prices, lower range limit (in dollars per share) | |
Exercise prices, upper range limit (in dollars per share) | |
Weighted average exercise price (in dollars per share) | $ 71.18 |
Weighted average remaining contractual life in years (Year) | 4 years 146 days |
Exercise Price Range 1 [Member] | |
Options outstanding (in shares) | shares | 60,000 |
Exercise prices, lower range limit (in dollars per share) | $ 47.45 |
Exercise prices, upper range limit (in dollars per share) | 52.93 |
Weighted average exercise price (in dollars per share) | $ 50.88 |
Weighted average remaining contractual life in years (Year) | 1 year 182 days |
Exercise Price Range 2 [Member] | |
Options outstanding (in shares) | shares | 1,210,656 |
Exercise prices, lower range limit (in dollars per share) | $ 61.25 |
Exercise prices, upper range limit (in dollars per share) | 75.45 |
Weighted average exercise price (in dollars per share) | $ 72.18 |
Weighted average remaining contractual life in years (Year) | 4 years 182 days |
Note 13 - Income Taxes (Details
Note 13 - Income Taxes (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Effective Income Tax Rate Reconciliation, Percent | 39.00% | 39.40% | 38.90% | 39.10% |
Effective Income Tax Rate Reconciliation, Tax Contingency, Amount | $ 146,200 | $ 190,000 | $ 321,000 | $ 365,000 |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Amount | 84,000 | 143,000 | 133,400 | 229,000 |
Effective Income Tax Rate Reconciliation, Exercise of Stock Options, Amount | 123,000 | 244,000 | ||
Income Tax Expense (Benefit) | $ 6,758,000 | $ 7,700,000 | $ 14,757,000 | $ 16,398,000 |
Earliest Tax Year [Member] | ||||
Open Tax Year | 2,013 |
Note 14 - Contingencies and C62
Note 14 - Contingencies and Commitments (Details Textual) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Dec. 31, 2016 | |
Self Insurance Reserve | $ 94,541,000 | $ 91,162,000 |
Direct Business Coverage Statutory Limits | $ 1,000,000 | |
Malpractice Loss Contingency, Number of Claims | 61 | |
Annual Excess Coverage | $ 9,000,000 | $ 9,000,000 |
Line of Credit [Member] | National Health Care [Member] | ||
Long-term Line of Credit | 0 | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 2,000,000 | |
Caris [Member] | ||
Equity Method Investment, Ownership Percentage | 75.10% | |
Coverage Amount Per Incident [Member] | ||
Primary Insurance Coverage Amount Per Incident | $ 1,000,000 | |
Primary Insurance Coverage, Amount Per Location | $ 3,000,000 |
Note 15 - Common Stock Author63
Note 15 - Common Stock Authorized (Details Textual) - $ / shares | May 09, 2017 | Jun. 30, 2017 | May 08, 2017 | Dec. 31, 2016 |
Common Stock, Increase, Shares Authorized | 15,000,000 | |||
Common Stock, Shares Authorized | 45,000,000 | 45,000,000 | 30,000,000 | 30,000,000 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 | $ 0.01 |