AAC (AACH) 10-Q 5 Aug 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Aug. 01, 2016
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Trading Symbol	AAC
Entity Registrant Name	AAC Holdings, Inc.
Entity Central Index Key	1,606,180
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		23,701,288

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Current assets
Cash and cash equivalents	$ 7,269	$ 18,750
Accounts receivable, net of allowances	74,692	60,934
Prepaid expenses and other current assets	3,727	6,840
Total current assets	85,688	86,524
Property and equipment, net	128,623	109,724
Goodwill	134,847	108,722
Intangible assets, net	9,790	9,470
Other assets	3,252	1,609
Total assets	362,200	316,049
Current liabilities
Accounts payable	9,500	7,878
Accrued liabilities	23,097	21,653
Current portion of long-term debt	4,702	3,611
Current portion of long-term debt – related party		1,195
Total current liabilities	37,299	34,337
Deferred tax liabilities	1,050	1,195
Long-term debt, net of current portion	162,821	140,335
Other long-term liabilities	4,505	3,694
Total liabilities	205,675	179,561
Stockholders’ equity
Common stock, $0.001 par value: 70,000,000 shares authorized, 23,696,224 and 22,813,809 shares issued and outstanding at June 30, 2016 and December 31, 2015, respectively	23	23
Additional paid-in capital	142,387	121,923
Retained earnings	21,166	19,708
Total stockholders’ equity	163,576	141,654
Noncontrolling interest	(7,051)	(5,166)
Total stockholders’ equity including noncontrolling interest	156,525	136,488
Total liabilities and stockholders’ equity	$ 362,200	$ 316,049

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Jun. 30, 2016	Dec. 31, 2015
Statement Of Financial Position [Abstract]
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	70,000,000	70,000,000
Common stock, shares issued	23,696,224	22,813,809
Common stock, shares outstanding	23,696,224	22,813,809

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Revenues
Client related revenue	$ 68,226	$ 53,784	$ 130,932	$ 96,607
Other revenue	3,316		5,958
Total revenues	71,542	53,784	136,890	96,607
Operating expenses
Salaries, wages and benefits	36,191	19,733	68,162	38,107
Advertising and marketing	4,509	5,119	8,906	9,737
Professional fees	3,869	1,861	8,176	3,330
Client related services	5,500	3,478	10,419	6,393
Other operating expenses	7,255	5,536	13,801	10,349
Rentals and leases	1,892	1,159	3,424	1,859
Provision for doubtful accounts	4,943	4,177	10,426	7,559
Litigation settlement	42	1,500	150	1,520
Depreciation and amortization	4,225	1,676	8,140	3,016
Acquisition-related expenses	1,196	982	1,960	1,980
Total operating expenses	69,622	45,221	133,564	83,850
Income from operations	1,920	8,563	3,326	12,757
Interest expense, net (change in fair value of interest rate swaps of $16 and ($106) and $191 and $115, respectively)	2,221	482	3,923	1,223
Other income, net	(36)	(49)	(43)	(60)
(Loss) Income before income tax expense	(265)	8,130	(554)	11,594
Income tax (benefit) expense	(107)	3,014	(127)	4,359
Net (loss) income	(158)	5,116	(427)	7,235
Less: net loss attributable to noncontrolling interest	1,030	439	1,885	1,039
Net income attributable to AAC Holdings, Inc. stockholders	872	5,555	1,458	8,274
Net income available to AAC Holdings, Inc. common stockholders	$ 872	$ 5,555	$ 1,458	$ 7,593
Basic earnings per common share	$ 0.04	$ 0.26	$ 0.07	$ 0.36
Diluted earnings per common share	$ 0.04	$ 0.26	$ 0.06	$ 0.36
Weighted-average shares outstanding:
Basic	22,761,671	21,293,512	22,429,948	21,241,839
Diluted	22,811,345	21,487,816	22,499,064	21,376,210
BHR | Series A Preferred Stock
Operating expenses
BHR Series A Preferred Unit dividends				$ (147)
Redemption of BHR Series A Preferred Units				$ (534)

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Swap
Change in fair value of interest rate swaps	$ 16	$ (106)	$ 191	$ 115

CONDENSED CONSOLIDATED STATEME6

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - 6 months ended Jun. 30, 2016 - USD ($) $ in Thousands	Total	Townsend Acquisition	Solutions Acquisition	AAC Holdings, Inc.	AAC Holdings, Inc.Townsend Acquisition	AAC Holdings, Inc.Solutions Acquisition	Common StockAAC Holdings, Inc.	Common StockAAC Holdings, Inc.Townsend Acquisition	Common StockAAC Holdings, Inc.Solutions Acquisition	Common StockMarketing IntangiblesAAC Holdings, Inc.	Additional Paid-in Capital	Additional Paid-in CapitalTownsend Acquisition	Additional Paid-in CapitalSolutions Acquisition	Retained Earnings	Noncontrolling Interest
Balance at Dec. 31, 2015	$ 136,488			$ 141,654			$ 23				$ 121,923			$ 19,708	$ (5,166)
Balance, share at Dec. 31, 2015							22,813,809
Common stock granted and issued under stock incentive plan, net of forfeitures, amount	4,687			4,687							4,687
Common stock granted and issued under stock incentive plan, net of forfeitures, share							92,620
Effect of employee stock purchase plan	347			347							347
Effect of employee stock purchase plan, shares							15,445
Acquisition of certain assets		$ 9,112	$ 6,318		$ 9,112	$ 6,318						$ 9,112	$ 6,318
Acquisition of certain assets, shares								447,369	309,871	17,110
Net income (loss)	(427)			1,458										1,458	(1,885)
Balance at Jun. 30, 2016	$ 156,525			$ 163,576			$ 23				$ 142,387			$ 21,166	$ (7,051)
Balance, shares at Jun. 30, 2016							22,813,809

CONDENSED CONSOLIDATED STATEME7

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Cash flows from operating activities:
Net income (loss)	$ (427)	$ 7,235
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Provision for doubtful accounts	10,426	7,559
Depreciation and amortization	8,140	3,016
Equity compensation	4,776	2,873
Amortization of debt issuance costs	208	85
Deferred income taxes	(145)	(806)
Changes in operating assets and liabilities:
Accounts receivable	(21,189)	(25,427)
Prepaid expenses and other assets	920	(229)
Accounts payable	1,169	4,865
Accrued liabilities	2,422	7,327
Other long term liabilities	18	95
Net cash provided by operating activities	6,318	6,593
Cash flows from investing activities:
Purchase of property and equipment	(19,745)	(34,087)
Acquisition of subsidiaries, net of cash acquired	(19,150)	(13,740)
Escrow funds held on acquisition		(511)
Purchase of intangible assets		(540)
Purchase of other assets, net		153
Net cash used in investing activities	(38,895)	(48,725)
Cash flows from financing activities:
Proceeds from long-term debt	24,500	73,802
Payments on long-term debt and capital leases	(2,209)	(25,520)
Repayment of long-term debt — related party	(1,195)	(195)
Repayment of subordinated notes payable		(945)
Net cash provided by financing activities	21,096	38,613
Net change in cash and cash equivalents	(11,481)	(3,519)
Cash and cash equivalents, beginning of period	18,750	48,540
Cash and cash equivalents, end of period	7,269	45,021
Cash and cash equivalents paid for:
Interest, net of capitalized interest	2,205	1,235
Income taxes, net of refunds	2,413	1,000
Accrued purchase of property and equipment	998
Acquisition of equipment through capital lease	895
BHR | Series A Preferred Stock
Cash flows from financing activities:
Redemption of BHR Series A Preferred Units		(8,529)
Solutions Acquisition
Supplemental information on non-cash investing and financing transactions:
Purchase price	12,968
Buyer common stock issued	(6,318)
Cash paid for acquisition	6,650
Townsend Acquisition
Supplemental information on non-cash investing and financing transactions:
Purchase price	21,612
Buyer common stock issued	(9,112)
Cash paid for acquisition	$ 12,500
Clinical Services Of Rhode Island Inc
Supplemental information on non-cash investing and financing transactions:
Purchase price		2,008
Buyer common stock issued		(1,343)
Cash paid for acquisition		$ 665

Description of Business

Description of Business	6 Months Ended
	Jun. 30, 2016
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Description of Business	1. Description of Business AAC Holdings, Inc. (collectively with its subsidiaries, the “Company” or “AAC Holdings”) was incorporated on February 12, 2014. The Company is headquartered in Brentwood, Tennessee and provides substance abuse treatment services for individuals with drug and alcohol addiction. In addition to the Company’s substance abuse treatment services, the Company performs drug testing and diagnostic laboratory services, provides physician services to clients, and operates a broad portfolio of internet assets that service millions of website visits each month serving families and individuals struggling with addiction and seeking treatment options. At June 30, 2016, the Company, through its subsidiaries, operated 12 residential substance abuse treatment facilities and 18 standalone outpatient centers.

Basis of Presentation and Recen

Basis of Presentation and Recently Issued Accounting Pronouncements	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Basis of Presentation and Recently Issued Accounting Pronouncements	2. Principles of Consolidation The Company conducts its business through limited liability companies and C-corporations, each of which is a direct or indirect wholly owned subsidiary of the Company. The accompanying condensed consolidated financial statements include the accounts of the Company, its wholly owned subsidiaries, and the accounts of variable interest entities (“VIEs”) in which the Company is the primary beneficiary. All intercompany transactions and balances have been eliminated in consolidation. The Company consolidated seven professional groups (“Professional Groups”) that constituted VIEs as of June 30, 2016. The Professional Groups are responsible for the supervision and delivery of medical services to the Company’s clients. The Company provides management services to the Professional Groups. Based on the Company’s ability to direct the activities that most significantly impact the economic performance of the Professional Groups, provide necessary funding and the obligation and likelihood of absorbing all expected gains and losses, the Company has determined that it is the primary beneficiary of these Professional Groups. The accompanying condensed consolidated balance sheets as of both June 30, 2016 and December 31, 2015 include assets of $1.4 million and liabilities of $1.1 million and $0.6 million as of June 30, 2016 and December 31, 2015, respectively, related to the VIEs. The accompanying condensed consolidated statements of operations include net loss attributable to noncontrolling interest of $0.8 million and $0.4 million related to the VIEs for the three months ended June 30, 2016 and 2015, respectively, and net loss of $1.7 million and $1.0 million for the six months ended June 30, 2016 and 2015, respectively. The accompanying condensed consolidated financial statements are unaudited, with the exception of the December 31, 2015 balance sheet, which is consistent with the audited financial statements at that date but does not include all of the information and footnotes required by U.S. generally accepted accounting principles (“GAAP”) for a complete set of financial statements. The information contained in these condensed consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements and notes thereto for the fiscal year ended December 31, 2015 included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”) on March 9, 2016. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. Recent Pronouncements In March 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-09, “Compensation-Stock Compensation: Improvements to Employee Share-Based Payment Accounting” (“ASU 2016-09”). ASU 2016-09 requires that all excess tax benefits and tax deficiencies resulting from share-based payments be recognized as income tax expense or benefit in the income statement, which eliminates the accounting for additional paid-in capital pools. ASU 2016-09 also allows companies to make an entity-wide policy election to either estimate the number of stock-based awards that are expected to vest or account for forfeitures as they occur. With regards to the Statement of Cash Flows, both inflows and outflows of cash related to excess tax benefits will be classified as operating activities, whereas prior to this update, excess tax benefits as cash inflows were to be classified as financing activities. Also, cash paid by an employer when directly withholding shares for tax-withholding purposes (“net share settlement”) will now be classified as a financing activity. The new standard is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. The adoption of ASU No. 2016-09 is not expected to have a material impact on the Company’s results of operations. In February 2016, the FASB issued ASU No. 2016-02, “Leases.” The new standard establishes a right-of-use (ROU) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. A modified retrospective transition approach is required for lessees for capital and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. The Company is currently evaluating the impact that adoption of this new standard will have on its consolidated financial statements. In September 2015, the FASB issued ASU 2015-16, “Business Combinations: Simplifying the Accounting for Measurement-Period Adjustments” (“ASU 2015-16”). ASU 2015-16 eliminates the requirement for an acquirer to retrospectively adjust its financial statements for changes to provisional amounts that are identified during the measurement-period following the consummation of a business combination. Instead, ASU 2015-16 requires these types of adjustments to be made during the reporting period in which they are identified and would require additional disclosure or separate presentation of the portion of the adjustment that would have been recorded in the previously reported periods as if the adjustment to the provisional amounts had been recognized as of the acquisition date. ASU 2015-16 is effective prospectively for fiscal years beginning after December 15, 2015, including interim periods within those years, with earlier application permitted for financial statements that have not been issued. The adoption of ASU 2015-16 did not have a material impact on the Company’s results of operations. In April 2015, the FASB issued ASU No. 2015-05, “Intangibles – Goodwill and Other – Internal-Use Software.” The update was effective for financial statements issued for fiscal years beginning after December 15, 2015, including interim periods within those fiscal years, with early adoption permitted. ASU 2015-05 provides guidance for customer’s accounting for fees paid in a cloud computing arrangement. If a cloud computing arrangement includes a software license, the customer should account for the software license element of the arrangement consistent with the acquisition of other software licenses. If the cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. An entity can elect to adopt the amendments either prospectively to all arrangements entered into or materially modified after the effective date or retrospectively. The adoption of ASU 2015-05 on January 1, 2016 did not have a material impact on the Company’s condensed consolidated financial statements. In May 2014, FASB and the International Accounting Standards Board issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers”, which outlines a single comprehensive model for recognizing revenue and supercedes most existing revenue recognition guidance, including guidance specific to the healthcare industry. Companies across all industries will use a new five-step model to recognize revenue from customer contracts. The new standard, which replaces nearly all existing GAAP and International Financial Reporting Standards revenue recognition guidance, will require significant management judgment in addition to changing the way many companies recognize revenue in their financial statements. The standard is effective for public entities for annual and interim periods beginning after December 15, 2017, with early adoption permitted for annual periods beginning after December 15, 2016. The Company is currently evaluating the impact that the adoption of this standard will have on its revenue recognition policies and procedures, financial position, result of operations, cash flows, financial disclosures and control framework.

Other Revenue

Other Revenue	6 Months Ended
	Jun. 30, 2016
Health Care Organization Revenue [Abstract]
Other Revenue	3. Other Revenue Our other revenue consists primarily of service charges from the delivery of quality targeted leads to behavioral and mental health service businesses through our operating subsidiary Referral Solutions Group, LLC (“RSG”), which was acquired on July 2, 2015 and diagnostic laboratory services provided to clients of third-party addiction treatment providers. Revenue is recognized when persuasive evidence of an arrangement exists, services have been rendered, the fee for services is fixed or determinable, and collectability of the fee is reasonably assured.

General and Administrative Cost

General and Administrative Costs	6 Months Ended
	Jun. 30, 2016
General And Administrative Costs [Abstract]
General and Administrative Costs	4. The majority of the Company’s expenses are “cost of revenue” items. Costs that could be classified as general and administrative expenses include the Company’s corporate overhead costs, which were $17.8 million and $11.3 million for the three months ended June 30, 2016 and 2015, respectively, and $35.1 million and $19.3 million for the six months ended June 30, 2016 and 2015, respectively.

Earnings Per Share

Earnings Per Share	6 Months Ended
	Jun. 30, 2016
Earnings Per Share [Abstract]
Earnings Per Share	5. Earnings Per Share Earnings per share (“EPS”) is calculated using the two-class method required for participating securities. Undistributed earnings allocated to these participating securities are subtracted from net income in determining net income attributable to common stockholders. Net losses, if any, are not allocated to these participating securities. Basic EPS is computed by dividing net income attributable to common stockholders by the weighted-average number of shares of common stock outstanding for the period. For the calculation of diluted EPS, net income attributable to common stockholders for basic EPS is adjusted by the effect of dilutive securities, including awards under stock-based payment arrangements. Diluted EPS attributable to common stockholders is computed by dividing net income attributable to common stockholders by the weighted-average number of fully diluted common shares outstanding during the period. The following tables reconcile the numerator and denominator used in the calculation of basic and diluted EPS for the three and six months ended June 30, 2016 and 2015 (in thousands except share and per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Numerator Net income attributable to AAC Holdings, Inc. $ 872 $ 5,555 $ 1,458 $ 8,274 Less: Series A Preferred Unit dividends — — — (147 ) Less: Redemption of BHR Series A Preferred Units — — — (534 ) Net income attributable to common shares $ 872 $ 5,555 $ 1,458 $ 7,593 Denominator Weighted-average common shares outstanding – basic 22,761,671 21,293,512 22,429,948 21,241,839 Dilutive securities 49,674 194,304 69,116 134,371 Weighted-average common shares outstanding – diluted 22,811,345 21,487,816 22,499,064 21,376,210 Basic earnings per common share $ 0.04 $ 0.26 $ 0.07 $ 0.36 Diluted earnings per common share $ 0.04 $ 0.26 $ 0.06 $ 0.36

Acquisitions

Acquisitions	6 Months Ended
	Jun. 30, 2016
Business Combinations [Abstract]
Acquisitions	6. Acquisitions On April 1, 2016, the Company acquired certain assets of Wetsman Forensic Medicine, L.L.C. (d/b/a Townsend) and its affiliates (“Townsend”), a substance abuse treatment provider in Louisiana that operates seven in-network outpatient centers delivering intensive outpatient treatment as well as a 32-bed in-network facility located in Scott, Louisiana, of which 20 beds are licensed for detoxification and inpatient treatment, and an in-network lab that services these facilities (the “Townsend Acquisition”), for total considerations of $13.5 million in cash and 447,369 in shares of AAC Holdings’ common stock. The purchase agreement includes provisions for contingent consideration of up to $2.0 million, consisting of cash and shares of AAC Holdings’ common stock currently held in escrow, if certain financial targets for the year ending December 31, 2016 are met. Based on the preliminary assessment, the Company recorded the full $2.0 million of contingent consideration as part of the purchase price, which is dependent on completion of valuations being performed by independent valuation specialists. The purchase price was based upon arms-length negotiations between the Company and Townsend, an unrelated third party, that resulted in a premium to the fair value of the net assets acquired and, correspondingly, the recognition of goodwill. The amount recorded for goodwill is consistent with the Company’s intentions for the acquisition and is deductible for income tax purposes. On May 3, 2016, the Company acquired certain assets of Solutions Recovery, Inc., its affiliates and associated real estate assets (collectively, “Solutions”) for $6.8 million in cash and 309,871 of restricted shares of AAC Holdings’ common stock (the “Solutions Acquisition”). Solutions provides detoxification, residential, and intensive outpatient treatment as well as sober living services in the greater Las Vegas area. The purchase price was based upon arms-length negotiations between the Company and Solutions, an unrelated third party, that resulted in a premium to the fair value of the net assets acquired and, correspondingly, the recognition of goodwill. The amount recorded for goodwill is consistent with the Company’s intentions for the acquisition and is deductible for income tax purposes. Each of these acquisitions was accounted for as a business combination in accordance with FASB ASC 805, Business Combinations . The Company recorded each transaction based upon the fair value of the consideration paid. This consideration was preliminarily allocated to the assets acquired and liabilities assumed at the corresponding acquisition dates, based on their fair values. The Company is further assessing the valuation of receivables, assumed liabilities, real property, intangible assets, and contingent consideration, some of which are dependent on the completion of valuations being performed by independent valuation specialists. The preliminary allocation of assets acquired and liabilities assumed at the corresponding acquisition dates, based on their fair values are as follows (in thousands): Townsend Solutions Total Accounts receivable $ 1,149 $ 1,846 $ 2,995 Property and equipment 882 5,220 6,102 Goodwill 20,310 5,815 26,125 Intangible assets 635 377 1,012 Total Assets acquired 22,976 13,258 36,234 Accrued liabilities 364 190 554 Net assets acquired $ 22,612 $ 13,068 $ 35,680 Acquisition-related costs for the acquisitions were expensed in acquisition-related expenses in the consolidated statements of operations. The results of operations for the acquired entities from the respective acquisition dates are included in the condensed consolidated statements of operations for both the three and six months ended June 30, 2016, and include revenues of $5.2 million. The following presents the unaudited pro forma revenues and income before taxes of the combined entity had the acquisitions occurred on the first day of the period presented (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Total revenues $ 72,890 $ 58,912 $ 144,840 $ 117,333 Income before income tax expense $ 448 $ 8,223 $ 1,687 $ 12,328

Accounts Receivable and Allowan

Accounts Receivable and Allowance for Doubtful Accounts	6 Months Ended
	Jun. 30, 2016
Receivables [Abstract]
Accounts Receivable and Allowance for Doubtful Accounts	7. A summary of activity in the Company’s allowance for doubtful accounts is as follows (in thousands): Balance at December 31, 2015 $ 16,877 Additions charged to provision for doubtful accounts 10,426 Accounts written off, net of recoveries (5,934 ) Balance at June 30, 2016 $ 21,369 For the six months ended June 30, 2016, approximately 12.4% of the Company’s revenues were reimbursed by Anthem Blue Cross Blue Shield of Colorado; 10.9% by Aetna; and 10.5% by Blue Cross Blue Shield of Texas. No other payor accounted for more than 10% of revenue reimbursements for the six months ended June 30, 2016. For the six months ended June 30, 2015, approximately 16.7% of the Company’s revenues were reimbursed by Anthem Blue Cross Blue Shield of Colorado; 12.8% by Blue Cross Blue Shield of Texas

Property and Equipment, net

Property and Equipment, net	6 Months Ended
	Jun. 30, 2016
Property Plant And Equipment [Abstract]
Property and Equipment, net	8. Property and Equipment, net Property and equipment consisted of the following (in thousands): June 30, December 31, 2016 2015 Land $ 13,479 $ 13,380 Buildings and improvements 102,237 77,412 Equipment and software 22,074 16,149 Construction in progress 12,923 17,424 Total property and equipment 150,713 124,365 Less accumulated depreciation and amortization (22,090 ) (14,641 ) Property and equipment, net $ 128,623 $ 109,724

Goodwill and Intangible Assets

Goodwill and Intangible Assets	6 Months Ended
	Jun. 30, 2016
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	9. Goodwill and Intangible Assets The Company’s business comprises a single reporting segment for impairment test purposes. Goodwill represents the excess of the purchase price over the fair value of the identifiable net assets acquired. Goodwill and intangible assets with indefinite lives are not amortized, but instead are tested for impairment at least annually or whenever events or changes in circumstances indicate the carrying value may not be recoverable. If the carrying value of goodwill exceeds its implied fair value, an impairment loss is recorded. The Company has no intangible assets with indefinite useful lives other than goodwill. The Company’s goodwill balances as of June 30, 2016 and December 31, 2015 were $134.8 million and $108.7 million, respectively. The increase in goodwill is due to the acquisitions of Townsend and Solutions with goodwill of as follows and discussed in Note 6. Balance at December 31, 2015 $ 108,722 Townsend Acquisition 20,310 Solutions Acquisition 5,815 Balance at June 30, 2016 $ 134,847 Other identifiable intangible assets and related accumulated amortization consisted of the following as of June 30, 2016 and December 31, 2015 (in thousands): Gross Carrying Value Accumulated Amortization June 30, December 31, June 30, December 31, 2016 2015 2016 2015 Trademarks 4,934 $ 4,052 1,175 $ 955 Non-compete agreements 1,357 1,257 968 838 Marketing intangibles 5,651 5,651 637 355 Leasehold interests 680 670 91 34 Other 71 51 32 29 $ 12,693 $ 11,681 $ 2,903 $ 2,211 Changes to the carrying value of identifiable assets during the year ended December 31, 2015 were as follows (in thousands): Balance at December 31, 2015 $ 9,470 Amortization expense (692 ) Townsend Acquisition 635 Solutions Acquisition 377 Balance at June 30, 2016 $ 9,790

Debt

Debt	6 Months Ended
	Jun. 30, 2016
Debt Disclosure [Abstract]
Debt	10 . Debt A summary of the Company’s debt obligations, net of unamortized discounts and debt issuance costs, is as follows (in thousands): June 30, December 31, 2016 2015 Non-related party debt: Senior secured loans, net of issuance costs $ 117,203 $ 118,936 Subordinated debt 48,806 24,240 Capital lease obligations 1,514 770 Total non-related party debt 167,523 143,946 Less current portion (4,702 ) (3,611 ) Total non-related party debt, long-term $ 162,821 $ 140,335 Related party debt: Acquisition related debt $ — $ 1,195 Less current portion — (1,195 ) Total related party debt, long-term $ — $ — 2015 Credit Facility On March 9, 2015, the Company entered into a five year $125.0 million senior secured credit facility (the “2015 Credit Facility”) with Bank of America, N.A., as administrative agent for the lenders party thereto. The 2015 Credit Facility consists of a $50.0 million revolver and a $75.0 million term loan. The Company incurred approximately $1.4 million in debt issuance costs related to underwriting and other professional fees, and deferred these costs over the term of the 2015 Credit Facility. Following the end of the second quarter, AAC Holdings, Inc. increased its 2015 Credit Facility to $171.3 million, consisting of a $50.0 million revolving credit facility and a $121.3 million term loan. The facility is scheduled to mature in March 2020 and bears interest at LIBOR plus a margin between 2.25% to 3.25% or a base rate plus a margin between 1.25% and 2.25%, in each case depending on the Company’s leverage ratio. The facility has an accordion feature that provides for an additional $75.0 million of borrowing capacity under the credit facility, subject to certain consents and conditions, including obtaining additional commitments from lenders. The 2015 Credit Facility requires quarterly term loan principal repayments for the outstanding term loan of $0.9 million at September 30, 2016, $1.6 million at December 31, 2016, $2.3 million for March 31, 2017 to December 31, 2017, $3.9 million from March 31, 2018 to December 31, 2018, and $4.7 million from March 31, 2019 to December 31, 2019, with the remaining principal balance of the term loan due on the maturity date of March 9, 2020. Repayment of the revolving loan is due on the maturity date of March 9, 2020. The 2015 Credit Facility generally requires quarterly interest payments. Borrowings under the 2015 Credit Facility are guaranteed by the Company and each of its subsidiaries and are secured by a lien on substantially all of the Company’s and its subsidiaries’ assets. Borrowings under the 2015 Credit Facility bear interest at a rate tied to the Company’s Consolidated Total Leverage Ratio (defined as Consolidated Funded Indebtedness to Consolidated EBITDA, in each case as defined in the credit agreement). Eurodollar Rate Loans with respect to the 2015 Credit Facility bear interest at the Applicable Rate plus the Eurodollar Rate (each as defined in the credit agreement) (based upon the LIBOR Rate (as defined in the credit agreement) prior to commencement of the interest rate period). Base Rate Loans with respect to the 2015 Credit Facility bear interest at the Applicable Rate plus the highest of (i) the federal funds rate plus 0.50%, (ii) the prime rate and (iii) the Eurodollar Rate plus 1.0% (the interest rate at June 30, 2016 was 3.88%). In addition, the Company is required to pay a commitment fee on undrawn amounts under the revolving credit facility of 0.35% to 0.50% depending on the Company’s Consolidated Total Leverage Ratio (the commitment fee rate at June 30, 2016 was 0.50%). The Applicable Rates and the unused commitment fees of the 2015 Credit Facility are based upon the following tiers: Pricing Tier Consolidated Total Leverage Ratio Eurodollar Rate Loans Base Rate Loans Commitment Fee 1 > 3.25 % 2.25 % 0.50 % 2 > 3.00 % 2.00 % 0.45 % 3 > 2.75 % 1.75 % 0.40 % 4 > 2.50 % 1.50 % 0.35 % 5 < 2.00:1.00 2.25 % 1.25 % 0.35 % The 2015 Credit Facility requires the Company to comply with customary affirmative, negative and financial covenants, including a Consolidated Fixed Charge Coverage Ratio, Consolidated Total Leverage Ratio and a Consolidated Senior Secured Leverage Ratio (each as defined in the credit agreement). The Company may be required to pay all of its indebtedness immediately if the Company defaults on any of the financial or other restrictive covenants contained in the 2015 Credit Facility. The financial covenants include maintenance of the following: · Fixed Charge Coverage Ratio may not be less than 1.50:1.00 as of the end of any fiscal quarter. · Consolidated Total Leverage Ratio: may not be greater than the following levels as of the end of each fiscal quarter: Measurement Period Ending Maximum Consolidated Total Leverage Ratio June 30, 2016 4.25:1.00 September 30, 2016 4.25:1.00 December 31, 2016 4.25:1.00 March 31, 2017 and each fiscal quarter thereafter 4.00:1.00 · Consolidated Senior Secured Leverage Ratio may not be greater than the following levels as of the end of each fiscal quarter: Measurement Period Ending Maximum Consolidated Senior Secured Leverage Ratio June 30, 2016 3.75:1.00 September 30, 2016 3.75:1.00 December 31, 2016 3.75:1.00 March 31, 2017 and each fiscal quarter thereafter 3.50:1.00 On July 1, 2015, the Company borrowed $15.0 million under the $50.0 million revolver of the 2015 Credit Facility. On August 7, 2015, the Company borrowed $32.0 million under the $50.0 million revolver of the 2015 Credit Facility. The Company used these proceeds to fund de novo development projects and acquisitions. At June 30, 2016, the Company was in compliance with all applicable covenants. As of June 30, 2016, our availability under the $50.0 million revolver portion of the 2015 Credit Facility was $0.7 million, net of $47.0 million in borrowings as noted above, and $2.3 million in standby letters of credit issued for various corporate purposes. 2015 Subordinated Debt On October 2, 2015, the Company entered into two financing facilities with affiliates of Deerfield Management Company, L.P. (“Deerfield”). The financing facilities consist of $25.0 million of subordinated convertible debt and up to $25.0 million of unsecured subordinated debt, together with an incremental facility of up to an additional $50.0 million of subordinated convertible debt (subject to certain conditions) (the “Deerfield Facility”). The Company issued $25.0 million of subordinated convertible debt at closing and used the proceeds to fund acquisitions, its de novo projects and for other corporate purposes. The $25.0 million of subordinated convertible debt bears interest at an annual rate of 2.50% and matures on September 30, 2021. The $25.0 million of subordinated convertible debt funded at closing is convertible into shares of the Company’s common stock at $30.00 per share. In the second quarter of 2016, the Company issued $25.0 million of the unsecured subordinated debt and used the proceeds to fund the acquisitions of Townsend, the hotel in Arlington, Texas, and Solutions. The unsecured subordinated debt bears interest at an annual rate of 12.0% and matures on October 2, 2020. The Company incurred approximately $1.4 million in debt issuance costs related to underwriting and other professional fees, and deferred these costs over the term of the debt. At June 30, 2016, both the $25.0 million of subordinated convertible debt, bearing interest at 2.5%, and the $25.0 million of unsecured subordinated debt, bearing interest at 12.0%, were outstanding. Acquisition Related Debt At December 31, 2015, the Company had outstanding notes payables of $1.2 million resulting from the seller financing of the acquisition of certain assets of AJG Solutions and its subsidiaries and the equity of B&B holdings INTL LLC (collectively, the “TSN Acquisition”). On February 29, 2016, the Company paid in full the outstanding balance, including principal of $1.2 million and accrued interest of $0.2 million. Interest Rate Swap Agreements In July 2014, the Company entered into two interest rate swap agreements to mitigate its exposure to fluctuations in interest rates. The interest rate swap agreements had initial notional amounts of $8.9 million and $13.2 million which fix interest rates over the life of the respective interest rate swap agreement at 4.21% and 4.73%, respectively. The notional amounts of the swap agreements represent amounts used to calculate the exchange of cash flows and are not the Company’s assets or liabilities. The interest payments under these agreements are settled on a net basis. The Company has not designated the interest rate swaps as cash flow hedges and therefore the changes in the fair value of the interest rate swaps are included within interest expense in the condensed consolidated statements of operations. The fair value of the interest rate swaps at June 30, 2016 and December 31, 2015 represented a liability of $654,000 and $464,000, respectively, and is reflected in other long-term liabilities on the condensed consolidated balance sheets. Refer to Note 13 for further discussion of fair value of the interest rate swap agreements. The Company’s credit risk related to these agreements is considered low because the swap agreements are with a creditworthy financial institution. The following table sets forth our interest rate swap agreements at June 30, 2016 (dollars in thousands): Notional Maturity Fair Amount Date Value Pay-fixed interest rate swap $ 7,658 May 2018 $ (158 ) Pay-fixed interest rate swap 11,183 August 2019 (496 ) Total $ 18,841 $ (654 )

Stockholders' Equity and Mezzan

Stockholders' Equity and Mezzanine Equity	6 Months Ended
	Jun. 30, 2016
Equity [Abstract]
Stockholders' Equity and Mezzanine Equity	11. Stockholders’ Equity and Mezzanine Stock Based Compensation Plans On January 13, 2016, the Company granted 110,000 shares of restricted common stock to employees pursuant to the Company’s 2014 Equity Incentive Plan. The shares vest quarterly over a period of three years from the grant date. Additionally, the Company granted 30,000 shares of vested common stock The Company recognized $2.1 million and $1.2 million in equity-based compensation expense for the three months ended June 30, 2016 and 2015, respectively, and $4.8 and $2.9 million in equity-based compensation expense for the six months ended June 30, 2016 and 2015, respectively. As of June 30, 2016, there was $16.1 million of unrecognized compensation expense related to unvested restricted stock, which is expected to be recognized over the remaining weighted average vesting period of 2.2 years. A summary of share activity under the Company’s 2014 Equity Incentive Plan is set forth below: Weighted- average Grant Shares Date Fair Value Unvested at January 1, 2016 777,019 $ 24.99 Granted 140,000 16.24 Vested (178,833 ) 23.50 Forfeitures (16,000 ) 24.21 Unvested at June 30, 2016 722,186 $ 23.37 Employee Stock Purchase Plan In January 2016, the Company issued 15,445 shares of the Company’s common stock under its Employee Stock Purchase Plan (“ESPP”) at a purchase price of $19.06 per share in connection with employee deductions of $0.2 million contributed in the July 1, 2015 through December 31, 2015 ESPP option period. For the three and six months ended June 30, 2016, the Company recognized $0.1 million and $0.2 million of compensation expense related to the ESPP during each period, respectively. For both the three and six months ended June 30, 2015, the Company recognized $0.1 million of compensation expense related to the ESPP. Mezzanine Equity On February 25, 2015, the Company exercised its call provision and redeemed 100% of the outstanding Series A Preferred Units of Behavioral Healthcare Realty, LLC for a total redemption price of approximately $8.5 million which included $0.2 million for the 3.0% call premium and $0.3 million for unpaid preferred returns.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2016
Income Tax Disclosure [Abstract]
Income Taxes	12. Income Taxes The provision for income taxes for the three and six months ended June 30, 2016 reflects an income tax benefit of $0.1 for both periods at an effective tax rate of 40.4% and 22.9%, respectively, compared to income tax expense of $3.0 million and $4.4 million at an annual effective rate of 37.1% and 37.6% for the three and six months ended June 30, 2015, respectively. The increase in effective tax rate is primarily due to the effect of permanent tax differences when compared to pre-tax book income as well as discrete items pertaining to stock compensation and other tax credits. The Internal Revenue Service is currently conducting a routine examination of the Company’s 2013 tax return. The results of such examination and impact on the Company’s results of operation are not known at this time.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	13. Fair Value of Financial Instruments The carrying amounts reported at June 30, 2016 and December 31, 2015 for cash and cash equivalents, accounts receivable, prepaid expenses and other current assets, accounts payable and accrued liabilities approximate fair value because of the short-term maturity of these instruments and are categorized as Level 1 within the GAAP fair value hierarchy. The Company has debt with variable and fixed interest rates. The fair value of debt with fixed interest rates was determined using the quoted market prices of debt instruments with similar terms and maturities, which are considered Level 2 inputs. The fair value of debt with variable interest rates was also measured using Level 2 inputs, including good faith estimates of the market value for the particular debt instrument, which represent the amount an independent market participant would provide, based upon market observations and other factors relevant under the circumstances. The carrying value of such debt approximated its estimated fair value at June 30, 2016 and December 31, 2015. The Company has entered into interest rate swap agreements to manage exposure to fluctuations in interest rates. Fair value of the interest rate swaps is determined using a pricing model based on published interest rates and other observable market data. The fair value was determined after considering the potential impact of collateralization, adjusted to reflect both our own nonperformance risk and the respective counterparty’s nonperformance risk. The fair value measurement of interest rate swaps utilizes Level 2 inputs. At June 30, 2016, the fair value of the interest rate swaps represented a liability of $0.7 million. Refer to Note 10 for further discussion of the interest rate swap agreements.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2016
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	14. Commitments and Contingencies State of California On July 29, 2015, the Superior Court of the State of California court unsealed a criminal indictment returned by a grand jury against our subsidiaries ABTTC, Inc. dba A Better Tomorrow Treatment Centers, Forterus, Inc. and Forterus Health Care Services, Inc., Jerrod N. Menz, our former President and former member of our Board of Directors, as well as a current facility-level employee and three former employees. The indictment was returned in connection with a criminal investigation by the California Department of Justice and charged the defendants with second-degree murder and dependent adult abuse in connection with the death of a client in 2010 at one of our former locations. On March 21, 2016, the court granted the defense motion to set aside and dismiss the second degree murder count as to all defendants. The dependent adult abuse charge remains in effect as to all defendants with the exception of one former employee and one current employee, who have been dismissed. On June 10, 2016, the Court granted Kristopher McCausland’s motion to sever trial from the other defendants but ordered that the corporate defendants and remaining individuals will be tried together. Trial is scheduled for August 25, 2016. The Court ordered that defendant, Kristopher McCausland’s trial would commence first, with the trial of the remaining defendants to follow immediately afterward. The Company believes the allegations are legally and factually unfounded and intends to contest them vigorously. The Company cannot estimate the amount or range of loss if the defendants were to be convicted; however, such loss could be material. Kasper v. AAC Holdings, Inc. et al. and Tenzyk c. AAC Holdings, Inc. et al. On August 24, 2015, a shareholder filed a purported class action in the United States District Court for the Middle District of Tennessee against the Company and certain of its current and former officers. The plaintiff generally alleges that the Company and certain of its current and former officers violated Sections 10(b) and/or 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by making allegedly false and/or misleading statements and failing to disclose certain information. On September 14, 2015, a second class action against the same defendants asserting essentially the same allegations was filed in the same court. On October 26, 2015, the court entered an order consolidating these two described actions into one action. On April 14, 2016, the Company and the individual defendants filed a motion to dismiss the complaint for failure to state a claim. On July 1, 2016, the court denied the motion to dismiss. The Company intends to defend this action vigorously. At this time, the Company cannot predict the results of litigation with certainty and cannot estimate the amount or range of loss, if any. The Company believes the disposition of this action will not have a material adverse effect on its consolidated results of operations or consolidated financial position. Other The New Jersey Department of Banking and Insurance (“NJ-DOBI”) and Leading Edge Recovery Center, LLC (“Leading Edge”), a former indirect operating subsidiary of American Addiction Centers, Inc. that was acquired in September 2012 and was subsequently closed in 2013, are negotiating a possible resolution to certain information provided to NJ-DOBI following Leading Edge’s recent claim settlement with Horizon Blue Cross Blue Shield of New Jersey. Based on these discussions, the Company has recorded a $250,000 reserve related to this matter in the second quarter of 2016. The Company is also aware of various other legal matters arising in the ordinary course of business. To cover these types of claims, the Company maintains insurance it believes to be sufficient for its operations, although some claims may potentially exceed the scope of coverage in effect. Plaintiffs in these matters may request punitive or other damages that may not be covered by insurance. After taking into consideration the evaluation of such matters by the Company’s legal counsel, the Company’s management at this time believes the anticipated outcome of these matters will not have a material impact on the Company’s consolidated financial position, results of operations or cash flows.

Basis of Presentation and Rec22

Basis of Presentation and Recently Issued Accounting Pronouncements (Policies)	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Recent Pronouncements	Recent Pronouncements In March 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-09, “Compensation-Stock Compensation: Improvements to Employee Share-Based Payment Accounting” (“ASU 2016-09”). ASU 2016-09 requires that all excess tax benefits and tax deficiencies resulting from share-based payments be recognized as income tax expense or benefit in the income statement, which eliminates the accounting for additional paid-in capital pools. ASU 2016-09 also allows companies to make an entity-wide policy election to either estimate the number of stock-based awards that are expected to vest or account for forfeitures as they occur. With regards to the Statement of Cash Flows, both inflows and outflows of cash related to excess tax benefits will be classified as operating activities, whereas prior to this update, excess tax benefits as cash inflows were to be classified as financing activities. Also, cash paid by an employer when directly withholding shares for tax-withholding purposes (“net share settlement”) will now be classified as a financing activity. The new standard is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. The adoption of ASU No. 2016-09 is not expected to have a material impact on the Company’s results of operations. In February 2016, the FASB issued ASU No. 2016-02, “Leases.” The new standard establishes a right-of-use (ROU) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. A modified retrospective transition approach is required for lessees for capital and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. The Company is currently evaluating the impact that adoption of this new standard will have on its consolidated financial statements. In September 2015, the FASB issued ASU 2015-16, “Business Combinations: Simplifying the Accounting for Measurement-Period Adjustments” (“ASU 2015-16”). ASU 2015-16 eliminates the requirement for an acquirer to retrospectively adjust its financial statements for changes to provisional amounts that are identified during the measurement-period following the consummation of a business combination. Instead, ASU 2015-16 requires these types of adjustments to be made during the reporting period in which they are identified and would require additional disclosure or separate presentation of the portion of the adjustment that would have been recorded in the previously reported periods as if the adjustment to the provisional amounts had been recognized as of the acquisition date. ASU 2015-16 is effective prospectively for fiscal years beginning after December 15, 2015, including interim periods within those years, with earlier application permitted for financial statements that have not been issued. The adoption of ASU 2015-16 did not have a material impact on the Company’s results of operations. In April 2015, the FASB issued ASU No. 2015-05, “Intangibles – Goodwill and Other – Internal-Use Software.” The update was effective for financial statements issued for fiscal years beginning after December 15, 2015, including interim periods within those fiscal years, with early adoption permitted. ASU 2015-05 provides guidance for customer’s accounting for fees paid in a cloud computing arrangement. If a cloud computing arrangement includes a software license, the customer should account for the software license element of the arrangement consistent with the acquisition of other software licenses. If the cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. An entity can elect to adopt the amendments either prospectively to all arrangements entered into or materially modified after the effective date or retrospectively. The adoption of ASU 2015-05 on January 1, 2016 did not have a material impact on the Company’s condensed consolidated financial statements. In May 2014, FASB and the International Accounting Standards Board issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers”, which outlines a single comprehensive model for recognizing revenue and supercedes most existing revenue recognition guidance, including guidance specific to the healthcare industry. Companies across all industries will use a new five-step model to recognize revenue from customer contracts. The new standard, which replaces nearly all existing GAAP and International Financial Reporting Standards revenue recognition guidance, will require significant management judgment in addition to changing the way many companies recognize revenue in their financial statements. The standard is effective for public entities for annual and interim periods beginning after December 15, 2017, with early adoption permitted for annual periods beginning after December 15, 2016. The Company is currently evaluating the impact that the adoption of this standard will have on its revenue recognition policies and procedures, financial position, result of operations, cash flows, financial disclosures and control framework.

Earnings Per Share (Tables)

Earnings Per Share (Tables)	6 Months Ended
	Jun. 30, 2016
Earnings Per Share [Abstract]
Schedule of Reconciliation of Numerator and Denominator Used in Calculation of Basic and Diluted Earnings Per Share	The following tables reconcile the numerator and denominator used in the calculation of basic and diluted EPS for the three and six months ended June 30, 2016 and 2015 (in thousands except share and per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Numerator Net income attributable to AAC Holdings, Inc. $ 872 $ 5,555 $ 1,458 $ 8,274 Less: Series A Preferred Unit dividends — — — (147 ) Less: Redemption of BHR Series A Preferred Units — — — (534 ) Net income attributable to common shares $ 872 $ 5,555 $ 1,458 $ 7,593 Denominator Weighted-average common shares outstanding – basic 22,761,671 21,293,512 22,429,948 21,241,839 Dilutive securities 49,674 194,304 69,116 134,371 Weighted-average common shares outstanding – diluted 22,811,345 21,487,816 22,499,064 21,376,210 Basic earnings per common share $ 0.04 $ 0.26 $ 0.07 $ 0.36 Diluted earnings per common share $ 0.04 $ 0.26 $ 0.06 $ 0.36

Acquisitions (Tables)

Acquisitions (Tables)	6 Months Ended
	Jun. 30, 2016
Business Acquisition [Line Items]
Schedule of Revenues and Income Before Income Taxes	The following presents the unaudited pro forma revenues and income before taxes of the combined entity had the acquisitions occurred on the first day of the period presented (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Total revenues $ 72,890 $ 58,912 $ 144,840 $ 117,333 Income before income tax expense $ 448 $ 8,223 $ 1,687 $ 12,328
Acquired Entities
Business Acquisition [Line Items]
Schedule of Assets Acquired and Liabilities Assumed at Acquisition Date	This consideration was preliminarily allocated to the assets acquired and liabilities assumed at the corresponding acquisition dates, based on their fair values. The Company is further assessing the valuation of receivables, assumed liabilities, real property, intangible assets, and contingent consideration, some of which are dependent on the completion of valuations being performed by independent valuation specialists. The preliminary all ocation of assets acquired and liabilities assumed at the corresponding acquisition dates, based on their fair values are as follows (in thousands): Townsend Solutions Total Accounts receivable $ 1,149 $ 1,846 $ 2,995 Property and equipment 882 5,220 6,102 Goodwill 20,310 5,815 26,125 Intangible assets 635 377 1,012 Total Assets acquired 22,976 13,258 36,234 Accrued liabilities 364 190 554 Net assets acquired $ 22,612 $ 13,068 $ 35,680

Accounts Receivable and Allow25

Accounts Receivable and Allowance for Doubtful Accounts (Tables)	6 Months Ended
	Jun. 30, 2016
Receivables [Abstract]
Summary of Allowance for Doubtful Accounts	A summary of activity in the Company’s allowance for doubtful accounts is as follows (in thousands): Balance at December 31, 2015 $ 16,877 Additions charged to provision for doubtful accounts 10,426 Accounts written off, net of recoveries (5,934 ) Balance at June 30, 2016 $ 21,369

Property and Equipment, net (Ta

Property and Equipment, net (Tables)	6 Months Ended
	Jun. 30, 2016
Property Plant And Equipment [Abstract]
Components of Property and Equipment	Property and equipment consisted of the following (in thousands): June 30, December 31, 2016 2015 Land $ 13,479 $ 13,380 Buildings and improvements 102,237 77,412 Equipment and software 22,074 16,149 Construction in progress 12,923 17,424 Total property and equipment 150,713 124,365 Less accumulated depreciation and amortization (22,090 ) (14,641 ) Property and equipment, net $ 128,623 $ 109,724

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	6 Months Ended
	Jun. 30, 2016
Goodwill And Intangible Assets Disclosure [Abstract]
Schedule of Goodwill	The increase in goodwill is due to the acquisitions of Townsend and Solutions with goodwill of as follows and discussed in Note 6. Balance at December 31, 2015 $ 108,722 Townsend Acquisition 20,310 Solutions Acquisition 5,815 Balance at June 30, 2016 $ 134,847
Components of Other Identifiable Intangible Assets	Other identifiable intangible assets and related accumulated amortization consisted of the following as of June 30, 2016 and December 31, 2015 (in thousands): Gross Carrying Value Accumulated Amortization June 30, December 31, June 30, December 31, 2016 2015 2016 2015 Trademarks 4,934 $ 4,052 1,175 $ 955 Non-compete agreements 1,357 1,257 968 838 Marketing intangibles 5,651 5,651 637 355 Leasehold interests 680 670 91 34 Other 71 51 32 29 $ 12,693 $ 11,681 $ 2,903 $ 2,211
Summary of Changes to Carrying Value of Identifiable Intangible Assets	Changes to the carrying value of identifiable assets during the year ended December 31, 2015 were as follows (in thousands): Balance at December 31, 2015 $ 9,470 Amortization expense (692 ) Townsend Acquisition 635 Solutions Acquisition 377 Balance at June 30, 2016 $ 9,790

Debt (Tables)

Debt (Tables)	6 Months Ended
	Jun. 30, 2016
Debt Disclosure [Abstract]
Summary of Debt Obligations, Net of Unamortized Discounts And Debt Issuance Costs	A summary of the Company’s debt obligations, net of unamortized discounts and debt issuance costs, is as follows (in thousands): June 30, December 31, 2016 2015 Non-related party debt: Senior secured loans, net of issuance costs $ 117,203 $ 118,936 Subordinated debt 48,806 24,240 Capital lease obligations 1,514 770 Total non-related party debt 167,523 143,946 Less current portion (4,702 ) (3,611 ) Total non-related party debt, long-term $ 162,821 $ 140,335 Related party debt: Acquisition related debt $ — $ 1,195 Less current portion — (1,195 ) Total related party debt, long-term $ — $ —
Schedule of Applicable Rates and Unused Commitment Fees	The Applicable Rates and the unused commitment fees of the 2015 Credit Facility are based upon the following tiers Pricing Tier Consolidated Total Leverage Ratio Eurodollar Rate Loans Base Rate Loans Commitment Fee 1 > 3.25 % 2.25 % 0.50 % 2 > 3.00 % 2.00 % 0.45 % 3 > 2.75 % 1.75 % 0.40 % 4 > 2.50 % 1.50 % 0.35 % 5 < 2.00:1.00 2.25 % 1.25 % 0.35 %
Schedule of Consolidated Total Leverage Ratio	· Consolidated Total Leverage Ratio: may not be greater than the following levels as of the end of each fiscal quarter: Measurement Period Ending Maximum Consolidated Total Leverage Ratio June 30, 2016 4.25:1.00 September 30, 2016 4.25:1.00 December 31, 2016 4.25:1.00 March 31, 2017 and each fiscal quarter thereafter 4.00:1.00
Schedule of Consolidated Senior Secured Leverage Ratio	· Consolidated Senior Secured Leverage Ratio may not be greater than the following levels as of the end of each fiscal quarter: Measurement Period Ending Maximum Consolidated Senior Secured Leverage Ratio June 30, 2016 3.75:1.00 September 30, 2016 3.75:1.00 December 31, 2016 3.75:1.00 March 31, 2017 and each fiscal quarter thereafter 3.50:1.00
Schedule of Interest Rate Swap Agreements	The following table sets forth our interest rate swap agreements at June 30, 2016 (dollars in thousands): Notional Maturity Fair Amount Date Value Pay-fixed interest rate swap $ 7,658 May 2018 $ (158 ) Pay-fixed interest rate swap 11,183 August 2019 (496 ) Total $ 18,841 $ (654 )

Stockholders' Equity and Mezz29

Stockholders' Equity and Mezzanine Equity (Tables)	6 Months Ended
	Jun. 30, 2016
2014 Equity Incentive Plan
Summary of Share Activity	A summary of share activity under the Company’s 2014 Equity Incentive Plan is set forth below: Weighted- average Grant Shares Date Fair Value Unvested at January 1, 2016 777,019 $ 24.99 Granted 140,000 16.24 Vested (178,833 ) 23.50 Forfeitures (16,000 ) 24.21 Unvested at June 30, 2016 722,186 $ 23.37

Description of Business - Addit

Description of Business - Additional Information (Details)	6 Months Ended
	Jun. 30, 2016FacilityCenter
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Number of operating facilities | Facility	12
Number of standalone outpatient centers | Center	18

Basis of Presentation and Rec31

Basis of Presentation and Recently Issued Accounting Pronouncements - Additional Information (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016USD ($)ProfessionalGroup	Jun. 30, 2015USD ($)	Jun. 30, 2016USD ($)ProfessionalGroup	Jun. 30, 2015USD ($)	Dec. 31, 2015USD ($)
Business And Basis Of Presentation [Line Items]
Assets	$ 362,200		$ 362,200		$ 316,049
Liabilities	205,675		205,675		179,561
Less: net (income) loss attributable to noncontrolling interest	$ (1,030)	$ (439)	$ (1,885)	$ (1,039)
VIEs
Business And Basis Of Presentation [Line Items]
Number of professional groups | ProfessionalGroup	7		7
Assets	$ 1,400		$ 1,400		1,400
Liabilities	1,100		1,100		$ 600
Less: net (income) loss attributable to noncontrolling interest	$ 800	$ 400	$ 1,700	$ 1,000

Other Revenue - Additional Info

Other Revenue - Additional Information (Details)	6 Months Ended
	Jun. 30, 2016
Referral Solutions Group LLC
Revenues
Business acquisition, effective date of acquisition	Jul. 2, 2015

General and Administrative Co33

General and Administrative Costs - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
General And Administrative Costs [Abstract]
General and administrative expense	$ 17.8	$ 11.3	$ 35.1	$ 19.3

Earnings Per Share - Schedule o

Earnings Per Share - Schedule of Reconciliation of Numerator and Denominator Used in Calculation of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	Feb. 25, 2015	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Numerator
Net income attributable to AAC Holdings, Inc.		$ 872	$ 5,555	$ 1,458	$ 8,274
Net income available to AAC Holdings, Inc. common stockholders		$ 872	$ 5,555	$ 1,458	$ 7,593
Denominator
Weighted-average common shares outstanding – basic		22,761,671	21,293,512	22,429,948	21,241,839
Dilutive securities		49,674	194,304	69,116	134,371
Weighted-average common shares outstanding – diluted		22,811,345	21,487,816	22,499,064	21,376,210
Basic earnings per common share		$ 0.04	$ 0.26	$ 0.07	$ 0.36
Diluted earnings per common share		$ 0.04	$ 0.26	$ 0.06	$ 0.36
Series A Preferred Stock
Numerator
Redemption of BHR Series A Preferred Units	$ (200)
BHR | Series A Preferred Stock
Numerator
BHR Series A Preferred Unit dividends					$ (147)
Redemption of BHR Series A Preferred Units					$ (534)

Acquisitions - Additional Infor

Acquisitions - Additional Information (Details) $ in Thousands	May 03, 2016USD ($)shares	Apr. 02, 2016USD ($)CenterBedsshares	Jun. 30, 2016USD ($)	Jun. 30, 2015USD ($)	Jun. 30, 2016USD ($)	Jun. 30, 2015USD ($)
Business Acquisition [Line Items]
Revenue			$ 71,542	$ 53,784	$ 136,890	$ 96,607
Townsend Acquisition
Business Acquisition [Line Items]
Business acquisition cash paid		$ 13,500
Common stock issued in connection with business combination, shares restricted | shares		447,369
Number of bed treatment facility | Beds		32
Number of intensive outpatient programs | Center		7
Number of beds licensed in detoxification, inpatient treatment and in-network lab | Beds		20
Provisions for contingent consideration		$ 2,000
Contingent consideration purchase price		$ 2,000
Solutions Acquisition
Business Acquisition [Line Items]
Business acquisition cash paid	$ 6,800
Common stock issued in connection with business combination, shares restricted | shares	309,871
Acquired Entities
Business Acquisition [Line Items]
Revenue			$ 5,200		$ 5,200

Acquisitions - Schedule of Asse

Acquisitions - Schedule of Assets Acquired and Liabilities Assumed at Acquisition Date (Details) - USD ($) $ in Thousands	Jun. 30, 2016	May 03, 2016	Apr. 02, 2016	Dec. 31, 2015
Business Acquisition [Line Items]
Goodwill	$ 134,847			$ 108,722
Townsend
Business Acquisition [Line Items]
Accounts receivable			$ 1,149
Property and equipment			882
Goodwill			20,310
Intangible assets			635
Total Assets acquired			22,976
Accrued liabilities			364
Net assets acquired			$ 22,612
Solutions
Business Acquisition [Line Items]
Accounts receivable		$ 1,846
Property and equipment		5,220
Goodwill		5,815
Intangible assets		377
Total Assets acquired		13,258
Accrued liabilities		190
Net assets acquired		$ 13,068
Acquired Entities
Business Acquisition [Line Items]
Accounts receivable	2,995
Property and equipment	6,102
Goodwill	26,125
Intangible assets	1,012
Total Assets acquired	36,234
Accrued liabilities	554
Net assets acquired	$ 35,680

Acquisitions - Schedule of Reve

Acquisitions - Schedule of Revenues and Income Before Income Taxes (Details) - Acquired Entities - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Business Acquisition [Line Items]
Total revenues	$ 72,890	$ 58,912	$ 144,840	$ 117,333
Income before income tax expense	$ 448	$ 8,223	$ 1,687	$ 12,328

Accounts Receivable and Allow38

Accounts Receivable and Allowance for Doubtful Accounts - Summary of Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Receivables [Abstract]
Balance at December 31, 2015			$ 16,877
Additions charged to provision for doubtful accounts	$ 4,943	$ 4,177	10,426	$ 7,559
Accounts written off, net of recoveries			(5,934)
Balance at June 30, 2016	$ 21,369		$ 21,369

Accounts Receivable and Allow39

Accounts Receivable and Allowance for Doubtful Accounts - Additional Information (Details) - Revenues	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Anthem Blue Cross Blue Shield | COLORADO
Accounts Notes And Loans Receivable [Line Items]
Percentage of revenues reimbursed	12.40%	16.70%
Blue Cross Blue Shield | TEXAS
Accounts Notes And Loans Receivable [Line Items]
Percentage of revenues reimbursed	10.50%	12.80%
Aetna
Accounts Notes And Loans Receivable [Line Items]
Percentage of revenues reimbursed	10.90%	11.60%

Property and Equipment, net - C

Property and Equipment, net - Components of Property and Equipment (Details) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Property Plant And Equipment [Line Items]
Total property and equipment	$ 150,713	$ 124,365
Less accumulated depreciation and amortization	(22,090)	(14,641)
Property and equipment, net	128,623	109,724
Land
Property Plant And Equipment [Line Items]
Total property and equipment	13,479	13,380
Building and Building Improvements
Property Plant And Equipment [Line Items]
Total property and equipment	102,237	77,412
Equipment and Software
Property Plant And Equipment [Line Items]
Total property and equipment	22,074	16,149
Construction in progress
Property Plant And Equipment [Line Items]
Total property and equipment	$ 12,923	$ 17,424

Goodwill and Intangible Asset41

Goodwill and Intangible Assets - Additional Information (Details) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Goodwill And Intangible Assets Disclosure [Abstract]
Intangible assets	$ 0
Goodwill impairment charge		$ 0
Goodwill	$ 134,847,000	$ 108,722,000

Goodwill and Intangible Asset42

Goodwill and Intangible Assets - Summary of Increase In Goodwill Related To Acquisition (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2016USD ($)
Finite Lived Intangible Assets [Line Items]
Beginning balance	$ 108,722
Ending balance	134,847
Townsend Acquisition
Finite Lived Intangible Assets [Line Items]
Increase in goodwill acquisition	20,310
Solutions Acquisition
Finite Lived Intangible Assets [Line Items]
Increase in goodwill acquisition	$ 5,815

Goodwill and Intangible Asset43

Goodwill and Intangible Assets - Components of Other Identifiable Intangible Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Schedule Of Finite And Indefinite Lived Other Intangible Assets [Line Items]
Gross Carrying Value	$ 12,693	$ 11,681
Accumulated Amortization	2,903	2,211
Trademarks
Schedule Of Finite And Indefinite Lived Other Intangible Assets [Line Items]
Gross Carrying Value	4,934	4,052
Accumulated Amortization	1,175	955
Non-compete agreements
Schedule Of Finite And Indefinite Lived Other Intangible Assets [Line Items]
Gross Carrying Value	1,357	1,257
Accumulated Amortization	968	838
Marketing Intangibles
Schedule Of Finite And Indefinite Lived Other Intangible Assets [Line Items]
Gross Carrying Value	5,651	5,651
Accumulated Amortization	637	355
Leasehold interests
Schedule Of Finite And Indefinite Lived Other Intangible Assets [Line Items]
Gross Carrying Value	680	670
Accumulated Amortization	91	34
Other
Schedule Of Finite And Indefinite Lived Other Intangible Assets [Line Items]
Gross Carrying Value	71	51
Accumulated Amortization	$ 32	$ 29

Goodwill and Intangible Asset44

Goodwill and Intangible Assets - Summary of Changes to Carrying Value of Identifiable Intangible Assets (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2016USD ($)
Schedule Of Finite And Indefinite Lived Other Intangible Assets [Line Items]
Beginning balance	$ 9,470
Amortization expense	(692)
Ending balance	9,790
Townsend Acquisition
Schedule Of Finite And Indefinite Lived Other Intangible Assets [Line Items]
Acquisition of intangibles	635
Solutions Acquisition
Schedule Of Finite And Indefinite Lived Other Intangible Assets [Line Items]
Acquisition of intangibles	$ 377

Debt - Summary of Debt Obligati

Debt - Summary of Debt Obligations, Net of Unamortized Discounts and Debt Issuance Costs (Details) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Line Of Credit Facility [Line Items]
Total non-related party debt	$ 167,523	$ 143,946
Less current portion	(4,702)	(3,611)
Total non-related party debt, long-term	162,821	140,335
Less current portion		(1,195)
Senior Secured Term Loan
Line Of Credit Facility [Line Items]
Long term debt	117,203	118,936
Subordinated Debt
Line Of Credit Facility [Line Items]
Subordinated debt	48,806	24,240
Capital Lease Obligations
Line Of Credit Facility [Line Items]
Long term debt	$ 1,514	770
Acquisition-Related Debt
Line Of Credit Facility [Line Items]
Total related party debt		$ 1,195

Debt - Credit Facility - Additi

Debt - Credit Facility - Additional Information (Details) - USD ($)	Aug. 04, 2016	Mar. 09, 2015	Jun. 30, 2016	Aug. 07, 2015	Jul. 01, 2015
Revolver
Line Of Credit Facility [Line Items]
Long-term Line of Credit			$ 700,000
2015 Credit Facility
Line Of Credit Facility [Line Items]
Debt instrument, term		5 years
Credit facility borrowing capacity		$ 125,000,000
Repayment of outstanding debt		24,900,000
Maximum borrowing limit		$ 200,000,000
Description of payment of principal installments		The 2015 Credit Facility generally requires quarterly interest payments.
Description of interest rate		Applicable Rate plus the highest of (i) the federal funds rate plus 0.50%, (ii) the prime rate and (iii) the Eurodollar Rate plus 1.0% (the interest rate at June 30, 2016 was 3.88%).
Interest rate at the end of period			3.88%
Debt instrument, covenant compliance			the Company was in compliance with all applicable covenants
2015 Credit Facility | Minimum
Line Of Credit Facility [Line Items]
Fixed charge coverage ratio		1.50%
2015 Credit Facility | Subsequent Event
Line Of Credit Facility [Line Items]
Credit facility borrowing capacity	$ 171,300,000
Maximum borrowing limit	$ 75,000,000
2015 Credit Facility | Subsequent Event | London Interbank Offered Rate (LIBOR) | Minimum
Line Of Credit Facility [Line Items]
Interest rate	2.25%
2015 Credit Facility | Subsequent Event | London Interbank Offered Rate (LIBOR) | Maximum
Line Of Credit Facility [Line Items]
Interest rate	3.25%
2015 Credit Facility | Subsequent Event | Base Rate | Minimum
Line Of Credit Facility [Line Items]
Interest rate	1.25%
2015 Credit Facility | Subsequent Event | Base Rate | Maximum
Line Of Credit Facility [Line Items]
Interest rate	2.25%
2015 Credit Facility | Revolver
Line Of Credit Facility [Line Items]
Credit facility borrowing capacity		$ 50,000,000	$ 50,000,000	$ 50,000,000	$ 50,000,000
Debt issuance costs		$ 1,400,000
Revolving line of credit maturity date		Mar. 9, 2020
Commitment fee on undrawn amounts, percentage			0.50%
Long-term Line of Credit			$ 47,000,000	$ 32,000,000	$ 15,000,000
2015 Credit Facility | Revolver | Standby Letters of Credit
Line Of Credit Facility [Line Items]
Long-term Line of Credit			$ 2,300,000
2015 Credit Facility | Revolver | Minimum
Line Of Credit Facility [Line Items]
Commitment fee on undrawn amounts, percentage		0.35%
2015 Credit Facility | Revolver | Maximum
Line Of Credit Facility [Line Items]
Commitment fee on undrawn amounts, percentage		0.50%
2015 Credit Facility | Revolver | Subsequent Event
Line Of Credit Facility [Line Items]
Credit facility borrowing capacity	$ 50,000,000
2015 Credit Facility | Term Loan
Line Of Credit Facility [Line Items]
Credit facility borrowing capacity		$ 75,000,000
Revolving line of credit maturity date		Mar. 9, 2020
2015 Credit Facility | Term Loan | September 30, 2016
Line Of Credit Facility [Line Items]
Monthly principal payments		$ 900,000
2015 Credit Facility | Term Loan | December 31, 2016
Line Of Credit Facility [Line Items]
Monthly principal payments		1,600,000
2015 Credit Facility | Term Loan | March 31, 2017 to December 31, 2017
Line Of Credit Facility [Line Items]
Monthly principal payments		2,300,000
2015 Credit Facility | Term Loan | March 31, 2018 to December 31, 2018
Line Of Credit Facility [Line Items]
Monthly principal payments		3,900,000
2015 Credit Facility | Term Loan | March 31, 2019 to December 31, 2019
Line Of Credit Facility [Line Items]
Monthly principal payments		$ 4,700,000
2015 Credit Facility | Term Loan | Subsequent Event
Line Of Credit Facility [Line Items]
Credit facility borrowing capacity	$ 121,300,000
Revolving line of credit maturity month	2020-03
2015 Credit Facility | Base Rate Loans | Federal Funds Rate
Line Of Credit Facility [Line Items]
Interest rate		0.50%
2015 Credit Facility | Base Rate Loans | Eurodollar Rate
Line Of Credit Facility [Line Items]
Interest rate		1.00%

Debt - Schedule of Applicable R

Debt - Schedule of Applicable Rates and Unused Commitment Fees (Details) - 2015 Credit Facility	Mar. 09, 2015
Pricing Tier 1
Line Of Credit Facility [Line Items]
Commitment Fee	0.50%
Pricing Tier 1 | Eurodollar Rate Loans
Line Of Credit Facility [Line Items]
Interest rate	3.25%
Pricing Tier 1 | Base Rate Loans
Line Of Credit Facility [Line Items]
Interest rate	2.25%
Pricing Tier 1 | Minimum
Line Of Credit Facility [Line Items]
Leverage Ratio	350.00%
Pricing Tier 2
Line Of Credit Facility [Line Items]
Commitment Fee	0.45%
Pricing Tier 2 | Eurodollar Rate Loans
Line Of Credit Facility [Line Items]
Interest rate	3.00%
Pricing Tier 2 | Base Rate Loans
Line Of Credit Facility [Line Items]
Interest rate	2.00%
Pricing Tier 2 | Minimum
Line Of Credit Facility [Line Items]
Leverage Ratio	300.00%
Pricing Tier 2 | Maximum
Line Of Credit Facility [Line Items]
Leverage Ratio	350.00%
Pricing Tier 3
Line Of Credit Facility [Line Items]
Commitment Fee	0.40%
Pricing Tier 3 | Eurodollar Rate Loans
Line Of Credit Facility [Line Items]
Interest rate	2.75%
Pricing Tier 3 | Base Rate Loans
Line Of Credit Facility [Line Items]
Interest rate	1.75%
Pricing Tier 3 | Minimum
Line Of Credit Facility [Line Items]
Leverage Ratio	250.00%
Pricing Tier 3 | Maximum
Line Of Credit Facility [Line Items]
Leverage Ratio	300.00%
Pricing Tier 4
Line Of Credit Facility [Line Items]
Commitment Fee	0.35%
Pricing Tier 4 | Eurodollar Rate Loans
Line Of Credit Facility [Line Items]
Interest rate	2.50%
Pricing Tier 4 | Base Rate Loans
Line Of Credit Facility [Line Items]
Interest rate	1.50%
Pricing Tier 4 | Minimum
Line Of Credit Facility [Line Items]
Leverage Ratio	200.00%
Pricing Tier 4 | Maximum
Line Of Credit Facility [Line Items]
Leverage Ratio	250.00%
Pricing Tier 5
Line Of Credit Facility [Line Items]
Commitment Fee	0.35%
Pricing Tier 5 | Eurodollar Rate Loans
Line Of Credit Facility [Line Items]
Interest rate	2.25%
Pricing Tier 5 | Base Rate Loans
Line Of Credit Facility [Line Items]
Interest rate	1.25%
Pricing Tier 5 | Maximum
Line Of Credit Facility [Line Items]
Leverage Ratio	200.00%

Debt - Schedule of Consolidated

Debt - Schedule of Consolidated Total Leverage Ratio (Details) - 2015 Credit Facility - Maximum	Mar. 09, 2015
June 30, 2016
Line Of Credit Facility [Line Items]
Leverage Ratio	425.00%
September 30, 2016
Line Of Credit Facility [Line Items]
Leverage Ratio	425.00%
December 31, 2016
Line Of Credit Facility [Line Items]
Leverage Ratio	425.00%
March 31, 2017 and Each Fiscal Quarter Thereafter
Line Of Credit Facility [Line Items]
Leverage Ratio	400.00%

Debt - Schedule of Consolidat49

Debt - Schedule of Consolidated Senior Secured Leverage Ratio (Details) - 2015 Credit Facility - Maximum	Mar. 09, 2015
June 30, 2016
Line Of Credit Facility [Line Items]
Consolidated Senior Secured Leverage Ratio	375.00%
September 30, 2016
Line Of Credit Facility [Line Items]
Consolidated Senior Secured Leverage Ratio	375.00%
December 31, 2016
Line Of Credit Facility [Line Items]
Consolidated Senior Secured Leverage Ratio	375.00%
March 31, 2017 and Each Fiscal Quarter Thereafter
Line Of Credit Facility [Line Items]
Consolidated Senior Secured Leverage Ratio	350.00%

Debt - 2015 Subordinated Debt -

Debt - 2015 Subordinated Debt - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands	Oct. 02, 2015	Jun. 30, 2016	Jun. 30, 2016	Jun. 30, 2015
Line Of Credit Facility [Line Items]
Proceeds from long-term debt			$ 24,500	$ 73,802
2.50% Subordinated Convertible Debt Maturing September 30, 2021
Line Of Credit Facility [Line Items]
Debt instrument, face amount	$ 25,000
Debt instrument, unused capacity	50,000
Proceeds from long-term debt	$ 25,000
Interest rate	2.50%
Maturity Date	Sep. 30, 2021
Conversion price per share	$ 30
Long term debt		$ 25,000	$ 25,000
Debt instrument, interest rate		2.50%	2.50%
12.0% Unsecured Subordinated Convertible Debt Maturing October 02, 2020
Line Of Credit Facility [Line Items]
Debt instrument, face amount	$ 25,000
Long term debt		$ 25,000	$ 25,000
Debt instrument, interest rate		12.00%	12.00%
12.0% Unsecured Subordinated Convertible Debt Maturing October 02, 2020 | Townsend and Solutions [Member]
Line Of Credit Facility [Line Items]
Debt instrument, face amount		$ 25,000	$ 25,000
Interest rate		12.00%	12.00%
Maturity Date		Oct. 2, 2020
2015 Subordinated Debt Issuance [Member]
Line Of Credit Facility [Line Items]
Deferred debt issuance costs	$ 1,400

Debt - Acquisition Related Debt

Debt - Acquisition Related Debt - Additional Information (Details) - Acquisition-Related Debt - TSN Acquisition - Notes Payable - USD ($) $ in Millions	Feb. 29, 2016	Dec. 31, 2015
Line Of Credit Facility [Line Items]
Amount of subordinated note payable		$ 1.2
Monthly principal payments	$ 1.2
Accrued interest	$ 0.2

Debt - Interest Rate Swap Agree

Debt - Interest Rate Swap Agreements - Additional Information (Details)	1 Months Ended
	Jul. 31, 2014USD ($)Agreement	Jun. 30, 2016USD ($)	Dec. 31, 2015USD ($)
Line Of Credit Facility [Line Items]
Number of interest rate swap agreement | Agreement	2
Interest rate swap agreement initial notional amount		$ 18,841,000
Fair value of interest rate swaps, liability		654,000	$ 464,000
Agreement One
Line Of Credit Facility [Line Items]
Interest rate swap agreement initial notional amount	$ 8,900,000	7,658,000
Interest rate swap agreement percentage	4.21%
Fair value of interest rate swaps, liability		158,000
Agreement Two
Line Of Credit Facility [Line Items]
Interest rate swap agreement initial notional amount	$ 13,200,000	11,183,000
Interest rate swap agreement percentage	4.73%
Fair value of interest rate swaps, liability		$ 496,000

Debt - Schedule of Interest Rat

Debt - Schedule of Interest Rate Swap Agreements (Details) - USD ($)	6 Months Ended
	Jun. 30, 2016	Dec. 31, 2015	Jul. 31, 2014
Line Of Credit Facility [Line Items]
Notional Amount	$ 18,841,000
Fair Value	(654,000)	$ (464,000)
Agreement One
Line Of Credit Facility [Line Items]
Notional Amount	$ 7,658,000		$ 8,900,000
Maturity Date	May 31, 2018
Fair Value	$ (158,000)
Agreement Two
Line Of Credit Facility [Line Items]
Notional Amount	$ 11,183,000		$ 13,200,000
Maturity Date	Aug. 31, 2019
Fair Value	$ (496,000)

Stockholders' Equity and Mezz54

Stockholders' Equity and Mezzanine Equity - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands	Jan. 13, 2016	Feb. 25, 2015	Jan. 31, 2016	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Stockholders Equity And Mezzanine Equity [Line Items]
Compensation expense				$ 2,100	$ 1,200	$ 4,800	$ 2,900
Effect of employee stock purchase plan						347
Series A Preferred Stock
Stockholders Equity And Mezzanine Equity [Line Items]
Preferred stock redemption percentage		100.00%
Preferred units redeemed, value		$ 8,500
Preferred stock redemption call premium amount		$ 200
Preferred stock redemption call premium percentage		3.00%
Preferred stock redemption unpaid returns		$ 300
Employee Stock Purchase Plan
Stockholders Equity And Mezzanine Equity [Line Items]
Compensation expense				100	$ 100	$ 200	$ 100
Employee stock purchase plan, shares issued			15,445
Purchase price per share			$ 19.06
Effect of employee stock purchase plan			$ 200
Restricted Stock | Five Non Employee Directors
Stockholders Equity And Mezzanine Equity [Line Items]
Fully vested common stock granted	30,000
2014 Equity Incentive Plan | Restricted Stock
Stockholders Equity And Mezzanine Equity [Line Items]
Stock options, granted	110,000
Share-based compensation , award vesting period						3 years
Unrecognized compensation expenses				$ 16,100		$ 16,100
Weighted average life of remaining vesting period						2 years 2 months 12 days

Stockholders' Equity and Mezz55

Stockholders' Equity and Mezzanine Equity - Summary of Share Activity (Details) - 2014 Equity Incentive Plan	6 Months Ended
	Jun. 30, 2016$ / sharesshares
Nonvested, Number of Shares [Roll Forward]
Beginning Balance, Shares | shares	777,019
Granted, Shares | shares	140,000
Vested, Shares | shares	(178,833)
Forfeitures, Shares | shares	(16,000)
Ending Balance, Shares | shares	722,186
Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Beginning Balance, Weighted-average Grant Date Fair Value | $ / shares	$ 24.99
Granted, Weighted-average Grant Date Fair Value | $ / shares	16.24
Vested, Weighted-average Grant Date Fair Value | $ / shares	23.50
Forfeitures, Weighted-average Grant Date Fair Value | $ / shares	24.21
Ending Balance, Weighted-average Grant Date Fair Value | $ / shares	$ 23.37

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Effective tax rates on provision for income taxes	40.40%	37.10%	22.90%	37.60%
Income tax (benefit) expense	$ (107)	$ 3,014	$ (127)	$ 4,359

Fair Value of Financial Instr57

Fair Value of Financial Instruments - Additional Information (Details) $ in Millions	Jun. 30, 2016USD ($)
Fair Value Disclosures [Abstract]
Fair value of interest rate swap	$ 0.7

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Details)	Jun. 30, 2016USD ($)
Leading Edge Recovery Center L L C
Loss Contingencies [Line Items]
Litigation reserve	$ 250,000