Exhibit 99.2
Amedisys, Inc.
Reconciliation of Non-GAAP Financial Measurements to GAAP Financial Statements
(In thousands)
For the three-month periods ended | For the nine-month period ended | |||||||||||||||||||
March 31, 2008 | June 30, 2008 | September 30, 2008 | September 30, 2008 | |||||||||||||||||
Net income | $ | 16,464 | $ | 20,384 | $ | 23,493 | $ | 60,341 | ||||||||||||
Add: | ||||||||||||||||||||
Provision for Income Taxes | 10,772 | 13,337 | 15,144 | 39,253 | ||||||||||||||||
Interest expense (income), net | 658 | 5,178 | 4,833 | 10,669 | ||||||||||||||||
Depreciation and amortization | 4,424 | 5,419 | 5,885 | 15,728 | ||||||||||||||||
Earnings before interest, taxes, depreciation, and amortization ("EBITDA") (1) | 32,318 | 44,318 | 49,355 | 125,991 | ||||||||||||||||
Add: | ||||||||||||||||||||
Certain TLC acquisition costs (2) | — | 2,671 | 1,072 | 3,743 | ||||||||||||||||
Adjusted EBITDA (3) | $ | 32,318 | $ | 46,989 | $ | 50,427 | $ | 129,734 | ||||||||||||
For the three-month periods ended | For the twelve-month period ended | |||||||||||||||||||
March 31, 2007 | June 30, 2007 | September 30, 2007 | December 31, 2007 | December 31, 2007 | ||||||||||||||||
Net income | $ | 13,265 | $ | 14,917 | $ | 20,216 | $ | 16,715 | $ | 65,113 | ||||||||||
Add: | ||||||||||||||||||||
Provision for Income Taxes | 8,445 | 9,347 | 10,391 | 10,115 | 38,298 | |||||||||||||||
Interest expense (income), net | (863 | ) | (1,025 | ) | (756 | ) | (506 | ) | (3,150 | ) | ||||||||||
Depreciation and amortization | 2,741 | 3,030 | 3,853 | 4,125 | 13,749 | |||||||||||||||
EBITDA (1) | 23,588 | 26,269 | 33,704 | 30,449 | 114,010 | |||||||||||||||
Less: | ||||||||||||||||||||
Alliance (4) | — | — | (4,212 | ) | — | (4,212 | ) | |||||||||||||
Adjusted EBITDA (3) | $ | 23,588 | $ | 26,269 | $ | 29,492 | $ | 30,449 | $ | 109,798 | ||||||||||
For the three-month periods ended | For the twelve-month period ended | |||||||||||||||||||
March 31, 2006 | June 30, 2006 | September 30, 2006 | December 31, 2006 | December 31, 2006 | ||||||||||||||||
Net income | $ | 7,284 | $ | 9,053 | $ | 10,559 | $ | 11,359 | $ | 38,255 | ||||||||||
Add: | ||||||||||||||||||||
Provision for Income Taxes | 4,618 | 5,739 | 6,695 | 6,590 | 23,642 | |||||||||||||||
Interest expense (income), net | 918 | 902 | 664 | 1,226 | 3,710 | |||||||||||||||
Depreciation and amortization | 2,373 | 2,477 | 2,487 | 2,769 | 10,106 | |||||||||||||||
EBITDA (1) | $ | 15,193 | $ | 18,171 | $ | 20,405 | $ | 21,944 | $ | 75,713 | ||||||||||
(1) | EBITDA is defined as net income before provision for income taxes, net interest expense, and depreciation and amortization. EBITDA should not be considered as an alternative to, or more meaningful than, income before income taxes, cash flow from operating activities, or other traditional indicators of operating performance. This calculation of EBITDA may not be comparable to a similarly titled measure reported by other companies, since not all companies calculate this non-GAAP financial measure in the same manner. |
(2) | Certain TLC integration costs incurred primarily for the payment of severances for TLC employees and for the conversion of the acquired TLC agencies to our operating systems including our Point of Care network. |
(3) | Adjusted EBITDA is defined as net income before provision for income taxes, net interest expense, and depreciation and amortization plus certain adjustments (i.e. TLC integration costs in 2008 and Alliance in 2007. See note 2 and 4, respectively, for additional details to these adjustments). Adjusted EBITDA should not be considered as an alternative to, or more meaningful than, income before income taxes, cash flow from operating activities, or other traditional indicators of operating performance. This calculation of Adjusted EBITDA may not be comparable to a similarly titled measure reported by other companies, since not all companies calculate this non-GAAP financial measure in the same manner. |
(4) | Alliance Home Health, Inc. (“Alliance”), a wholly owned subsidiary of ours filed for Chapter 7 federal bankruptcy protection in September 2000. That case is now concluded. As a result, the remaining $4.2 million liabilities of Alliance were extinguished and we are not liable for any of these obligations. The discharge of the liabilities was a non-taxable event. |