ENSG - Earnings call transcript Q1 2024

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Operator

Thanks for standing by. My name is Mandeep, and I'll be your conference operator today. At this time, I would like to welcome everyone to the Ensign Group, Inc.

First Quarter Fiscal Year 2024 Earnings Conference Call. [Operator Instructions] I would now like to turn the conference over to Mr. Keetch.

begin. may You

Chad Keetch

of and on release operator, Investor We our until A filed and section available statements also Thank our listening replay on of XXXX, and this welcome, it press website Friday, replay ensigngroup.net. at May yesterday, our to p.m. the statements call want is May a We earnings these as will of be remind Pacific you, anyone X:XX website everyone. today, this available that Relations been to be all made not XX, XXXX. that are of may today's or be subsequent updated have call call. X, will on to

business or statements based could which today not encouraged are on in today's forward-looking discussion from are on expectations, we on call. could those differ operate. any These assumptions actual of review to our factors made that our should the about to uncertainties and statements expressed forward-looking risks and a statements environment current SEC results. Also, filings to our results that subject Listeners more materially our cause for reliance management's complete and implied beliefs and undue impact place are

other new independent of by information, laws, required as statements future forward-looking federal update changing Except reason. as or any result not Ensign events, subsidiaries or and securities undertake its do revise publicly arise any for to where a circumstances changes

Ensign employees the Group, a company assets, or addition, In operating is no holding with Inc. revenues. direct

other contractual such independent technology, legal, provide with to services the and center, information payroll, subsidiaries, subsidiaries. accounting, human referred collectively Certain management other relationships resources, subsidiaries to the independent as of our through risk service

general certain subsidiary, to compensation professional captive insurance and insurance workers' operating our for liabilities. liability, claims companies addition, as the which captive, well refer for as to coverage our as made provides insurance In we

and tenants are enters Standard subsidiaries as trust, invests certain Ensign with into captive a and the to Ensign and subsidiaries. properties consolidated independent owns as with in Ensign, words real the lease Inc., of The REIT, that Bearer third-party its that we, unaffiliated also estate company, investment healthcare refer agreements Ensign Healthcare Group our Group. us Ensign, which is well

our the REIT Healthcare of and Standard independent that insurance employees by companies Center, are Service their operated independent All subsidiaries, own separate Bearer and captive the have assets. management,

similar company the the Ensign as herein References nor to and words well revenue assets not imply meant are Ensign the as the consolidated any has that be of assets, activities, should the and direct to that employees operating as operated meaning terms and its we, Group us, subsidiaries or by use are our construed of Group. or

viewed provide our they complete Also, in we business, GAAP XX-Q. exclusion non-GAAP is with more and yesterday's reports. of A that our release not should these GAAP believe a metrics. together we GAAP our to our results, measures is in reporting available available with press can non-GAAP relied Form reconciliation of understanding be supplement When the GAAP upon

over I'll Port, our the that, to Barry? with And Barry call turn CEO.

Barry Port

and our everyone, that we're teams you, seeing the remarkable about joining We're teams look excited thank continued continue After that us and our again. performance year. created Thanks, quarter, for to portfolio local throughout record today. with achieved Chad, have momentum another the forward and across consistent pleased our entire the

services. an to mix increasing enormous both over in number our increase revenue We strength portfolio, quarter. mix an of our continue demonstrates to see of skilled our in performance skilled the ongoing in skilled quarter, of inherent encouraged X.X% been, same-store in as see opportunities skilled existing days were during sequentially, increase new in growing operations the X.X%, mix and post-acute This of strong trend an the increase same-store has mix acquisitions. fourth As in we the skilled and demand continued for with

quarter same-store grew first for of also first occupancy see for reached XX%, same-store time and which surpassed pre-pandemic occupancies, We by quarter to prior the XXXX. X.X% excited since are the year over quarter the

celebrate an our milestone, same-store While operate portfolio mature this percent most of as incredible we dozens upside of same-store amount have still operations the XX-plus in our range. built-in occupancy

solely of growth in continue a allow As us build same-store operators cultural to on to yesterday, acquiring newly portfolio, we our and and as operational acquired That have they and our will consistent over represent which estate achieving realize without to excellence mix been and results, our the have saw of continue we now over time financial costs, on results said, busy potential foundation solid in new our inherent transitioning total strong you our beds. buckets operations. real sustainable delivered XX% occupancy acquiring operations will continue the depending release that press clinical new skilled

We growth enormous within have growing buckets. those organic potential

and mix and respectively. transitioning the for skilled XX%, the XX% and skilled nursing were XX%, and occupancy in operations To same-store XX% while respectively, our mix bucket give our were days days some occupancy perspective, skilled

we As each operations mature. they new unlock our we've as decades, to these two expect teams of shown over in significant upside

of most you minimum As staffing CMS last know, rule final a issued week.

minor the proposed various few received the of amount with issued they despite year much of expected, rule and from all all overwhelming line final operators is rule As in including very differences, geographies. the sizes CMS in last stakeholders, feedback a with

to severely precarious deeply an our the this the strongly nationwide While to and is, population. constructive and much rule care quality for nursing we believe serve only of long-term on the care nursing especially access supply labor policy staffing seniors, of We increase more assisting industry of the light ability of rewarding in shortage would the quality it problem, disagree it to committed are skilled be the caregivers. to with that increasing survives growing we believe focus exacerbates providers and would already limit outcomes as if to rule

quality ultimately result care impact have and quality operators, of limiting largest its will providers, rule which capitalized will on thinly options population. for more this and smaller in the senior Unfortunately, are many

will However, significantly X we either rule encouraged are mitigated that its years. the in can to before support will see X or altered. in legislature, rule be effects this long overturned being entirely result rule effect or the optimistic to that We're this be takes in bipartisan eliminated

addition, and our overturned likely industry court. the be representatives is have In in highly this and experts this preparing to their challenge grounds, legal rule federal to on in rule several been courts believe

is being would by the elections be Lastly, outcome ideologies, its rule depends survival place on because several political rule before this will implemented. take of the also driven that

RUGS adjust changes XXXX, locally have over and in the to CEOs to shown leaders to again been specific as to you in and meantime, In in regulatory very we've able market pandemic, reimbursement back or strategy look the when our local like built respond in PDPM individual these, way. driven model changes changes operational our XXXX, comes, in XXXX over our and the COVID and change dynamics is frequent imposed shift Whether and IV rapidly to COOs thoughtful or like seismic respond operation our on business their a during any respond.

to local prices. new industry capital or acquisition being when is less continue add attractive addition, regulatory our in operations us to leads to the space, our approach invested favor at uncertainty has allowed of out In

but their so regulatory As because ultimately market what so, have minimum thrive other with share. built and that our only to the with in not survive, or done change. to of to have we confidence local It's that future, staffing healthcare no their partners unforeseeable grow happens grown they we much have teams them have demonstrated matter are capabilities changes and

our depends the continue of Our on been talent. and always the and is training care paramount staffing the that relentless focus. over any will in focus coming change. and attracting great to other Becoming our regardless strategy mandates Good success been, has years our to each markets months or of employer choice of entirely has be,

since in of also customer seen Likewise, for focus during local to wage of peak thrilled the lower while row, a turnover is third-party simultaneously the of philosophy. row, efforts quarter fifth XX%, of improved see its slowing, the which of in reduction see quarter in we the We're a agency reduction pace continue again the fruits quarter and We've by agencies to encouraged use usage XXXX. of leaders December representing in inflation for a are successfully talent. recruit in which our evidence the a we nursing a of the to on second continue tenth result these new

As new yet we of the saw quarter, end of hires again. net the increased

results to cultural our our through. confident strong ability clinical proven our being values, talent to We to operating that attract shine organization principles, and will true are by

we've instead adjusted in a Pennant midpoint Group earnings $X.XX annual billion. performance than guidance This event as annual or of billion to guidance comes growth from on of transaction quarter, but We're annual of But after proven per Ensign transformative XXX.X%, our the over in of The compound XXXX few in $X.XX and of out XX% this single perspective, an performance midpoint XXXX, XX.X%. growth to quarter annual due guidance principles. and a affirming this a XXXX of guidance XX% represents extraordinary of XXXX years. results, results. $X.XX earnings is revenue increase not since XXXX large following our spun This $X.XX result EPS we've higher to is of diluted represents some the growth growth share which the performance and XXXX experienced comes last guidance our consistent in with rate top our the of

showcase to service performing operations. to skilled and poised opportunities achievements We improve X leadership occupancy successfully many underperforming teams, decades. proven and our expense resources management and drive continue operations, the these and are and developed our efforts and we center by our acquire front caregivers, remain of of of are in commitment field ability mix transition There applying value us partners. entirely to Ensign to unlock all to local so All principles -- in again due over as and find,

to Chad growth. add Next, regarding Chad? insights some I'll ask our additional recent

Chad Keetch

you, Barry. Thank

in growing operations, either add XX and As the new January continue added Iowa, significant excited to or the X X opportunity portfolio, amongst XX. assets selected we Arizona operations, to and the by XXXX to Colorado, These X our the the Kansas, since many XX we in senior number acquired strengthen of our LTAC were beds. Ensign-affiliated acquisitions will and since, X Nevada, skilled of XXX leased of operations very X Bearer Standard of beds, following which span acquisitions quarter in clusters, XX in bringing these new X to totaling in about new potential. current Of because new new huge during additions X acquired represent and new of all living new assets, include Each Utah, real and estate nursing Tennessee, and be in These an XX X are chosen the operator. in expected, units we our we were states to included Texas, and to estate the new carefully available markets. operations these establish X X and opportunities a in clusters clinical X them X,XXX financial real us, were to and and

We care it acute their continue to clusters allows geographies to comprehensive with a our as established to prioritize in needs. to provide growth partners, their our healthcare and solution work together

with in first clusters significant density. However, earlier to and room Tennessee our excited add particular, Tennessee to In in acquisition also our add along creates more second build very to we operations Nevada markets in year we are are have this which, or new we where we completed grow cluster. and excited states the third to

We the to growing continue very surrounding regions. in and Tennessee our ability optimistic are about Nevada,

and seen see forward already Midwest Iowa similar boost and a in also growth our the are in in to the we've with in Kansas, recent and look the growth some Iowa. We benefits pleased Kansas from to additions

the also includes will small in lines those LTAC. expand make in model were us you care note a business. add a we've skilled and And Once new operation often over that hospital healthcare to campus nursing there. a works, We who or we time from an of of excited proven long-term Utah we acute dynamic investments followed Northern have

of care a what their services most LTAC Utah, for in of very rely heavily partners patients. to part us the variety in are on we remain which do be small adding acute a very of Utah, service of complex will pleased another offering all some from our operation While post-acute we to

up lining see additions continue of very to We some are in acquisition to pipeline expect healthy the and new a second close and third that new exciting quarters. opportunities, we

will train built-in growth attract the accretive talent, be and them who operations and decentralized each ultimately, entire model Our by leadership then acquire is driven organization. in that have clusters market to incentive to a their

grow, not allowed of bandwidth and lease time dependent at disciplined structure co-owners to as a the that acquire team scalable is a or experts. has centralized approach to us expands they deal has As cost on consistent This drive our of model to has prices, to to to continue team's organization growth growth acquire over us new allowed at healthy which operations margins. organic led the

we of or growth the sake However, grow buy for acquire earnings. don't just revenue or

will continue that will and and over to grow we both our to have, when shareholders the see deals term be in We accretive time. near

quarter, revenue in Ensign and Also as had long-term derived these which operations affiliated end subject rent quarter, provide we XXX additional reported which operations. company for and skilled operators. are ratio of quarter, nursing are and that properties together to rental is the generated for $XX.X and million the to living continue $XX and million triple-net of Bear, X.Xx. now owned We of to leased Each comprised to $XX.X million affiliated on an of of XX disclosure coverage was leases Standard the the operations third-party of to of properties EBITDAR XX from senior leased the by FFO

that, more I'll our call the Spencer, turn around Spencer? add with operations. to over to And COO, color

Spencer Burton

Chad, to are frontline demonstrate teams that and like clinical improve hello, you, share their outcomes. examples and Today, elevate two how throughout I'd organization continuing earnings, the grow to culture Thank everyone.

acquired [indiscernible] back led is Transitional Mindey and healthcare XXXX, clinical in ratings The and with When in reputation, low was had Olympia with by Care and star local Bradley. Olympia facility it Washington first a state poor Director, regulators Executive Transitional director currently community. the

and the lost facility the result, the the enormous purchase team especially adding Despite discounted course pushed consistently operators its the over make who has a the recognize that Olympia transforming occupancy potential of facility facility past methodically As decisions challenges, was latent given skilled the and of payers years, low, acquisition the clinical money. especially culture capacity. And relentlessly, had, the price. X the local

its preferred for the Transitional is The today, actively evident in Olympia the quality for CMS and Today, X-star care plans. system their have managed participates completely hospital ACO, health local embraced overall. change, in facility as and a transformed provider measures and and rating numerous is

since revenues the As prior of facility state grown XX% has by by year EBIT skilled improved has you'd XX%, expect, since XXX% top quarter. Since a acquisition, of the one mix the acquisition, with in Washington. have increase and producers become

Andy facility COO, acquired This second what in exemplifies Berthoud Notably, Care example The the and of have strides typically Yet midst is Rehabilitation and COVID and Director, in in pandemic McDonough crisis. Emily transitioning X staffing category. this Colorado. operation ], happens was currently [ by XXXX past during Executive made. the Lafon occurred in and enormous years, been acquisition our the led

a givers staff implemented among over For XX%, care been has example, for team and rewarded to QX has turnover yet And existing the a from The results-driven has as where contract admissions that the is sold of facility by grown a in Berthoud used. recruiting now occupancy fund, and for leadership XX% incentive created pushes retaining developed whole and culture unique team additional this caregivers. at XX% and result, system and cut acquisition year. staffing

have a increased We to residents ability clinically stay both expanded long-term simultaneously substantially. complex care patients. as and short their for rates And result, have for

prior increasing As EBIT quarter to same soared a XXX% in the has QX rise, during period. result, revenues year by from continue XX% that by and

by results. took role is ongoing [ In the to roles. more and before CEO, organization, [ market principle essential these quality illustrated it is acquisition that perfectly of leader to health Olympia, is to her and over Berthoud, Suzanne, is the growth recently one to the case new Olympia into quality Graham for have is acquired of And transforming turn want on post highlight a facility, the ], are the and and I who I northern accelerate that of elevate experience CEO, In ], two state. Berthoud, That the the case facilities case helping and moved principle the and Joey planning. recently and half our sister In of in acquisition, transferred to CEOs of both instrumental Kouri the of diligent both succession applying facilities. skills Vivian recently

to these made Olympia for leaders order also at and to elevate can't and while We exceptional thank enough drive in for continue results, sacrifices to onboarding their their both markets, new Berthoud. the teams leaders honoring continuing

Suzanne up it Suzanne? over to our detail turn then the on time I'll open questions. we'll the more that, guidance, to for company's provide performance financial and With and

Suzanne Snapper

quarter everyone. Detailed are and good XX-Q yesterday. contained for filed Thank financials morning, release our and the you, press Spencer, in

XX%. for per quarter highlights compared was quarter diluted of include the Consolidated earnings share increase additional of both Adjusted XX.X%. an net of GAAP year GAAP net $X.XX, XX.X%. was the of $XX.X earnings XX.X%. and $XX.X diluted increase $X prior an adjusted revenue was were an to was income increase million, GAAP share increase of increase income per Some and XX%, an adjusted million, the $X.XX, following: revenues billion, an

key March of XX, flows Other million. operations as include XXXX, and cash cash equivalents $XXX from of and metrics million cash $XX.X of

debt-to-EBITDA demonstrates well portfolio, long to the growth We is of noteworthy deleverage ratio in particularly of as X.XXx. growth also lease-adjusted achieve achieving our delever a continue our and in for continued run. growth, that commitment as a period belief sustainable our This we to net disciplined can

cash $X our credit, $XXX give dry on [ which million of powder for of over we combined sheet, addition, our when availability ] us In future with in on on have billion balance continue to line approximately investments. hand

by are future help value of over growth. even Standard held of and are Bearer own adding which We liquidity also time, completely debt-free, assets, significant with are more to owned and XXX gaining XXX which XX

transformation presented insight our to give In and operations transitioning facilities. into acquired nursing into acquisitions, we you of our order recently buckets: skilled three have same,

buckets thought be how purposes. would You for comparison treat them heard these Barry we helpful And different we referencing to are to it mean refer when further and to buckets I earlier. what we explain

years years. Same last than X facility, represents Transitioning, within represents X facilities between more all Recently facilities acquired facilities, years. ago. purchased X all and the acquired acquired includes X facilities

facilities these applicable quarterly For or the yearly a we the bucket, the whether are period, the comparison identical time the on facilities included duration meaning accounting operations include number facility in basis in same and period. in same and the same an exact bucket of for the it's transitioning buckets prior for same

billed comparison revenue, show For and days. purposes, service we revenue, occupancy skilled

of it this way purpose The twofold. is doing

what to time the adding of included facilities show it prior simply showing First, growth growth rather a a into the bucket organic produced facilities. in new of making of on group that same basis, were that bucket to the in over would see growth by an come apples-to-apples of true acquisitions period comparable organic from group impossible period, than that the

buckets hope time. disclosure operations is that that to this organic acquired helpful The extra second progress that recently to our growth substantial is our make potential. demonstrate the over show historically, and We and have transitioning

as see we is does want to not also capacity that bucket, matures same operating fully our it But operation make at sure within maximum same upside because an we facilities. store continue emphasize and to just enormous the in mean we

$X.XX As to reaffirming we annual revenue billion. Barry guidance per of $X.XX $X.XX our diluted and to billion guidance mentioned, $X.XX earnings share annual of are

and momentum multiple in and as seen positive evaluated progress operational and skilled and have as our on initiatives. in we've well management other based upon occupancy mix, strength We performance continued scenarios agency the

achieve We have these results. we confidence can that

half provider of million, expectations weighted Medicaid inclusion management's inclusion of tax the approximately diluted on primary based with XX.X common exclusion of shares of from is reimbursement compensation. for outstanding average closed of guidance XXXX XXXX, and of the net rate tax, acquisitions in coming Medicare the stock-based first a the XX%, Our

impact and the general other and on could impact short-term in include skilled influence in insurance factors. budgets, performance reimbursement the census quarterly Additionally, occupancy of factors economy other that state mix; of systems, variations delays in variations staffing, acquisition in seasonality and and the activities, changes [indiscernible]

final issued CMS last explained, as rules Also, Barry week. stacking federal a

rule the Given will us on have now XXXX. the rules no material phase in effect in period,

over And back I'll with Barry. turn that, it to Barry?

Barry Port

Thanks, Suzanne.

on behind alongside we resources, to mission always our need commitment As blessed facility we This these up, including leaders, -- lives their that clinical center I new of impressed supporting by partners. we're the excited are innovative ways. again to wrap resiliency of reiterate in incredibly are our many, this team incredible partners own, about We're focus as they these record-setting service field has so and our results. and because amazing and work how future

the to continue them complete they culture collectively have and in built improve. have We faith and

thank field leaders So you all center partners. to of service our and

call. it over with that, portion of the our to we'll And Q&A turn now

Operator

Markets. Instructions] [Operator the RBC Ben Our Hendrix from comes first question of line with Capital

Benjamin Hendrix

year, Appreciate color especially the the know effect. all that like would appreciate mix through around utilization with expecting -- with any it like and aid quarter. to rule But associated And some there the LPN staffing on goes seems nurse impact you're the help not XXXX. seems Congratulations that. the to it of on I minimum shuffle to your next be [indiscernible] I kind offset there minimum opportunities staffing into bit

star neutral how Just be like, feasible on what could a that financial basis? wondering something ratings and that on a mechanically neutral that is? basis it Is done looks

Barry Port

a It's question. Ben. good Thanks,

clear, into for wouldn't to years X RNs registered overall very from the be go Federal staffing are to the rule Just specific and that when the in ratios is Register. effect CNAs

we'd doing any really XXXX, need XXXX, for be shuffling XXXX. do same a for So little go -- to in but yet probably preparation quite and gearing would you in more bit be into and preparing doing there we'd more up effect the us year a probably to from a that us on that's really start bit little hear what no either

dynamics control kind also at, and we registry lot that and people know on systems second relying and being on the making universally don't world-class as an which other employee-centric we staffing sure relentlessly agencies years for training all things sure focusing next really needs. making the around couple focus whole not of operationally include So in we employees that different our environment, than and on orientation and a got eliminating anticipate can, for labor we of where we're on we've get can staffing also support and third-party better any different customer focus as the we doing control

And things those staffing really a do can in we and those that a that play. when and make around are lot whole sure come to place, into ratios healthy strong we're if,

Operator

of question next Scott the comes Our from Fidel with line Stephens.

Scott Fidel

wanted just them, talk how about and higher of acquired one longer-term of in question, of LTAC, even to First that the and you it deals then with bit of the was a IL you But just of put some around beds non-SNF Which nuance Chad a some talked -- as coincidence that there this AL then that well have about. and campuses been acquired perspective. it could was as a as just part announced you mix interesting the and was package.

adjacent years, some nursing thinking more theoretically the even AL, effect on into your go in into LTAC like may beyond those are whether of would just sort looking whether of more that IL, IRFs you skilled then is of further we question and my now down the adjacent lines outside staffing some actually of X So influence was or end of do more in if of a scenario where that business do SNF? those And up in to coincidence areas road? a regs whether expansion diversifying

Chad Keetch

question. that for Thanks Yes.

out do that So or this quarter wasn't something and senior it living set acquiring living to we say certainly independent I beds. more would

was are on. in those going what We on nursing the for are primarily that always call that looking consider I other every offerings healthcare campus. skilled to And campuses, operations we was have think which case, what happen

that we liked more those. point no, be deals of changed. from to those just kinds It to so particular view, We've of always of had quarter. strategy hasn't happened really this We'll that And continue our those. seek

don't assisted independent I you'll us lots to look and So living. acquire living of go think see stand-alone

has offerings primarily those on service our be that on As focus campus. would the again, SNF

LTAC, facilities the XX operationally, about really operate very offering. But states. skilled already many as sub-acutes for I said, As I nursing mean, we're that only excited acuity and It's service beds. high we in

not new very something we business the -- with we we certainly it -- of different doesn't operating us. environment, the small way to again, But is can like learn lot what other that feel of that call in done we work, lines which will a things other principles a And and Ensign aspects DRG regulatory that really beautiful apply of and in that's will what And a and of larger saying technical from the we've show this are they the though business ] think we in we cases, type into. right, and in [ investment part is differences big hope coding skilled bullet already it do. is so investment certainly a clear expand system a expand to some of be But IRF, goes that, we something There campus and sorts as that of of chunk comprise extent kind of that billing that, LTAC of good those certainly, nursing both well. our can that's get and like at, dollar. but it could learn it certainly we

again, would it what even doing As creates anything, for we've that I stuff -- the diversification staffing continue for just really, more to probably done. for us opportunities question, say the if

more local than of more paths, the dynamics any And by in so that these sort areas. much other partners overall of that much our some dynamics markets be in and of would. needs will I go sort driven those strategy That the decide to to acute the healthcare we will that, -- our don't the extent those of drive impact do operational that are to responding down it it regulation will think

Scott Fidel

Okay. Got it.

like which wanted you're have the thinking obviously second XX% guidance, obviously get, things bucket skilled Next in have visibility then seasonality, then lot you sort operational considering the mix in about have half beds quarter. just is opportunity transitional same-store reaffirmed, just guess, the trending you but there's there. quarter? you occupancy into back pre-pandemic to updated both to sort in when the where also How of of first historical the a And and harvest eclipsed of now of the but and new now question, in over the as I about fact that of thinking year, the improvements occupancy

Barry Port

to -- skilled it our could think while. might evident seasonality see in as demand Yes. trends like probably even as in overall poised feel we a which if more bit we've of drop we -- is they've to the but occupancy, pretty we little will strong that And it lately, expect seasonality mean, be the seen, spite evidenced more the feel deep I summer. Great a be are them of about obviously occupancy really we're to months, summer I feel for now, a is there times like change. off, usually trends some pretty bullish certainly at looking more Scott. be mix. have really -- little our been really, got we our get will than in into there is we'd go Certainly, question, which can into as we we And a sideways in just and strong strong, be,

of abnormal. nor the fourth don't is third as get that picking that anticipate or the ceiling some trends and pre-pandemic unusual is then and But or should starting the we of getting -- we up we grow But indications artificial into And great seen do target, anything late we it to continue we as are start our feel into expectation like typical, quarter we've that. quarter. that to as kind occupancy

Suzanne Snapper

end when the and be guide that guide, kind was the of really kind Scott, up level the a of of as talking Barry moving add, would the you factored low higher I on seasonality, we've of then at in guide, look less about. And would seasonality

And so -- we mix the quarter. we aspect as feel of the lower that. really would pretty would we've the now lower play historically continue of guide -- better right of as it's experience strong play other end experiencing out, less have at the the in that we occupancy guide we where to seasonality year now, with about than words, in up seasonality, in that we're of QX into kind And guide. if high having in QX, end lower skilled end the seasonality less right historically seasonality And to

Scott Fidel

just help have number states maybe we would visibility fill a and visibility But sneak of here, more of then bit over in 'XX little the into do key sort for of rates 'XX the to us you you already And over the and proposed and Medicaid X%. could just rates have coming Medicare update FY insight like one here, -- have about picture that 'XX I a seems but the overall emerging It rate in any it's think in, Great. then favorably any of I'm that that in would rebasing you the us Medicaid of has year? rates. on be in around when sort feel gone terms helpful. visibility full us the be into FY into developed now early know going the if pretty for Okay. have question we you on just that backdrop course

Suzanne Snapper

Scott.

looking the at Remember last numbers include numbers year, year's not tables. our rate would going reminder, the year compare when you're just to in that last FMAP if this dollars. to So one you're

overall increases so about into they're you're the solid. rate we some see like year's tables might they're look But the feel what going not to rates impact. that current pretty those in that And strong, very is very translating big

the out excited in came pleased As a come the in. as to came that doesn't Medicare very preview. That you that We're come mentioned, where until beginning QX. I'm out. of rate with have

in see programs. where into is to way stable very, everything you look continue X, to the long-term our be those it about visibility those be including us, into roll But put dollars put really states of those and through were it all a as really is why out rate, create we mean, included supplemental large overall, to way, you landed. supplemental jumps some we're when of for which having they're base table FMAP is all at base that's nice very panning XXXX, really programs, quality pleased some else built different rate because -- it into rate, into underlying did the now successful. talking very for pretty October some I States us everything So rates. in more with

Operator

That concludes today's Q&A session and today's conference.

You now disconnect. may

The Ensign Group, Inc. (ENSG) 2 May 242024 Q1 Earnings call transcript