Healthcare Services (HCSG) 21 Apr 212021 Q1 Earnings call transcript

Company Profile

Participants

Ted Wahl	President & Chief Executive Officer
Matt McKee	Chief Communications Officer
Sean Dodge	RBC Capital Markets
Rob Moon	Credit Suisse
Andy Wittmann	Baird
Nick Spiekhout	William Blair
Brian Tanquilut	Jefferies
Mitra Ramgopal	Sidoti

Call transcript

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

The matters discussed on today's conference call include forward-looking statements about the business prospects of Healthcare Services Group, Inc. within the meaning of the Private Securities Litigation Reform Act of 1995.

Forward-looking statements are often preceded by words such as believes, expects, anticipates, plans, will, goal, may, intends, assumes or similar expressions.

Forward-looking statements reflect management's current expectations as of the date of this conference call and involve certain risks and uncertainties. The forward-looking statements are based on assumptions that we have made in light of our industry experience and our perceptions of historical trends, current conditions, expected future developments, and other factors that we believe are appropriate under these circumstances.

or in are circumstances. projection uncertainty susceptible any changes and with forecast, inherently they to As as various Healthcare differ are anticipated statements materially Group, not from result Services Inc.'s those in actual guarantees of these forward-looking and the factors results performance. could a statements of forward-looking

and expenses body variability as to to and/or or earnings projected SEC action affect in ongoing our any of statements in including in The that to Some any results are factors regulatory this press further recent and Securities from or included Commission, or be adversely cause could no that result management. differ the financial investigation pursue our potential as release penalties investigation. our no forward-looking will prior issued including the results distraction ongoing call sanctions future well in further the related inquiries Exchange with regulatory SEC cause could materially could results. or or costs in litigation make can filings that significant There those assurance and SEC's the

go We the Ladies will presentation, [Operator conference alter advised Call. forward-looking subsequent hand all Ted for a listen-only whether that time, speaker’s recorded. this now is and any a expressly After session. there CEO. conference are President Continue At welcome being and Mr. would to XXXX new as Instructions] changes, like of be standing and a [Operator participants are Please otherwise. Wahl, to the Please gentlemen, result and today's such in thank ahead. events question-and-answer Quarter over statements by, the I update to Instructions] or to under be information, mode. no HCSG First obligation obligation or disclaim you the

Ted Wahl

step released end the and the our everyone. plan the and week. by morning the vaccine -- facility first patients led rollout this QX us We've success you appreciate a QX among joining cases a has as towards new among McKee vaccine Sharon, of real today. XX-Q of you, and been boost trends well. residents industry huge and morale on between QX. QX XX% for the significant workers. seen The Thank to Great. filing stabilizing recovery with dropping changer I similarly case new staff has over our been for and We frontline results positive COVID Matt good and and occupancy a morning Overall, has game

recovery pace But feel occurred as appear the vaccine things had pathway even impact of still trending. an where and the positive the is we has uncertain. directionally at least exact stabilization As reality be do and that's the is to about good

the outstanding be highest fits themes XX-month to XX to satisfaction again Ongoing the providers controlling job starts the four and we into a the budget great outcomes level around possible. with as Again view to those orderly will way. at actions supportive recovery of and financial and QX. related adherence positive expect of all customer with in execution, did we QX. delivered controllables past similar we service pandemic trends quarters variables, the operational it of along will continue Our process continues in that and looking crucial to agency as and of Even a timely a and we're federal ensuring state be but happen and recovery and funding

relative most during play puts levels to be remain more with recovery, revenues takes and depressed As our coupled challenges in of to namely approach facility and stage this that top-line far we to cautious QX with the revenue as early continue growth own census access flattish QX. expect

year, in recent on plan improved headwind opportunities really about provided of the and top-line visibility potential exciting of think us some near-term start us to more the and revenue, industry the for to a with have growth for is remains positive customer for. which back COVID while half So data

like this on results, we discussions QX on release. briefly to and the touch in morning's again to the move provided SEC on Before I'd last update quarter we

As the that a to discussions the into company and have hope resolution We're to investigation. phase has to a SEC matter the regarding resolution. reach final highlighted, the commenced SEC the this and we previously pleased with work moved continue potential to

say you continue previously disclosed what As morning's to ongoing. I'm what we be and we can we've matter sure all while limited are active especially these release, in resolution this can of beyond about and this in discussions appreciate

on So discussion for a introductory the Matt the with those comments, I'll call over more to quarter. detailed turn

Matt McKee

the everyone. Thanks, $X.XX $XXX.X million, XX million. was corresponding & good quarter in QX an or in Act $X.X income change per legal also matter. dining or of $X.X SG&A initiated laundry for with accrued employee And Net income point effective payroll $X a $XXX.X had we and XXXX be payroll $X.X what compensation, the CARES excluding fees impacted days; rate deferred X.X%. respectively. timing was impact actual that $XXX historical the And growth. to cost QX SG&A laundry days; would compares should per million was $XX.X SEC-related X.X%. to were flow to expect deferred share. $X.X customers. But deferred SEC SG&A Direct nutrition company's million through the the $X.X million below days, by only last tax rate tax Cash billings, called accrual about previously four was XX%. and I'm & had and and leverage reported remains five XX and out was should in of accrual segment and included was of XX washes income year. to And X.X% the payroll payroll. passed QX and Longer This pay primary primarily XX.X% target related reported for full adjusting million, in million million repayment. four on & to year. sorry and days course dining housekeeping the of payroll last be the were professional any because and -- three quarter, $XX.X payroll of services was existing then top-line the QX tax to the out $XXX.X also the of The of we lowest increase quarter XX.X% the accrual million for million announced we similar million payroll of COVID the after well adjusting then impacted XX.X% of to XXXX other of COVID timing from the XX% term and the for for about of related ultimately company's Revenue days, and but earnings quarter at QX during actual year, the the during and costs Revenue our morning, through $X.X company that XXXX target investment in the Investment relates $XX.X related after days; payroll includes the operations & million days. will quarter cadence compensation and or one-half XX.X%, segment we and the XX the $XX impact That the was out a by periods. a XX saw or was accrual decrease at and But reported Housekeeping Ted, days at $XX of have million accruals share or which million XX%. supplemental by margins with nutrition premiums, came respectively. for revenues million million.

to ability cash $X.XXXX the to We an XX. Board flows The on and increase to instituted support XXnd are most balances and in our have And and XX-year in that's pleased three-for-two that's recognize in ultimately continuing the included maximize June flow HCSG with return in is payable payment while with place announced strength mark of the the ongoing the This the rate splits. dividend the to per future, support We cash that XXst balance the and free the XXXX increase the foreseeable dividend period since business, performance cash quarterly it with cash shareholders. Directors approved track dividend sheet of program for dividend the share cash record. continues dividend the consecutive tax we it. the to will and four be to important to way We shareholders. was shareholders program tax-efficient return our now get capital consecutive increased line the an stock to

the pursuant questions. one opening million now of stock company remarks, of shares open X.X up repurchase with common previous and Board And we'd XXXX. expect to through Directors to million to to February for up our remains Additionally, of the those to call the authorized repurchase like shares authorization

Operator

Markets. Capital RBC [Operator question Instructions] Dodge with comes Sean from First

Sean Dodge

revenue just Thanks. if expect the you drivers resuming -- could growth should you a sequential begin to potential Good segments. ramp across mentioned see both the later margins to levels we investments morning. these here year. for Ted Maybe that starting grow growth real -- back talk about nice bit sustainability this as come in margins And of there? with to Maybe the the Maybe again? improvement then as you

Matt McKee

Sean. morning, Good

talked continue we especially, possible the We've census light the to You our in that our provide know, costs lot face. services about managing clients as you're as pressure a efficiently right. of and

as based and the perspective, recovers. census from to production continue go-forward So focus managing a on and our purchasing is that census expectation staffing, maintain the the

inherit the ready alluded time in-house opportunities a go-forward, just and is that those margin at get as margin that. there pressure will improvement implement It will and we you fully not our that systems as yet to we're be where As assuming. point the to bring quantify that we of sustainable. some an us portion takes inefficiencies budget. growth exactly Because a on inefficiencies with We're some to new of to operation expect we're

to remains but cost well the and committed of XX% as collections. ongoing cash supply very much as So management we target, our labor are

just expect do yet quantify. not of some forward the to going those to in spot we maintain So improvements

Ted Wahl

well. to Sean. Matt's And to piggyback Hi, just answer as on

revenue a that corresponding recovers, of direction. that to the XX as It's cost that "margin months As months census you're other just reductions aware and well significant the we work the in portion next is right? expect which math, math improvement" there's over will the that reductions XX

operational imperative with that believe we highlighted coupled to business, mix portion that sustainable. and right? been even what with focusing a have the the of as that changing, pre-pandemic but we've Matt be And on there's you So

Sean Dodge

you half happen with forward the moving that Ted outlook of kind the need for Okay. back of to the What markers What through Can for the encouraging got vaccinations you facilities? kind are done. to looking guess for plans or milestones to new begin I You've take other to place? see? to implement the you needs Thanks. And more on then what outlook. of us the year. revenue walk

Ted Wahl

take create And to Sean to a that sense some has your But impact and then also the you're XX%. of more the context was frontline the detail it. had for It's first in I'll maybe question the residents, me, impact into maybe and in step a patients vaccine right by on the cases step. tremendous get the back a not staff but just an down driving and which critical over maybe

when at -- quarter led has are ask quarter-to-quarter. that you So what we in past least that for, to census stability this looking

meaning think of following enough, So census first we in then for an would and in longer and revenue patients cost we've so indicator the removed further on the TBD. of recover then recovery confidence census highlighted of you much the on When term, revenue that down environment, before. about in the of to cost I And the reasons this mix would way be we more indicator still step both short-term confidence to how my don't will as demographics. opening than why and maybe and recovery with recovery speak that and your customer. as more context us and rather residents pace about a skewing in likely is one specifically up utmost recovery. revenue, remarks, have the that's and But I is overall certainly early Ultimately occupancy and that even the HCSG that think question talked relates about way long-term that but around instills path to lagging billings and

half exits, when modest and of flattish sector stabilizing we we like QX, on about mentioned back adds I the highlighted challenges facility does being occupancy that along I cross-selling stabilization even lessened our think visibility of they're call. But why are modest both previous business give the largely very in and occupancy more customer customer into in certainly So but more opportunities, EVS year, really since earlier QX you the straightforward, new that's us with the relationship. about existing dining, Because think client dining, some access we especially opportunities have are highlighted and assessments some own where even facility dining. when around the

being So good feeling first a growth we're maybe and a that half number good seeing the start able dollar we'll this of pinpoint or in amount, second of feeling without year. year sequential to comparing this aggregate to some half very

Sean Dodge

Okay.

again. Thanks good. Sounds

Ted Wahl

thanks, Sean. Hey,

Operator

A.J. Rice from comes question Next Credit with Suisse.

Rob Moon

A.J. at is for my least in on This for customer XXXX divest Rice. XXXX. XX Genesis them guys. Around Rob Moon and we've Thanks Hi. questions your facilities seen taking more XX to talk largest about in

guys in that in business if for have Just rolling chance go takes of you if when curious, after kind facilities And those discussions a talk the rate those what comes or maybe you facility growth when second operator process outlook opportunities could place or off have you to if your rolls the also a new then in that generally the half? look like? a and even off to retention

Matt McKee

I of relationship, Yeah. great a level just Good of Genesis. and it's would I partnership. say facility health That And right? and perspective, our for an the being open C-suite us, and morning, to remains their refining part that plan they've relationship. that honestly, There's the optimization that been execute leases. the continued quite And through marker as outlined focus. sort operational partner. that's to up very an within the and both from seek landlords optimization terms, both us their frequent a of very they've level has plans high publicly Genesis and as for speak the Genesis us rightsizing at to Rob. plan health strong partnership and continued portfolio their one continuing important portfolio and pay is relief important in really of from to kind holdings to especially to the an From And communication. They've important to the both say would which

the and perhaps those working transitions with facility alluded So to continue level that to at Genesis we pending services you to facility and our expect even leadership the to. future as deliver

unfold, those is There a that maintaining mutually as expect an details we with a those have largely We'll would at new a opportunity. the be new determine if As a We at that business have partnership those and we'll seat to opportunity engage table. unfolds. at facilities the process minimum treat beneficial. operators a

facilities, Now health of an financial partner obviously, with feel a that to workings we whom have have sure but they're insight the company into the that inner we assess from well being operational comfortable perspective we working. and acquiring of those make to

all able yielded that all have into almost it going and partnered to that companies to retain good has the for results date Genesis So, we've been with if us business. not of

expect we minimum table. a the at seat So, to have at

we'll of certainly any of those we're change, things developments. forward. going any if conversations. that you have keep assuming expect those to We And business loss But, of not apprised

Rob Moon

on. one guess Great, you. just And then, follow thank I

in are to stabilizing occupancy positive the in trajectory But Your a seem be needing -- back to customer advance seems general still be Medicare it taxes. the does here. payroll in from payments, paid base

some of to risk customer base? few there Just kind some you are out seeing point. curious bad about next potential how is quarters of in Are that? you thinking still increase debt in on we Or woods as are there? at expense the the the a guys What in

Ted Wahl

had years, I with past you what eight again, nine with we've of billed. -- improved years, I quarters payment. think visibility we now look on of the implemented terms Well, last there's predictability weekly the payment think -- we've over collected couple design back if the and And going of two in certainly we

us, for weekly, a it's on daily, matter So, of execution monthly that.

times monitor So, in deliver both approach. business, achieve the -- and able confident we maybe. a have exact that regardless Having you of of We're continued of what repayment the and Program, and that state the going with out wait the see are comp. weekly again, being woods feel the government goals. we're stable said that, on bit of forward initiative what taking payment to how of that around continue Medicare actions to never and Advance part to But our moving the we're mentioned and or unstable federal Payment Accelerated focus a we

I with new the in some think the and still into administration, wait was pretty prior a of administration how it's And appointees, there thinking the new clear they visibility were line think everything. see. I of of

on rule the three-day I think positive. new legislation the now and that will completed positive the But, base with negative the to CARES that impact Accelerated and have some customer going that's some certain courses Advance of monitor that we and obviously determine Act, it's closely of has the dialogue of take horizon. what and Medicare of our that action could customers. We're waiver, on see or the early that's would been whether Payments, our repayment

Rob Moon

the guys, and good Thanks, job in Great. quarter.

Ted Wahl

you. Thank

Matt McKee

Rob. Thanks,

Operator

Andy Next with Wittmann question from Baird. comes

Andy Wittmann

was just deconsolidating to But, recognizing on slide facilities the cracks your excellent. net is is deconsolidation. just in the of pertaining is hoping comment the on you record do might them the today. terms track Hey, reason could the to in and the a reasons, some you're kind feeling outlook great. little growth outlook, more on of I of the the guess Ted. important core questions I stabilizing positive that one is for more that second of half prior that There most new for be occupancy around the just I amount new drill wanted not given sounded potential of that facilities, what if It outlook here just bit some like industry

like and occupancy? not on kind So new minuses the just for potential adding again, facilities pluses can about you of talk just

Ted Wahl

likely and a clear, has intending greenfield highlighting of be actual the of But, tailwind it. the will to Yes, months. most revenue any we what I have around, as as was impact had so of over the XX half purposes months, -- was year I of back was Yes. you or I facility for next growth net opportunities, the to past about over six think that revenue just to and to census just when well, the guess and -- to opportunities cross-selling that Andy, more thinking more six growth my comment called XX

of growth, visibility half tailwind and additional talk new So result the having recovery about just census not the back facility as the that's a when net I talking specifically year, about growth. I'm revenue to into some

Andy Wittmann

Okay.

Matt McKee

seeing operators think, the Andy, within and I or you certainly And that customer view independent industry. then that really the look type is operators we're I potential national at the non-for-profit bucket base, even at mean large to the point and the has between player And that most bucket large the the deconsolidation middle regional our smaller your with regional the it really does type forward. on mirrored industry going growth if always neutrally, the facilities. We right? players

thing wage facility cost our we we to employment the facility. building, of the understand one doesn't or sell So looks assess And far as will would we conditions in opportunity a facility of assuming that for rates good facility-specific how or it, business chain that the it's its business the us. regardless we structure part that what cetera. a or unique specific for target et important the own as obviously serving the an really staff to is to that's need that like change of whether that facility facility supply a we how us or And operational structure as multi-hundred benefits Because would perspective. way it ownership it's honor facility, execute from that each stand-alone

nor that operational prospects, So process efforts. prospecting doesn't our in our it our change -- sense, sales

play So we're the happy continue to along industry to as evolves.

Andy Wittmann

classes related a I guess here your kind Got Not other opportunity my that in kind -- heard just and there you've this I continuum Ted And it. directly while. want just little might of senior maybe about because in I an care question of parts anything talked about one but that's Great. the even dabbled to dining a living that And senior talked be assisted living. picture. bit the in bigger of quarter, follow-up including for touch -- other response haven't on in of to you've to senior living just

happening growing thoughts wondering your was much just with change any if that the and interest Just updated you I so in in desire world had or SNF about business out. --

down If anything the you've core if that with down present-day an or of of the hunkered business? challenges to done in update So wanted mark you've kind dealing just on really there? COVID been

Ted Wahl

are hand way. though, on even new the within in initiative. the but the have been always and on continuing we're an spirit new I've And for have talked evaluating always assessing. franchise-like trial, moment throughout of task were said say niche, as have with the whether commit COVID there being as a service situations a has pursue our one changes about which in certainly opportunities that we and interested of company We're society our great proposed organization we've to line way a and before Yes. almost just opportunities. evaluate new the to trial in new it's at with basis, still benefits our full And we that Andy designed been within I'd is sanitization brought a a had how and we that just cleaning hands all when you new able or or been in focusing to evaluate entrepreneurial

way So, pandemic. almost the to navigating opportunities. our with moment to exclusively But customers this and the our we're our explore is dedicated niche continue through the going to those for situation focus and

Andy Wittmann

guys. good Okay. Thanks a lot day. a Have

Ted Wahl

Andy. too, You

Matt McKee

Thanks Andy.

Operator

Blair. with Daniels Ryan William Next question comes from

Nick Spiekhout

it here era right taking process. on come bit to an if a on-site still guys of COVID questions. how process can of are update thanks the for kind the on, my and sales quarter on Congrats sales the would you little kind you be wonder now? provide SNFs from I in? guys allowing guess is Ryan. of I Are Nick or the you of guys going one kind Hey for Spiekhout first

Matt McKee

in that a sure Yes. more services with would be say on for cross-sell but sales the would XX% dining I we penetrated about Ted it Nick, existing earlier quite providing a of our the are to existing -- opportunities spoken touched still bit some haven't but housekeeping services in time, us this that It's we're housekeeping imminent for our than customers. less bit dining customers.

So lack there's throughout access our months past been industry been or over to that given laundry the of prevalent has great the opportunity XX a so housekeeping with the & advance customers. those discussions

have services. Some been to been provide expand for just dining us waiting years for issue now provide services it's not where facilities able capacity in and of whom been those and their to we've a yet

So been the to infection and access certainly got has housekeeping imminent attention say, from a shifting an with prevention that it a perspective. of control -- opportunities. relates allowed lot perspective a most those environmental explore paradigm the has from to although services perspective -- growth as kind laundry infection dining of & I'd

to that operations with to can an field facility we and systems sure that absolutely perspective our continued is operationally, access of place. initiate expectations, And sure we do by are our our a group. access it ever. make exceedingly be sales to customer capacity doing able a that obviously, cultivate That's a swift implement in and financial dialogue the of course, from can would-be important have remains And to been manner. be thorough budgetary of such folks we always when there we're than management inbound that in requests and sales to operate coordinated analysis in continues has the that, to all process. the Beyond But make that those partner. local that opportunities it more a And this geographically the to conducting facilities while issue varies of moment, really thorough our to analysis that, teams varies important it so part according the

view which partnership, pay that their and financial as just light contract and full. So, it's the would to they us, assessment integrity much their in our on-time view current to wherewithal, pay of ability intention their and of in us their

a a We XX certainly and over So, begin as back the adds. the see are loosening always of half exploring that be it, into access, of that the case months goes well is the that beginning faced we there's but new optimistic the sort to year. limitations to past business should of, positioned lot feeding had into we're

Nick Spiekhout

get ready go? something that of the starting Is running moment. been -- of you the are are And more, ground into little kind then, of hit as pipeline profile I'm be not growth, to that those And trainees as thing will kind type assuming, of more bit as a of, you Thanks. it kind to and at to the second ready kind build-up management into type normal given we're the Great. moving large a go of HX, now? in of the have kind management of margin up there's half. trained growth the

Ted Wahl

development than with the managers. It's you we the environment a business-as-usual recruiting Yeah. sense in management different respect that, actually the are you of -- a more including and bit how in what actually presupposed to

And our better different business in of are spread usual. business we job just development. not management as characterize the on development. half of part areas thoughts and management the stages second I normal there's, always the yet So course the that growth year essentially as one it's business course the country. throughout would and normal being at. And a or of different that of But the opportunities trying of the things have that is important to part out do we're most always

that's think something evaluate. I we're going to continue to

we a are that, to going However to visibility directionally perspective, our expand and footprint. some we have from do feel good opportunities

Nick Spiekhout

the for guys Thanks Great. Okay. color.

Ted Wahl

Thank you.

Operator

Jefferies. Next question comes from with Brian Tanquilut

Brian Tanquilut

Hi on guys. guess,… the Congrats quarter. I

Ted Wahl

you. Thank

Brian Tanquilut

the clarified definitely. the on for No, year. QX Yeah. your to revenue back expectation Ted. half the … comments of just on, And clarify you and

you assets the year? are way to on you're with you Genesis transferred the the assuming through about that ProMedica, those stay that that? So being thinking are whole Is that

Ted Wahl

certain when just right? at unknowns. there looking net a talking basis, we're about are on growth we're That's us, not it for Well, --

talking be whether conviction I've our the trying talked has independent of of where be otherwise, and clients, cross-selling on or look mom-and-pop at client. transition, XX% customer future greenfield think Matt past us, an experience, existing the as is, where transition clients, what I than to it earlier, our with at our EVS services what whether alluded dining our transition. it and foundational would customer. comfortable for adept company additional those present terms or state an result level. we're new constant those in a growth best to of any of that the situations greater adding increased in sort So a any as retaining in new visibility. view That's themselves, be about And And relationships proven it whether the to be of owner/operator towards and data new a of that But when or customer adding they we're terms to with expanding the of for relationships, we've to customers leveraging developing growth, and or typically then, successful about through point predict growing we're administrator for level with that's in services

being owner the expectations compared some or of see with point to be growth and conviction Genesis we it administrator, or whether in just And back first half sequential principal, of improved past year. the I our terms should transitions visibility or otherwise. half would to high conviction, year, retaining, So that of around prologue

Brian Tanquilut

a to follow-up on then versus the question deconsolidation. you. guess I just consolidation Got And

open are in your for As relationships how players the like as with a emerge see -- consolidators? we relationships are these for new already? I you the things do ProMedica, guys existing Or of mean, these new new example, space? these up opportunities emerging you see what are some

Matt McKee

Yes. them. fairly highly exceptionally if certainly a new an a tends knows or building that we It's some quite you're know them incestuous, mom-and-pop right? player directly not with or Brian. it familiar are who This whether then tends the industry incestuous to that either that's interesting, is be talking networked, So someone if regional know to don't we momentum, we about be principals

getting it some ownership efforts structure, in more size design, again in even for the our of and aggressively the us introductions or operators to of in is newer gain us organization back into the build targeting of been their fluid would both that operational to be contracting for I a sales begin paradigm space. our of our are approach the then and regardless point holdings certainly complexity it the ultimately us, to So of But has for and execution. and relationships fairly to clearly the the the has that which bottoms-up very pull-through sort and to our with

we But and element those also but future our for business are cultivate that regional and it with that our to an opportunity growth. management alluded to as responsible for an that holds to and the Ted are of the holds development management use ownership inasmuch structure, within avenue development, certainly where grassroots structures. that relationships of their much relates operators that to and efforts. the district relationships want local topside develop structure, for more regardless C-suite comfortable that's sure make as applicable. us with And we relationships So important is

more than a a very us new relates as top-down So, business it process to opportunities. for much bottoms-up

Brian Tanquilut

really quick me. then for Matt just you. Got And

Just a clarification.

revenue cost that line changed of of bad any accrual call comp out the this On workers' quarter rate? in terms debts

Matt McKee

you work as out comp last that No. as noteworthy quarter. nothing from the No, called

Brian Tanquilut

Got Thank it. you. Okay.

Matt McKee

Thanks, Brian.

Operator

from Sidoti. Last Ramgopal Mitra question with comes

Mitra Ramgopal

Yes. for question. Hi. Good the Thanks morning. taking

clients the the talked you your clients that? to curious believe the allocated still First, just just I are about on industry past through health if in financial just pandemic. And being the and about towards the billion waiting industry was help on or funding that general. $X of in I receiving your

Ted Wahl

to commitment actions, whether commentary which coming being responses in -- about to but the the some levels the and three-day eye it would anywhere be federal vaccine, the the at the to as challenges let's a see prior whether is it relates months administrative being waiver in the waiver, now over we're crisis X.X% us as Program the of least of I business say, to rule operating thinking it's otherwise questions, the funding to to well the my with also is XX part going I points repaid. Part Advance say, going both as XX they A of three-day considered. close most business to the over The the XX to to and increase mentioned and There's clinical success behind Medicare keep census because payments, at Mitra, below critical levels where vis-à-vis recovery is the XX on recovery it's were these the to still depressed going process is that. if pandemic Payment Accelerated Yes. be that's the, next months. part of in critical most And is from and right census PDPM. CMS state the recalibrating

close So, moving industry. behind to the a stability, that parts watch ultimately, well keep be going of operationally as the financially, there's driving But will force on. as for census a lot we're

Mitra Ramgopal

Okay. home just quick of vaccinated, than maybe about seen recently rollout. maybe the And great. care is residents a health have vaccine on see that And have only those recovery article been impacting maybe I about of but ability the highlighted No, nursing facilities. saw that's a otherwise? we the that XX% might workers then within disconnect to XX% that

Matt McKee

Yes, I think Mitra. so don't

have think I have who flat in the And vaccination it. I've immunized vaccine to have population rates clearly. and previously be to seen sort that those the not a versus objected thus would COVID lower setting versus that data outright most have of who who think, been that I employees received those naturally the among relative immune had infection be residents those important who very to be parsed would the there's needs receiving

on and not compelling rates staffing to negative as down infections resident data impact the within certainly, rates vaccination So seen vaccination the that between facility both I've the that had have to than data XX%. any compared gone COVID any because populations we respect show with the tamping infections really disconnect have among the greater show that resident far down employee

So, much immunization levels the within we're effective facilities. that very seeing

seen and level corresponding by driven facility your that's to there's outbreaks outbreaks, have employees. of been interestingly probably point, when some the some Now, community level we

So that's there is residents, that certainly the some predominant credence to the for notion that you floated. has But generally sure. say speaking, been on focus I would

Mitra Ramgopal

taking the Thanks great. That’s question. Okay. for

Operator

And this over the time, for call to presenters I remarks. at turn will closing the

Ted Wahl

XXXX optimism. still the share with early its the vaccine, success will of challenges, innovations and We year but coupled of have learnings Thank past the you, of pandemic-related know for is cause Sharon.

industry the value internal positive longer-term a growth and mode state our continues investment underscores all to crisis commitment shift and to creates for its returning As stakeholders. from of gradual recovery, capital shareholders, our outlook to

behalf again of you hosting to the thank So, participating. for us Matt I and everyone all to call HCSG, today for thank wanted at on of Sharon and

Operator

This conference concludes call. today's

may disconnect. You now

We use cookies on this site to provide a more responsive and personalized service. Continuing to browse, clicking I Agree, or closing this banner indicates agreement. See our Cookie Policy for more information.