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NASHVILLE, Tenn. (September 21, 2015) — IASIS Healthcare LLC (“IASIS”) announced today that The Medical Center of Southeast Texas in Port Arthur, Texas, has completed its previously announced acquisition of the assets of Victory Medical Center Beaumont.

Victory Medical Center Beaumont has been renamed The Medical Center of Southeast Texas Victory Campus. The Beaumont facility now operates as a campus of The Medical Center of Southeast Texas. The Victory campus will offer a wide range of healthcare services, including orthopedics, neurosurgery, gynecology, general surgery, ear, nose and throat, and podiatry, with quality care delivered by the well-regarded Beaumont-area physicians who founded the facility several years ago.

“Victory Medical Center is an exceptional facility with physicians who are truly committed to delivering excellent, personalized patient care,” said Richard Gonzalez, Chief Executive Officer of The Medical Center of Southeast Texas. “By working with Victory’s physician founders and having the excellent staff join our team, we enhance our ability to improve the patient experience and to provide accessible healthcare to residents of Beaumont and the surrounding Golden Triangle communities.”

The addition of Victory Medical Center in its operations will build on The Medical Center of Southeast Texas’ status as a premier, full-service, multi-site healthcare system, providing a full range of acute care and specialty medical and surgical services, including obstetrics and gynecology, neonatal intensive care, comprehensive cardiac and cardiovascular care, medical/surgical services and emergency services.

About The Medical Center of Southeast Texas

The Medical Center of Southeast Texas is a 216-bed hospital providing a full range of hospital services to Port Arthur, Beaumont and the surrounding communities. The hospital is part of IASIS Healthcare® LLC, a healthcare services company with acute care hospitals and related patient access points in Arizona, Arkansas, Colorado, Louisiana, Texas and Utah and a growing managed care risk platform, Health Choice. The Medical Center of Southeast Texas operates in partnership with physician owners.

About IASIS Healthcare

IASIS Healthcare is a healthcare services company that seeks to deliver high-quality, cost-effective healthcare through a broad and differentiated set of capabilities and assets that include acute care hospitals with related patient access points and a diversified managed care risk platform. With total annual revenue of approximately $2.6 billion, IASIS, headquartered in Franklin, Tennessee, owns and operates 16 acute care hospitals, one behavioral hospital and multiple other access points, including 144 physician clinics, multiple outpatient surgical units, imaging centers, and investments in urgent care centers and on-site employer-based clinics. Health Choice, the Company’s managed care risk platform, delivers services to approximately 389,000 covered lives through its multiple health plans, accountable care networks and agreements to serve as a management services organization with third party insurers. For more information on IASIS, please visit the Company’s Web site at www.iasishealthcare.com.

Some of the statements we make in this press release are forward-looking within the meaning of the federal securities laws, which are intended to be covered by the safe harbors created thereby. Those forward-looking statements include all statements that are not historical statements of fact and those regarding our intent, belief or expectations including, but not limited to, future financial and operating results, the Company’s plans, objectives, expectations and other statements that are not historical facts. Forward-looking statements involve known and unknown risks and uncertainties that may cause actual results in future periods to differ materially from those anticipated in the forward-looking statements. These risk factors and uncertainties are more fully described in Part I, Item 1A. “Risk Factors” of our Annual Report on Form 10-K/A for the fiscal year ended September 30, 2014 and as amended and restated in Part II, Item 1A. “Risk Factors” in our Quarterly Report on Form 10-Q/A for the quarter ended December 31, 2014, filed with the Securities and Exchange Commission, and other filings with the Securities and Exchange Commission.

Although we believe that the assumptions underlying the forward-looking statements contained in this press release are reasonable, any of these assumptions could prove to be inaccurate, and, therefore, there can be no assurance that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, you should not regard the inclusion of such information as a representation by the Company or any other person that our objectives and plans will be achieved. We undertake no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events.

FRANKLIN, Tennessee (August 13, 2015) — IASIS Healthcare® LLC (“IASIS” or the “Company”) today announced financial and operating results for the fiscal third quarter and nine months ended June 30, 2015. The Company’s discontinued operations in the accompanying consolidated financial statements have been excluded from Consolidated Financial and Operating Data and Supplemental Consolidated Statements of Operations Information for the fiscal third quarters and nine month periods ended June 30, 2015 and 2014.

Key Financial & Operating Results

Third Quarter Fiscal 2015

Revenue for the third quarter totaled $686.3 million, an increase of 8.5% compared to $632.7 million in the prior year quarter. Adjusted EBITDA for the third quarter totaled $63.0 million, an increase of 25.2% compared to $50.3 million in the prior year quarter. Net earnings from continuing operations for the third quarter totaled $1.4 million, compared to a net loss from continuing operations of $11.3 million in the prior year quarter. Included in the Company’s operating results for the third quarter were $3.1 million in pre-opening and start-up losses related to the opening of a new hospital campus and $5.9 million in legal settlement and other non-recurring costs.

Acute care revenue for the third quarter totaled $474.9 million, an increase of 4.6% compared to the prior year quarter. In the third quarter, admissions increased 0.1% and adjusted admissions increased 2.3%, each compared to the prior year quarter. Adjusting for certain service line closures, in the third quarter, admissions increased 0.9% and adjusted admissions increased 3.1%, each compared to the prior year quarter. Net patient revenue per adjusted admission in the third quarter increased 2.4% compared to the prior year quarter.

Premium, service and other revenue in the Company’s managed care risk platform for the third quarter totaled $211.4 million, an increase of 18.4% compared to the prior year quarter. Total lives served across all managed care division product lines increased 83.1% to 389,900 at June 30, 2015, which included a 22.2% increase in lives served by the Company’s managed Medicaid, Medicare and health insurance exchange plans.

For the third quarter, the medical loss ratio (“MLR”) associated with premium revenue across all health plans in the Company’s managed care risk platform was 87.4%, compared to 97.4% in the prior year quarter. The MLR for the third quarter of fiscal 2014 included increased medical costs associated with newly enrolled childless adult members resulting from the expansion of Arizona’s Medicaid program effective January 1, 2014. This newly enrolled childless adult population typically experiences more frequent medical utilization and higher acuity levels prior to effective management of their care. The reduced MLR for the third quarter of fiscal 2015 reflects the financial impact of effectively managing the care of these new members subsequent to their enrollment.

Year-to-Date Fiscal 2015

Revenue for the first nine months of fiscal 2015 totaled $2.05 billion, an increase of 10.6% compared to $1.86 billion in the prior year period. Adjusted EBITDA for the first nine months of fiscal 2015 totaled $193.6 million, an increase of 6.9% compared to $181.1 million in the prior year period. Net earnings from continuing operations for the first nine months of fiscal 2015 totaled $9.7 million, compared to a net loss from continuing operations of $6.2 million in the prior year period. Included in the Company’s operating results for the first nine months of fiscal 2015 were $3.7 million in pre opening and start-up losses related to the opening of a new hospital campus and $8.5 million in legal settlement and other non-recurring costs.

Acute care revenue for the first nine months of fiscal 2015 totaled $1.41 billion, an increase of 4.2% compared to the prior year period. In the first nine months of fiscal 2015, admissions increased 1.4% and adjusted admissions increased 3.5%, each compared to the prior year period. Net patient revenue per adjusted admission in the first nine months of fiscal 2015 increased 1.0% compared to the prior year period.

Premium, service and other revenue in the Company’s managed care risk platform for the first nine months of fiscal 2015 totaled $642.3 million, an increase of 27.6% compared to the prior year period.

For the first nine months of fiscal 2015, the MLR associated with premium revenue across all health plans in the Company’s managed care risk platform was 87.4%, compared to 89.4% in the prior year period. The MLR for the first nine months of fiscal 2015, benefited from reduced medical costs resulting from the care management of childless adult members, who were newly enrolled as a result of the expansion of Arizona’s Medicaid program effective January 1, 2014.

Cash Flow Analysis

Cash flows provided by operating activities for the first nine months of fiscal 2015 totaled $60.0 million, compared to cash flows used in operating activities of $10.5 million in the prior year period. The prior year period was affected by the payment of $22.3 million in income taxes and other transaction costs associated with the Company’s sale-leaseback transaction at the end of fiscal 2013. During the first nine months of fiscal 2015, the Company collected $79.8 million in fiscal 2014 receivables related to the Texas Medicaid supplemental reimbursement programs.

Cash flows used in investing activities for the first nine months of fiscal 2015 totaled $76.4 million, compared to cash flows used in investing activities of $84.1 million in the prior year period. Included in the first nine months of fiscal 2015 were $42.6 million in proceeds received from the sale of the Company’s Nevada operations. Additionally, the Company has spent $28.0 million in the first nine months of fiscal 2015 related to the construction of a new hospital campus, which opened in June 2015.

Conference Call

A listen-only simulcast of IASIS’ third quarter 2015 conference call will be available by clicking the “Investors” link on the Company’s Web site at www.iasishealthcare.com beginning at 11:00 a.m. Eastern Time on August 13, 2015. A copy of this press release will also be available on the Company’s Web site.

IASIS Healthcare is a healthcare services company that seeks to deliver high-quality, cost-effective healthcare through a broad and differentiated set of capabilities and assets that include acute care hospitals with related patient access points and a diversified managed care risk platform. With total annual revenue of approximately $2.6 billion, IASIS, headquartered in Franklin, Tennessee, owns and operates 16 acute care hospitals, one behavioral hospital and multiple other access points, including 144 physician clinics, multiple outpatient surgical units, imaging centers, and investments in urgent care centers and on-site employer-based clinics. Health Choice, the Company’s managed care risk platform, delivers services to 389,900 covered lives through its multiple health plans, accountable care networks and agreements to serve as a management services organization (“MSO”) with third party insurers. For more information on IASIS, please visit the Company’s Web site at www.iasishealthcare.com.

Some of the statements we make in this press release are forward-looking within the meaning of the federal securities laws, which are intended to be covered by the safe harbors created thereby. Those forward-looking statements include all statements that are not historical statements of fact and those regarding the Company’s intent, belief or expectations including, but not limited to, future financial and operating results, the Company’s plans, objectives, expectations and other statements that are not historical facts. Forward-looking statements involve known and unknown risks and uncertainties that may cause actual results in future periods to differ materially from those anticipated in the forward-looking statements. These risk factors and uncertainties are more fully described in Part I, Item 1A. “Risk Factors” of the Company’s Annual Report on Form 10-K/A for the fiscal year ended September 30, 2014, and as amended and restated in Part II, Item 1A. “Risk Factors” in the Company’s Quarterly Report on Form 10-Q/A for the quarter ended December 31, 2014, filed with the Securities and Exchange Commission (“SEC”), and other filings with the SEC.

Although we believe that the assumptions underlying the forward-looking statements contained in this press release are reasonable, any of these assumptions could prove to be inaccurate, and, therefore, there can be no assurance that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, you should not regard the inclusion of such information as a representation by the Company or any other person that the Company’s objectives and plans will be achieved. We undertake no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events.
Adjusted EBITDA represents net earnings (loss) from continuing operations before net interest expense, income tax expense, depreciation and amortization, stock-based compensation, net gain (loss) on disposal of assets, and management fees. Management fees represent monitoring and advisory fees paid to management companies affiliated with TPG and JLL. Management routinely calculates and communicates adjusted EBITDA and believes that it is useful to investors because it is commonly used as an analytical indicator within the healthcare industry to evaluate performance, allocate resources and measure leverage capacity and debt service ability. In addition, the Company uses adjusted EBITDA as a measure of performance for its business segments and for incentive compensation purposes. Adjusted EBITDA should not be considered as a measure of financial performance under generally accepted accounting principles, and the items excluded from adjusted EBITDA are significant components in understanding and assessing financial performance. Adjusted EBITDA should not be considered in isolation or as an alternative to net earnings, cash flows generated by operating, investing, or financing activities or other financial statement data presented in the consolidated financial statements as an indicator of financial performance or liquidity. Adjusted EBITDA, as presented, differs from “adjusted EBITDA” as defined under the Company’s Senior Secured Credit Facilities and may not be comparable to similarly titled measures of other companies. A table describing adjusted EBITDA and reconciling net earnings (loss) from continuing operations to adjusted EBITDA is included in this press release in the attached Supplemental Consolidated Statements of Operations Information.

FRANKLIN, Tennessee (August 6, 2015) – IASIS Healthcare® LLC (“IASIS”) today announced that it will provide an online listen-only Web simulcast of its fiscal third quarter 2015 conference call on Thursday, August 13, 2015. The Company will release its results for the fiscal third quarter ended June 30, 2015, before the opening of the market on August 13th.

The broadcast of IASIS’ conference call will begin at 11:00 a.m. Eastern Time on August 13th. The link to this event can be found at the Company’s website: www.iasishealthcare.com.

About IASIS

IASIS Healthcare LLC is a healthcare services company that seeks to deliver high-quality, cost-effective healthcare through a broad and differentiated set of capabilities and assets that include acute care hospitals with related patient access points and a diversified managed care risk platform. With total annual revenue of approximately $2.6 billion, IASIS, headquartered in Franklin, Tennessee, owns and operates 16 acute care hospitals, one behavioral hospital and multiple other access points, including 144 physician clinics, multiple outpatient surgical units, imaging centers, and investments in urgent care centers and on-site employer-based clinics. Health Choice, the Company’s managed care risk platform, delivers services to more than 389,000 covered lives through its multiple health plans, accountable care networks and agreements to serve as a management services organization (“MSO”) with third party insurers. For more information on IASIS, please visit the Company’s Web site at www.iasishealthcare.com.

NASHVILLE, Tenn. (July 6, 2015) — IASIS Healthcare Corporation today announced that Sharad Mansukani, M.D., has been appointed as the Company’s Lead Independent Director.

Dr. Mansukani has served on the Company’s Board of Directors since 2005. During his career, Dr. Mansukani has been a practicing physician, has served as a senior advisor to the Center for Medicare and Medicaid Services, and has held directorships and executive roles with numerous public and private managed care companies, as well as other healthcare industry companies. Dr. Mansukani’s leadership roles have also included positions with healthcare industry editorial boards and academic institutions.

During the past decade, Dr. Mansukani has brought his experience and expertise to both lines of IASIS Healthcare Corporation’s business: its acute care hospital operations and its Health Choice managed care solutions business, which includes managed Medicaid plans, a managed services organization and accountable care network operations that seek to promote provider and insurer collaboration toward value-based, cost-efficient, high-quality healthcare.

“Sharad’s breadth of professional experience gives him a special ability to view the healthcare industry from multiple perspectives: the patient, the physician, the insurer, the policy maker and the hospital,” said W. Carl Whitmer, IASIS Healthcare Corporation’s President and Chief Executive Officer. “Sharad’s experience is especially valuable to our company at a time when we are seeking to integrate our acute care and managed care operations. He brings a wealth of perspectives as to how our hospitals and our Health Choice managed care operations can work in concert to provide high quality care, to contain unnecessary medical costs and to drive economic value for all constituents.”

Dr. Mansukani is expected to continue to provide IASIS Healthcare Corporation’s senior executive management with strategic planning perspectives, in the context of the healthcare industry’s movement to value-based payments and implementation of federal healthcare reform. His increased administrative duties as Lead Independent Director will include coordinating the activities of the Company’s other independent directors and a lead role in corporate governance efforts.

About IASIS Healthcare

IASIS Healthcare is a healthcare services company that seeks to deliver high-quality, cost-effective healthcare through a broad and differentiated set of capabilities and assets that include acute care hospitals with related patient access points and a diversified managed care risk platform. With total annual revenue of approximately $2.6 billion, IASIS, headquartered in Franklin, Tennessee, owns and operates 16 acute care hospitals, one behavioral hospital and multiple other access points, including 144 physician clinics, multiple outpatient surgical units, imaging centers, and investments in urgent care centers and on-site employer-based clinics. Health Choice, the Company’s managed care risk platform, delivers services to more than 374,000 covered lives through its multiple health plans, accountable care networks and agreements to serve as a management services organization with third party insurers. For more information on IASIS, please visit the Company’s Web site at www.iasishealthcare.com.

Some of the statements we make in this press release are forward-looking within the meaning of the federal securities laws, which are intended to be covered by the safe harbors created thereby. Those forward-looking statements include all statements that are not historical statements of fact and those regarding our intent, belief or expectations including, but not limited to, future financial and operating results, the Company’s plans, objectives, expectations and other statements that are not historical facts. Forward-looking statements involve known and unknown risks and uncertainties that may cause actual results in future periods to differ materially from those anticipated in the forward-looking statements. These risk factors and uncertainties are more fully described in Part I, Item 1A. “Risk Factors” of our Annual Report on Form 10-K/A for the fiscal year ended September 30, 2014 and as amended and restated in Part II, Item 1A. “Risk Factors” in our Quarterly Report on Form 10-Q/A for the quarter ended December 31, 2014, filed with the Securities and Exchange Commission, and other filings with the Securities and Exchange Commission.

Although we believe that the assumptions underlying the forward-looking statements contained in this press release are reasonable, any of these assumptions could prove to be inaccurate, and, therefore, there can be no assurance that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, you should not regard the inclusion of such information as a representation by the Company or any other person that our objectives and plans will be achieved. We undertake no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events.

FRANKLIN, Tennessee (June 5, 2015) — IASIS Healthcare® LLC (“IASIS” or the “Company”) today announced that Mountain Point Medical Center, a new, full-service hospital, opened its doors and began caring for patients in and around Lehi, Utah, this week.

Mountain Point is a 124,000-square-foot hospital designed to provide comprehensive healthcare services for residents of the rapidly growing northern Utah County area. The new hospital is located at 3000 North Triumph Boulevard, Lehi, UT 84043.

“We have been preparing for this day for over two years and are thrilled that we can now provide high-quality healthcare to this growing community,” said Carl Whitmer, President and CEO of IASIS Healthcare. “We are proud of the skilled and experienced staff at Mountain Point that is committed to providing excellent care and service, and we look forward to serving patients in this community for many years to come. IASIS remains focused, along with our medical staffs, on continuing to improve access to high-quality, cost-effective healthcare for employers and residents of Utah.”

Mountain Point is equipped with state-of-the-art medical equipment and advanced technology and offers a 24-hour, full-service emergency department, intensive care unit, full-service laboratory, labor and delivery suites, level II nursery, diagnostic imaging services, cardiac catheterization laboratory, general medical and surgical inpatient services, and a number of medical specialties. A 60,000-square-foot integrated medical office building is occupied by primary care and multi-specialty physician groups practicing in the area.

“The opening of Mountain Point Medical Center is exciting for our team and the Utah County community,” said Edward Lamb, FACHE, Western Division President of IASIS Healthcare. “Mountain Point Medical Center strives to provide seamless access to high-quality healthcare, which means extending services and medical expertise throughout northern Utah County.”

The more than $80-million facility has been designed to serve the growing transition to outpatient-related services and has been constructed with the capability to expand depending on community need and demand for services in the northern Utah County area.

Mountain Point has opened with nearly 250 employees. In excess of 220 physicians and other medical providers, representing a wide range of medical specialties, serve on the hospital’s medical staff.

Mountain Point Medical Center is one of five IASIS Healthcare facilities in Utah. IASIS also operates Health Choice Utah, a managed health plan providing Medicaid services to residents in Davis, Salt Lake, Utah and Weber counties. Mountain Point Medical Center will be included in IASIS’ Health Choice Utah Preferred Network, a Salt Lake City-area healthcare provider network that collaborates with third party insurers to create high-quality, cost-effective managed care solutions. For more information about Mountain Point Medical Center, please visit www.mountainpointmedicalcenter.com.

About IASIS Healthcare

IASIS Healthcare is a healthcare services company that seeks to deliver high-quality, cost-effective healthcare through a broad and differentiated set of capabilities and assets that include acute care hospitals with related patient access points and a diversified managed care risk platform. With total annual revenue of approximately $2.6 billion, IASIS, headquartered in Franklin, Tennessee, owns and operates 16 acute care hospitals, one behavioral hospital and multiple other access points, including 144 physician clinics, multiple outpatient surgical units, imaging centers, and investments in urgent care centers and on-site employer-based clinics. Health Choice, the Company’s managed care risk platform, delivers services to more than 374,000 covered lives through its multiple health plans, accountable care networks and agreements to serve as a management services organization with third party insurers. Mountain Point Medical Center is a campus of Jordan Valley Medical Center, in which physicians own a minority interest. For more information on IASIS, please visit the Company’s Web site at www.iasishealthcare.com.

Some of the statements we make in this press release are forward-looking within the meaning of the federal securities laws, which are intended to be covered by the safe harbors created thereby. Those forward-looking statements include all statements that are not historical statements of fact and those regarding our intent, belief or expectations including, but not limited to, future financial and operating results, the Company’s plans, objectives, expectations and other statements that are not historical facts. Forward-looking statements involve known and unknown risks and uncertainties that may cause actual results in future periods to differ materially from those anticipated in the forward-looking statements. These risk factors and uncertainties are more fully described in Part I, Item 1A. “Risk Factors” of our Annual Report on Form 10-K/A for the fiscal year ended September 30, 2014 and as amended and restated in Part II, Item 1A. “Risk Factors” in our Quarterly Report on Form 10-Q/A for the quarter ended December 31, 2014, filed with the Securities and Exchange Commission, and other filings with the Securities and Exchange Commission.

Although we believe that the assumptions underlying the forward-looking statements contained in this press release are reasonable, any of these assumptions could prove to be inaccurate, and, therefore, there can be no assurance that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, you should not regard the inclusion of such information as a representation by the Company or any other person that our objectives and plans will be achieved. We undertake no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events.

Contacts

IASIS Healthcare LLC
Investor Contact:
W. Carl Whitmer, 615-844-2747
President and Chief Executive Officer
or
John M. Doyle, 615-844-2747
Chief Financial Officer
or
Media Contact:
Cara Jackson, 615-467-1255
VP, Corporate Communications

FRANKLIN, Tennessee (May 15, 2015) — IASIS Healthcare® LLC (“IASIS” or the “Company”) today announced financial and operating results for the fiscal second quarter and six months ended March 31, 2015. The Company’s discontinued operations in the accompanying consolidated financial statements have been excluded from Consolidated Financial and Operating Data and Supplemental Consolidated Statements of Operations Information for the fiscal second quarters and six month periods ended March 31, 2015 and 2014.

Key Financial & Operating Results

Second Quarter Fiscal 2015

Total revenue for the second quarter totaled $696.8 million, an increase of 11.0% compared to $627.8 million in the prior year quarter. Adjusted EBITDA for the second quarter totaled $74.6 million, an increase of 12.0% compared to $66.6 million in the prior year quarter. Net earnings from continuing operations for the second quarter totaled $8.7 million, compared to $3.2 million in the prior year quarter. Included in our results for the second quarter of fiscal 2015 were $1.4 million of costs associated with the pending initial public offering of the Company’s parent, IASIS Healthcare Corporation.

Acute care revenue for the second quarter increased 3.5% compared to the prior year quarter. In the second quarter, admissions increased 1.0% and adjusted admissions increased 4.1%, each compared to the prior year quarter. Net patient revenue per adjusted admission in the second quarter decreased 0.4% compared to the prior year quarter.

Premium and service revenues in our managed care risk platform for the second quarter, excluding the effect of $4.7 million of revenue associated with the federal health insurer fee, increased 27.9% compared to the prior year quarter. Total lives served across all managed care product lines increased 73.9% to 374,300, compared to 215,300 in the prior year quarter. Total lives served in the second quarter included 93,700 lives associated with the Company’s management services organization (“MSO”), which began operations on June 1, 2014. Health plan lives increased 19.7% compared to the prior year quarter, mostly attributable to growth in our Medicaid product line.

For the second quarter, the medical loss ratio (“MLR”) associated with premium revenue across all health plans in the Company’s managed care risk platform was 83.9%, compared to 85.6% in the prior year quarter. The MLR for the second quarter benefited from reduced medical costs resulting from the effective care management of childless adult members, who were newly enrolled as a result of the recent expansion of the Medicaid program in Arizona effective January 1, 2014. This newly enrolled population typically experiences more frequent medical utilization and higher acuity levels prior to effective management of their care. As a result of effective care management, the MLR for the Company’s Arizona Medicaid plan declined 530 basis points (“bps”) during the quarter ended March 31, 2015, compared to the prior year quarter.

Year-to-Date Fiscal 2015

Total revenue for the first six months of fiscal 2015 totaled $1.37 billion, an increase of 11.7% compared to $1.22 billion in the prior year period. Adjusted EBITDA for the first six months of fiscal 2015 totaled $130.5 million, a decrease of 0.2% compared to $130.8 million in the prior year period. Net earnings from continuing operations for the first six months of fiscal 2015 totaled $8.4 million, compared to $5.2 million in the prior year period. Included in our results for the first six months of fiscal 2015 was $1.4 million of costs associated with the pending initial public offering of the Company’s parent.

Acute care revenue for the first six months of fiscal 2015 increased 4.1% compared to the prior year period. In the first six months of fiscal 2015, admissions increased 2.0% and adjusted admissions increased 4.1%, each compared to the prior year period. Net patient revenue per adjusted admission in the first six months of fiscal 2015 increased 0.2% compared to the prior year period.

Premium and service revenues in our managed care risk platform for the first six months of fiscal 2015, excluding the effect of $7.6 million of revenue associated with the federal health insurer fee, increased 30.4% compared to the prior year period.

Since the January 1, 2014, effective date of Medicaid expansion, enrollment in our Arizona Medicaid plan has grown approximately 23.1%, which has created a shift in the mix of lives, including newly enrolled childless adult members that have resulted in increased medical costs. For the first six months of fiscal 2015, the MLR associated with premium revenue across all health plans in the Company’s managed care risk platform was 87.4%, compared to 85.0% in the same prior year period. Despite the increased MLR for the first six months of fiscal 2015, the Company has experienced reductions in medical costs resulting from the effective care management of the childless adult members newly enrolled during fiscal 2014. The MLR for this population declined approximately 810 bps during the first six months of fiscal 2015, compared to the period beginning January 1, 2014 through September 30, 2014, the period most effected by the growth of newly enrolled childless adults and the related increase in medical utilization. In addition, the MLR for the Company’s Arizona Medicaid plan declined approximately 480 bps in the first six months of fiscal 2015, compared to the MLR for the period from January 1, 2014 through September 30, 2014.

Cash Flow Analysis

Cash flows provided by operating activities for the first six months of fiscal 2015 totaled $17.2 million, compared to cash flows used in operating activities of $33.0 million in the prior year period. The prior year period was affected by the payment of $22.3 million in income taxes and other transaction costs associated with the Company’s sale-leaseback transaction at the end of fiscal 2013. During the first six months of fiscal 2015, the Company collected $51.7 million in receivables related to the Texas Medicaid supplemental reimbursement programs.

Cash used in investing activities for the first six months of fiscal 2015 totaled $19.6 million, compared to cash flows used in investing activities of $45.3 million in the prior year period. Included in the first six months of fiscal 2015 were $41.8 million in proceeds received from the sale of the Company’s Nevada operations. Additionally, the Company has spent $18.8 million in the first six months of fiscal 2015 related to the construction of its new hospital in Lehi, Utah, which is expected to open in the summer of 2015.

Conference Call

A listen-only simulcast of IASIS’ second quarter 2015 conference call will be available by clicking the “Investors” link on the Company’s Web site at www.iasishealthcare.com beginning at 11:00 a.m. Eastern Time on May 15, 2015. A copy of this press release will also be available on the Company’s Web site.

IASIS Healthcare is a healthcare services company that seeks to deliver high-quality, cost-effective healthcare through a broad and differentiated set of capabilities and assets that include acute care hospitals with related patient access points and a diversified managed care risk platform. With total annual revenue of approximately $2.5 billion, IASIS, headquartered in Franklin, Tennessee, owns and operates 15 acute care hospitals, one behavioral hospital and multiple other access points, including 144 physician clinics, multiple outpatient surgical units, imaging centers, and investments in urgent care centers and on-site employer-based clinics. Health Choice, the Company’s managed care risk platform, delivers services to more than 374,000 covered lives through its multiple health plans, accountable care networks and agreements to serve as a management services organization (“MSO”) with third party insurers. For more information on IASIS, please visit the Company’s Web site at www.iasishealthcare.com.

Some of the statements we make in this press release are forward-looking within the meaning of the federal securities laws, which are intended to be covered by the safe harbors created thereby. Those forward-looking statements include all statements that are not historical statements of fact and those regarding our intent, belief or expectations including, but not limited to, future financial and operating results, the Company’s plans, objectives, expectations and other statements that are not historical facts. Forward-looking statements involve known and unknown risks and uncertainties that may cause actual results in future periods to differ materially from those anticipated in the forward-looking statements. These risk factors and uncertainties are more fully described in Part I, Item 1A. “Risk Factors” of our Annual Report on Form 10-K/A for the fiscal year ended September 30, 2014 and as amended and restated in Part II, Item 1A. “Risk Factors” in our Quarterly Report on Form 10-Q/A for the quarter ended December 31, 2014, filed with the Securities and Exchange Commission, and other filings with the Securities and Exchange Commission.

Although we believe that the assumptions underlying the forward-looking statements contained in this press release are reasonable, any of these assumptions could prove to be inaccurate, and, therefore, there can be no assurance that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, you should not regard the inclusion of such information as a representation by the Company or any other person that our objectives and plans will be achieved. We undertake no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events.

Adjusted EBITDA represents net earnings from continuing operations before net interest expense, income tax expense, depreciation and amortization, stock-based compensation, net gain (loss) on disposal of assets, and management fees. Management fees represent monitoring and advisory fees paid to management companies affiliated with TPG and JLL. Management routinely calculates and communicates adjusted EBITDA and believes that it is useful to investors because it is commonly used as an analytical indicator within the healthcare industry to evaluate performance, allocate resources and measure leverage capacity and debt service ability. In addition, the Company uses adjusted EBITDA as a measure of performance for its business segments and for incentive compensation purposes. Adjusted EBITDA should not be considered as a measure of financial performance under generally accepted accounting principles, and the items excluded from adjusted EBITDA are significant components in understanding and assessing financial performance. Adjusted EBITDA should not be considered in isolation or as an alternative to net earnings, cash flows generated by operating, investing, or financing activities or other financial statement data presented in the consolidated financial statements as an indicator of financial performance or liquidity. Adjusted EBITDA, as presented, differs from “adjusted EBITDA” as defined under the Company’s Senior Secured Credit Facilities and may not be comparable to similarly titled measures of other companies. A table describing adjusted EBITDA and reconciling net earnings from continuing operations to adjusted EBITDA is included in this press release in the attached Supplemental Consolidated Statements of Operations Information.

Contacts

IASIS Healthcare LLC
Investor Contact:
W. Carl Whitmer, 615-844-2747
President and Chief Executive Officer
or
John M. Doyle, 615-844-2747
Chief Financial Officer
or
Media Contact:
Cara Jackson, 615-467-1255
VP, Corporate Communications

SALT LAKE CITY–Health Choice Preferred, a division of IASIS Healthcare, and Regence BlueCross BlueShield of Utah are announcing a new value-based care collaboration. Under the agreement, Health Choice Preferred will manage quality and cost of care for more than 10,000 Utah members enrolled in Regence’s fully insured PPO plans.

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FRANKLIN, Tenn.– IASIS Healthcare® LLC (“IASIS” or the “Company”) today announced financial and operating results for the fiscal first quarter ended December 31, 2014. The Company’s discontinued operations in the accompanying consolidated financial statements have been excluded from Consolidated Financial and Operating Data and Supplemental Consolidated Statements of Operations Information for the fiscal first quarters ended December 31, 2014 and 2013.

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FRANKLIN, Tennessee (February 2, 2015) – IASIS Healthcare Corporation (“IASIS”), the parent company of IASIS Healthcare LLC, today announced that it has filed a registration statement on Form S-1 with the Securities and Exchange Commission relating to the proposed initial public offering of its common stock. The number of shares to be offered and the price range for the proposed offering have not yet been determined.

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Health Choice, a managed care solutions organization and division of IASIS Healthcare LLC, and Phoenix Children’s Care Network, LLC (PCCN) have announced an accountable care alliance focused on providing personalized, high-quality pediatric care for PCCN patients and members of Health Choice Preferred, a non-Medicare accountable care organization.

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