HOUSTON - U.S. Physical Therapy, Inc. (NYSE:USPH) reported second-quarter earnings that missed analyst estimates, sending shares down 4.7% in aftermarket trading on Tuesday.
The outpatient physical therapy provider posted adjusted earnings per share of $0.47, falling short of the $0.82 consensus estimate. Revenue came in at $167.19 million, surpassing expectations of $163.34 million.
Total revenue from physical therapy operations increased 8.5% YoY to $143.5 million in Q2. Patient visits rose 5.4% to 1,335,335, while net rate per patient visit grew 3% to $105.05.
However, rising labor costs weighed on profitability. The company cited a "lingering tough employment environment" leading to higher salaries and increased use of contract therapists.
"While our retention has been good with respect to our team members, the new employees who join our team as a result of turnover are coming in at higher rates," said CEO Chris Reading.
As a result, management returned its 2024 adjusted EBITDA guidance to a range of $80-$85 million, which was its original guidance.
The company declared a quarterly dividend of $0.44 per share, payable on September 13 to shareholders of record on August 23.
U.S. Physical Therapy operated 681 outpatient physical therapy clinics across 42 states as of June 30.
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