Mission Statement, Vision, & Core Values (2024) of Encompass Health Corporation (EHC).

An Overview of Encompass Health Corporation (EHC)

General Summary of Encompass Health Corporation (EHC)

Encompass Health Corporation (EHC) is a leading provider of integrated healthcare services, specializing in post-acute care. Established in 2014, EHC operates through a network of inpatient rehabilitation hospitals, home health agencies, and hospice services across the United States. The company’s primary focus is on delivering high-quality rehabilitation services to patients recovering from serious illnesses and injuries.

As of 2024, Encompass Health operates 138 licensed inpatient rehabilitation hospitals and 258 home health locations in 36 states and Puerto Rico. The company generated approximately $3.97 billion in net operating revenues for the nine months ended September 30, 2024, reflecting an 11.6% increase compared to the same period in 2023.

Company's Financial Performance in the Latest Financial Reports

In the third quarter of 2024, Encompass Health reported record-breaking financial results, showcasing a strong performance across its operations. For the three months ended September 30, 2024, net operating revenues reached $1.35 billion, an increase of 11.9% compared to $1.21 billion for the same period in 2023. The growth was primarily driven by a 6.8% increase in same-store discharges and a 28.9% rise in income from continuing operations, amounting to $147.8 million compared to $114.7 million in Q3 2023.

The company’s operating expenses also increased, totaling $1.14 billion for the three months ended September 30, 2024, reflecting an 11.1% rise from the previous year. However, the net income attributable to Encompass Health common shareholders increased by 26.8% to $108.2 million from $85.3 million in Q3 2023.

Key financial metrics for the nine months ended September 30, 2024, include:

Introduction to Encompass Health as a Leader in the Industry

Encompass Health Corporation stands out as one of the leading companies in the post-acute care sector, driven by its commitment to providing exceptional rehabilitation services. The company has strategically expanded its footprint through joint ventures and acquisitions, enhancing its capacity to serve an aging population in need of specialized care. With a focus on quality outcomes, EHC has positioned itself as a trusted provider within the healthcare community.

As of 2024, Encompass Health's market presence includes a robust network of facilities and a diverse range of services, making it a key player in the healthcare industry. The company’s growth trajectory and financial resilience suggest a strong outlook for continued success in meeting the evolving needs of patients and healthcare partners alike.

Mission Statement of Encompass Health Corporation (EHC)

Mission Statement of Encompass Health Corporation (EHC)

Encompass Health Corporation's mission statement is to provide high-quality, patient-centered healthcare to individuals recovering from illness and injury. This mission underscores the company's commitment to enhancing the lives of patients through rehabilitative care, thereby guiding its long-term goals and operational strategies.

Core Component 1: Patient-Centered Care

The first core component of Encompass Health's mission is patient-centered care. This approach emphasizes the importance of individualized treatment plans that cater to the unique needs of each patient. As of September 30, 2024, Encompass Health operated 165 inpatient rehabilitation hospitals across 38 states and Puerto Rico, treating over 184,659 patients during the nine months ended September 30, 2024, reflecting an 8.5% increase compared to the previous year.

Core Component 2: Quality of Care

The second core component is the quality of care. Encompass Health is dedicated to delivering the highest standards of rehabilitative services. In the nine months ended September 30, 2024, the company achieved net operating revenues of approximately $3.97 billion, an 11.6% increase from $3.55 billion in the same period of the prior year. This growth can be attributed to improved reimbursement rates and enhanced patient outcomes, as evidenced by a 2.5% increase in net patient revenue per discharge.

Core Component 3: Commitment to Innovation

The third core component focuses on innovation in healthcare delivery. Encompass Health invests significantly in technology and infrastructure to improve patient outcomes. During the nine months ended September 30, 2024, the company made capital expenditures of approximately $444 million. This investment facilitates the development of new facilities, such as the 50-bed inpatient rehabilitation hospital opened in Kissimmee, Florida, in May 2024.

Encompass Health's mission statement and its core components reflect a strong commitment to advancing healthcare quality through patient-centered care, innovative practices, and a focus on excellence. The company's financial performance, as illustrated, supports its mission by demonstrating growth and efficiency in delivering rehabilitative services.

Vision Statement of Encompass Health Corporation (EHC)

Vision Statement Overview

Encompass Health Corporation (EHC) aims to be the leading provider of integrated healthcare services in the United States, focusing on rehabilitation and post-acute care. As of 2024, EHC's vision emphasizes enhancing patient outcomes, expanding access to care, and leveraging innovative technologies to improve service delivery.

Commitment to Quality Care

At the core of EHC's vision is a commitment to delivering high-quality care that meets the diverse needs of patients. As of September 30, 2024, EHC reported a net operating revenue of $3.97 billion, up from $3.55 billion year-over-year, which reflects an 11.6% increase driven by higher patient volumes and improved reimbursement rates.

The company has also maintained a focus on operational efficiency, achieving an operating expense ratio of 84.1% of net operating revenues, which is a decrease from 84.8% in the previous year.

Patient-Centric Approach

EHC emphasizes a patient-centric approach in its vision, aiming to tailor rehabilitation services to individual patient needs. In 2024, the company reported a 6.8% increase in same-store discharges. This growth reflects the effectiveness of its patient engagement strategies and the quality of care provided across its facilities.

The average length of stay for patients was reported at 12.2 days, consistent with the previous year, indicating stability in patient management and care processes.

Expansion and Accessibility

Encompass Health aims to expand its footprint and enhance accessibility to its services. As of 2024, the company operates 165 inpatient rehabilitation hospitals across 38 states and Puerto Rico. Recent expansions include new facilities in Kissimmee, Florida, and Atlanta, Georgia, which opened in May 2024, and a new hospital in Louisville, Kentucky, which began operations in June 2024.

Innovative Technologies

As part of its vision, EHC is committed to incorporating innovative technologies into its service delivery. In 2024, the company has invested significantly in technology initiatives, with capital expenditures projected between $595 million and $625 million. This investment supports the development of advanced rehabilitation techniques and enhances patient care management systems.

Financial Performance and Goals

Financially, Encompass Health has demonstrated robust performance, with a net income attributable to its common shareholders of $334.8 million for the nine months ended September 30, 2024, representing a 26.6% increase from the prior year. The company's focus on expanding its operational capabilities and maintaining high standards of care is reflected in its positive financial trajectory.

Additionally, the company's Adjusted EBITDA serves as a critical measure of its operational efficiency and financial health, reinforcing its commitment to sustainable growth.

Core Values of Encompass Health Corporation (EHC)

Integrity

The core value of integrity at Encompass Health Corporation (EHC) emphasizes ethical behavior, transparency, and accountability in all business practices.

In 2024, EHC demonstrated its commitment to integrity by implementing rigorous compliance programs that ensure adherence to healthcare regulations. The company invested approximately $10 million in training and compliance initiatives aimed at enhancing ethical standards across its operations. Furthermore, EHC maintained a low incidence of compliance violations, with only 1.2% of audits resulting in any form of disciplinary action.

Compassion

Compassion is central to EHC's mission of providing high-quality care to patients. In 2024, the company expanded its patient support programs, which included a $5 million investment in mental health services aimed at improving patient outcomes. EHC also reported a patient satisfaction score of 92%, significantly higher than the industry average of 85%.

Additionally, EHC launched a community outreach initiative, providing free rehabilitation services to underserved populations, which served over 1,500 patients in 2024 alone.

Excellence

Excellence reflects EHC’s commitment to delivering outstanding healthcare services. In 2024, the company achieved a 15% increase in successful rehabilitation outcomes compared to the previous year. EHC's hospitals were recognized for their performance, with 75% of its facilities receiving a five-star rating from the Centers for Medicare & Medicaid Services (CMS).

Moreover, EHC invested $200 million in technology upgrades to enhance patient care and operational efficiency, which included implementing advanced electronic health record systems in all hospitals.

Innovation

Innovation is vital for EHC to stay ahead in the competitive healthcare market. In 2024, the company launched a telehealth program that resulted in a 30% increase in patient engagement. This program allowed EHC to provide remote consultations and follow-ups, significantly enhancing accessibility for patients.

Additionally, EHC allocated $50 million for research and development of new rehabilitation technologies, partnering with universities to explore cutting-edge therapies.

Teamwork

Teamwork is essential for achieving EHC's mission of holistic patient care. In 2024, the company reported a 10% increase in employee engagement scores, reflecting a positive workplace culture. EHC implemented new collaborative training programs, which included interdepartmental workshops that improved communication and teamwork among staff.

Furthermore, the company recognized its top-performing teams with awards and bonuses, enhancing motivation and collaboration across all levels of the organization.

EHC's commitment to its core values fosters a culture that prioritizes ethical practices, patient care, and innovation, setting a benchmark for excellence in the healthcare industry.

Article updated on 8 Nov 2024

Resources:

• Encompass Health Corporation (EHC) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Encompass Health Corporation (EHC)' financial performance, including balance sheets, income statements, and cash flow statements.
• SEC Filings – View Encompass Health Corporation (EHC)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.