Enhabit Home Health & Hospice announced a challenging second quarter Monday in its first earnings report as an independent company. Enhabit earned $0.47 a diluted share on revenues of $268 million in the quarter compared to $0.71 a share on revenues of $286.1 million during the same period in 2021 under Encompass.
Enhabit President and CEO Barb Jacobsmeyer acknowledged some of the difficulties the company faced over the last three months as it prepared to split from Encompass Health.
“During the quarter, we continued to build and strengthen our team for the long-term as we addressed the ongoing challenging operating environment for the healthcare industry,” Jacobsmeyer said in a statement. “Despite labor challenges and inflation, we saw momentum in our recruiting and retention efforts that will help us meet the growing demand for our services. We remain focused on providing high-quality, compassionate care to our patients that will ultimately drive long-term value for all of our stakeholders.”
Revenues for the home health segment declined a little more than 5% during the quarter, while they declined more than double that for the hospice segment. Still, the company reported some positive signs, as Medicare Advantage admissions grew in the second quarter and hospice admissions began experiencing positive trends late in the spring.
Enhabit began trading as a separate company on the New York Stock Exchange July 5. Encompass Health spun off the division following a year-long revue of the business. Encompass leaders said Enhabit would have more flexibility as a separate company and shareholders would reap better profits.