Variable Interest Entities

3 Months Ended

Mar. 31, 2025

Variable Interest Entities

Variable Interest Entities

Note 17 – Variable Interest Entities

The following tables provide the balance sheet amounts for consolidated VIEs (in thousands):


	March 31, 2025
	Real Estate			Physician
	Entities			LLCs			IPAs

Current assets	$	38		$	34,785		$	9,294
Property and equipment, net		-			4			112
Long-term assets		33,211			-			-

Total assets	$	33,249		$	34,789		$	9,406

Current liabilities		-			10,466			9,406
Long-term liabilities		11,460			-			-

Total liabilities		11,460			10,466			9,406

Equity		21,789			24,323			-

Total liabilities and equity	$	33,249		$	34,789		$	9,406


	December 31, 2024
	Real Estate			Physician
	Entities			LLCs			IPAs

Current assets	$	122		$	23,041		$	10,109
Property and equipment, net		-			4			116
Long-term assets		33,185			-			-

Total assets	$	33,307		$	23,045		$	10,225

Current liabilities		-			-			10,226
Long-term liabilities		11,768			-			-

Total liabilities		11,768			-			10,226

Equity		21,539			23,045			-

Total liabilities and equity	$	33,307		$	23,045		$	10,226

The assets of each of the hospital facilities may only be used to settle the liabilities of that entity or its consolidated VIEs and may not be required to be used to settle the liabilities of any of the other hospital facilities, other VIEs, or corporate entities. Additionally, the assets of corporate entities cannot be used to settle the liabilities of VIEs. The Company has aggregated all of the Physician LLCs and Real Estate Entities into two categories above, because they have similar risk characteristics, and presenting distinct financial information for each VIE would not add more useful information.

Real Estate Entities are consolidated by the Company as VIEs because they do not have sufficient equity at risk and our hospital entities are guarantors of their outstanding mortgage loans. We have been working with the third-party lenders to remove our guarantees of their outstanding mortgage loans. As these guarantees are released, the associated Real

Estate Entity no longer qualifies as a VIE and is deconsolidated. As of March 31, 2025, two Real Estate Entities continue to be consolidated in our financial statements.