v3.25.2
Segment Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company identifies its segments according to how the chief operating decision maker evaluates financial performance and allocates resources. The Company’s reportable segments consist of the critical illness recovery hospital segment, rehabilitation hospital segment, and outpatient rehabilitation segment. Other activities include the Company’s corporate shared services, certain investments, and employee leasing services with non-consolidating subsidiaries.
The Company’s chief operating decision maker is its Executive Chairman. The chief operating decision maker uses Adjusted EBITDA in the annual budgeting and forecasting process. The chief operating decision maker considers budget-to-actual variances when making decisions about the allocation of operating and capital resources to each segment. The chief operating decision maker also uses segment Adjusted EBITDA to assess the performance of each segment by comparing the results of each segment to one another and to each segment’s budget. Adjusted EBITDA is defined as earnings from continuing operations excluding interest, income taxes, depreciation and amortization, gain (loss) on early retirement of debt, stock compensation expense, transaction costs associated with the Concentra separation, gain (loss) on sale of businesses, and equity in earnings (losses) of unconsolidated subsidiaries. The Company has provided additional information regarding its reportable segments, such as total assets, which contributes to the understanding of the Company and provides useful information to the users of the consolidated financial statements.
The following tables summarize selected financial data for the Company’s reportable segments.
 Three Months Ended June 30, 2024
 Critical Illness Recovery HospitalRehabilitation HospitalOutpatient
Rehabilitation		OtherTotal
 (in thousands)
Revenue$604,921 $267,831 $315,496 $93,500 $1,281,748 
Personnel expense342,151 150,285 222,161 
Other segment items (1)
190,937 55,592 64,566 
Adjusted EBITDA71,833 61,954 28,769 
Total assets2,659,137 1,241,445 1,415,573 200,169 5,516,324 
Capital expenditures17,616 14,818 8,162 (311)40,285 
 Three Months Ended June 30, 2025
 Critical Illness Recovery HospitalRehabilitation HospitalOutpatient
Rehabilitation		OtherTotal
 (in thousands)
Revenue$601,139 $313,775 $327,584 $97,081 $1,339,579 
Personnel expense348,845 175,441 231,689 
Other segment items (1)
196,011 67,287 65,382 
Adjusted EBITDA56,283 71,047 30,513 
Total assets2,687,401 1,479,225 1,414,168 161,456 5,742,250 
Capital expenditures23,239 31,345 9,844 256 64,684 
 Six Months Ended June 30, 2024
 Critical Illness Recovery HospitalRehabilitation HospitalOutpatient
Rehabilitation		OtherTotal
 (in thousands)
Revenue$1,260,801 $533,531 $618,654 $189,973 $2,602,959 
Personnel expense691,445 297,935 437,578 
Other segment items (1)
381,583 112,242 127,379 
Adjusted EBITDA187,773 123,354 53,697 
Total assets2,659,137 1,241,445 1,415,573 200,169 5,516,324 
Capital expenditures33,557 21,919 17,662 2,433 75,571 
 Six Months Ended June 30, 2025
 Critical Illness Recovery HospitalRehabilitation HospitalOutpatient
Rehabilitation		OtherTotal
 (in thousands)
Revenue$1,238,169 $621,163 $634,926 $198,493 $2,692,751 
Personnel expense697,393 346,251 451,127 
Other segment items (1)
397,844 133,441 129,013 
Adjusted EBITDA142,932 141,471 54,786 
Total assets2,687,401 1,479,225 1,414,168 161,456 5,742,250 
Capital expenditures39,910 57,270 18,891 952 117,023 
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(1)    Other segment items consist of facilities expense, other operating expenses, and other operating income.
A reconciliation of Adjusted EBITDA to income from continuing operations before income taxes is as follows:
 Three Months Ended June 30,Six Months Ended June 30,
 2024202520242025
 (in thousands)
Adjusted EBITDA - Critical Illness Recovery Hospital Segment$71,833 $56,283 $187,773 $142,932 
Adjusted EBITDA - Rehabilitation Hospital Segment61,954 71,047 123,354 141,471 
Adjusted EBITDA - Outpatient Rehabilitation Segment28,769 30,513 53,697 54,786 
Other revenue93,500 97,081 189,973 198,493 
Other cost of services (1)
(93,500)(97,081)(189,973)(198,493)
Other general and administrative expenses (1)
(37,827)(32,504)(74,320)(62,405)
Other other operating income— 72 — 72 
Depreciation and amortization(36,069)(34,848)(71,653)(69,656)
Stock compensation expense(14,247)(4,032)(25,691)(7,924)
Concentra separation transaction costs(557)— (835)— 
Equity in earnings of unconsolidated subsidiaries9,991 13,618 20,412 26,130 
Interest expense(27,994)(29,978)(68,675)(59,050)
Income from continuing operations before income taxes$55,853 $70,171 $144,062 $166,356 
_______________________________________________________________________________
(1)    Exclusive of depreciation, amortization and stock compensation expense.