10-Q 1 amsg-10q-2012-09-30.htm FORM 10-Q  

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

 

FORM 10-Q

 

Quarterly Report Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

 

For the Quarterly Period Ended September 30, 2012

 

AMSURG CORP.

(Exact Name of Registrant as Specified in its Charter)

 

Tennessee

000-22217

62-1493316

(State or Other Jurisdiction of Incorporation)

(Commission

 File Number)

(I.R.S. Employer

 Identification No.)

 

 

 

20 Burton Hills Boulevard

 

 

Nashville, Tennessee

 

37215

(Address of Principal

Executive Offices)

 

(Zip Code)

 

 

 (615) 665-1283

(Registrant’s Telephone Number, Including Area Code)

 

 

        Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

 

Yes [X]                   No [  ]

 

        Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

 

Yes [X]                   No [  ]

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.   (Check one):

 

                                Large accelerated filer  [X]                                      Accelerated filer                  [  ]

Non-accelerated filer    [   ]                                      Smaller reporting company [  ]

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

 

Yes [  ]                    No [X]

 

As of November 2, 2012 there were outstanding 31,679,440 shares of the registrant’s Common Stock, no par value.

 

 


 

 

 

Table of Contents to Form 10-Q for the Nine Months Ended September 30, 2012

 

 

 

 

 

Part I

 

 

 

 

 

Item 1.

Financial Statements

 

1

 

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

 

17

 

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

 

24

 

Item 4.

Controls and Procedures

 

25

 

 

 

 

 

Part II

 

 

 

 

 

Item 1.

Legal Proceedings

 

26

 

Item 1A.

Risk Factors

 

26

 

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

 

26

 

Item 3.

Defaults Upon Senior Securities

 

26

 

Item 4.

Mine Safety Disclosures

 

26

 

Item 5.

Other Information

 

26

 

Item 6.

Exhibits

 

26

 

 

 

 

 

 

Signature

 

27

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

i 

 


 

 

 

Part I

 

Item 1.  Financial Statements
 
AmSurg Corp.
Consolidated Balance Sheets
September 30, 2012 (unaudited) and December 31, 2011

(Dollars in thousands)

 

 

 

 

 

 

September 30,

 

December 31,

 

 

 

 

 

2012 

 

2011 

 

 

 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

 35,682 

 

$

 40,718 

 

Accounts receivable, net of allowance of $23,414 and $18,844, respectively

 

 

 88,733 

 

 

 93,454 

 

Supplies inventory

 

 

 14,765 

 

 

 15,039 

 

Deferred income taxes

 

 

 3,027 

 

 

 2,129 

 

Prepaid and other current assets

 

 

 22,139 

 

 

 21,875 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total current assets

 

 

 164,346 

 

 

 173,215 

 

 

 

 

 

 

 

 

 

 

Property and equipment, net

 

 

 144,599 

 

 

 144,558 

Investments in unconsolidated affiliates and long-term notes receivable

 

 

 11,883 

 

 

 10,522 

Goodwill

 

 

 1,250,451 

 

 

 1,229,298 

Intangible assets, net

 

 

 16,062 

 

 

 15,425 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets

 

$

 1,587,341 

 

$

 1,573,018 

 

 

 

 

 

 

 

 

 

 

Liabilities and Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

Current portion of long-term debt

 

$

 12,274 

 

$

 10,800 

 

Accounts payable

 

 

 18,325 

 

 

 19,746 

 

Current income taxes payable

 

 

 - 

 

 

 1,796 

 

Accrued salaries and benefits

 

 

 25,324 

 

 

 22,224 

 

Other accrued liabilities

 

 

 9,568 

 

 

 9,088 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total current liabilities

 

 

 65,491 

 

 

 63,654 

 

 

 

 

 

 

 

 

 

 

Long-term debt

 

 

 385,681 

 

 

 447,963 

Deferred income taxes

 

 

 131,646 

 

 

 114,167 

Other long-term liabilities

 

 

 28,772 

 

 

 28,131 

Commitments and contingencies

 

 

 

 

 

 

Noncontrolling interests – redeemable

 

 

 174,887 

 

 

 170,636 

Preferred stock, no par value, 5,000,000 shares authorized, no shares issued or outstanding

 

 

 - 

 

 

 - 

 

 

 

 

 

 

 

 

 

 

Equity:

 

 

 

 

 

 

 

Common stock, no par value, 70,000,000 shares authorized, 31,679,440 and 31,283,772

 

 

 

 

 

 

 

 

shares outstanding, respectively

 

 

 175,971 

 

 

 173,187 

 

Retained earnings

 

 

 488,807 

 

 

 443,058 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total AmSurg Corp. equity

 

 

 664,778 

 

 

 616,245 

 

 

 

Noncontrolling interests – non-redeemable

 

 

 136,086 

 

 

 132,222 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total equity

 

 

 800,864 

 

 

 748,467 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total liabilities and equity

 

$

 1,587,341 

 

$

 1,573,018 

 

 

See accompanying notes to the unaudited consolidated financial statements.

 

1

 


 

Item 1.   Financial Statements – (continued)

 

 

AmSurg Corp.

Consolidated Statements of Earnings (unaudited)

Three Months and Nine Months Ended September 30, 2012 and 2011

(In thousands, except earnings per share

 

 

 

 

 

 

Three Months Ended

 

Nine Months Ended

 

 

 

 

 

September 30,

 

September 30,

 

 

 

 

 

2012 

 

2011 

 

2012 

 

2011 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

$

 226,399 

 

$

 194,840 

 

$

 688,191 

 

$

 560,088 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and benefits

 

 72,733 

 

 

 60,496 

 

 

 216,143 

 

 

 172,876 

 

Supply cost

 

 31,535 

 

 

 25,112 

 

 

 96,921 

 

 

 71,530 

 

Other operating expenses

 

 47,339 

 

 

 43,123 

 

 

 143,429 

 

 

 121,276 

 

Depreciation and amortization

 

 7,635 

 

 

 6,531 

 

 

 22,473 

 

 

 18,577 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total operating expenses

 

 159,242 

 

 

 135,262 

 

 

 478,966 

 

 

 384,259 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity in earnings of unconsolidated affiliates

 

 392 

 

 

 147 

 

 

 1,103 

 

 

 147 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating income

 

 67,549 

 

 

 59,725 

 

 

 210,328 

 

 

 175,976 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 3,537 

 

 

 3,597 

 

 

 11,965 

 

 

 11,170 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings from continuing operations before income taxes

 

 64,012 

 

 

 56,128 

 

 

 198,363 

 

 

 164,806 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income tax expense

 

 10,247 

 

 

 8,451 

 

 

 32,451 

 

 

 25,617 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings from continuing operations

 

 53,765 

 

 

 47,677 

 

 

 165,912 

 

 

 139,189 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Discontinued operations:

 

 

 

 

 

 

 

 

 

 

 

 

Earnings (loss) from operations of discontinued interests in surgery centers,

 

 

 

 

 

 

 

 

 

 

 

 

 

net of income tax

 

 - 

 

 

 59 

 

 

 (110) 

 

 

 817 

 

Loss on disposal of discontinued interests in surgery centers,

 

 

 

 

 

 

 

 

 

 

 

 

 

net of income tax

 

 - 

 

 

 (119) 

 

 

 (1,553) 

 

 

 (1,384) 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss from discontinued operations

 

 - 

 

 

 (60) 

 

 

 (1,663) 

 

 

 (567) 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings

 

 53,765 

 

 

 47,617 

 

 

 164,249 

 

 

 138,622 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less net earnings attributable to noncontrolling interests:

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings from continuing operations

 

 38,328 

 

 

 34,660 

 

 

 118,560 

 

 

 101,884 

 

Net (loss) earnings from discontinued operations

 

 - 

 

 

 (169) 

 

 

 (60) 

 

 

 289 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total net earnings attributable to noncontrolling interests

 

 38,328 

 

 

 34,491 

 

 

 118,500 

 

 

 102,173 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings attributable to AmSurg Corp. common shareholders

$

 15,437 

 

$

 13,126 

 

$

 45,749 

 

$

 36,449 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Amounts attributable to AmSurg Corp. common shareholders:

 

 

 

 

 

 

 

 

 

 

 

 

Earnings from continuing operations, net of income tax

$

 15,437 

 

$

 13,017 

 

$

 47,352 

 

$

 37,305 

 

Discontinued operations, net of income tax

 

 - 

 

 

 109 

 

 

 (1,603) 

 

 

 (856) 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings attributable to AmSurg Corp. common shareholders

$

 15,437 

 

$

 13,126 

 

$

 45,749 

 

$

 36,449 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per share-basic:

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings from continuing operations attributable to

 

 

 

 

 

 

 

 

 

 

 

 

 

AmSurg Corp. common shareholders

$

 0.50 

 

$

 0.43 

 

$

 1.54 

 

$

 1.23 

 

Net loss from discontinued operations attributable to

 

    

 

 

    

 

 

    

 

 

    

 

 

AmSurg Corp. common shareholders

 

 - 

 

 

 - 

 

 

 (0.05) 

 

 

 (0.03) 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings attributable to AmSurg Corp. common shareholders

$

 0.50 

 

$

 0.43 

 

$

 1.49 

 

$

 1.20 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per share-diluted:

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings from continuing operations attributable to

 

 

 

 

 

 

 

 

 

 

 

 

 

AmSurg Corp. common shareholders

$

 0.49 

 

$

 0.42 

 

$

 1.50 

 

$

 1.20 

 

Net loss from discontinued operations attributable to

 

     

 

 

     

 

 

     

 

 

     

 

 

AmSurg Corp. common shareholders

 

 - 

 

 

 - 

 

 

 (0.05) 

 

 

 (0.03) 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings attributable to AmSurg Corp. common shareholders

$

 0.49 

 

$

 0.42 

 

$

 1.45 

 

$

 1.17 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of shares and share equivalents outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 30,819 

 

 

 30,436 

 

 

 30,727 

 

 

 30,424 

 

Diluted

 

 31,697 

 

 

 31,162 

 

 

 31,558 

 

 

 31,174 

 

 

See accompanying notes to the unaudited consolidated financial statements.

 

2

 


 

Item 1.   Financial Statements – (continued)

 

 

AmSurg Corp.

Consolidated Statements of Comprehensive Income (unaudited)

Three Months and Nine Months Ended September 30, 2012 and 2011

(In thousands

 

 

 

 

 

Three Months Ended

 

Nine Months Ended

 

 

 

 

September 30,

 

September 30,

 

 

 

 

2012 

 

2011 

 

2012 

 

2011 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings

$

 53,765 

 

$

 47,617 

 

$

 164,249 

 

$

 138,622 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other comprehensive income, net of income tax:

 

 

 

 

 

 

 

 

 

 

 

 

Unrealized gain on interest rate swap, net of income tax

 

 - 

 

 

 - 

 

 

 - 

 

 

 515 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Comprehensive income, net of income tax

 

 53,765 

 

 

 47,617 

 

 

 164,249 

 

 

 139,137 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less comprehensive income attributable to noncontrolling interests

 

 38,328 

 

 

 34,491 

 

 

 118,500 

 

 

 102,173 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Comprehensive income attributable to AmSurg Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

common shareholders

$

 15,437 

 

$

 13,126 

 

$

 45,749 

 

$

 36,964 

 

 

See accompanying notes to the unaudited consolidated financial statements.

 

3

 


 

Item 1.   Financial Statements – (continued)

 

 

AmSurg Corp.

Consolidated Statements of Changes in Equity (unaudited)

Nine Months Ended September 30, 2012 and 2011

(In thousands

 

 

 

 

 

 

AmSurg Corp. Shareholders

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-

 

 

 

 

Controlling

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accumulated

 

Controlling

 

 

 

 

Interests –

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other

 

Interests –

 

Total

 

Redeemable

 

 

 

 

 

 

 

 

Common Stock

 

Retained

 

Comprehensive

 

Non-

 

Equity

 

(Temporary

 

Net

 

 

 

 

 

Shares

 

Amount

 

Earnings

 

Loss

 

Redeemable

 

(Permanent)

 

Equity)

 

Earnings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance at December 31, 2011

 

 31,284 

 

$

 173,187 

 

$

 443,058 

 

$

 - 

 

$

 132,222 

 

$

 748,467 

 

$

 170,636 

 

 

 

 

Issuance of restricted common stock

 

 281 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 

 

Cancellation of restricted common stock

 

 (2) 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 

 

Stock options exercised

 

 580 

 

 

 11,928 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 11,928 

 

 

 - 

 

 

 

 

Stock repurchased

 

 (464) 

 

 

 (13,101) 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 (13,101) 

 

 

 - 

 

 

 

 

Share-based compensation

 

 - 

 

 

 5,119 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 5,119 

 

 

 - 

 

 

 

 

Tax benefit related to

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

exercise of stock options

 

 - 

 

 

 1,318 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 1,318 

 

 

 - 

 

 

 

 

Net earnings

 

 - 

 

 

 - 

 

 

 45,749 

 

 

 - 

 

 

 18,578 

 

 

 64,327 

 

 

 99,922 

 

$

 164,249 

 

Distributions to noncontrolling

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

interests, net of capital contributions

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 (20,192) 

 

 

 (20,192) 

 

 

 (102,804) 

 

 

 

 

Purchase of noncontrolling interest

 

 - 

 

 

 166 

 

 

 - 

 

 

 - 

 

 

 (289) 

 

 

 (123) 

 

 

 (81) 

 

 

 

 

Sale of noncontrolling interest

 

 - 

 

 

 (2,277) 

 

 

 - 

 

 

 - 

 

 

 3,555 

 

 

 1,278 

 

 

 - 

 

 

 

 

Acquisitions and other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

transactions impacting

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

noncontrolling interests

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 2,212 

 

 

 2,212 

 

 

 7,038 

 

 

 

 

Disposals and other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

transactions impacting

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

noncontrolling interests

 

 - 

 

 

 (369) 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 (369) 

 

 

 176 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance at September 30, 2012

 

 31,679 

 

$

 175,971 

 

$

 488,807 

 

$

 - 

 

$

 136,086 

 

$

 800,864 

 

$

 174,887 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance at January 1, 2011

 

 31,040 

 

$

 171,522 

 

$

 393,061 

 

$

 (515) 

 

$

 12,799 

 

$

 576,867 

 

$

 147,740 

 

 

 

 

Issuance of restricted common stock

 

 277 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 

 

Cancellation of restricted common stock

 

 (23) 

 

 

 (525) 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 (525) 

 

 

 - 

 

 

 

 

Stock options exercised

 

 244 

 

 

 4,760 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 4,760 

 

 

 - 

 

 

 

 

Stock repurchased

 

 (248) 

 

 

 (6,185) 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 (6,185) 

 

 

 - 

 

 

 

 

Share-based compensation

 

 - 

 

 

 4,762 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 4,762 

 

 

 - 

 

 

 

 

Tax benefit related to

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

exercise of stock options

 

 - 

 

 

 169 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 169 

 

 

 - 

 

 

 

 

Net earnings

 

 - 

 

 

 - 

 

 

 36,449 

 

 

 - 

 

 

 5,611 

 

 

 42,060 

 

 

 96,562 

 

$

 138,622 

 

Distributions to noncontrolling 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

interests, net of capital contributions

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 (5,411) 

 

 

 (5,411) 

 

 

 (97,952) 

 

 

 

 

Purchase of noncontrolling interest

 

 

 

 

 (296) 

 

 

 

 

 

 

 

 

 

 

 

 (296) 

 

 

 (788) 

 

 

 

 

Sale of noncontrolling interest

 

 - 

 

 

 (1,427) 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 (1,427) 

 

 

 1,772 

 

 

 

 

Acquisitions and other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

transactions impacting

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

noncontrolling interests

 

 - 

 

 

 - 

 

 

 - 

 

 

 - 

 

 

 87,294 

 

 

 87,294 

 

 

 20,318 

 

 

 

 

Gain on interest rate swap,

 

 

 

 

 

 

 

 

 

 

 

 

 

   

 

 

 

 

 

 

 

 

 

 

 

net of income tax

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

expense of $332

 

 - 

 

 

 - 

 

 

 - 

 

 

 515 

 

 

 - 

 

 

 515 

 

 

 - 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance at September 30, 2011

 

 31,290 

 

$

 172,780 

 

$

 429,510 

 

$

 - 

 

$

 100,293 

 

$

 702,583 

 

$

 167,652 

 

 

 

 

 

See accompanying notes to the unaudited consolidated financial statements.

 

4

 


 

Item 1.   Financial Statements – (continued)

 

 

AmSurg Corp.

Consolidated Statements of Cash Flows (unaudited)

Nine Months Ended September 30, 2012 and 2011

(In thousands

 

 

 

 

 

 

 

 

Nine Months Ended

 

 

 

 

 

 

 

September 30,

 

 

 

 

 

 

 

2012 

 

2011 

 

 

 

 

 

 

 

 

 

 

 

 

Cash flows from operating activities:

 

 

 

 

 

 

Net earnings

$

 164,249 

 

$

 138,622 

 

Adjustments to reconcile net earnings to net cash flows provided by

 

 

 

 

 

 

 

operating activities:

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 22,473 

 

 

 18,577 

 

 

 

Net loss (gain) on sale of long-lived assets

 

 599 

 

 

 (1,280) 

 

 

 

Share-based compensation

 

 5,119 

 

 

 4,762 

 

 

 

Excess tax benefit from share-based compensation

 

 (1,268) 

 

 

 (489) 

 

 

 

Deferred income taxes

 

 18,617 

 

 

 18,584 

 

 

 

Equity in earnings of unconsolidated affiliates

 

 (1,103) 

 

 

 (147) 

 

 

 

Increase (decrease) in cash and cash equivalents, net of effects of acquisitions and

 

 

 

 

 

 

 

 

 

dispositions, due to changes in:

 

 

 

 

 

 

 

 

 

 

Accounts receivable, net

 

 4,831 

 

 

 (671) 

 

 

 

 

 

Supplies inventory

 

 343 

 

 

 121 

 

 

 

 

 

Prepaid and other current assets

 

 (325) 

 

 

 1,480 

 

 

 

 

 

Accounts payable

 

 (2,775) 

 

 

 (2,370) 

 

 

 

 

 

Accrued expenses and other liabilities

 

 3,510 

 

 

 (2,661) 

 

 

 

 

 

Other, net

 

 1,842 

 

 

 1,079 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net cash flows provided by operating activities

 

 216,112 

 

 

 175,607