Segment Information

9 Months Ended

Sep. 30, 2020

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company's reporting segments include (1) home health services, (2) hospice services, (3) home and community-based services, (4) facility-based services, and (5) HCI.  The accounting policies of the segments are the same as those described in the summary of significant accounting policies, as described in Note 2 of the Notes to Condensed Consolidated Financial Statements.

Reportable segments have been identified based upon how management has organized the business by services provided to customers and how the chief operating decision maker manages the business and allocates resources, consistent with the criteria in ASC 280, Segment Reporting.

The following tables summarize the Company’s segment information for the three and nine months ended September 30, 2020 and 2019 (amounts in thousands):

	Three Months Ended September 30, 2020
	Home health services		Hospice services		Home and community-based services		Facility-based services		HCI		Total
Net service revenue	$	373,450	$	59,801	$	48,387	$	33,344	$	15,702	$	530,684
Cost of service revenue (excluding depreciation and amortization)	205,523		37,180		36,664		22,213		3,666		305,246
General and administrative expenses	118,792		16,668		10,937		11,439		3,627		161,463
Impairment of intangibles and other	22		—		—		—		—		22
Government stimulus (income) expense	35,019		4,731		2,865		1,656		164		44,435
Operating income (loss)	14,094		1,222		(2,079)		(1,964)		8,245		19,518
Interest expense	(310)		(51)		(37)		(22)		(11)		(431)
Income (loss) before income taxes and noncontrolling interest	13,784		1,171		(2,116)		(1,986)		8,234		19,087
Income tax expense (benefit)	3,403		247		(440)		(435)		1,820		4,595
Net income (loss)	10,381		924		(1,676)		(1,551)		6,414		14,492
Less net income (loss) attributable to non controlling interests	(157)		321		(153)		(12)		(7)		(8)
Net income (loss) attributable to LHC Group, Inc.'s common stockholder	$	10,538	$	603	$	(1,523)	$	(1,539)	$	6,421	$	14,500
Total assets	$	1,721,278	$	277,358	$	263,414	$	108,118	$	86,168	$	2,456,336

	Three Months Ended September 30, 2019
	Home health services		Hospice services		Home and community-based services		Facility-based services		HCI		Total
Net service revenue	$	375,599	$	62,028	$	53,411	$	28,715	$	8,746	$	528,499
Cost of service revenue (excluding depreciation and amortization)	237,414		35,819		39,694		18,508		3,333		334,768
General and administrative expenses	108,318		15,218		10,809		9,498		2,986		146,829
Impairment of intangibles and other	197		—		—		—		—		197
Operating income	29,670		10,991		2,908		709		2,427		46,705
Interest expense	(1,758)		(310)		(272)		(174)		(82)		(2,596)
Income before income taxes and noncontrolling interest	27,912		10,681		2,636		535		2,345		44,109
Income tax expense	5,900		1,689		1,299		144		476		9,508
Net income	22,012		8,992		1,337		391		1,869		34,601
Less net income (loss) attributable to noncontrolling interests	3,577		1,213		(180)		(67)		(9)		4,534
Net income attributable to LHC Group, Inc.'s common stockholders	$	18,435	$	7,779	$	1,517	$	458	$	1,878	$	30,067
Total assets	$	1,458,991	$	235,865	$	243,779	$	88,905	$	70,324	$	2,097,864

	Nine Months Ended September 30, 2020
	Home health services		Hospice services		Home and community-based services		Facility-based services		HCI		Total
Net service revenue	$	1,081,143	$	181,387	$	144,526	$	96,664	$	27,155	$	1,530,875
Cost of service revenue (excluding depreciation and amortization)	631,109		112,485		113,864		64,340		11,362		933,160
General and administrative expenses	345,024		49,560		33,520		31,984		9,815		469,903
Impairment of intangibles and other	22		600		—		—		—		622
Government stimulus (income) expense	—		—		—		—		—		—
Operating income (loss)	104,988		18,742		(2,858)		340		5,978		127,190
Interest expense	(2,804)		(451)		(382)		(288)		(115)		(4,040)
Income (loss) before income taxes and noncontrolling interest	102,184		18,291		(3,240)		52		5,863		123,150
Income tax expense (benefit)	19,499		3,294		(658)		(261)		1,307		23,181
Net income (loss)	82,685		14,997		(2,582)		313		4,556		99,969
Less net income (loss) attributable to non controlling interests	14,371		3,452		(275)		1,228		(23)		18,753
Net income (loss) attributable to LHC Group, Inc.'s common stockholder	$	68,314	$	11,545	$	(2,307)	$	(915)	$	4,579	$	81,216

	Nine Months Ended September 30, 2019
	Home health services		Hospice services		Home and community-based services		Facility-based services		HCI		Total
Net service revenue	$	1,113,887	$	168,821	$	157,610	$	84,391	$	24,217	$	1,548,926
Cost of service revenue (excluding depreciation and amortization)	694,082		103,853		119,054		53,812		10,819		981,620
General and administrative expenses	322,115		45,167		33,004		28,010		12,338		440,634
Impairment of intangibles and other	7,263		271		—		—		—		7,534
Operating income	90,427		19,530		5,552		2,569		1,060		119,138
Interest expense	(5,919)		(976)		(857)		(524)		(257)		(8,533)
Income before income taxes and noncontrolling interest	84,508		18,554		4,695		2,045		803		110,605
Income tax expense	17,178		3,716		1,279		297		195		22,665
Net income	67,330		14,838		3,416		1,748		608		87,940
Less net income (loss) attributable to noncontrolling interests	11,305		2,712		(757)		779		(22)		14,017
Net income attributable to LHC Group, Inc.'s common stockholders	$	56,025	$	12,126	$	4,173	$	969	$	630	$	73,923