dealflow
envelope $200M

← Targets

Childrens Specialized Hopsital

Mountainside, Union County, NJ · CCN 313300
Licensed to Children's Specialized Hospital

Composite
59.9
rank score
Distress
62
FY2023
Fit
80
vs thesis
Estimated ticket
$34.7M–$139M
68 beds · within envelope
Ownership
nonprofit
CH

Why it ranks here

  • operating margin below -10%
  • total margin negative
  • under 30 days cash on hand
  • margin deteriorating sharply
  • urban — higher occupancy and iteration surface
  • specialty facility — narrower problem scope
  • bed count in the target band
  • ticket size uses the capital envelope well
  • strong occupancy — good iteration surface
  • nonprofit — expect AG conversion review

Latest financials · FY2023

Net patient revenue$165M
Operating margin -14.8%
Total margin -2.0%
Days cash on hand 2
Current ratio 4.40
Occupancy80%

Facility

Beds68
Facility typeCH
Settingurban
Ownership classnonprofit
Per-bed (low) $510K
Per-bed (high) $2.0M

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2020 68 $136M $7.2M -12.4% 4.5% 2 4.61 79% 563 50
2021 68 $145M $5.4M -13.7% 3.2% 3 4.73 79% 560 50
2022 68 $150M $-3.1M -18.1% -1.8% 3 4.60 80% 525 58
2023 68 $165M $-3.7M -14.8% -2.0% 2 4.40 80% 533 62

Owners

OwnerRole%SinceType
Beverly Norman-Thomas w-2 managing employee 2011-01
Geri Ann Swenarton corporate officer 2024-05
Rwj Barnabas Health Inc
West Orange, NJ
operational/managerial control 2016-04

Ownership changes

No CMS ownership change on record since 2016 — this hospital has not traded in at least a decade.