dealflow
envelope $200M

← Targets

Frio Regional Hospital

Pearsall, Frio County, TX · CCN 451391
Licensed to Frio Hospital Association

Composite
32.5
rank score
Distress
25
FY2023
Fit
53
vs thesis
Estimated ticket
$1.9M–$3.7M
22 beds · within envelope
Ownership
nonprofit
CAH

Why it ranks here

  • operating margin negative
  • occupancy 30-45%
  • margin deteriorating
  • TX: favorable regulatory climate
  • rural — cheaper but limited density
  • very small facility
  • very small ticket — sub-scale as a platform asset
  • thin occupancy
  • nonprofit — expect AG conversion review

Latest financials · FY2023

Net patient revenue$25.2M
Operating margin -3.2%
Total margin 12.7%
Days cash on hand 233
Current ratio 4.74
Occupancy41%

Facility

Beds22
Facility typeCAH
Settingrural
Ownership classnonprofit
Per-bed (low) $85.0K
Per-bed (high) $170K

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2020 24 $16.1M $4.0M -36.8% 15.3% 277 8.93 42% 471 33
2021 22 $17.1M $-306K -29.6% -1.4% 217 4.20 42% 514 41
2022 22 $20.0M $-75.9K -24.4% -0.3% 185 4.62 46% 452 38
2023 22 $25.2M $3.8M -3.2% 12.7% 233 4.74 41% 402 25

Owners

OwnerRole%SinceType
John Hughson corporate officer 2020-12
John Hughson corporate director 2020-12
John Hughson w-2 managing employee 2020-12
Michael Ruff corporate director 2021-09
Michael Ruff w-2 managing employee 2021-09

Ownership changes

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

Who has been buying in TX

Completed CMS ownership changes in this state. These buyers already cleared the licensure process here — and whoever advised them knows this market.

DateBuyerSellerHospitalBeds
2024-03-01 Muleshoe Area Hospital District Preferred Hospital Leasing Muleshoe Inc Muleshoe Area Medical Center 25
2023-07-01 Pecos County Memorial Hospital District Pecos County Memorial Hospital Pecos County Memorial Hospital 25
2021-10-01 Preferred Hospital Leasing Shamrock Inc South Wheeler County Hospital District Shamrock General Hospital 25
2019-07-01 Bosque County Hospital District Goodall-Witcher Hospital Authority Goodall-Witcher Hospital Authority 25
2017-10-01 Winkler County Hospital District County Of Winkler Memorial Hospital 16