dealflow
envelope $200M

← Targets

Encompass Health Rehabilitation Hosp

dba Encompass Health Rehabilitation Hospital Of Texarkana · Texarkana, Bowie County, TX · CCN 453053
Licensed to Encompass Health Rehabilitation Hospital Of Texarkana, Inc.

Composite
54.8
rank score
Distress
35
FY2024
Fit
93
vs thesis
Estimated ticket
$19.5M–$78.0M
60 beds · within envelope
Ownership
for-profit
RH

Why it ranks here

  • operating margin negative
  • 60-90 days cash on hand
  • occupancy 45-60%
  • margin deteriorating sharply
  • part of a multi-hospital chain — divestiture candidate
  • TX: favorable regulatory climate
  • urban — higher occupancy and iteration surface
  • specialty facility — narrower problem scope
  • bed count in the target band
  • ticket size somewhat below the envelope
  • moderate occupancy
  • for-profit — no charitable conversion review

Latest financials · FY2024

Net patient revenue$20.8M
Operating margin -2.3%
Total margin 4.1%
Days cash on hand 85
Current ratio 3.12
Occupancy56%

Facility

Beds60
Facility typeRH
Settingurban
Ownership classfor-profit
Per-bed (low) $325K
Per-bed (high) $1.3M

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2020 60 $21.2M $1.8M 6.4% 8.3% 68 3.50 66% 1,089 10
2021 60 $22.6M $2.5M 12.1% 11.2% 73 4.37 70% 1,136 10
2022 60 $15.2M $2.2M 6.1% 13.4% 101 3.38 68% 735 4
2023 60 $23.5M $3.1M 7.7% 12.6% 88 3.41 63% 1,092 10
2024 60 $20.8M $914K -2.3% 4.1% 85 3.12 56% 1,003 35

Owners

OwnerRole%SinceType
Encompass Health Corporation
Birmingham, AL
5% or greater indirect ownership interest 100 1993-12 chain
Encompass Health Owned Hospitals Holdings Llc
Birmingham, AL
5% or greater direct ownership interest 100 2013-07
Truist Bank
Charlotte, NC
5% or greater security interest 100 2026-03
Vanguard Group Inc
Malvern, PA
5% or greater indirect ownership interest 10 2023-12
Blackrock Inc
New York, NY
5% or greater indirect ownership interest 9 2023-12
Andrew Price corporate officer 2009-11
Carey Mcrae corporate officer 2025-01
Craig Funk corporate officer 2025-01
Douglas Coltharp corporate officer 2010-05
Edmund Ball corporate officer 2021-01
Edmund Fay corporate officer 2008-05
Encompass Health Corporation
Birmingham, AL
operational/managerial control 1993-12 chain
John Darby corporate officer 2016-02
John Wilson corporate officer 2017-01
Mark Tarr operational/managerial control 2017-01
Melanie Lewis corporate officer 2021-08
Robert Mccallum corporate officer 2011-11
Stephen Leasure corporate officer 2020-01
Thomas Boyle corporate officer 2020-10
William Wallace w-2 managing employee 2022-08

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
2023-03-01 Crh Of Temple Llc Everest Rehabilitation Hospital Temple Llc Temple Rehabilitation Hospital 36
2023-03-01 Crh Of Longview Llc Everest Rehabilitation Hospital... Longview Rehabilitation Hospital 36
2021-12-30 Pam Health Rehabilitation Hospital... Apollo Rehab Hospital Llc Pam Health Rehab Hosp Of Sugar Land 41
2019-08-01 Clear Lake Institute For Rehabilitation Llc Clear Lake Rehabilitation Hospital, Llc Bay Area Rehab Hospital 151
2019-08-01 Clear Lake Institute For Rehabilitation Llc Triumph Rehabilitation Hospital Of... Bay Area Rehab Hospital 151
2016-06-01 Pam Squared At Beaumont Llc Healthsouth Rehabilitation... Pam Squared At Beaumont 61