All those baby boomers getting their hips and knees replaced are keeping business brisk at the nation’s hospitals. It’s also creating competition for surgical centers seeking to expand, said Stanton Nelson, CEO of Foundation HealthCare. ‘With baby boomers coming of age, about 10,000 a day, you are starting to see the throughput rise dramatically,’ said Nelson, adding that Obamacare has also been a driver of volume in acute care hospitals, which differ from Foundation’s high-touch, surgery centers. Oklahoma City, OK-based Foundation owns and operates three surgical hospitals and eight surgery centers in seven states. Foundation, which sports a $71 million market capitalization, provides additional service lines depending on the market, such as out-patient surgery, oncology, imaging, physical therapy, hyperbarics, and sleep labs. Last month, the company reported net revenue and income from affiliates increased 36% to $30 million in its first quarter. Adjusted EBITDA increased 152% to $2.3 million for the quarter and two of its hospitals received five star quality ratings from Medicare. Earlier this week, Foundation HealthCare announced the sale of its 20% equity position in Heritage Park Surgical Hospital located in Sherman Texas for $9.3 million to Texas Health Venture Heritage Park, LLC, a joint enterprise of the Baylor Hospital System and United Surgical Partners International. Foundation added that it will also sell its share of the real estate ownership in the hospital’s main campus facility by the end of the year, netting an additional $4 million approximately.
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