EHC - Encompass Health releases separate guidance ahead of Enhabit spin off

Encompass Health (NYSE:EHC) on Tuesday has issued separate full-year outlooks for its inpatient rehabilitation business (Encompass Health) and its home health and hospice business (Enhabit). That sets the tune of Enhabit's spin off where Encompass Health's home health and hospice business will trade as a separate publicly listed company from July 1, 2022. On consolidated basis, the company expects 2022 revenue to be in the range of $5.33-$5.42B, down from prior guidance of $5.38-$5.5B. Non-GAAP EPS is expected to be between $3.76-$4.05, that is when the updated guidance does not account for nonrecurring costs related to spin-off. Initial funded debt of ~$570M is to result in interest expense of $7M to $12M. 2022 Separate Guidance: Encompass Health: 2022 Revenue to be between $4.25-$4.3B; Adjusted EBITDA of $820-$840M; and Non-GAAP EPS of $2.77-$2.91. Enhabit Initial Outlook: Revenue expected to be in the range of $1.08-$1.12B; Adjusted EBITDA of $165-$185M; and Non-GAAP EPS

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Encompass Health releases separate guidance ahead of Enhabit spin off