I opened my email yesterday and a good industry friend sent me The Ensign Group’s second quarter earnings results with the question, Scam?
I can understand his disbelief, as I have also thought there may be some monkey business with the company and its superior performance, especially during the pandemic. I could not find anything.
One equity analyst asked, what’s not to like? Double-digit revenue and EBITDA growth, sequential and year-over-year occupancy growth, average daily revenue is up and management increased its guidance for the rest of the year. And remember, Ensign owns and operates skilled nursing facilities, a sector still under tremendous financial pressure.
How did shareholders react? The share price increased by 6%.
So, how does Ensign continue to outperform the market in a very difficult environment? It is all about the culture, and it is a culture to succeed. Competitors could learn a thing or two.
