US Physical Therapy Inc. (NYSE:USPH) Q1 2020 Earnings Conference Call - Final Transcript

May 21, 2020 • 10:30 am ET


US Physical Therapy Inc. (NYSE:USPH) Q1 2020 Earnings Conference Call - Final Transcript


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Christopher J. Reading

impact in the quarter was much less than in our physical therapy business.

One exceedingly bright spot in the first quarter relates to several of our large Briotix Health client signing expansions of their existing contracts, which we begin to step up for as things began to unravel in other parts of the economy. Costco has been exceedingly helpful throughout this time. This graciously expanded our service location footprint with them in order to assist us in keeping our workers active, resulting in significantly less furloughs in this part of the business.

There have been a number of other bright spots as we have worked our way through the early stages of this pandemic. One of those has been our teams' rapid deployment of telehealth, which has been widely adopted and utilized by our partners. That was especially important during the height of the shelter in place orders where telehealth quickly became a meaningful and effective bridge for those who are unable or unwilling to come to our clinics for therapy. Special thanks to Ben Keeton, one of our very important partners for his assistance with this program. We expect to become part of the fabric of our alternative care delivery as we move forward.

Another bright spot was the across-the-board designation, a physical therapy as an essential health service, which allowed us with cap and with appropriate cautionary safety measures to keep the overwhelming majority of our facilities open throughout this time. We remain actively working through our APTQI Alliance and a recent investment in a lobbyist with APTQI to keep the progress and ground we obtained with telehealth and other positive adjustments as we work our way through to more normal post-pandemic period at some point.

Part of the pandemic accelerating in the U.S., we went through a preparatory drill of sorts to evaluate our readiness to function remotely should it come to that, and of course it did, which we have been doing now, we've been functioning remotely for the majority these past few months. Early start, we got enabled us to purchase needed equipment computers, which has allowed our team to make a rather seamless transition to remote work to ensure the safety of our Houston team, most of whom work in large central office where we provided the needed communication service and support to our partners, who are fighting the fight in the front lines as they came in and care for our patients each and every day.

Today we can say that we will be back in the Houston office on a rotating shift basis for the near-term to better understand the science around the progression in transmission disease as site begins to reopen. To date, our clinical services team has done a terrific job keeping us all abreast, the latest updates and thinking around the signs. We in turn have kept our partners and staff informed so that we have been able to remain operational with very minimal amount of exposures in infections.