Team Health Holdings Q3 net revenue up 26.2% YoY
Net revenue increased 26.2% to $899.2m from $712.2m in the third quarter of 2014. Acquisitions contributed 19.2%, net sales growth contributed 4.4%, and same contract revenue contributed 2.7% of the increase in quarter-over-quarter growth in net revenue. Within the acquisitions category, new hospital contracting opportunities that were initially developed by the company's sales and marketing process contributed 4.7% of overall net revenue growth between quarters.
Same contract revenue increased $19.0m, or 2.9%, to $672.9m from $653.9m in the third quarter of 2014. A 3.3% increase in same contract volumes contributed 2.5% to same contract growth while an increase in estimated collections on fee for service visits provided a 0.6% increase in same contract revenue growth between quarters. Contract and other revenue constrained same contract revenue growth by 0.2% between quarters. Acquisitions contributed $136.5 million of revenue growth and net new contract revenue increased by $31.4m between quarters.
The benefit from Medicaid parity revenue recognized in the third quarter of 2015 was $0.2m. The third quarter of 2014 Medicaid parity revenue was $10.4m, of which $9.8m was same contract. The decline in parity revenue between periods constrained consolidated revenue growth by 1.4% and same contract revenue growth by 1.5% between quarters.
TeamHealth president and chief executive officer, Mike Snow, said, "We are extremely pleased with our financial results as we generated another quarter of double digit revenue, earnings and Adjusted EBITDA growth. We benefited from strong performance across all of our growth drivers and experienced continued strong momentum across our business."