Company: EHC
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0000785161-25-000115
Chunk: 1

Company: Encompass Health Corp
Filing Date: 2025-10-31
Form: 10-Q
Item: Part I, Item 2
Chunk 1
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 continued development and expansion efforts during 2025, we:

•began operating our new 40-bed inpatient rehabilitation hospital in Athens, Georgia with our joint venture partner Piedmont in March;

•began operating our new 60-bed inpatient rehabilitation hospital in Fort Myers, Florida with our joint venture partner Lee Healthcare Holdings, LLC in May;

•began operating our new 50-bed inpatient rehabilitation hospital in Daytona Beach, Florida in July;

•began operating our new 40-bed inpatient rehabilitation hospital in Danbury, Connecticut in September;

•expanded our capacity by adding 140 new beds to existing hospitals (inclusive of our new 50-bed satellite inpatient rehabilitation hospital in Wildwood, Florida (The Villages) which began operating in September); and

20

•announced or continued the development of the following hospitals:

Expected open dateNumber of New Beds  202520262027De novo projects(1)St. Petersburg, Florida(2)4Q2550——Amarillo, Texas(3)4Q2550——Lake Worth, Florida4Q2550——Irmo, South Carolina1Q26—50—Concordville, Pennsylvania1Q26—50—Loganville, Georgia(3)2Q26—40—Norristown, Pennsylvania3Q26—50—San Antonio, Texas4Q26—50—Bangor, Maine4Q26—50—Avondale, Arizona4Q26—60—Wesley Chapel, Florida——50St. George, Utah——50Apollo Beach, Florida——50Haslet, Texas——50North Las Vegas, Nevada——50Palm Beach Gardens, Florida——50Remote and satellite hospitals (included in bed additions)(1)Cleveland, Tennessee—40—Other bed additions~127150 - 200150 - 200

(1) Opening dates are tentative

(2) Opened in October 2025

(3) Expected joint venture

We also continued our shareholder distributions during the nine months ended September 30, 2025 through common stock repurchases and paying a quarterly cash dividend. For additional information see the “Liquidity and Capital Resources” section of this Item.

Business Outlook

We remain optimistic regarding the intermediate and long-term prospects of our business. Demographic trends, such as population aging, should continue to increase long-term demand for the services we provide. While we treat patients of all ages, most of our patients are 65 and older, and the number of