Tao Qiu's questions to Surgery Partners Inc (SGRY) leadership • Q3 2024
Question
Tao Qiu from Stifel asked for comments on the final Medicare ASC payment rule, the potential for regulatory changes under a new administration, and the reason for the sequential step-up in D&A expense.
Answer
CEO J. Evans expressed satisfaction with the overall Medicare update, noting that key growth drivers are already on the approved list. He stated that the ASC model is favored by both political administrations due to the value it creates. CFO David Doherty attributed the increase in depreciation and amortization (D&A) expense directly to the new assets acquired and added to their portfolio over the past two years.