Profile: Surgery Partners Inc (SGRY.O)
Surgery Partners, Inc., incorporated on April 2, 2015, is a healthcare services company. The Company operates in three lines of business across the United States: Surgical Facility Services, Ancillary Services and Optical Services. The Company's Surgical Facility Services segment consists of the operation of ambulatory surgery centers (ASCs) and surgical hospitals, which include its anesthesia services. The Company's surgical facilities primarily provide non-emergency surgical procedures across a range of specialties, which include gastrointestinal (GI), general surgery, ophthalmology, orthopedics and pain management. The Company's Ancillary Services segment consists of a diagnostic laboratory, a specialty pharmacy and multi-specialty physician practices. The Company's physician practices include its owned and operated physician practices pursuant to long-term management service agreements. The Company's Optical Services segment consists of an optical laboratory, an optical products group purchasing organization. The Company's optical laboratory manufactures eyewear, while its optical product purchasing organization negotiates volume buying discounts with optical product manufacturers.
Surgical Facility Services Segment
As of December 31, 2016, the Company owned (primarily with physician investors or healthcare systems) or operated 104 surgical facilities including five that are licensed as hospitals. The Company's ASC is a free-standing facility for planned, surgical procedures performed on an outpatient basis on patients not requiring hospitalization and for whom an overnight stay is not expected after surgery. Each center has 1 to 4 operating or procedure rooms with areas for reception, pre-operative care, recovery and administration. The Company's surgical hospitals also provide ancillary services, such as diagnostic imaging, pharmacy, laboratory, obstetrics, physical therapy, oncology and wound care. The Company operates multi-specialty and single-specialty facilities. The Company owns and operates its surgical facilities through partnerships or limited liability companies with physicians, physician groups and healthcare systems.
Ancillary Services Segment
The Company's ancillary businesses include diagnostic laboratory, multi-specialty physician practices, urgent care facilities, anesthesia services and specialty pharmacy services. The Company offers physicians toxicology testing services through its diagnostic laboratory, Logan Laboratories (Logan Labs), which is a subsidiary of the Company. Logan Labs provides quantitative confirmation testing of all drugs requested within 24 hours of receipt of a specimen, and results are available the following business day. The Company employs two models in connection with its network of physician practices. In the state of Florida, the Company owns and operates Tampa Pain Relief Center, Inc., a subsidiary with a range of locations throughout Florida. In states other than Florida, the Company operates physician practices pursuant to long-term management service agreements with separate professional corporations that are owned by physicians. As of December 31, 2016, the Company owned or operated 56 physician practices with facilities in nine states.
The Company's urgent care facilities primarily treat injuries or illnesses requiring immediate care. The Company's urgent care facilities provide walk-in care, especially during evening and weekend hours. As of December 31, 2016, the Company owned and operated seven urgent care facilities in proximity to its surgical hospitals. The Company's specialty pharmacy service line supports its physicians and provides expansion opportunities across multiple specialties within its delivery system, which include GI, general surgery, ophthalmology, orthopedic and pain management specialties.
Optical Services Segment
The Company offers group discounts and pricing structures for optical and medical products to independent eye care professionals through its subsidiary, The Alliance Product Purchasing Organization (The Alliance). The Company's optometric practice, Family Vision Care, provides a range of vision care to patients, including eye exams and vision testing, and also offers a collection of prescription eye wear. Its subsidiary, Optical Synergies, is a buying group for independent optical laboratories, which offers a range of eye wear and related services. The Company's wholesale optical laboratories, Midwest Labs, serves eye care professionals with a range of lens products.
Surgery Partners Inc
310 Seven Springs Way Ste 500
BRENTWOOD TN 37027-5679