Skip to main content
Situation

MMG conducted a Quality of Earnings for healthcare providers as part of a diligence engagement for a multi-location autism treatment and support provider operating across more than 15 locations. While the organization showed strong demand and growth, inconsistencies across locations made it difficult to evaluate normalized earnings.

However, differences between revenue and cost structures varied by site. As a result, buyers lacked a clear, comparable view of financial performance across the platform.

Instead, MMG focused the Quality of Earnings review on how the business actually operated at the location level.

Solutions
1

Performed a Quality of Earnings Review

Conducted a detailed QofE tailored to a multi-location behavioral health model, focusing on normalized earnings, location-level performance, and sustainability of results.
2

Analyzed Revenue and Cost Alignment by Location

Reviewed financial data across all locations to identify mismatches between revenue generation and cost structure, highlighting areas where reported performance did not reflect operational reality.
3

Reconciled Financial Discrepancies

Identified and explained key discrepancies impacting earnings quality, ensuring findings were clearly documented and defensible for middle-market buyers.
4

Delivered Actionable Buyer-Focused Insights

Translated findings into practical insights to support informed decision-making, financial alignment, and future growth planning.
Results

As a result of MMG’s work, the client gained a clear understanding of earnings quality across its locations. Moreover, the Quality of Earnings for healthcare providers clarified normalized performance and key adjustments.

Ultimately, leadership and buyers used this insight to support informed decisions around growth and operational improvements.

15

Locations reviewed for financial consistency

Location level analysis

Identified revenue and cost misalignment across sites

Buyer Ready

Delivered clear, defensible QofE

Consulting ServicesDue DilligenceQuality of EarningsEducationHealthcare