Alliance Imaging Reports Results for the First Quarter Ended March 31, 2007.Raises Full Year 2007 Guidance ANAHEIM, Calif. -- Alliance Imaging, Inc. (NYSE NYSE See: New York Stock Exchange :AIQ AIQ Analytical Instrument Qualification AIQ Available in Quarters AIQ Action Internet Québec AIQ Allowance Item Quantity AIQ Analyst Interest Queue AIQ Algebraic Integer Quantization ), a leading national provider of diagnostic imaging services, announced results for the first quarter ended March 31, 2007. Revenue for the first quarter of 2007 decreased 5.1% to $109.4 million from $115.3 million in the comparable 2006 quarter. Alliance's Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become was $43.6 million in both the first quarter of 2007 and 2006. "Adjusted EBITDA" as defined under the terms of Alliance's Credit Agreement, is earnings before interest expense, net of interest income; income taxes; depreciation expense; amortization expense; minority interest expense; non-cash share-based compensation; a maximum of $750,000 of severance and related costs in each fiscal year; non-recurring shareholder expense, and other non-cash charges. For a more detailed discussion of Adjusted EBITDA and reconciliation to net income, see the table entitled "Adjusted EBITDA" included in the tables following this release. First quarter 2007 Adjusted EBITDA included a $2.0 million gain as a result of a sale/leaseback transaction in one of the Company's unconsolidated investees. This amount is included in the line item, "Earnings from unconsolidated investees" in Alliance's condensed con·dense v. con·densed, con·dens·ing, con·dens·es v.tr. 1. To reduce the volume or compass of. 2. To make more concise; abridge or shorten. 3. Physics a. consolidated statements of operations and comprehensive income. Earnings per share on a diluted basis, in accordance with generally accepted accounting principles The standard accounting rules, regulations, and procedures used by companies in maintaining their financial records. Generally accepted accounting principles (GAAP) provide companies and accountants with a consistent set of guidelines that cover both broad accounting , was $0.12 per share in the first quarter of 2007 and $0.10 per share in the first quarter of 2006. Non-cash share-based compensation and severance and related costs reduced diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of by $0.01 in the first quarter of 2007 and by $0.02 in the first quarter of 2006. Cash flows provided by operating activities were $24.7 million in the first quarter of 2007 compared to $19.5 million in the corresponding quarter of 2006. Capital expenditures in the first quarter of 2007 were $24.8 million compared to $24.3 million in the first quarter of 2006. Alliance opened four new fixed-sites in the first quarter of 2007. Alliance operated 72 fixed-sites as of March 31, 2007. Alliance's total long-term debt Long-Term Debt Loans and financial obligations lasting over one year. Notes: For example debts obligations such as bonds and notes which have maturities greater than one year would be considered long-term debt. (including current maturities) decreased $1.3 million to $528.1 million as of March 31, 2007 from $529.4 million as of December 31, 2006. Cash and cash equivalents increased $14.2 million to $30.6 million at March 31, 2007 from $16.4 million at December 31, 2006. Paul S. Viviano, Chairman of the Board and Chief Executive Officer, stated, "Alliance Imaging continues to invest in our growth products; PET/CT PET/CT Positron Emission Tomography and Computed Tomography , fixed-sites, and radiation oncology radiation oncology n. The branch of radiology that deals with the use of ionizing radiation to treat cancers. radiation oncology . Our continued focus on operating efficiencies has allowed us to enjoy strong cash flow and operating results for the first quarter. While industry challenges continue to be present, including the expansion of utilization management Utilization management is the evaluation of the appropriateness, medical need and efficiency of health care services procedures and facilities according to established criteria or guidelines and under the provisions of an applicable health benefits plan. trends, we are well positioned strategically to offset the impact of the DRA DRA Delta Regional Authority DRA Developmental Reading Assessment (educational test) DRA Division of Ratepayer Advocates (California) DRA Data Research Associates DRA Directory and Resource Administrator ." Full Year 2007 Guidance The Company reaffirms its full year 2007 revenue guidance range of $431 million to $443 million. Alliance's previous Adjusted EBITDA guidance range was for Adjusted EBITDA to range from $148 million to $156 million. The Company is raising its full year 2007 Adjusted EBITDA guidance, which is now expected to range from $154 million to $162 million. Alliance is also raising full year guidance for long-term debt reduction, net of the change in cash and cash equivalents, from a range of $20 million to $30 million to a range of $26 million to $36 million. The Company now expects to open 12 to 17 fixed-sites in 2007, a portion of which are planned to replace mobile service to Alliance's current customers. Alliance also expects to open or operate one to three new radiation therapy centers in 2007. The Company's income tax rate is now expected to total approximately 41% of pretax income pretax income Reported income before the deduction of income taxes. Pretax income is sometimes considered a better measure of a firm's performance than aftertax income because taxes in one period may be influenced by activities in earlier periods. . Consistent with previous guidance, Alliance expects capital expenditures to range from $75 million to $85 million. First Quarter 2007 Earnings Conference Call Investors and all others are invited to listen to a conference call discussing first quarter 2007 results. The conference call is scheduled for Tuesday, May 1 at 1:00 p.m. Eastern Time. The call will be broadcast live on the Internet and can be accessed by visiting the Company's website at www.allianceimaging.com. Click on Audio Presentations in the Investor Relations Investor relations The process by which the corporation communicates with its investors. section of the website to access the link. The conference call can also be accessed at (888) 247-2250 (United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. ) or (973) 935-8452 (International). Interested parties should call at least five minutes prior to the conference call to register. A replay of the call can be accessed until August 1, 2007 by visiting the Company's website or by calling (877) 519-4471 (United States) or (973) 341-3080 (International). The conference call identification number is 8728351. About Alliance Imaging Alliance Imaging is a leading national provider of shared-service and fixed-site diagnostic imaging services, based upon annual revenue and number of diagnostic imaging systems deployed. Alliance provides imaging and therapeutic services primarily to hospitals and other healthcare providers on a shared and full-time service basis, in addition to operating a growing number of fixed-site imaging centers. The Company had 494 diagnostic imaging systems, including 326 MRI 1. (application) MRI - Magnetic Resonance Imaging. 2. MRI - Measurement Requirements and Interface. systems and 77 PET or PET/CT systems, and served over 1,000 clients in 43 states at March 31, 2007. Of these 494 diagnostic imaging systems, 72 were located in fixed-sites, which includes systems installed in hospitals or other buildings on or near hospital campuses, medical groups' offices, or medical buildings and retail sites. Forward-Looking Statements This press release contains forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. These statements involve risks and uncertainties that could cause actual results to differ materially from those projected. For a complete list of risks and uncertainties, please refer to the Risk Factor section of the Company's Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ended December 31, 2006 filed with the Securities and Exchange Commission. [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] |
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