Apria Healthcare Group Inc. reports first quarter results; EPS of $0.37 in line with analysts' consensus estimates.COSTA MESA Costa Mesa (kŏs`tə mā`sə), city (1990 pop. 96,357), Orange co., S Calif., on the Pacific south of Santa Ana; inc. 1953. It is a transportation, residential, and light industrial center. , Calif.--(BW HealthWire)--April 30, 1997--Apria Healthcare Group Inc. (NYSE NYSE See: New York Stock Exchange :AHG AHG antihemophilic globulin (coagulation factor VIII). AHG abbr. antihemophilic globulin AHG antihemophilic globulin (clotting factor VIII). ), a leading national provider of integrated home healthcare products and services, today reported net income of $19.2 million, or $0.37 per share, for the first quarter ended March 31, 1997, compared to net income of $20.3 million, or $0.39 per share, for the same period last year. Operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. for the first quarter of 1997 was $41.9 million, compared to $42.9 million for the same quarter of 1996. Net revenues of $313.9 million represented a 6.3 percent improvement over net revenues of $295.3 million in the first quarter of 1996. "Our goal for 1997 continues to be to improve profitability through disciplined management of our revenue mix and emphasis on delivery of our core services The introduction to this article provides insufficient context for those unfamiliar with the subject matter. Please help [ improve the introduction] to meet Wikipedia's layout standards. You can discuss the issue on the talk page. ," said Jeremy M. Jones, chairman and chief executive officer. "We view the revenue growth in the first quarter -- which included growth from both traditional and managed care markets -- as an early indication of the incremental Additional or increased growth, bulk, quantity, number, or value; enlarged. Incremental cost is additional or increased cost of an item or service apart from its actual cost. improvements we expect to achieve throughout the year." For the first quarter, Apria's 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 (earnings before interest, taxes, depreciation and amortization Earnings before interest, taxes, depreciation and amortization (EBITDA) is a non-GAAP metric that can be used to evaluate a company's profitability.
The first-quarter results included a gain on the sale of the company's investment in Omnicare plc, an international business, which was partially offset by a loss on the sale of Doctor's Home Health, a home health agency. The net effect of these transactions was an approximate $400,000 pre-tax gain for the quarter. Also impacting net income for the quarter was a change in the effective tax rate from 36 percent to 34 percent. The company's 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. declined by approximately $9.1 million to $614.2 million during the first quarter. Jones cited reduced capital expenditures, improving cash collections and positive operating cash flow Operating cash flow Earnings before depreciation minus taxes. Measures the cash generated from operations, not counting capital spending or working capital requirements. as primary contributors to the lower debt level. Apria Healthcare provides and/or manages comprehensive integrated homecare services, including home infusion, respiratory therapy respiratory therapy Medical profession concerned with assisting the respiratory function of individuals who have severe lung disorders. Practices include suctioning to clear secretions from the airway, use of aerosol mists (sometimes medicated) or gases to ease breathing, , home medical equipment, nursing network management and coordinated care through 350 locations serving patients in 50 states. -0-
APRIA HEALTHCARE GROUP INC.
CONSOLIDATED INCOME STATEMENTS
(Unaudited)
Three Months Ended
March 31,
1997 1996
Net revenues $ 313,863 $ 295,303
Gross profit 209,184 201,212
Selling, distribution and
administrative expenses 147,312 140,944
Provision for doubtful accounts 15,764 13,298
Amortization of intangible
assets 4,198 4,102
OPERATING INCOME 41,910 42,868
Interest expense 12,759 11,108
INCOME BEFORE TAXES 29,151 31,760
Income tax provision 9,911 11,434
NET INCOME $ 19,240 $ 20,326
Earnings per common and
common equivalent share $ 0.37 $ 0.39
Weighted average number of
common shares outstanding 51,918 51,997
Earnings per common and common
equivalent share assuming
full dilution $ 0.37 $ 0.39
Weighted average number of
common shares outstanding
assuming full dilution 51,918 52,221
-0-
APRIA HEALTHCARE GROUP INC.
SELECTED BALANCE SHEET DATA
(Unaudited)
March 31, December 31,
1997 1996
(in thousands)
Accounts receivable, net $ 367,043 $ 335,616
Current assets 497,949 493,747
Total assets 1,142,733 1,149,110
Current liabilities 161,640 181,756
Long-term debt 614,175 623,276
Stockholders' equity 364,222 342,935
EBITDA:
Three Months Ended
March 31,
1997 1996
(in thousands)
EBITDA $ 76,054 $ 66,825
CONTACT: Lawrence H. Smallen Chief Financial Officer 714/427-4935 or Sheree L. Aronson Dir (1) (DIRectory) A CP/M, DOS and OS/2 command that lists the file names on the disk. See DOS Dir. (2) (DIR) (Digital Instrumentation R ., Investor Relations Investor relations The process by which the corporation communicates with its investors. 714/427-4919 |
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