Beverly Enterprises announces financial results.FORT SMITH, Ark.--(BUSINESS WIRE)--Jan. 30, 1997-- Fourth Quarter Highlights: -- Beverly earns 22 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. from operations -- All business units post strong margin gains -- PCA (tool, programming) PCA - A dynamic analyser from DEC giving information on run-time performance and code use. same-store revenues up 12% Beverly Enterprises Inc. (NYSE NYSE See: New York Stock Exchange : BEV) today announced that income from continuing operations continuing operations Parts of a business that are expected to be maintained as an ongoing segment of an overall business operation. Income and losses from continuing operations are reported separately if any segments have been discontinued during the for the fourth quarter of 1996 totalled $21,735,000 or 22 cents per share. This excludes the previously announced one-time increase in the provision for income taxes of $23,278,000 or 23 cents per share related to the November 1996 sale of its MedView Services business unit, as well as an extraordinary net charge of $1,726,000 or 2 cents per share related to debt refinancings. Including the accelerated tax impact of the MedView disposition and the refinancing Refinancing An extension and/or increase in amount of existing debt. charge, Beverly reported a net loss for the quarter of $3,269,000 or 3 cents per share, compared to a net loss of $63,756,000 or 65 cents per share for the comparable period in 1995. Fourth quarter 1995 results included write-offs totalling $112,654,000 for impaired assets Impaired Asset An asset with a market value that is worth less than its book value. Notes: If the sum of all estimated future cash flows is less than the carrying value of the asset, then the asset would be considered impaired and would have to be written down to its fair and cost reduction actions. Excluding these charges, Beverly earned 10 cents per share in the fourth quarter of 1995. For the full year, Beverly's net income in 1996 totalled $50,300,000 or 50 cents per share ($75,304,000 or 76 cents per share, excluding the MedView tax impact and extraordinary refinancing charge), compared to a net loss of $8,123,000 or 16 cents per share in 1995. Net operating revenues operating revenue Revenue from any regular source. Revenue from sales is adjusted for discounts and returns when calculating operating revenue. Compare other revenue. for the fourth quarter totalled $835,247,000 in 1996, up from $807,654,000 in the comparable period in 1995. Revenues for the full year totalled $3,267,189,000 in 1996 and $3,228,553,000 in 1995. "Our strong fourth quarter results reflect revenue gains and margin improvements in each of our four major business units," said David R. Banks, chairman of the board and chief executive officer. "Our nursing home operations posted one of its best years ever, with a particularly strong improvement in operating profits Operating profit (or loss) Revenue from a firm's regular activities less costs and expenses and before income deductions. operating profit See operating income. (before interest, taxes, depreciation and amortization) during the fourth quarter. For the full year, our nursing homes achieved double-digit increases in operating profit on both actual and same-facility bases. "At Pharmacy pharmacy, art of compounding and dispensing drugs and medication. The term is also applied to an establishment used for such purposes. Until modern times medication was prepared and dispensed by the physician himself. In the 18th cent. Corporation of America, the recovery continued at an accelerated pace, with significant gains during the fourth quarter in revenues, operating profits and margins," Banks noted. "On a same facility basis, fourth quarter revenues at PCA were up 12% from the comparable period a year earlier, and we entered 1997 with a revenue run-rate of about $570,000,000. We've also made important progress at American Transitional Hospitals, with same facility revenues for the quarter up nearly 50 percent from the fourth quarter of 1995. ATH achieved operating profits for both the fourth quarter and for the entire year. Profitable growth also continues at Spectra Rehab Alliance, which acquired 16 outpatient therapy clinics during the fourth quarter and now operates 28 facilities in four major metropolitan markets." "We're focusing on profitable growth and higher margins throughout the Beverly organization," Banks said. "We're managing our resources more effectively and being far more strategic and market-driven in everything we do. The operating and financial improvements we made throughout our organization during 1996 should provide a solid foundation for further gains in 1997." This news release contains forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. regarding continued performance improvements made pursuant to the safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. provisions of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Forward-looking statements involve known and unknown risks and uncertainties that may cause the company's actual results in future periods to differ materially from forecasted results. These risks and uncertainties include national and local economic conditions, the effect of government regulation, the competitive environment in which the company operates and the availability and cost of labor and materials labor and materials (time and materials) n. what some builders or repair people contract to provide and be paid for, rather than a fixed price or a percentage of the costs. . These and other risks and uncertainties that could affect future results are addressed in the company's filings with the Securities and Exchange Commission, including forms 10K and 10Q. Beverly Enterprises Inc. is the leading provider of post-acute healthcare in the 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. . It operates 631 skilled nursing facilities skilled nursing facility n. Abbr. SNF An establishment that houses chronically ill, usually elderly patients, and provides long-term nursing care, rehabilitation, and other services. , as well as transitional acute care hospitals, institutional and mail-service pharmacies This article is a list of major pharmacies (also known as chemists and drugstores) by country. Australia Pharmacies in Australia are mostly independently-owned by pharmacists, often operated as franchises of retail brands offered by the three major , assisted living as·sist·ed living n. A living arrangement in which people with special needs, especially older people with disabilities, reside in a facility that provides help with everyday tasks such as bathing, dressing, and taking medication. centers, outpatient therapy clinics and hospice hospice, program of humane and supportive care for the terminally ill and their families; the term also applies to a professional facility that provides care to dying patients who can no longer be cared for at home. and home health centers. Beverly provides medical cost containment cost containment, n the features of a dental benefits program or of the administration of the program designed to reduce or eliminate certain charges to the plan. and managed care services in a nationwide network spanning 35 states and the District of Columbia District of Columbia, federal district (2000 pop. 572,059, a 5.7% decrease in population since the 1990 census), 69 sq mi (179 sq km), on the east bank of the Potomac River, coextensive with the city of Washington, D.C. (the capital of the United States). . -0-
BEVERLY ENTERPRISES INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(In thousands, except per share amounts)
Three months ended Years ended
December 31, December 31,
1996 1995 1996 1995
Net operating revenues $835,247 $807,654 $3,267,189 $3,228,553
Interest income 3,527 3,961 13,839 14,228
Total revenues 838,774 811,615 3,281,028 3,242,781
Costs and expenses:
Operating and administrative:
Wages and related 468,094 451,060 1,819,500 1,736,151
Other 285,805 310,191 1,139,442 1,224,681
Interest 21,566 20,373 91,111 84,245
Depreciation and
amortization 27,084 25,599 105,468 103,581
Impairment losses:
Adoption of SFAS No. 121 -- 68,130 -- 68,130
Development and other
costs -- 32,147 -- 32,147
Total costs and expenses 802,549 907,500 3,155,521 3,248,935
Income (loss) before
provision for
(benefit from)
income taxes
and extraordinary
charge 36,225 (95,885) 125,507 (6,154)
Provision for
(benefit from)
income taxes 37,768 (32,129) 73,481 1,969
Income (loss)
before extraordinary
charge (1,543) (63,756) 52,026 (8,123)
Extraordinary charge,
net of income taxes
of $1,099 (1,726) -- (1,726) --
Net income (loss) $ (3,269) $(63,756) $ 50,300 $ (8,123)
Net income (loss)
applicable to
common shares $ (3,269) $(64,443) $ 50,300 $ (14,998)
Net income (loss)
per share of
common stock:
Before extraordinary
charge $ (0.01) $ (0.65) $ 0.52 $ (0.16)
Extraordinary charge (0.02) -- (0.02) --
Net income (loss) $ (0.03) $ (0.65) $ 0.50 $ (0.16)
Weighted average shares
used to compute per
share amounts 98,341 98,497 99,646 92,233
Net income and per
share amounts
excluding the tax
impact of the MedView
disposition:
Income (loss) before
provision for (benefit
from) income taxes
and extraordinary
charge $ 36,225 $(95,885) $ 125,507 $ (6,154)
Provision for (benefit
from) income taxes 14,490 (32,129) 50,203 1,969
Income (loss) before
extraordinary charge 21,735 (63,756) 75,304 (8,123)
Extraordinary charge,
net of income taxes
of $1,099 (1,726) -- (1,726) --
Net income (loss) $ 20,009 $(63,756) $ 73,578 $ (8,123)
Net income (loss)
applicable to
common shares $ 20,009 $(64,443) $ 73,578 $ (14,998)
Income (loss) per share
of common stock:
Before extraordinary
charge $ 0.22 $ (0.65) $ 0.76 $ (0.16)
Extraordinary charge (0.02) -- (0.02) --
Net income (loss) $ 0.20 $ (0.65) $ 0.74 $ (0.16)
Weighted average shares
used to compute per
share amounts 99,369 98,497 99,646 92,233
CONTACT: Beverly Enterprises Inc., Fort Smith Jim Griffith, 501/484-6912 |
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