COMPDENT REPORTS RECORD FOURTH QUARTER AND 1996 RESULTS; NET INCOME INCREASED 110% FOR THE YEAR.ATLANTA--(BUSINESS WIRE)--Feb. 4, 1997--CompDent Corporation (Nasdaq/NM:CPDN CPDN Climate Prediction Dot Net CPDN Certified Peritoneal Dialysis Nurse ), a leader in providing total dental benefits, today announced record results for the fourth quarter and year ended December 31, 1996. Revenues for the fourth quarter increased 34% to $37.8 million from $28.3 million for the fourth quarter of 1995. Net income for the quarter rose 36% to $2.6 million, or $0.26 per share, from $1.9 million, or $0.19 per share, for the year-earlier period. 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.
Earnings before depreciation minus taxes. Measures the cash generated from operations, not counting capital spending or working capital requirements. , was $7.0 million for the quarter compared with $4.1 million for the year-earlier period. The record fourth quarter brought revenues for 1996 to $141.1 million, a 32% increase from $106.7 million for 1995. Net income for the year rose 110% to $9.9 million, or $0.97 per share on 10.2 million average shares outstanding, from 1995 net income of $4.7 million, or $0.61 per share on 7.4 million average shares outstanding. EBITDA was $24.8 million for 1996 compared with $13.2 million for 1995. Results for 1995 included a one-time extraordinary charge of $0.5 million, or $0.07 per share, for the write-off Write-Off A reduction in the value of an asset or earnings by the amount of an expense or loss. Companies are able to write off certain expenses that are required to run the business, or have been incurred in the operation of the business and detract from retained revenues. of unamortized loan fees associated with two loans that were prepaid pre·pay tr.v. pre·paid, pre·pay·ing, pre·pays To pay or pay for beforehand. pre·pay  ment n. with proceeds from the initial public offering on May 25, 1995. The increase in average common shares outstanding for 1996 is a result of the Company's secondary offering in August 1995 in which 1.9 million shares were issued. "The healthy growth in revenues in the fourth quarter reflects continued internal growth and the ongoing impact of acquisitions," said David R. Klock, chairman and chief executive officer. "In 1996 we completed the integration of CompDent and DentiCare, we acquired Texas Dental Plans and Dental Care Plus, and we broadened our product offerings so that we now offer a full product line of dental benefits. The integration of the 1996 acquisitions is on schedule; Texas Dentaldefinitive agreement to purchase American Dental Providers of Arkansas Arkansas, river, United States Arkansas (ärkăn`zəs, är`kənsô'), river, c.1,450 mi (2,330 km) long, rising in the Rocky Mts., central Colo. , Inc., an Arkansas-based managed dental care provider, together with its affiliated company, Diae serve and the product lines that we offer." CompDent Corp., headquartered in Atlanta, offers a full pusands, except per share data) Three Months Ended Year Ended December 31, December31, 1996 1995 1996 1995 e extraordinary item $ 0.26 $ 0.19 $ 0.97 $ 0.68 Extraordinary item - CONTACT: CompDent Corp., Atlanta Sharon S Sharon, city, United States Sharon (shâr`ən), city (1990 pop. 17,493), Mercer co., NW Pa., on the Shenango River, near the Ohio line; settled c.1800, inc. as a city 1920. . Graham, 770/998-8936 KEYWORD: GEORGIAsswire.com |
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