Continucare Corporation Reports Results For The Second Quarter Fiscal 2003.Business Editors/Health/Medical Writers MIAMI--(BUSINESS WIRE)--Feb. 19, 2003 Continucare Corporation (AMEX AMEX See: American Stock Exchange :CNU CNU Christopher Newport University CNU Chungnam National University (Korea) CNU Congress for the New Urbanism CNU Chonnam National University (Korea) CNU Consiglio Nazionale degli Utenti ), a provider of outpatient outpatient /out·pa·tient/ (-pa-shent) a patient who comes to the hospital, clinic, or dispensary for diagnosis and/or treatment but does not occupy a bed. out·pa·tient n. healthcare and home health services health services Managed care The benefits covered under a health contract through managed care, Medicare Medicare, national health insurance program in the United States for persons aged 65 and over and the disabled. It was established in 1965 with passage of the Social Security Amendments and is now run by the Centers for Medicare and Medicaid Services. direct and fee for service arrangements, in the Florida Florida, state, United States Florida (flôr`ĭdə, flŏr`–), state in the extreme SE United States. A long, low peninsula between the Atlantic Ocean (E) and the Gulf of Mexico (W), Florida is bordered by Georgia and market, reported results for its second quarter ended December December: see month. 31, 2003. Second Quarter Results For the second quarter, revenue increased 2.7% to $26,979,327, compared with $26,263,009 in the last year's second quarter. This increase was primarily the result of increases in the premium revenue per member and negotiated increases in the percentage of premium revenue we receive for certain of our members. These increases were offset by an approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. 5.7% decrease in member months during the three-month period ended December 31, 2002. Loss from operations decreased to ($152,604), a decrease of 11% compared with ($171,497) in the same period a year ago. Net loss for the quarter decreased to ($372,487), or ($.01) per share, compared with ($586,460) or ($.01) per share in the same period last year. Spencer Spencer, city (1990 pop. 11,066), seat of Clay co., NW Iowa, on the Little Sioux River; inc. 1880. The city lies in a fertile farm area. Beef is processed, and Spencer's manufactures include work clothes, machinery, prefabricated buildings, and metal products. Angel, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Continucare, commented, "We continue to make progress in controlling our medical cost trends. By focusing our efforts on enhancing medical cost management we continue to strengthen our delivery model without sacrificing patient care." Six-Month Results For the six months ended December 31, 2002, revenue increased 7.7% to $53,839,016, compared with $49,993,303 in the last year's six-month period. The increase was primarily the result of increases in the premium revenue per member and negotiated increases in the percentage of premium revenue we receive for certain of our members. Loss from operations decreased to ($455,911), a decrease of 66.7% compared with ($1,370,036) in the same period a year ago. Net loss for the six months ended December 31, 2003 decreased to ($1,064,123), or ($.03) per share, compared with ($2,156,230) or ($.05) per share in the same period last year. About Continucare Corporation Continucare Corporation, headquartered in Miami, Florida “Miami” redirects here. For the Native American tribe, see Miami tribe. Miami is a major city in southeastern Florida, in the United States. It is the county seat of Miami-Dade County. Miami is a gamma world city with an estimated population of 404,048. , is a holding company with subsidiaries engaged in the business of providing outpatient physician care and home healthcare services. Except for historical matters contained herein, statements made in this press release are forward-looking for·ward-look·ing adj. Concerned with or making provision for the future: forward-looking educators; a forward-looking corporate plan. Adj. 1. and are 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. Investors and others are cautioned that 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. include risks and uncertainties, which may affect our business and prospects and cause actual results to differ materially from those set forth in the forward-looking statements. These factors include, without limitation, our ability to service our indebtedness INDEBTEDNESS. The state, of being in debt, without regard to the ability or inability of the party to pay the same. See 1 Story, Eq. 343; 2 Hill. Ab. 421. 2. and respond to capital needs, pricing pressures exerted on us by managed care organizations, the level of payment we receive from governmental programs and other third party payors, future legislation and changes in governmental regulations, general economic conditions and uncertainties generally associated with the health care business. These and other applicable risks, cautionary statements and factors that could cause actual results to differ from the Company's forward-looking statements are included in the Company's annual report on 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 fiscal year ended June June: see month. 30, 2002 and other filings with the SEC. We undertake no obligation to update or revise these forward-looking statements to reflect events or circumstances CIRCUMSTANCES, evidence. The particulars which accompany a fact. 2. The facts proved are either possible or impossible, ordinary and probable, or extraordinary and improbable, recent or ancient; they may have happened near us, or afar off; they are public or after the date hereof here·of adv. Of this. hereof Adverb Formal or law of or concerning this Adv. 1. hereof - of or concerning this; "the twigs hereof are physic" .
CONTINUCARE CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
ASSETS December 31, June 30,
2002 2002
------------ ------------
(Unaudited)
Current assets
Cash and cash equivalents $423,678 $344,276
Accounts receivable, net of allowance for
doubtful accounts of $4,857,000 and
$4,807,000, respectively 280,029 94,967
Due from Medicare, net 42,519 -
Other receivables 437,337 834,227
Due from HMOs, net of a liability for
incurred but not reported medical claims
expense of approximately $13,536,000 and
$13,013,000, respectively 1,052,355 1,431,379
Prepaid expenses and other current assets 345,906 548,322
------------ ------------
Total current assets 2,581,824 3,253,171
Equipment, furniture and leasehold
improvements, net 518,209 584,372
Goodwill, net of accumulated amortization of
approximately $3,661,000 at December 31, 2002
and June 30, 2002 14,663,392 14,663,392
Managed care contracts, net of accumulated
amortization of approximately $1,540,000 and
$1,364,000, respectively 1,969,837 2,146,243
Cost in excess of intangible assets acquired,
net of accumulated amortization of
approximately $4,016,000 and $4,012,000,
respectively 12,405 15,788
Deferred financing costs, net of accumulated
amortization of approximately $3,415,000 and
$2,985,000, respectively 4,502 435,375
Other assets, net 83,342 81,372
------------ ------------
Total assets $19,833,511 $21,179,713
============ ============
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable $762,915 $688,061
Accrued expenses 1,898,682 2,004,480
Accrued salaries and benefits 776,475 569,323
Credit Facility 2,000,000 2,315,000
Due to Medicare, net - 350,991
Current portion of convertible subordinated
notes payable 1,421,896 273,896
Current portion of long term debt 4,417,685 4,456,835
Current portion of related party notes
payable 63,854 63,854
Accrued interest payable 8,107 10,708
Current portion of capital lease obligations 77,700 107,479
------------ ------------
Total current liabilities 11,427,314 10,840,627
Capital lease obligations, less current
portion 45,170 42,171
Convertible subordinated notes payable, less
current portion 3,071,519 4,356,468
Long term debt, less current portion 3,919,233 3,597,122
Related party notes payable, less current
portion 1,029,259 1,061,186
------------ ------------
Total liabilities 19,492,495 19,897,574
Commitments and contingencies
Shareholders' equity
Common stock; $0.0001 par value; 100,000,000
shares authorized 43,530,794 shares issued
and 40,534,601 shares outstanding at
December 31, 2002 and 42,630,794 shares
issued and 39,634,601 shares outstanding at
June 30, 2002 4,054 3,964
Additional paid-in capital 59,634,524 59,511,614
Accumulated deficit (53,872,861) (52,808,738)
Treasury stock (2,996,193 shares) (5,424,701) (5,424,701)
------------ ------------
Total shareholders' equity 341,016 1,282,139
------------ ------------
Total liabilities and shareholders' equity $19,833,511 $21,179,713
============ ============
CONTINUCARE CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
Three Months Ended
December 31,
-------------------------
2002 2001
------------ ------------
Medical services revenue, net $26,979,327 $26,263,009
Expenses
Medical services:
Medical claims 20,181,292 19,908,092
Other 3,486,767 3,336,405
Payroll and employee benefits 1,631,313 1,417,004
Provision for bad debts 24,736 22,946
Professional fees 69,203 281,141
General and administrative 1,574,825 1,243,445
Depreciation and amortization 163,795 225,473
------------ ------------
Subtotal 27,131,931 26,434,506
Loss from operations (152,604) (171,497)
Other income (expense)
Interest income 2,031 9,032
Interest expense (221,914) (423,995)
------------ ------------
Net loss $(372,487) $(586,460)
============ ============
Basic and diluted loss per common share $(.01) $(.01)
============ ============
Basic and diluted weighted average number of
common shares outstanding 40,500,905 39,459,601
============ ============
CONTINUCARE CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
Six Months Ended
December 31,
-------------------------
2002 2001
------------ ------------
Medical services revenue, net $53,839,016 $49,993,303
Expenses
Medical services:
Medical claims 40,447,144 38,405,705
Other 6,978,235 6,521,989
Payroll and employee benefits 3,204,754 2,702,661
Provision for bad debts 50,112 36,449
Professional fees 328,471 507,532
General and administrative 2,947,202 2,505,220
Depreciation and amortization 339,009 683,783
------------ ------------
Subtotal 54,294,927 51,363,339
Loss from operations (455,911) (1,370,036)
Other income (expense)
Interest income 3,806 29,885
Interest expense (612,018) (815,979)
------------ ------------
Net loss $(1,064,123) $(2,156,130)
============ ============
Basic and diluted loss per common share $(.03) $(.05)
============ ============
Basic and diluted weighted average number of
common shares outstanding 40,102,536 39,459,601
============ ============
CONTINUCARE CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
Six Months Ended
December 31,
-------------------------
2002 2001
------------ ------------
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss $(1,064,123) $(2,156,130)
Adjustments to reconcile net loss to cash
provided by operating activities:
Depreciation and amortization, including
amortization
of deferred loan costs 771,616 1,336,403
Provision for bad debts 50,112 36,449
Director compensation paid through the
issuance of restricted common stock 123,000 -
Release from asset related liabilities (1,789) -
Changes in operating assets and liabilities,
excluding the effect of acquisitions and
disposals:
Increase in accounts receivable (235,174) (92,851)
Decrease in prepaid expenses and other
current assets 202,416 50,746
Decrease in other receivables 396,890 90,692
Increase in other assets (1,970) (1,516)
Decrease in due from HMO's, net 379,024 1,402,787
Increase in due from Medicare 301,290 265,739
Increase (decrease) in accounts payable
and accrued expenses 176,208 (419,274)
Decrease in accrued interest payable (2,601) (12,477)
------------ ------------
Net cash provided by operating activities 1,094,899 500,568
------------ ------------
CASH FLOWS FROM INVESTING ACTIVITY
Property and equipment additions (61,013) (66,573)
------------ ------------
Net cash used in investing activity (61,013) (66,573)
------------ ------------
CASH FLOWS FROM FINANCING ACTIVITIES
Payments on convertible subordinated notes (136,949) (136,948)
Payments on related party notes (31,927) (31,927)
Principal repayments under capital lease
obligation (58,769) (54,226)
Net (decrease) increase in Credit Facility (315,000) 400,000
Advances from HMOs 75,000 -
Payment on advances from HMOs (75,000) (300,000)
Repayments on acquisition liability (81,506) -
Repayments to Medicare per agreement (330,333) (254,451)
------------ ------------
Net cash used in financing activities (954,484) (377,552)
------------ ------------
Net increase in cash and cash equivalents 79,402 56,443
------------ ------------
Cash and cash equivalents at beginning of
period 344,276 525,482
------------ ------------
Cash and cash equivalents at end of period $423,678 $581,925
============ ============
SUPPLEMENTAL SCHEDULE OF NONCASH INVESTING
AND FINANCING ACTIVITIES:
Note payable issued for refunds due to
Medicare for overpayments $694,800 $37,380
============ ============
Purchase of furniture and fixtures with
proceeds of capital lease obligations $40,122 $36,252
============ ============
|
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion