Coram Healthcare reports first quarter earnings of 11 cents per share; Consolidation and cost reduction programs ahead of schedule.DENVER--(BUSINESS WIRE)--May 10, 1995--Coram Healthcare Corporation (NYSE NYSE See: New York Stock Exchange :CRH CRH corticotropin-releasing hormone. CRH abbr. corticotropin-releasing hormone CRH corticotropin releasing hormone. ), today reported earnings per share for the first quarter of 1995 of $0.11 compared with a loss of $.03 per share in the fourth quarter of 1994. Net revenues for the first quarter were $104.8 million compared to revenues of $113.6 in the fourth quarter of 1994. Coram's 1995 first quarter results do not reflect the company's acquisition of Caremark's domestic home infusion business, a transaction completed in the second quarter. Coram [Latin, Before; in the presence of.] The term coram is used in phrases that refer to the appearance of a person before another individual or a group. Coram non judice , which was formed in 1994 through the combination of five home infusion companies, has executed a plan to consolidate providers in the home care industry and reduce cost through the elimination of duplicative du·pli·cate adj. 1. Identically copied from an original. 2. Existing or growing in two corresponding parts; double. 3. functions and excess capacity. With the acquisition of Caremark, completed in the second quarter, the company has become the leading provider of home intravenous therapies Intravenous therapy or IV therapy is the giving of liquid substances directly into a vein. It can be intermittent or continuous; continuous administration is called an intravenous drip. 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. , with estimated 1995 revenues approaching $1 billion. "Our consolidation and cost reduction programs continue to run ahead of schedule," said James James, person in the Bible James, in the Gospel of St. Luke, kinsman of St. Jude. The original does not specify the relationship. James, rivers, United States James. M. Sweeney Sweeney in poems by T. S. Eliot, symbolizes the sensual, brutal, and materialistic 20th-century man. [Br. Poetry, Benét, 978] See : Virility , Coram's chairman and chief executive officer. "Adjusting for seasonal effects on our infusion and lithotripsy Lithotripsy Definition Lithotripsy is the use of high-energy shock waves to fragment and disintegrate kidney stones. The shock wave, created by using a high-voltage spark or an electromagnetic impulse, is focused on the stone. businesses, and for the consolidation of some business into corporate managed care contracts, we are holding revenues of the merged companies steady during the integration process -- while dramatically and permanently reducing our cost structure. Because of the company's performance in the first quarter we feel confident in increasing our estimates of projected consolidation savings from our original five predecessor companies to between $60 and $63 million for 1995. In 1996, full year savings are expected to exceed $70 million. The consolidation of Caremark's operations, which has already begun, will contribute substantial additional savings, beginning in the third quarter of 1995." "Our results this quarter demonstrate that the strategy and programs we put in place in 1994 are proceeding well, and beginning to produce the results we have projected," said Sweeney. "With a stable, significantly lower cost structure in place, we plan to grow our revenues through innovative programs targeted at managed care, such as the Coram Resource Network, the fastest growing segment of our business. Through the Resource Network, Coram provides and manages a wide range of alternate site therapies, including home intravenous therapy, 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 nursing, 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 other services. It's it's 1. Contraction of it is. 2. Contraction of it has. See Usage Note at its. it's it is or it has it's be ~have a way for managed care organizations to integrate services for the patient, reduce their contracting and administration costs, and effectively monitor clinical outcomes and patient satisfaction. When Lincare joins Coram, our service offering will be even more appealing." Coram provides a wide range of healthcare services including home infusion therapies home infusion therapy The IV administration of therapeutics–analgesics, antibiotics, chemotherapy, parenteral nutrition–outside of a formal healthcare environment. See Hyperalimentation, Patient-controlled analgesics, TPN. , disease-specific 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. care, lithotripsy and physician practice management. In April of 1995, Coram announced its intent to acquire Lincare Holdings, Inc., one of the nation's largest providers of home respiratory therapy services. Coram Healthcare Corporation is headquartered in Denver, Colorado. Coram's name, which is Latin for "openly, face-to-face," reflects its mission: to work with patients, physicians, managed care and other providers to develop new and better models of care for those with serious or chronic medical problems.
CORAM HEALTHCARE CORPORATION
CONSOLIDATED STATEMENT OF OPERATIONS
(Unaudited)
(In thousands, except per share amounts)
Three Months Ended
March 31, March 31, Dec. 31,
1995 1994 1994
NET REVENUE $104,778 $113,065 $113,578
Drugs and supplies 37,227 34,650 37,810
Clinical services 38,382 42,365 42,292
COST OF SERVICE 75,609 77,015 80,102
Gross profit 29,169 36,050 33,476
OPERATING EXPENSES:
Selling, general &
administrative expenses 17,885 19,584 22,403
Provision for estimated
uncollectible accounts 4,013 4,732 4,647
Amortization of goodwill 2,790 2,135 2,536
Restructuring costs
(benefit) (4,131) -- --
Total operating expenses 20,557 26,451 29,586
OPERATING INCOME 8,612 9,599 3,890
OTHER INCOME (EXPENSE):
Interest income 402 715 426
Interest expense (3,436) (1,168) (2,704)
Minority interest in net
income of consolidated
joint ventures (2,432) (2,391) (3,617)
Other income 338 151 103
INCOME BEFORE INCOME TAXES 3,484 6,906 (1,902)
PROVISION (BENEFIT) FOR INCOME
TAXES (1,105) 3,695 (795)
NET INCOME $4,589 $3,211 ($1,107)
NET INCOME PER COMMON SHARE:
Primary $0.11 $0.08 $(0.03)
WEIGHTED AVERAGE COMMON SHARES
OUTSTANDING:
Primary 40,939 38,616 38,832
-0-
CORAM HEALTHCARE CORPORATION
(Unaudited)
(In thousands)
Financial Position
Assets March 31, Dec. 31,
1995 1994
Cash and equivalents $21,580 $20,046 Short-term investments 15,499 16,546 Accounts receivable, net 106,419 109,087 Other current assets 74,311 62,518 Total current assets 217,809 208,197 Other assets 379,642 368,242 Total assets $597,451 $576,439 Liabilities and Stockholders' Equity Current liabilities $123,535 $124,386 Revolving debt 122,300 108,099 Other long-term debt 10,801 11,627 Other liabilities 8,136 10,066 Stockholders' equity 332,679 322,261 Total liabilities and stockholders' equity $597,451 $576,439 CONTACT: CORAM HEALTHCARE Larry Watts Watts, residential section of south central Los Angeles. Named after C. H. Watts, a Pasadena realtor, the section became part of Los Angeles in 1926. Artist Simon Rodia's celebrated Watts Towers are there. , 303/672-8728 or PAINE & ASSOCIATES Heidi Boenisch/Loree Bowen, 714/755-0400 REPEATS: New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of 212-575-8822 or 800-221-2462; Boston 617-330-5311 or 80 |
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