Genesis Health Ventures reports second quarter '96 results.KENNETT SQUARE, Pa.--(BUSINESS WIRE)--May 7, 1996--Genesis Health Ventures, Inc. (NYSE NYSE See: New York Stock Exchange :GHV GHV Genesis Health Ventures, Inc. GHV Gross Heating Value (relationship between volume and corresponding amount of energy for gas) ) Tuesday announced results for the second quarter of fiscal year 1996. Revenues for the second quarter ended March 31, 1996 were $154.7 million, representing an increase of 32% over revenues of $117.0 million during the corresponding period of 1995. Net income for the second quarter increased 34% to $7.8 million, or $.30 per share on 28.8 million fully-diluted, weighted average shares outstanding, compared with $5.8 million or $.24 per share on 28.4 million fully-diluted, weighted average shares outstanding in the similar period last year. Revenues for the six-month period ended March 31, 1996, were $287.5 million, representing an increase of 26% over revenues of $228.5 million during the corresponding period of 1995. Net income for the six months ended March 31, 1996, including a non recurring re·cur intr.v. re·curred, re·cur·ring, re·curs 1. To happen, come up, or show up again or repeatedly. 2. To return to one's attention or memory. 3. To return in thought or discourse. charge of $1.1 million ($0.7 million net of tax) related to the early conversion of $33.5 million of 6% Convertible Senior Subordinated Debentures subordinated debenture An unsecured bond with a claim to assets that is subordinate to all existing and future debt. Thus, in the event that the issuer encounters financial difficulties and must be liquidated, all other claims must be satisfied before , was $13.7 million or $.53 per share. Net income for the six months ended March 31, 1996, excluding the non-recurring charge, rose 35% to $14.3 million or $.55 per share on 28.8 million fully-diluted, weighted average shares outstanding, compared with $10.6 million or $.46 per share on 28.4 million fully-diluted, weighted average shares outstanding in the corresponding period last year. Increased corporate revenues were primarily attributed to by the continued growth in specialty medical services. Specialty medical service revenue accounted for 40% of consolidated revenues in the second quarter, increasing 49% to $61.8 million from $41.5 million in the corresponding period of 1995. In addition, Genesis management fees and other revenues, which includes the impact of transactional activity, increased 53% in the second quarter to $9.9 million as compared to the corresponding period in the prior year. During the second quarter the Company completed several previously announced strategic transactions including the purchase of the remaining interests of four eldercare eld·er·care n. Social and medical programs and facilities intended for the care and maintenance of the aged. centers in Maryland and one eldercare center in Florida and the acquisition of three rehabilitation rehabilitation: see physical therapy. therapy companies based in Maryland. The Company also sold four eldercare centers and an institutional 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. located in Indiana, and sold a 51% interest in an eldercare center in Maryland to a regional acute care provider, subject to management contracts. Subsequent to March 31, 1996, Genesis announced the planned acquisitions of NeighborCare 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 and National Health Care Affiliates, Inc. Additionally, the Company filed a Registration Statement with the Securities and Exchange Commission to offer 6.0 million shares of common stock with proceeds to be used primarily to repay existing bank debt. "The past quarter has been exciting and gratifying grat·i·fy tr.v. grat·i·fied, grat·i·fy·ing, grat·i·fies 1. To please or satisfy: His achievement gratified his father. See Synonyms at please. 2. as we continue to execute our strategy to expand the Genesis ElderCaresm Network in each of our regional markets, and further strengthen our ability to help older people define and achieve a full life," stated Michael R. Walker, Genesis chairman and chief executive officer. "We have taken several steps which will allow us to redeploy re·de·ploy tr.v. re·de·ployed, re·de·ploy·ing, re·de·ploys 1. To move (military forces) from one combat zone to another. 2. our capital more effectively and our upcoming equity offering will enable us to de-lever our balance sheet, positioning the Company to take advantage of continued industry consolidation in the coming months," Walker said. Since its founding in 1985, Genesis Health Ventures has developed a concentrated and versatile eldercare network through the combination of an employee work force of eldercare professionals, a mix of managed and owned facilities, and joint ventures with other providers. The Genesis ElderCare Network integrates a full range of services, including family support services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services , home care services, physician services, pharmaceutical care, medical supplies, retirement and 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. communities, rehabilitation services and long-term care long-term care (LTC), n the provision of medical, social, and personal care services on a recurring or continuing basis to persons with chronic physical or mental disorders. . -0-
GENESIS HEALTH VENTURES, INC.
Financial Highlights
(In thousands, except per share amounts)
Three Months
Ended March 31,
1996 1995
Net revenues $154,739 $116,953
Net income 7,809 5,813
Net income per share, fully diluted 0.30 0.24
Weighted average shares outstanding 28,798 28,411
Six Months Ended
March 31,
1996 1995
Net revenues $287,518 $228,506
Net income excluding debenture
conversion expense 14,355 10,623
Net income 13,668 10,623
Net income excluding debenture conversion
expense per share, fully diluted 0.55 0.44
Net income per share, fully diluted 0.53 0.44
Fully-diluted, weighted average
shares outstanding 28,817 28,369
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CONTACT: Genesis Health Ventures George V George V, king of Great Britain and Ireland George V (George Frederick Ernest Albert), 1865–1936, king of Great Britain and Ireland (1910–36), second son and successor of Edward VII. . Hager, Jr., 610/444-6350 |
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