Printer Friendly

HILLHAVEN ANNOUNCES 1993 THIRD-QUARTER RESULTS

 TACOMA, Wash., March 23 /PRNewswire/ -- The Hillhaven Corp. (AMEX: HIL) today announced results for its third quarter ended Feb. 28, 1993.
 The company reported that its fiscal third-quarter net income increased to $8,867,000 from $3,084,000 in the prior-year quarter. Earnings per share grew to 7 cents from 2 cents in the prior year.
 For the nine-month period ended Feb. 28, 1993, Hillhaven reported net income of $27,684,000, or 22 cents per share. The prior-year loss of $84,031,000, or 82 cents per share, resulted primarily from a $90,000,000-pretax restructuring charge recorded in fiscal 1992.
 Hillhaven reported that net operating revenues for the quarter increased 10 percent. Nursing center revenues grew 9 percent, pharmacy revenues increased 16 percent and retirement housing operations grew 19 percent over the prior-year quarter.
 "We are particularly pleased with the growth in the medically intensive specialty programs offered in our nursing centers," said Bruce Busby, Hillhaven's chief executive officer. "Hillhaven is providing quality rehabilitation and subacute care services at a substantially lower cost than traditional settings can deliver. Our growth coincides with current trends toward containing health care costs."
 Hillhaven's specialty programs of physical, occupational and speech rehabilitation therapies, subacute care and Alzheimer's care realized revenue increases of 60 percent to $56,414,000 in the current quarter from the prior-year quarter. These programs have grown to represent 22 percent of patient care revenues, up from 13 percent two years ago.
 Hillhaven completed the previously announced acquisitions of 17 nursing centers during the quarter for $52.7 million. These centers, located in 12 states, had been operated under lease agreements.
 Hillhaven is one of the nation's largest diversified health care providers, operating over 400 health care facilities including nursing centers, retirement housing communities and pharmacy outlets in 38 states.
 THE HILLHAVEN CORP.
 QUARTERLY FINANCIAL UPDATE
 CONSOLIDATED STATEMENTS OF OPERATIONS
 (Unaudited, in thousands except per-share information)
 Three Months Ended Nine Months Ended
 Feb. 28, Feb. 29, Feb. 28, Feb. 29,
 1993(A) 1992(A) 1993(A) 1992(A)
 Net operating revenues $315,132 $286,695 $932,635 $955,379
 Operating and admin-
 istrative expenses 270,961 247,659 800,582 832,735
 Interest 13,070 15,439 40,254 37,111
 Depreciation and
 amortization 12,377 12,116 36,846 32,514
 Rent 12,067 9,651 34,662 54,019
 Guarantee fees 2,400 2,148 7,225 6,195
 Restructuring charge -- -- -- 90,000
 Total expenses 310,875 287,013 919,569 1,052,574
 Operating income (loss) 4,257 (318) 13,066 (97,195)
 Interest income 3,847 3,218 11,491 9,885
 Income (loss) from operations
 before income taxes 8,104 2,900 24,557 (87,310)
 Income tax (expense)
 benefit 1,328 (124) 4,795 855
 Income (loss) from
 continuing operations 9,432 2,776 29,352 (86,455)
 Reinstatement of dis-
 continued operations, net
 of income taxes(B) -- 308 -- 2,424
 Extraordinary item - early
 extinguishment of debt,
 net of income taxes (565) -- (565) --
 Cumulative effect of change
 in accounting for income
 taxes(C) -- -- (1,103) --
 Net income (loss) $ 8,867 $ 3,084 $ 27,684 $(84,031)
 Earnings per Common Share:
 Income (loss) from
 operations $ 0.07 $ 0.02 $ 0.23 $ (0.82)
 Extraordinary item -- -- -- --
 Cumulative effect of change
 in accounting for
 income taxes -- -- (0.01) --
 Net income (loss) $ 0.07 $ 0.02 $ 0.22 $ (0.82)
 Weighted average common
 shares and equivalents
 outstanding 119,043 104,023 115,591 103,992
 (A) Financial data for the periods after Dec. 1, 1991, exclude amounts related to the operations of nursing centers held for sale under the company's restructuring plan.
 (B) In May 1992, the company announced its decision to retain its Retirement Housing business, previously reported as a discontinued operations. Revenues and expenses of the Retirement Housing division have been reclassified as a component of continuing operations for all periods presented.
 (C) Effective June 1, 1992, the company implemented Statement of Financial Accounting Standards No. 109, "Accounting for Income Taxes."
 THE HILLHAVEN CORP.
 QUARTERLY FINANCIAL UPDATE
 SELECTED FINANCIAL DATA AND OPERATING STATISTICS
 (Dollars in thousands)
 Three Months Ended Nine Months Ended
 Feb. 28, Feb. 29, Feb. 28, Feb. 29,
 1993(A) 1992(A) 1993(A) 1992(A)
 Net Operating Revenues:
 Nursing centers $261,896 $240,922 $778,254 $826,248
 Pharmacies 46,488 40,099 135,332 112,408
 Retirement housing 6,748 5,674 19,049 16,723
 Total $315,132 $286,695 $932,635 $955,379
 Operating Income Before
 Property-Related Expenses(B):
 Nursing centers $ 35,386 $ 31,817 $108,533 $103,838
 Pharmacies 6,320 6,024 17,331 16,540
 Retirement housing 2,465 1,195 6,189 2,266
 Total $ 44,171 $ 39,036 $132,053 $122,644
 Nursing centers owned or
 operated at end
 of period 253 259 253 259
 Number of licensed beds 31,405 31,936 31,405 31,936
 Nursing centers managed
 on behalf of others 17 17 17 17
 Pharmacy outlets at end
 of period 115 124 115 124
 Retirement housing communities
 at end of period 23 27 23 27
 (A) Financial data and operating statistics for the periods after Dec. 1, 1991, exclude operations of nursing centers held for sale under the company's restructuring plan.
 (B) Property-related expenses include depreciation and amortization, interest, rent and guarantee fees.
 -0- 3/23/93
 /CONTACT: Tim Carroll of Hillhaven, 206-572-4901/
 (HIL)


CO: The Hillhaven Corp. ST: Washington IN: HEA SU: ERN

LM-GT -- SE002 -- 8513 03/23/93 08:51 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Mar 23, 1993
Words:914
Previous Article:FORD, GE FIRST TO TEST NEW RECYCLING PROGRAM
Next Article:DR. PAUL R. LOW NAMED TO SOLECTRON'S BOARD OF DIRECTORS
Topics:


Related Articles
HILLHAVEN ANNOUNCES RECORD QUARTERLY EARNINGS FOR FIRST QUARTER 1993
HILLHAVEN ANNOUNCES RECORD YEAR-END RESULTS
HILLHAVEN ANNOUNCES COMPLETION OF MAJOR DEBT RESTRUCTURING, PREFERRED STOCK ISSUANCE AND ACQUISITION OF NURSING CENTERS:
HILLHAVEN REPORTS 47-PERCENT INCREASE IN FIRST QUARTER PRETAX EARNINGS
HILLHAVEN REPORTS RECORD SECOND QUARTER OPERATING RESULTS
HILLHAVEN REPORTS 100% INCREASE IN THIRD QUARTER PRETAX RESULTS
HILLHAVEN REPORTS 36% INCREASE IN FIRST QUARTER EARNINGS
HILLHAVEN REPORTS RECORD SECOND QUARTER OPERATING RESULTS; SUBACUTE CARE REVENUES INCREASE 32%
HILLHAVEN ANNOUNCES RECORD OPERATING RESULTS FOR FOURTH QUARTER AND FISCAL YEAR END
HILLHAVEN REPORTS RECORD FIRST QUARTER OPERATING RESULTS

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters