Exhibit 99.1
AMEDISYS REPORTS RECORD REVENUES
AND THIRD QUARTER
NET INCOME
Company Increases Full Year 2003 Guidance
COMPANY TO HOST CONFERENCE CALL TODAY AT 10:00 AM ET
BATON ROUGE, Louisiana (November 5, 2003) – Amedisys, Inc. (Nasdaq: “AMED” or the “Company”), one of America’s leading home health nursing companies, today reported its financial results for the third quarter of 2003.
For the three months ended September 30, 2003, the Company recorded revenues of $37.0 million, compared with $33.1 million in the third quarter of 2002. Pretax income totaled $3.9 million in the most recent quarter, versus pretax income of $1.9 million in the prior-year period.
Net income of $2.4 million, or $0.24 per diluted share, was recorded in the third quarter of 2003, and included a gain of $0.02 per diluted share of Other income, net of income tax. This compared with net income of $1.2 million or $0.13 per diluted share, in the same period of 2002. The prior year quarter included income tax expense of $0.7 million, whereas for the current quarter, the Company recorded income tax expense of $1.5 million.
For the nine months ended September 30, 2003, the Company recorded revenues of $100.4 million, compared with $97.8 million in the same period of 2002. Pretax income totaled $8.2 million for the current year, versus pretax income of $7.1 million in the prior-year period, an increase of 15%.
Net income of $5.0 million, or $0.52 per diluted share, was recorded for the nine months ended September 30, 2003, versus net income of $6.9 million or $0.78 per diluted share, in the year-earlier period. The Company recorded income tax expense of $253,000 for the nine months ended September 30, 2002, which included a benefit of $2.6 million related to the elimination of the valuation allowance for net deferred tax assets, whereas for the comparable period of fiscal 2003, the Company recorded income tax expense of $3.1 million.
Net income per diluted share for the three months ended September 30, 2003 includes approximately $0.02 of Other income, net of income tax, relating to a gain on the sale of land, and considered to be non-recurring in nature, and for the nine months ended September 30, 2003, approximately $0.03 of Other income, net of income tax, is considered to be non-recurring in nature.
“We are pleased to announce that the quarter exceeded guidance previously communicated,” commented William F. Borne, Chief Executive Officer. “This was due to a combination of strong internal growth, the impact of the Metro Preferred acquisition, and the recent Medicare price increase. Due to these better than expected results, and excluding the non-recurring items referred to above, we are increasing our full year estimates to between $0.72 and $0.75 cents per diluted share, compared with the $0.63 to $0.67 previously communicated.”
“Internal growth of Medicare patient admissions for the most recent quarter grew by 10 percent when compared with the third quarter of 2002, and our utilization of nursing resources on Medicare patients has remained at approximately the level seen in the most recent quarter. Our ongoing focus on episode management has resulted in a gross margin of 59.0 percent in the third quarter, materially unchanged from the 59.3 percent recorded in the second quarter, and significantly improved from 54.4 percent in the comparable period of 2002,” continued Mr. Borne.
“The 12.0 percent increase in revenue from 2002 recorded in the third quarter is primarily attributable to the strong admission growth referred to above as well as the recent Metro acquisition. This was achieved despite the combined impact of a reduction in private insurance related revenue, and previous Medicare reimbursement reductions.”
“The Company ended the quarter with cash of over $10 million, despite utilizing $6.0 million on the recent acquisition, and debt payments totaling $2.75 million during the quarter. Our balance sheet position continues to improve and provides the Company with greater financial flexibility.” concluded Mr. Borne.
The Company will provide further information today on these results during a teleconference call that is scheduled for 10:00 a.m. ET. To access this call, please dial 800-231-5571 (domestic), or 973-582-2703 (international) a few minutes before 10:00 a.m. ET. A replay of the conference call will be available until November 12, 2003, by dialing 877-519-4471 (domestic), or 973-341-3080 (international). The replay pin number is #4248712.
The call will also be available on the Internet live, and for seven days thereafter, at the following URL:
http://www.videonewswire.com/Amedisys/110503
Amedisys, Inc., a leading provider of home health nursing services, is headquartered in Baton Rouge, Louisiana. The Company had approximately $129 million in revenue in 2002. Its common stock trades on the Nasdaq Stock Market under the symbol “AMED”.
This press release includes statements that may constitute “forward-looking” statements, usually containing the words “believe”, “estimate”, “project”, “expect” or similar expressions. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, continued acceptance of the Company’s products and services in the marketplace, competitive factors, changes in government reimbursement procedures, dependence upon third-party vendors, and other risks discussed in the Company’s periodic filings with the Securities and Exchange
Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.
Additional information on this Company can be found on the World Wide Web
http://www.amedisys.com
Contact: | Amedisys, Inc. | EURO RSCG Life NRP | ||
| Chief Financial Officer | Investors/Media | |||
| Greg Browne | John Capodanno | |||
| 225.292.2031 | 212.845.4258 | |||
| gbrowne@amedisys.com | john.capodanno@eurorscg.com |
AMEDISYS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
For the three and nine months ended September 30, 2003 and 2002
(Unaudited, Dollar amounts in 000’s, except per share data)
| Three months ended | Nine months ended | |||||||||||||||
| September 30, 2003 | September 30, 2002 | September 30, 2003 | September 30, 2002 | |||||||||||||
Net service revenue | $ | 37,048 | $ | 33,066 | $ | 100,374 | $ | 97,770 | ||||||||
Cost of service revenue | 15,199 | 15,079 | 41,208 | 43,521 | ||||||||||||
Gross margin | 21,849 | 17,987 | 59,166 | 54,249 | ||||||||||||
General and administrative expenses: | ||||||||||||||||
Salaries and benefits | 10,462 | 9,428 | 30,204 | 28,495 | ||||||||||||
Other | 7,495 | 6,157 | 20,330 | 17,394 | ||||||||||||
Total general and administrative expenses | 17,957 | 15,585 | 50,534 | 45,889 | ||||||||||||
Operating income | 3,892 | 2,402 | 8,632 | 8,360 | ||||||||||||
Other income and expense: | ||||||||||||||||
Interest income | 18 | 36 | 59 | 78 | ||||||||||||
Interest expense | (296 | ) | (456 | ) | (997 | ) | (1,453 | ) | ||||||||
Other income (expense), net | 273 | (58 | ) | 482 | 148 | |||||||||||
Total other expense, net | (5 | ) | (478 | ) | (456 | ) | (1,227 | ) | ||||||||
Income before income taxes | 3,887 | 1,924 | 8,176 | 7,133 | ||||||||||||
Income tax expense | 1,506 | 705 | 3,132 | 253 | ||||||||||||
Net income | $ | 2,381 | $ | 1,219 | $ | 5,044 | $ | 6,880 | ||||||||
Basic weighted average common shares outstanding | 9,713 | 9,058 | 9,507 | 8,283 | ||||||||||||
Basic income per common share | $ | 0.25 | $ | 0.13 | $ | 0.53 | $ | 0.83 | ||||||||
Diluted weighted average common shares outstanding | 10,108 | 9,594 | 9,756 | 8,843 | ||||||||||||
Diluted income per common share | $ | 0.24 | $ | 0.13 | $ | 0.52 | $ | 0.78 | ||||||||
AMEDISYS, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
As of September 30, 2003 and December 31, 2002
(Dollar amounts in 000’s, except share data)
| September 30, 2003 | December 31, 2002 | |||||||
| (unaudited) | ||||||||
ASSETS | ||||||||
CURRENT ASSETS: | ||||||||
Cash and cash equivalents | $ | 10,064 | $ | 4,861 | ||||
Patient accounts receivable, net of allowance for doubtful accounts of $2,641 at September 30, 2003 and $1,865 at December 31, 2002 | 11,567 | 14,102 | ||||||
Prepaid expenses | 1,428 | 1,600 | ||||||
Deferred income taxes | 2,424 | 1,803 | ||||||
Inventory and other current assets | 955 | 857 | ||||||
Total current assets | 26,438 | 23,223 | ||||||
Property and equipment, net | 6,919 | 8,257 | ||||||
Deferred income taxes | — | 1,711 | ||||||
Other assets, net | 34,331 | 25,768 | ||||||
Total assets | $ | 67,688 | $ | 58,959 | ||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
CURRENT LIABILITIES: | ||||||||
Accounts payable | $ | 2,411 | $ | 2,495 | ||||
Accrued expenses: | ||||||||
Payroll and payroll taxes | 8,755 | 6,504 | ||||||
Insurance | 2,265 | 2,171 | ||||||
Income taxes | 641 | 297 | ||||||
Legal settlements | 1,292 | 1,887 | ||||||
Other | 3,491 | 3,074 | ||||||
Current portion of long-term debt | 3,970 | 3,903 | ||||||
Current portion of obligations under capital leases | 1,773 | 2,476 | ||||||
Current portion of Medicare liabilities | 8,433 | 8,948 | ||||||
Total current liabilities | 33,031 | 31,755 | ||||||
Long-term debt | 2,829 | 4,474 | ||||||
Obligations under capital leases | 396 | 1,042 | ||||||
Deferred income taxes | 1,766 | — | ||||||
Long-term Medicare liabilities | 3,078 | 3,898 | ||||||
Other long-term liabilities | 1,212 | 827 | ||||||
Total liabilities | 42,312 | 41,996 | ||||||
STOCKHOLDERS’ EQUITY: | ||||||||
Preferred stock, $.001 par value, 5,000,000 shares authorized; none outstanding | — | — | ||||||
Common stock, $.001 par value, 30,000,000 shares authorized; 9,854,621 and 9,167,976 shares issued at September 30, 2003 and December 31, 2002, respectively | 10 | 9 | ||||||
Additional paid-in capital | 32,807 | 29,439 | ||||||
Treasury stock at cost (4,167 shares of common stock held at September 30, 2003 and December 31, 2002) | (25 | ) | (25 | ) | ||||
Accumulated deficit | (7,416 | ) | (12,460 | ) | ||||
Total stockholders’ equity | 25,376 | 16,963 | ||||||
Total liabilities and stockholders’ equity | $ | 67,688 | $ | 58,959 | ||||
