EXHIBIT 99.1
PRESS RELEASE
UCI MEDICAL AFFILIATES, INC.
REPORTS FIRST QUARTER FISCAL YEAR 2006 RESULTS
Columbia, SC - January 31, 2006 - UCI Medical Affiliates, Inc. (OTC
Bulletin Board: UCIA) announced today that revenue for the quarter ended
December 31, 2005 increased 20% to $14,632,000 from $12,194,000 for the quarter
ended December 31, 2004.
The Company reported pretax net income of $1,205,000 or $.12 per share for
the quarter ended December 31, 2005, as compared to $980,000 or $.10 per share
for the quarter ended December 31, 2004. The Company reported net income of
$796,000 or $.08 per share for the quarter ended December 31, 2005, as compared
to $5,462,000 or $.56 per share for the quarter ended December 31, 2004. (The
company recorded a tax benefit of $4,495,000 during the quarter ended December
31, 2004.)
"We are pleased that our first quarter results compare favorably with last
year," said President and Chief Executive Officer D. Michael Stout, M.D. "Our
revenues are up 20%; our net operating profit before tax adjustments increased
by 23%; and our earnings per share before tax adjustments grew from 10 cents per
share to 12 cents per share. We will continue to focus on superior patient care
and exceptional customer satisfaction and these results indicate we are on
track."
The Company's December 31, 2005 balance sheet reflects total assets of
$23,876,000 as compared to $23,399,000 at September 30, 2005 while stockholders'
equity at December 31, 2005 was $14,117,000 as compared to $13,321,000 at
September 30, 2005.
"Our increased revenues and net operating profit (before tax adjustments)
are due to a combination of multiple factors," said Jerry F. Wells, Jr., CPA,
Executive Vice President and Chief Financial Officer. "We have new offices on
line, our existing offices improved across the board as a result of expanded
services and an emphasis on patient satisfaction, and we have maintained an
advertising approach which has augmented our patient numbers. We plan to
maintain a strong focus on our core business as the key to success in the
future."
UCI Medical Affiliates, Inc. provides nonmedical management and
administrative services for a network of 49 freestanding medical centers, 48 of
which are located throughout South Carolina and one is located in Knoxville,
Tennessee (30 operating as Doctors Care in South Carolina, one as Doctors Care
in Knoxville, Tennessee, 16 as Progressive Physical Therapy Services in South
Carolina, one as Luberoff Pediatrics in South Carolina, and one as Carolina
Orthopaedic and Sports Medicine in South Carolina).
Certain of the statements contained in this press release that are not
historical facts are forward-looking statements subject to the safe harbor
created by the Private Securities Litigation Reform Act of 1995. We caution
readers of this press release that such forward-looking statements involve known
and unknown risks, uncertainties and other factors that may cause our actual
results, performance or achievements to be materially different from those
expressed or implied by such forward-looking statements. Although our management
believes that their expectations of future performance are based on reasonable
assumptions within the bounds of their knowledge of their business and
operations, we have no assurance that actual results will not differ materially
from their expectations. Factors that could cause actual results to differ from
expectations include, among other things, (1) the difficulty in controlling our
costs of providing healthcare and administering our network of centers; (2) the
possible negative effects from changes in reimbursement and capitation payment
levels and payment practices by insurance companies, healthcare plans,
government payors and other payment sources; (3) the difficulty of attracting
primary care physicians; (4) the increasing competition for patients among
healthcare providers; (5) possible government regulations negatively impacting
our existing organizational structure; (6) the possible negative effects of
prospective healthcare reform; (7) the challenges and uncertainties in the
implementation of our expansion and development strategy; (8) the dependence on
key personnel; (9) adverse conditions in the stock market, the public debt
market, and other capital markets (including changes in interest rate
conditions); (10) the strength of the United States economy in general and the
strength of the local economies in which we conduct operations may be different
than expected resulting in, among other things, a reduced demand for practice
management services; (11) the demand for our products and services; (12)
technological changes; (13) the ability to increase market share; (14) the
adequacy of expense projections and estimates of impairment loss; (15) the
impact of change in accounting policies by the Securities and Exchange
Commission; (16) unanticipated regulatory or judicial proceedings; (17) the
impact on our business, as well as on the risks set forth above, of various
domestic or international military or terrorist activities or conflicts; (18)
other factors described in this press release and in our other reports filed
with the Securities and Exchange Commission; and (19) our success at managing
the risks involved in the foregoing.
Contact: Jerry F. Wells, Jr., CPA, Executive Vice President
and Chief Financial Officer
UCI Medical Affiliates, Inc.
4416 Forest Drive
Columbia, South Carolina 29206
(803) 782-4278 www.DoctorsCare.com