Exhibit 99.1
FOR IMMEDIATE RELEASE August 16, 2004
Almost Family Announces Second Quarter Results
Louisville, KY - Almost Family, Inc. (NASDAQ:AFAM) today announced its operating
results for the three and six months ended June 30, 2004. Basic earnings per
share for the quarter were $0.17 in 2004 versus $0.21 in the same quarter of
2003. Basic earnings per share for the six months ended June 30 were $0.30 in
2004 versus $0.32 in the same period of 2003. In the quarter ended June 30,
2004 as compared to the same quarter of the previous year, the Company's VN
revenue increased over 10%, while overall Home Health Care revenue grew 7%.
Adult Day Care revenue declined 9.5% primarily as a result of store closings in
late 2003. Earnings for the quarter and six-months ended June 30, 2004 were
unfavorably impacted by $0.03 per share due to the costs of a successful union
defense in one of the Company's personal care locations.
The Company will be filing its Form 10-Q with the Securities and Exchange
Commission today. Please refer to that filing for additional information.
William B. Yarmuth, Chairman and CEO commented on the Company's results for the
quarter: "Our Visiting Nurse segment has again turned in strong admissions,
revenue and operating income growth. Focusing our attention on the growth
prospects of this segment continues to pay off. Our two new Florida Medicare
agencies are on track with our expectations. We will continue our efforts to
drive admissions growth and to acquire and start up new VN agencies. The Company
has plans to open 4-6 new VN agency locations over the next three quarters."
The Company also noted that operating results in it Adult Day Care segment
improved dramatically from the March 2004 quarter, although reported performance
is still down from the same quarter last year. Net income for the quarter ended
June 30, 2004 included losses of $62,000 or $0.03 per share from adult day care
centers no longer in operation as of July 1, 2004. The Company added that the
Maryland Medicaid program implemented a 2.7% rate increase effective July 1,
2004 after granting no rate increase in 2003.
Results of operations for the three months ended June 30, 2004 and 2003 are set
forth in the table below:
Consolidated 2004 2003 Change
------------
-------------------------- --------------------------- ----------------------------
Amount % Rev Amount % Rev Amount %
--------------- ---------- ---------------- ---------- -------------- -------------
Net Revenues
Home Health Care VN $8,108,047 36.4% $ 7,336,681 33.6% $ 771,366 10.5%
PC 8,288,627 37.2% 7,987,994 36.6% 300,633 3.8%
--------------- ---------------- --------------
16,396,674 73.6% 15,324,675 70.2% 1,071,999 7.0%
Adult Day Care 5,894,183 26.4% 6,511,888 29.8% (617,705) -9.5%
--------------- ---------------- --------------
$22,290,857 100.0% $ 21,836,563 100.0% $ 454,294 2.1%
=============== ================ ==============
Operating Income
Home Health Care VN $ 1,305,639 16.1% $ 1,151,774 15.7% $ 153,865 13.4%
PC 768,089 9.3% 952,146 11.9% (184,057) -19.3%
--------------- ---------------- --------------
2,073,728 12.6% 2,103,920 13.7% (30,192) -1.4%
Adult Day Care 366,644 6.2% 439,748 6.8% (73,104) -16.6%
--------------- ---------------- --------------
2,440,372 10.9% 2,543,668 11.6% (103,296) -4.1%
Unallocated corporate expenses 1,656,882 7.4% 1,544,775 7.1% 112,107 7.3%
--------------- ---------------- --------------
Income before interest and taxes 783,490 3.5% 998,893 4.6% (215,403) -21.6%
Facility gains (losses) (2,566) 0.0% (14,314) -0.1% 11,748 -82.1%
Interest expense 123,116 0.6% 168,481 0.8% (45,365) -26.9%
Income taxes 263,123 1.2% 326,439 1.5% (63,316) -19.4%
--------------- ---------------- --------------
Net income $ 394,685 1.8% $ 489,659 2.2% $ (94,974) -19.4%
=============== ================ ==============
Earnings per share:
Basic $ 0.17 $ 0.21 $ (0.04) -19.0%
Diluted $ 0.15 $ 0.20 $ (0.05) -25.0%
Weighted average shares outstanding
Basic 2,299,000 2,296,527 2,473 0.1%
Diluted 2,552,978 2,489,466 64,415 2.6%
Results of operations for the six months ended June 30, 2004 and 2003 are set
forth in the table below:
Consolidated 2004 2003 Change
------------
-------------------------- --------------------------- ----------------------------
Amount % Rev Amount % Rev Amount %
--------------- ---------- ---------------- ---------- -------------- -------------
Net Revenues
Home Health Care VN $ 16,449,457 37.2% $ 14,942,550 34.5% $ 1,506,907 10.1%
PC 16,390,519 37.0% 15,982,036 36.9% 408,483 2.6%
--------------- ---------------- --------------
32,839,976 74.2% 30,924,586 71.3% 1,915,390 7.2%
Adult Day Care 11,435,625 25.8% 12,429,622 28.7% (993,997) -8.0%
--------------- ---------------- --------------
$ 44,275,601 100.0% $ 43,354,208 100.0% $ 921,393 2.1%
=============== ================ ==============
Operating Income
Home Health Care VN $ 2,813,815 17.1% $ 2,421,508 16.2% $ 392,307 16.2%
PC 1,546,294 9.4% 1,977,009 12.4% (430,715) -21.8%
--------------- ---------------- --------------
4,360,109 13.3% 4,398,517 14.2% (38,408) -0.9%
Adult Day Care 232,455 2.0% 311,904 2.5% (79,449) -25.5%
--------------- ---------------- --------------
4,592,564 10.4% 4,710,421 10.9% (117,857) -2.5%
Unallocated corporate expenses 3,168,380 7.2% 3,143,521 7.3% 24,859 0.8%
--------------- ---------------- --------------
Income before interest and taxes 1,424,184 3.2% 1,566,900 4.6% (142,716) -9.1%
Facility gains (losses) 3,854 0.0% (11,709) 0.0% 15,563 -132.9%
Interest expense 267,959 0.6% 341,644 0.8% (73,685) -21.6%
Income taxes 464,032 1.0% 485,419 1.1% (21,387) -4.4%
--------------- ---------------- --------------
Net income $ 696,047 1.6% $ 728,128 1.7% $ (32,081) -4.4%
=============== ================ ==============
Earnings per share:
Basic $ 0.30 $ 0.32 $ (0.02) -6.3%
Diluted $ 0.27 $ 0.29 $ (0.02) -6.9%
Weighted average shares outstanding
Basic 2,297,763 2,292,996 4,767 0.2%
Diluted 2,553,915 2,484,763 69,188 2.8%
The Company's 2003 Form 10-K includes a description of its business plan which
calls for an increase in emphasis on the Visiting Nurse segment. In the
information above "VN" refers to the Company's Visiting Nurse segment, "PC"
refers to the Company's in-home Personal Care segment and "ADC" refers to the
Company's facility-based Adult Day Care Segment.
Almost Family, Inc. TM and subsidiaries (collectively "Almost Family") is a
leading regional provider of home health nursing services and adult day health
services. The Company has service locations in Florida, Kentucky, Ohio,
Maryland, Connecticut, Massachusetts, Alabama and Indiana (in order of revenue
significance).
Contact: William Yarmuth or Steve Guenthner (502) 891-1000.
All statements, other than statements of historical facts, included in this news
release, including the objectives and expectations of management for future
operating results, expectations for improved earnings from the ADC segment, the
Company's ability to generate same store sales growth, the Company's ability to
acquire visiting nurse agencies at prices it is willing to pay, the Company's
ability to attract investment of additional capital, and the Company's
expectations with regard to market conditions, are forward-looking statements.
These forward-looking statements are based on the Company's current
expectations. Although the Company believes that the expectations expressed or
implied in such forward-looking statements are reasonable, there can be no
assurance that such expectations will prove to be correct.
Because forward-looking statements involve risks and uncertainties, the
Company's actual results could differ materially. The potential risks and
uncertainties which could cause actual results to differ materially could
include: the impact of further changes in healthcare reimbursement systems,
including the ultimate outcome of potential changes to Medicaid reimbursement
due to state budget shortfalls; the ability of the Company to maintain its level
of operating performance and achieve its cost control objectives; government
regulation; health care reform; pricing pressures from Medicare, Medicaid and
other third-party payers; changes in laws and interpretations of laws relating
to the healthcare industry, and the Company's self-insurance risks. For a more
complete discussion regarding these and other factors which could affect the
Company's financial performance, refer to the Company's Securities and Exchange
Commission filing on Form 10-K for the year ended December 31, 2003, in
particular information under the headings "Business" and "Management's
Discussion and Analysis of Financial Condition and Results of Operations." The
Company disclaims any intent or obligation to update its forward-looking
statements.