NHC Reports Second Quarter Earnings
<0> National HealthCare CorporationGerald Coggin, Sr. VP of Corporate Relations, 615-890-2020 </0>
(NYSE MKT: NHC) (NYSE MKT: NHC.PRA), a publicly traded long-term health care company, today announced net income available to common shareholders for the quarter ended June 30, 2012 of $11,446,000 compared to $11,443,000 for the quarter ended June 30, 2011. Net income was $0.83 per common share basic for the quarter ended June 30, 2012, as well as $0.83 per common share basic for the same quarter a year ago. Revenues for the three months ended June 30, 2012 totaled $187,765,000 compared to $190,783,000 for the three months ended June 30, 2011, a decrease of 1.6%.
Revenues for the second quarter of 2012 compared to the quarter last year were negatively affected by decreases in Medicare per diem rates, but the rate decreases were partially offset by improved patient mix. Furthermore, cost saving measures helped to reduce total costs and expenses compared to the prior year period.
Net income available to common shareholders for the six month period ended June 30, 2012 was $21,954,000 compared to $27,999,000, a decrease of 21.6%. Net income was $1.59 per common share basic for the six month period ended June 30, 2012 compared to $2.04 per common share basic for the same period in 2011. For comparative purposes, operating expenses for the 2011 six month period included favorable results within our accrued risk reserves of $10,500,000 (approximately $6,825,000 after income taxes or $0.50 per common share basic). Excluding this adjustment, the six months ended June 30, 2012 would have reflected an increase of 3.7% in net income available to common shareholders compared to the same period in 2011.
Statements in this press release that are not historical facts are forward-looking statements. NHC cautions investors that any forward-looking statements made involve risks and uncertainties and are not guarantees of future performance. The risks and uncertainties are detailed from time to time in reports filed by NHC with the S.E.C., including Forms 8-K, 10-Q and 10-K, and include, among others, the following: liabilities and other claims asserted against us and patient care liabilities, as well as the resolution of current litigation; availability of insurance and assets for indemnification; national and local economic conditions; including their effect on the availability and cost of labor, utilities and materials; the effect of government regulations and changes in regulations governing the healthcare industry, including our compliance with such regulations; changes in Medicare and Medicaid payment levels and methodologies and the application of such methodologies by the government and its fiscal intermediaries, the ability of third parties for whom we have guaranteed debt to refinance certain short term debt obligations; and other factors referenced or incorporated by reference in the S.E.C. filings. The risks included here are not exhaustive. All forward-looking statements represent NHC’s best judgment as of the date of this release.
NHC affiliates operate for themselves and third parties 75 long-term health care centers with 9,460 beds. NHC affiliates also operate 37 homecare programs, six independent living centers and 17 assisted living communities. NHC’s other services include Alzheimer’s units, long-term care pharmacies, hospice, a rehabilitation services company, and providing management and accounting services to third parties. Other information about the company can be found on our web site at .