SunLink Health Systems, Inc. (NYSE American: SSY) today
announced a loss from continuing operations of $727,000 (or a loss
of $0.10 per fully diluted share) for its third fiscal quarter
ended March 31, 2023 compared to a loss from continuing operations
of $934,000 (or a loss of $0.13 per fully diluted share) for the
third fiscal quarter ended March 31, 2022. Net loss for the quarter
ended March 31, 2023 was $762,000 (or a loss of $0.11 per fully
diluted share) compared to a net loss of $990,000 (or a loss of
$0.14 per fully diluted share) for the quarter ended March 31,
2022. The fiscal quarter ended March 31, 2022 included Provider
Relief Funds (“PRF”) of $106,000 (pre-tax).
Consolidated net revenues for the quarters ended March 31, 2023
and 2022 were $11,533,000 and $10,527,000, respectively, an
increase of 9.6% in the current year’s quarter above those in the
comparable quarter of the prior fiscal year. Pharmacy Segment net
revenues increased 18.0% above those of the comparable fiscal
quarter of the prior fiscal year due to increased retail,
institutional pharmacy and Durable Medical Equipment (“DME”) sales
in the fiscal quarter ended March 31, 2023, but Healthcare Services
Segment net revenues decreased 5.8% below those of the comparable
fiscal quarter of the prior year due to decreased hospital
admissions.
SunLink reported an operating loss for the quarter ended March
31, 2023 of $774,000 compared to an operating loss for the quarter
ended March 31, 2022 of $1,064,000. The decrease in operating loss
from last year’s comparable quarter was due primarily to the
increased Pharmacy Segment net revenues this fiscal year,
notwithstanding increased costs in all reported expense categories
except salaries, wages and benefits which declined
slightly.
Loss from discontinued operations was $35,000 (or a loss of
$0.00 per fully diluted share) for the quarter ended March 31, 2023
compared to a loss from discontinued operations of $56,000 (or
$0.01 per fully diluted share) for the quarter ended March 31,
2022.
Loss from continuing operations for the nine months ended March
31, 2023 was $219,000 (or a loss of $0.03 per fully diluted share)
compared to earnings from continuing operations for the nine months
ended March 31, 2022 of $595,000 ($0.08 per fully diluted share).
Net loss for the nine months ended March 31, 2023 was $369,000 (or
a loss of $0.05 per fully diluted share) compared to net earnings
of $356,000 ($0.05 per fully diluted share) for the nine months
ended March 31, 2022.
The nine months ended March 31, 2023, included recognition of
(i) net revenues of $2,615,000 from the reversal of reserves for
certain sales taxes previously accrued by the Pharmacy Segment as
the company determined during the second fiscal quarter that, based
upon discussions with and correspondence from taxing authorities
and consultation with external legal counsel, it was more likely
than not that such accrued sales taxes will not be payable, and
(ii) PRF of $61,000 (pre-tax) was recognized in the first quarter
of fiscal 2023 period. The nine months ended March 31, 2022
included forgiveness of Paycheck Protection Plan (“PPP”) loans of
$3,010,000 (pre-tax) and PRF of $720,000 (pre-tax).
Consolidated net revenues for the nine months ended March 31,
2023 and 2022 were $36,962,000 and $31,463,000, respectively, an
increase of 17.5% in the current year’s nine months above such
revenues in the comparable nine months of the prior fiscal year.
Healthcare Services Segment net revenues increased 6.4% above those
of the comparable period of the prior fiscal year due to increased
nursing home days this year, and the Pharmacy Segment net revenues
increased 23.1% above those of the comparable period of the prior
fiscal year due to the recognition of income from reversal of
reserves for certain sales taxes previously accrued, as well as
increased retail, institutional pharmacy and DME sales this fiscal
year.
SunLink reported an operating loss for the nine months ended
March 31, 2023 of $347,000 compared to an operating loss for the
nine months ended March 31, 2022 of $3,129,000. The decreased
operating loss for the current nine months of this fiscal year was
due primarily to the previously mentioned recognition of income
from the reversal of reserves for certain sales taxes previously
accrued of $2,615,000 in this year’s second fiscal quarter.
Loss from discontinued operations was $150,000 (or a loss of
$0.02 per fully diluted share) for the nine months ended March 31,
2023 compared to a loss from discontinued operations of $239,000
(or $0.03 per fully diluted share) for the nine months ended March
31, 2022.
The company’s cash and cash equivalents on March 31, 2023 was
$5,382,000, a decline of $1,412,000 from June 30, 2022, due to the
nine month’s operating loss and capital expenditures by both the
Healthcare Service and Pharmacy Segments.
COVID-19 Pandemic
The Company continued to experience adverse after-effects of the
COVID-19 pandemic in the quarter ended March 31, 2023 and believes
such effects will likely continue to affect its assets and
operations in the foreseeable future. Our ability to make estimates
of any such continuing effects of evolving strains of COVID-19 on
future revenues, expenses or changes in accounting judgments that
have had or are reasonably likely to have a material effect on our
financial statements is very limited, depending as they do on the
severity and length thereof ; as well as any further government
actions and/or regulatory changes to address such effects.
SunLink Health Systems, Inc. is the parent company of
subsidiaries that own and operate healthcare properties and
businesses in the Southeast. Each of the Company’s businesses is
operated locally with a strategy of linking patients’ needs with
healthcare professionals. For additional information on SunLink
Health Systems, Inc., please visit the Company’s website.
This press release contains certain forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995 including, without limitation, statements regarding the
company’s business strategy. These forward-looking statements are
subject to certain risks, uncertainties, and other factors, which
could cause actual results, performance, and achievements to differ
materially from those anticipated. Certain of those risks,
uncertainties and other factors are disclosed in more detail in the
company’s Annual Report on Form 10-K for the year ended June 30,
2022 and other filings with the Securities and Exchange Commission
which can be located at www.sec.gov.
SUNLINK HEALTH SYSTEMS, INC. ANNOUNCES FISCAL 2023 THIRD
QUARTER RESULTS Amounts in 000's, except
per share CONSOLIDATED STATEMENTS OF EARNINGS
(LOSS) Three Months Ended
March 31, Nine Months Ended March 31,
2023
2022
2023
2022
% of Net % of Net % of Net % of Net
Amount Revenues Amount Revenues
Amount Revenues Amount Revenues Net
Revenues
$
11,533
100.0
%
$
10,527
100.0
%
$
36,962
100.0
%
$
31,463
100.0
%
Costs and Expenses: Cost of goods sold
4,755
41.2
%
4,079
38.7
%
13,642
36.9
%
12,168
38.7
%
Salaries, wages and benefits
4,519
39.2
%
4,736
45.0
%
14,516
39.3
%
14,223
45.2
%
Supplies
276
2.4
%
271
2.6
%
1,014
2.7
%
879
2.8
%
Purchased services
1,035
9.0
%
965
9.2
%
3,069
8.3
%
2,610
8.3
%
Other operating expenses
1,171
10.2
%
1,027
9.8
%
3,518
9.5
%
3,210
10.2
%
Rents and leases
137
1.2
%
129
1.2
%
381
1.0
%
419
1.3
%
Depreciation and amortization
414
3.6
%
384
3.6
%
1,169
3.2
%
1,083
3.4
%
Operating profit (loss)
(774
)
-6.7
%
(1,064
)
-10.1
%
(347
)
-0.9
%
(3,129
)
-9.9
%
Interest Income (expense) - net
41
0.4
%
(1
)
0.0
%
46
0.1
%
(18
)
-0.1
%
Forgiveness of PPP loans and accrued interest
0
0.0
%
0
0.0
%
0
0.0
%
3,010
9.6
%
Federal pandemic stimulus- provider relief funds
0
0.0
%
106
1.0
%
61
0.2
%
720
2.3
%
Gain on sale of assets
0
0.0
%
0
0.0
%
14
0.0
%
12
0.0
%
Earnings (Loss) from Continuing Operations before Income
Taxes
(733
)
-6.4
%
(959
)
-9.1
%
(226
)
-0.6
%
595
1.9
%
Income Tax (benefit) expense
(6
)
-0.1
%
(25
)
-0.2
%
(7
)
0.0
%
0
0.0
%
Earnings (Loss) from Continuing Operations
(727
)
-6.3
%
(934
)
-8.9
%
(219
)
-0.6
%
595
1.9
%
Loss from Discontinued Operations, net of tax
(35
)
-0.3
%
(56
)
-0.5
%
(150
)
-0.4
%
(239
)
-0.8
%
Net Earnings (Loss)
$
(762
)
-6.6
%
$
(990
)
-9.4
%
$
(369
)
-1.0
%
$
356
1.1
%
Earnings (Loss) Per Share from Continuing Operations:
Basic
$
(0.10
)
$
(0.13
)
$
(0.03
)
$
0.09
Diluted
$
(0.10
)
$
(0.13
)
$
(0.03
)
$
0.08
Earnings (Loss) Per Share from Discontinued Operations:
Basic
$
(0.00
)
$
(0.01
)
$
(0.02
)
$
(0.03
)
Diluted
$
(0.00
)
$
(0.01
)
$
(0.02
)
$
(0.03
)
Net Earnings (Loss) Per Share: Basic
$
(0.11
)
$
(0.14
)
$
(0.05
)
$
0.05
Diluted
$
(0.11
)
$
(0.14
)
$
(0.05
)
$
0.05
Weighted Average Common Shares Outstanding:
Basic
7,032
6,954
7,015
6,942
Diluted
7,032
6,954
7,015
7,063
SUMMARY BALANCE SHEETS
March 31,
June 30,
2023
2022
ASSETS Cash and Cash Equivalents
$
5,382
$
6,794
Receivable - net
4,394
4,624
Other Current Assets
3,528
5,397
Property Plant and Equipment, net
8,394
8,217
Long-term Assets
2,732
2,911
$
24,430
$
27,943
LIABILITIES AND SHAREHOLDERS' EQUITY Current Liabilities
$
4,677
$
7,691
Long-term Debt and Other Noncurrent Liabilities
954
1,132
Shareholders' Equity
18,799
19,120
$
24,430
$
27,943
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230510006000/en/
Robert M. Thornton, Jr. Chief Executive Officer
(770) 933-7004
Grafico Azioni Sunlink Health Systems (AMEX:SSY)
Storico
Da Ago 2024 a Set 2024
Grafico Azioni Sunlink Health Systems (AMEX:SSY)
Storico
Da Set 2023 a Set 2024