Company to Host Conference Call Today at 10:00 AM ET BATON ROUGE,
La., May 2 /PRNewswire-FirstCall/ -- Amedisys, Inc. (Nasdaq: AMED,
"Amedisys" or "the Company"), one of America's leading home health
nursing companies, today reported its financial results for the
first quarter ended March 31, 2006. For the quarter ended March 31,
2006, the Company reported quarterly net income of $7.3 million, or
$0.45 per diluted share, on record quarterly net service revenue of
$127.2 million. Net service revenue increased by 81 percent when
compared with the $70.4 million reported for the comparable period
in the prior year. Amedisys reported net income of $7.1 million, or
$0.45 per diluted share, for the quarter ended March 31, 2005. The
diluted weighted average number of shares outstanding approximated
16.3 million for the quarter ended March 31, 2006 and 15.7 million
for the comparable period of 2005. "Our record quarterly revenue is
indicative of the Company's strong, and ongoing, commitment to both
organic growth and acquisitions, as well as the continued
significant demand for our services," noted William F. Borne, Chief
Executive Officer of Amedisys. "In particular, we have continued to
deliver strong internal growth in Medicare admissions. This growth
rate was approximately 17 percent for the first quarter and
reflects the significant efforts made by our field staff towards
further enhancing the clinical reputation of the Company. Amedisys
believes that its internal growth rate of Medicare admissions will
be at least 15 percent for 2006." "Our net income for the quarter
ended March 31, 2006, which reflects a slight increase in net
income when compared with the same period in the prior year,
includes $0.6 million pretax cost of severance payments incurred in
the most recent quarter, or approximately $0.02 cents per diluted
share," said Mr. Borne. "Also included is approximately $0.5
million pretax, or approximately $0.02 cents per diluted share,
reflecting the additional expense of implementing SFAS123R in the
current quarter." "Management has undertaken considerable effort
aimed at improving the operating results from our recent
acquisitions, as well as the streamlining of our corporate office
functions," continued Mr. Borne. "The current quarterly results do
not yet fully reflect the results of our cost-cutting and margin
improvement initiatives. However, we anticipate on-going earnings
improvements in subsequent quarters." "Our Balance Sheet continues
to position Amedisys to take advantage of strategic acquisition
opportunities in home health," said Mr. Borne. "Additionally, the
Company improved its collection activities during the quarter,
thereby assisting in reducing our days sales outstanding from 62
days to 55 days. We continue to expect further improvement in this
area." "We have made significant progress in this quarter towards
restoring our margins to historical levels," continued Mr. Borne.
"However, the timing of improvements to margins, the commencement
of start-ups, increased expenses associated with SFAS123R, and
higher interest rates, dictate a more cautious approach to
guidance. Therefore, based on currently available information, we
are reducing our earnings guidance from the previously announced
$2.33 to $2.43 cents per diluted share to $2.25 to $2.35 cents per
diluted share for fiscal 2006. Fully diluted shares for 2006 are
expected to be approximately 16.4 million. This guidance reflects
our 2006 estimated income tax rate of approximately 38.8 percent.
Annual revenue is expected to exceed $520 million." The Company
will provide further information today on these results during a
teleconference call that is scheduled for 10:00 a.m. ET today. To
access this call, please dial 877-691-0877 (domestic) or
1-973-582-2767 (international). A replay of the conference call
will be available until May 9th 2006, by dialing 877-519-4471
(domestic) or 973-341-3080 (international). The replay pin number
is 7293847. Amedisys, Inc., a leading provider of home health
nursing services, is headquartered in Baton Rouge, Louisiana. 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 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 the Company can be found on the World Wide Web
http://www.amedisys.com/ . AMEDISYS, INC. AND SUBSIDIARIES
CONSOLIDATED INCOME STATEMENTS For the three-month periods ended
March 31, 2006 and 2005 (Dollars amounts in thousands, except per
share data) (Unaudited) Three months ended March 31, 2006 March 31,
2005 Net service revenue $127,187 $70,437 Cost of service 55,770
28,461 General and administrative: Salaries and benefits 32,145
18,005 Non-cash compensation 596 85 Other 23,583 11,041
Depreciation and amortization 2,373 1,333 Operating expense 114,467
58,925 Operating income 12,720 11,512 Other income (expense):
Interest income 206 381 Interest expense (1,124) (145)
Miscellaneous, net 100 (15) Total other income (expense) (818) 221
Income before income taxes 11,902 11,733 Income tax expense 4,618
4,623 Net income $7,284 $7,110 Earnings per share: Basic $0.46
$0.46 Diluted $0.45 $0.45 Weighted average common shares
outstanding: Basic 15,902 15,390 Diluted 16,283 15,740 AMEDISYS,
INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS As of March 31,
2006 and December 31, 2005 (Dollar amounts in thousands, except
share data) As of March 31, 2006 December 31, (Unaudited) 2005
ASSETS Current assets: Cash and cash equivalents $9,476 $17,231
Patient accounts receivable, net of allowance for doubtful accounts
of $10,615 at March 31, 2006 and $12,387 at December 31, 2005
67,402 68,139 Prepaid expenses 4,906 2,693 Other current assets
2,366 4,277 Total current assets 84,150 92,340 Property and
equipment, net 30,282 27,389 Goodwill 201,218 197,002 Intangible
assets, net of accumulated amortization of $3,722 March 31, 2006
and $3,108 at December 31, 2005 11,417 11,447 Other assets, net
12,444 11,819 Total assets $339,511 $339,997 LIABILITIES AND
STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $7,919
$29,922 Accrued expenses 49,415 45,165 Obligations due Medicare
10,546 10,551 Current portion of long-term obligations 9,881 10,144
Short-term revolving line of credit 10,000 -- Current portion of
deferred income taxes 3,180 4,173 Total current liabilities 90,941
99,955 Long-term obligations, less current portions 41,151 43,063
Deferred income taxes 3,421 3,556 Other long-term obligations 1,062
824 Total liabilities 136,575 147,398 Stockholders' equity:
Preferred stock, $.001 par value, 5,000,000 shares authorized; none
issued and outstanding -- -- Common stock, $.001 par value,
30,000,000 shares authorized; 15,951,648 and 15,881,691 shares
issued at March 31, 2006 and December 31, 2005 and 15,947,481 and
15,877,524 shares outstanding at March 31, 2006 and December 31,
2005, respectively 16 16 Additional paid-in capital 149,109 146,684
Treasury stock at cost, 4,167 shares held at March 31, 2006 and
December 31, 2005 (25) (25) Unearned compensation -- (628) Retained
earnings 53,836 46,552 Total stockholders' equity 202,936 192,599
Total liabilities and stockholders' equity $339,511 $339,997
Contact: Amedisys, Inc. Gregory H. Browne Chief Financial Officer
(225) 292-2031 Noonan Russo Investor Relations Brian Ritchie (212)
845-4269 DATASOURCE: Amedisys, Inc. CONTACT: Gregory H. Browne,
Chief Financial Officer of Amedisys, Inc., +1-225-292-2031, ; or
Investor Relations, Brian Ritchie of Noonan Russo, +1-212-845-4269,
Web site: http://www.amedisys.com/
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