EX-99.1 2 dex991.htm PRESS RELEASE Press Release

Exhibit 99.1

LOGO

 

Contact:

   Amedisys, Inc.
   Donald Loverich, Jr.
   Principal Financial Officer
   (225) 292-2031
   dloverich@amedisys.com
  
   Noonan Russo
   Investor Relations
   Brian Ritchie (212) 845-4269
   brian.ritchie@eurorscg.com

AMEDISYS REPORTS RECORD SECOND QUARTER 2006

RESULTS

COMPANY TO HOST CONFERENCE CALL

TODAY AT 10:00 AM ET

BATON ROUGE, Louisiana (August 1, 2006) – Amedisys, Inc. (NasdaqNM: “AMED”, “Amedisys” or “the Company”), one of America’s leading home health nursing companies, today reported its financial results for the second quarter ended June 30, 2006.

For the quarter ended June 30, 2006, the Company reported record quarterly net income of $9.1 million, or $0.55 per diluted share, on record quarterly net service revenue of $132.9 million. Net service revenue increased by 66 percent when compared with the $80.1 million reported for the comparable period in the prior year. Amedisys reported net income of $7.9 million, or $0.50 per diluted share, for the quarter ended June 30, 2005. The diluted weighted average number of shares outstanding approximated 16.3 million for the quarter ended June 30, 2006 and 15.8 million for the comparable period of 2005.

For the six-month period ended June 30, 2006, the Company reported year-to-date net income of $16.3 million, or $1.00 per diluted share, on year-to-date net service revenue of $260.1 million. Net service revenue increased by 73 percent when compared with the $150.5 million reported for the comparable period in the prior year. Amedisys reported net income of $15.0 million, or $0.95 per diluted share, for the six-month period ended June 30, 2005. The diluted weighted average number of shares outstanding approximated 16.3 million for the six-month period ended June 30, 2006 and 15.8 million for the comparable period of 2005.

“These results represent significant progress toward restoring our operating margins,” said William F. Borne, Chief Executive Officer of Amedisys. “We are continuing to experience strong revenue growth from both our organic properties and our acquisitions. We are achieving positive momentum from changes related to the final stages of the integration plan for our 2005 acquisitions. As a result, we are more efficient and our metrics continue to improve.”


“We are pleased with our internal growth rate of Medicare admissions of 14 percent in the second quarter,” added Mr. Borne. “Also, our cash flow continues to be very strong, and we have repaid the $10.0 million borrowed against our revolver. In addition, our accounts receivable days sales outstanding has been reduced to 49 days as of June 30, 2006, from 55 days at March 31, 2006.”

“We are reaffirming the previously provided guidance of $2.25 to $2.35 cents per diluted share for fiscal 2006,” added Mr. Borne. “Fully diluted shares for 2006 are expected to be approximately 16.4 million. Also, this guidance reflects the Company’s 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 888-694-4702 (domestic) or 1-973-582-2741 (international). A replay of the conference call will be available until August 8, 2006, by dialing 877-519-4471 (domestic) or 973-341-3080 (international). The replay pin number is 7633729.

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 BALANCE SHEETS

As of June 30, 2006 and December 31, 2005

(Dollar amounts in thousands, except share data)

 

     As of  
    

June 30, 2006

(Unaudited)

    December 31,
2005
 
ASSETS     

Current assets:

    

Cash and cash equivalents

   $ 7,957     $ 17,231  

Patient accounts receivable, net of allowance for doubtful accounts of $7,626 at June 30, 2006 and $12,387 at December 31, 2005

     63,814       68,139  

Prepaid expenses

     4,286       2,693  

Other current assets

     5,912       4,277  
                

Total current assets

     81,969       92,340  

Property and equipment, net

     36,700       27,389  

Goodwill

     207,775       197,002  

Intangible assets, net of accumulated amortization of $4,169 at June 30, 2006 and $3,108 at December 31, 2005

     14,199       11,447  

Other assets, net

     7,037       11,819  
                

Total assets

   $ 347,680     $ 339,997  
                
LIABILITIES AND STOCKHOLDERS’ EQUITY     

Current liabilities:

    

Accounts payable

   $ 13,527     $ 29,922  

Accrued expenses

     51,672       45,165  

Obligations due Medicare

     7,873       10,551  

Current portion of long-term obligations

     11,194       10,144  

Current portion of deferred income taxes

     4,473       4,173  
                

Total current liabilities

     88,739       99,955  

Long-term obligations, less current portions

     39,217       43,063  

Deferred income taxes

     2,680       3,556  

Other long-term obligations

     1,184       824  
                

Total liabilities

     131,820       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; 16,066,071 and 15,881,691 shares issued at June 30, 2006 and December 31, 2005, respectively, and 16,061,188 and 15,877,524 shares outstanding at June 30, 2006 and December 31, 2005, respectively

     16       16  

Additional paid-in capital

     153,007       146,684  

Treasury stock at cost, 4,883 and 4,167 shares held at June 30, 2006 and December 31, 2005, respectively

     (52 )     (25 )

Unearned compensation

     —         (628 )

Retained earnings

     62,889       46,552  
                

Total stockholders’ equity

     215,860       192,599  
                

Total liabilities and stockholders’ equity

   $ 347,680     $ 339,997  
                


AMEDISYS, INC. AND SUBSIDIARIES

CONSOLIDATED INCOME STATEMENTS

For the three and six-month periods ended June 30, 2006 and 2005

(Dollars amounts in thousands, except per share data)

(Unaudited)

 

     Three-month period
ended
   

Six-month period

ended

 
     June 30,
2006
    June 30,
2005
    June 30,
2006
    June 30,
2005
 

Net service revenue

   $ 132,910     $ 80,061     $ 260,097     $ 150,498  

Cost of service, excluding depreciation and amortization

     56,664       33,044       112,434       61,505  

General and administrative expenses:

        

Salaries and benefits

     34,025       18,792       66,170       36,712  

Non-cash compensation

     597       65       1,193       150  

Other

     23,458       13,916       47,041       25,042  

Depreciation and amortization

     2,477       1,523       4,850       2,856  
                                

Operating expense

     117,221       67,340       231,688       126,265  
                                

Operating income

     15,689       12,721       28,409       24,233  

Other (expense) income:

        

Interest income

     220       519       426       900  

Interest expense

     (1,122 )     (142 )     (2,246 )     (287 )

Miscellaneous, net

     5       (12 )     105       (27 )
                                

Total other (expense) income

     (897 )     365       (1,715 )     586  
                                

Income before income taxes

     14,792       13,086       26,694       24,819  

Income tax expense

     5,739       5,156       10,357       9,779  
                                

Net income

   $ 9,053     $ 7,930     $ 16,337     $ 15,040  
                                

Net income per common share:

        

Basic

   $ 0.57     $ 0.51     $ 1.03     $ 0.97  
                                

Diluted

   $ 0.55     $ 0.50     $ 1.00     $ 0.95  
                                

Weighted average common shares outstanding:

        

Basic

     15,976       15,509       15,926       15,450  
                                

Diluted

     16,326       15,837       16,291       15,789