EX-99
2
exhibit99earnings2007.htm
PRESS RELEASE
Converted by EDGARwiz
Exhibit 99.1
For release: March 17, 2008
Contact: Gerald Coggin, Sr. VP of Corporate Relations
Phone: (615) 890-2020
NHC Reports 23.7% Increase in Net Income
MURFREESBORO, Tenn. -- National HealthCare Corporation (AMEX: NHC; AMEX: NHC.PR.A), a publicly traded long-term health care company, today announced net income for the year ended Dec. 31, 2007 of $45,449,000 or $3.47 per share basic compared to $36,740,000 or $2.99 per share basic for the year ended Dec. 31, 2006, an increase of 23.7% and 16.0%, respectively.
For the three months ended Dec. 31, 2007 net income was $13,391,000 compared to $11,686,000 in 2006, a 14.6% increase. Earnings per basic share were 91 cents compared to 95 cents last year. The current period basic earnings per share were approximately 14 cents less due to the dividends on the preferred stock that we issued as consideration in the merger with National Health Realty, Inc. ("NHR"). Revenues for the three months ended Dec. 31, 2007 totaled $153,858,000 compared to $141,570,000 for the last three months of 2006. Revenues in 2007 were $598,034,000 compared to $562,958,000 in 2006.
Highlights in 2007 include the merger with National Health Realty, Inc. which added $305,935,000 of real property to our fixed assets and the completion of a $75,000,000 Revolving Credit Agreement which will help fund further growth strategies. Our net income for 2007 includes $6,665,000 of gains on the sale of assets, $6,000,000 recognition of deferred gain - National and an $8,143,000 recovery of notes receivable.
NHC operates for itself and third parties 74 long-term health care centers with 9,262 beds. NHC also operates 32 homecare programs, six independent living centers and 22 assisted living centers. NHC's other services include managed care specialty medical units, Alzheimer's units, hospice, rehabilitative services and accounting and financial services. Additional information including the company's most recent press releases may be obtained on NHC's Web site at
www.NHCcare.com
.
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.
-more-
Condensed Statements of Income
(in thousands, except share and per share amounts)
Three Months Ended
Twelve Months Ended
December 31
December 31
Revenues:
2007
2006
2007
2006
Net patient revenues
$ 138,116
$ 125,726
$ 539,758
$ 501,705
Other revenues
15,742
15,844
58,276
61,253
Net revenues
153,858
141,570
598,034
562,958
Costs and Expenses:
Salaries, wages and benefits
82,192
79,023
326,445
302,862
Other operating
51,896
36,589
175,649
157,664
Recovery of notes receivable
(7,376)
-
(13,571)
(7,309)
Recognition of deferred gain - National
(10,000)
-
(10,000)
-
Gain on sale of assets
(323)
-
(11,108)
-
Rent
8,661
9,502
40,205
40,310
Depreciation and amortization
5,532
3,700
17,008
14,172
Interest
321
219
1,172
980
Total costs and expenses
130,903
129,033
525,800
508,679
Income Before Income Taxes
22,955
12,537
72,234
54,279
Income Tax Provision
(9,564)
(851)
(26,785)
(17,539)
Net Income
13,391
11,686
45,449
36,740
Dividends to Preferred Shareholders
(1,831)
-
(1,831)
-
Net income available to common shareholders
$ 11,560
$ 11,686
$ 43,618
$ 36,740
Earnings Per Share:
Basic
$ 0.91
$ 0.95
$ 3.47
$ 2.99
Diluted
$ 0.89
$ 0.91
$ 3.36
$ 2.85
Weighted average common shares outstanding
Basic
12,645,663
12,330,732
12,562,347
12,294,730
Diluted
13,006,119
12,808,156
12,993,930
12,886,171
Balance Sheet Data
(in thousands)
Dec. 31
Dec. 31
2007
2006
Cash and marketable securities
$ 167,779
$ 219,246
Current assets
246,014
290,611
Total assets
698,408
471,477
Current liabilities
188,825
168,548
Long-term obligations
33,790
21,967
Deferred lease credit
4,847
6,058
Deferred revenue
15,238
25,762
Shareholders' equity
455,708
249,142
Selected Operating Statistics
Three Months Ended
Twelve Months Ended
December 31
December 31
2007
2006
2007
2006
Per Diems:
Medicare
$ 369.45
$ 353.28
$ 354.87
$ 330.74
Medicaid
147.88
139.38
143.15
136.56
Private Pay and Other
204.55
192.55
202.86
192.12
Patient Days:
Medicare
95,590
94,809
392,190
371,415
Medicaid
278,278
285,973
1,109,442
1,147,582
Private Pay and Other
166,051
154,695
637,739
582,513
539,919
535,477
2,139,371
2,101,510
Average Per Diem
$ 204.53
$ 192.61
$ 199.76
$ 186.28

EX - 99 2 exhibit99earnings2007 . htm PRESS RELEASE Converted by EDGARwiz Exhibit 99 . 1 For release : March 17 , 2008 Contact : Gerald Coggin, Sr. VP of Corporate Relations Phone : ( 615 ) 890 - 2020 NHC Reports 23 . 7 % Increase in Net Income MURFREESBORO , Tenn . -- National HealthCare Corporation ( AMEX : NHC ; AMEX : NHC . PR . A ) , a publicly traded long - term health care company , today announced net income for the year ended Dec. 31 , 2007 of $ 45,449,000 or $ 3.47 per share basic compared to $ 36,740,000 or $ 2.99 per share basic for the year ended Dec. 31 , 2006 , an increase of 23 . 7 % and 16 . 0 % , respectively . For the three months ended Dec. 31 , 2007 net income was $ 13,391,000 compared to $ 11,686,000 in 2006 , a 14 . 6 % increase . Earnings per basic share were 91 cents compared to 95 cents last year . The current period basic earnings per share were approximately 14 cents less due to the dividends on the preferred stock that we issued as consideration in the merger with National Health Realty , Inc . ( " NHR " ) . Revenues for the three months ended Dec. 31 , 2007 totaled $ 153,858,000 compared to $ 141,570,000 for the last three months of 2006 . Revenues in 2007 were $ 598,034,000 compared to $ 562,958,000 in 2006 . Highlights in 2007 include the merger with National Health Realty , Inc . which added $ 305,935,000 of real property to our fixed assets and the completion of a $ 75,000,000 Revolving Credit Agreement which will help fund further growth strategies . Our net income for 2007 includes $ 6,665,000 of gains on the sale of assets , $ 6,000,000 recognition of deferred gain - National and an $ 8,143,000 recovery of notes receivable . NHC operates for itself and third parties 74 long - term health care centers with 9,262 beds . NHC also operates 32 homecare programs , six independent living centers and 22 assisted living centers . NHC 's other services include managed care specialty medical units , Alzheimer ' s units , hospice , rehabilitative services and accounting and financial services . Additional information including the company 's most recent press releases may be obtained on NHC 's Web site at www.NHCcare.com . 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 . - more - Condensed Statements of Income ( in thousands , except share and per share amounts ) Three Months Ended Twelve Months Ended December 31 December 31 Revenues : 2007 2006 2007 2006 Net patient revenues $ 138,116 $ 125,726 $ 539,758 $ 501,705 Other revenues 15,742 15,844 58,276 61,253 Net revenues 153,858 141,570 598,034 562,958 Costs and Expenses : Salaries , wages and benefits 82,192 79,023 326,445 302,862 Other operating 51,896 36,589 175,649 157,664 Recovery of notes receivable ( 7,376 ) - ( 13,571 ) ( 7,309 ) Recognition of deferred gain - National ( 10,000 ) - ( 10,000 ) - Gain on sale of assets ( 323 ) - ( 11,108 ) - Rent 8,661 9,502 40,205 40,310 Depreciation and amortization 5,532 3,700 17,008 14,172 Interest 321 219 1,172 980 Total costs and expenses 130,903 129,033 525,800 508,679 Income Before Income Taxes 22,955 12,537 72,234 54,279 Income Tax Provision ( 9,564 ) ( 851 ) ( 26,785 ) ( 17,539 ) Net Income 13,391 11,686 45,449 36,740 Dividends to Preferred Shareholders ( 1,831 ) - ( 1,831 ) - Net income available to common shareholders $ 11,560 $ 11,686 $ 43,618 $ 36,740 Earnings Per Share : Basic $ 0.91 $ 0.95 $ 3.47 $ 2.99 Diluted $ 0.89 $ 0.91 $ 3.36 $ 2.85 Weighted average common shares outstanding Basic 12,645,663 12,330,732 12,562,347 12,294,730 Diluted 13,006,119 12,808,156 12,993,930 12,886,171 Balance Sheet Data ( in thousands ) Dec. 31 Dec. 31 2007 2006 Cash and marketable securities $ 167,779 $ 219,246 Current assets 246,014 290,611 Total assets 698,408 471,477 Current liabilities 188,825 168,548 Long - term obligations 33,790 21,967 Deferred lease credit 4,847 6,058 Deferred revenue 15,238 25,762 Shareholders ' equity 455,708 249,142 Selected Operating Statistics Three Months Ended Twelve Months Ended December 31 December 31 2007 2006 2007 2006 Per Diems : Medicare $ 369.45 $ 353.28 $ 354.87 $ 330.74 Medicaid 147 . 88 139 . 38 143 . 15 136 . 56 Private Pay and Other 204 . 55 192 . 55 202 . 86 192 . 12 Patient Days : Medicare 95,590 94,809 392,190 371,415 Medicaid 278,278 285,973 1,109,442 1,147,582 Private Pay and Other 166,051 154,695 637,739 582,513 539,919 535,477 2,139,371 2,101,510 Average Per Diem $ 204.53 $ 192.61 $ 199.76 $ 186.28
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