EX-99
2
exibit991nhc2008firstquarter.htm
Converted by EDGARwiz
For release: May 1, 2008
Contact: Gerald Coggin, Sr. VP of Corporate Relations
Phone: (615) 890-2020
NHC Reports a 16.1% Increase in Net Income and Announces a 14.3% Increase in the Common Dividend
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 quarter ended March 31, 2008 of $8,172,000 compared to $7,040,000 for the quarter ended March 31, 2007.
The current period basic earnings per share were reduced by approximately 17 cents 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 March 31, 2008 totaled $160,141,000 compared to $146,504,000 for the same three months of 2007. Net income was $.47 per share basic for the quarter ended March 31, 2008 compared to $.56 per share basic for the quarter ended March 31, 2007.
Highlights of the quarter include the purchase for $6.4 million by NHC of the 109-bed skilled nursing facility Holston Health and Rehabilitation Center located in Knoxville, Tennessee and the selection of NHC by McKendree Village to manage its continuing care retirement community located in the Nashville, Tennessee suburb of Hermitage.
The Board of Directors has also declared a quarterly cash dividend of $.24 per common share to shareholders of record on June 30, 2008 and payable on September 2, 2008. This represents a 14.3% increase over last quarter's dividend.
NHC operates, through various subsidiaries, for itself and third parties, 75 long-term health care centers with 9,582 beds. NHC also operates, through subsidiaries, 32 homecare programs, seven independent living centers and 23 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.
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Page 2
NHC reports 16.1% Increase in Net Income
Condensed Statements of Income
(in thousands, except share and per share amounts)
Three Months Ended
March 31
Revenues:
2008
2007
Net patient revenues
$ 143,965
$ 133,480
Other revenues
16,176
13,024
Net revenues
160,141
146,504
Costs and Expenses:
Salaries, wages and benefits
87,541
79,174
Other operating
45,314
41,828
Rent
7,918
10,523
Depreciation and amortization
5,997
3,756
Interest
219
276
Total costs and expenses
146,989
135,557
Income Before Income Taxes
13,152
10,947
Income Tax Provision
(4,980)
(3,907)
Net Income
8,172
7,040
Dividends to Preferred Shareholders
(2,168)
-
Net income available to common shareholders
$ 6,004
$ 7,040
Earnings Per Share:
Basic
$ 0.47
$ 0.56
Diluted
$ 0.46
$ 0.54
Weighted average common shares outstanding
Basic
12,767,696
12,526,231
Diluted
13,118,218
12,992,219
Balance Sheet Data
(in thousands)
March 31
Dec. 31
2008
2007
Cash and marketable securities
$ 186,166
$ 167,779
Current assets
257,538
246,014
Total assets
707,065
698,408
Current liabilities
187,385
188,825
Long-term obligations
34,037
33,790
Deferred lease credit
4,544
4,847
Deferred revenue
17,982
15,238
Shareholders' equity
463,117
455,708
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Page 3
NHC Reports 16.1% Increase in Net Income
Selected Operating Statistics
Three Months Ended
March 31
2008
2007
Per Diems:
Medicare
$ 363.44
$ 352.12
Medicaid
146.54
139.96
Private Pay and Other
212.98
201.10
Patient Days:
Medicare
103,606
99,491
Medicaid
275,040
274,544
Private Pay and Other
164,321
150,420
542,967
524,455
Average Per Diem
$ 208.03
$ 197.74
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EX - 99 2 exibit991nhc2008firstquarter . htm Converted by EDGARwiz For release : May 1 , 2008 Contact : Gerald Coggin, Sr. VP of Corporate Relations Phone : ( 615 ) 890 - 2020 NHC Reports a 16 . 1 % Increase in Net Income and Announces a 14 . 3 % Increase in the Common Dividend 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 quarter ended March 31 , 2008 of $ 8,172,000 compared to $ 7,040,000 for the quarter ended March 31 , 2007 . The current period basic earnings per share were reduced by approximately 17 cents 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 March 31 , 2008 totaled $ 160,141,000 compared to $ 146,504,000 for the same three months of 2007 . Net income was $ .47 per share basic for the quarter ended March 31 , 2008 compared to $ .56 per share basic for the quarter ended March 31 , 2007 . Highlights of the quarter include the purchase for $ 6.4 million by NHC of the 109 - bed skilled nursing facility Holston Health and Rehabilitation Center located in Knoxville , Tennessee and the selection of NHC by McKendree Village to manage its continuing care retirement community located in the Nashville , Tennessee suburb of Hermitage . The Board of Directors has also declared a quarterly cash dividend of $ .24 per common share to shareholders of record on June 30 , 2008 and payable on September 2 , 2008 . This represents a 14 . 3 % increase over last quarter 's dividend . NHC operates , through various subsidiaries , for itself and third parties , 75 long - term health care centers with 9,582 beds . NHC also operates , through subsidiaries , 32 homecare programs , seven independent living centers and 23 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 - Page 2 NHC reports 16 . 1 % Increase in Net Income Condensed Statements of Income ( in thousands , except share and per share amounts ) Three Months Ended March 31 Revenues : 2008 2007 Net patient revenues $ 143,965 $ 133,480 Other revenues 16,176 13,024 Net revenues 160,141 146,504 Costs and Expenses : Salaries , wages and benefits 87,541 79,174 Other operating 45,314 41,828 Rent 7,918 10,523 Depreciation and amortization 5,997 3,756 Interest 219 276 Total costs and expenses 146,989 135,557 Income Before Income Taxes 13,152 10,947 Income Tax Provision ( 4,980 ) ( 3,907 ) Net Income 8,172 7,040 Dividends to Preferred Shareholders ( 2,168 ) - Net income available to common shareholders $ 6,004 $ 7,040 Earnings Per Share : Basic $ 0.47 $ 0.56 Diluted $ 0.46 $ 0.54 Weighted average common shares outstanding Basic 12,767,696 12,526,231 Diluted 13,118,218 12,992,219 Balance Sheet Data ( in thousands ) March 31 Dec. 31 2008 2007 Cash and marketable securities $ 186,166 $ 167,779 Current assets 257,538 246,014 Total assets 707,065 698,408 Current liabilities 187,385 188,825 Long - term obligations 34,037 33,790 Deferred lease credit 4,544 4,847 Deferred revenue 17,982 15,238 Shareholders ' equity 463,117 455,708 - more - Page 3 NHC Reports 16 . 1 % Increase in Net Income Selected Operating Statistics Three Months Ended March 31 2008 2007 Per Diems : Medicare $ 363.44 $ 352.12 Medicaid 146 . 54 139 . 96 Private Pay and Other 212 . 98 201 . 10 Patient Days : Medicare 103,606 99,491 Medicaid 275,040 274,544 Private Pay and Other 164,321 150,420 542,967 524,455 Average Per Diem $ 208.03 $ 197.74 - 30 -