Apria, Lincare Report Q3 Earnings

LAKE FOREST, Calif., and CLEARWATER, Fla.–Apria Healthcare
Group, Lake Forest, Calif., said last week that its third-quarter
earnings were flat, while revenues rose slightly.

Net income for the quarter, ended Sept. 30, totaled $19.3
million, the same as last year. Net revenue increased 4 percent to
$382.2 million, from $367.6 million last year. When adjusted by
Medicare reimbursement reductions of $1.8 million, the growth was
4.5 percent, the company said.

One of the largest providers in the nation, Apria operates
approximately 500 branches in 50 states.

Clearwater, Fla.-based Lincare Holdings, which serves 648,000
customers in 47 states, reported a 4.3 percent increase in
third-quarter earnings.

The provider earned $56.2 million for the quarter, up from $53.9
million a year ago. Revenue grew 12 percent to $358 million from
$320.1 million, reflecting the acquisition of two businesses in
Indiana and Wyoming with annual revenue of about $5 million. During
the period, the company also opened 13 centers–12 new and one an
acquisition.

The provider said the increase in revenues was spurred by
internal growth of 13 percent, offset by a 3 percent Medicare
pricing reduction and a 2 percent contribution from
acquisitions.

Lincare said cash flow in the quarter was down by $19.8 million
because of a federally mandated hold on all payments to Medicare
providers from September 22 through September 30. The payments were
released in the first week of October.