Rotech Posts Big Earnings Increase for 2004

ORLANDO, Fla.–Just a few years after emerging from bankruptcy,
Rotech Healthcare reported a decrease in revenue but a sharp
increase in profits. Last week, the company reported net earnings
of $38.2 million for fiscal year 2004, more than triple the $8.4
million reported in 2003, though net revenue fell from $581.2
million in 2003 to $534.5 million in 2004. Respiratory therapy
equipment and services accounted for 86.6 percent of total revenue
for the fiscal year, while DME revenue made up 12.2 percent.

“They’re operating efficiently, and putting profit ahead of
actual revenue,” said industry analyst Michael Barish of Coral
Springs, Fla.-based AnCor Consulting. He added that these recent
results put the company “on par with Lincare as far as the
relationship between earnings and revenue.”

Rotech has approximately 500 branches serving customers in 48
states.

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available at www.homecaremonday.com.