Despite the slow start to the first quarter of a 2014, a number of ambulatory surgery center companies overcame severe weather and the onset of high patient deductibles to report increased revenue.
Here are the first quarter financial results from five key ASC companies: Foundation Healthcare, Northstar Healthcare Surgical Care Affiliates, Symbion and United Surgical Partners International.
Foundation Healthcare. Foundation Healthcare reported $22.1 million in first quarter net revenues, up 18 percent from $18.7 million in the first quarter of 2013. Patient services revenue also increased, up 23 percent to $19.5 million. The company reported adjusted EBITDA of $0.9 million, up from $0.2 million in the first quarter of 2013. The company had $4 million of cash on hand at the close of the fourth quarter.
Northstar Healthcare. Northstar Healthcare reported a 194.1 percent increase in net patient service revenue from $4.1 million to $12.1 million. The company reported a total of 1,499 cases performed in the first quarter, up 43.6 percent from the 1,044 cases performed in the first quarter of 2013. Cash flow provided by operating activities for the first quarter of 2014 was $2.3 million, up $2.2 million from the first quarter of 2013.
Surgical Care Affiliates. SCA's total net operating revenues, excluding facilities in which the company does not own a controlling interest, increased 2.1 percent from $192 million to $196 million. System-wide net operating revenues, including all facilities in which SCA has an ownership, increased 8.7 percent. The company's cash flow from operating activities increased 7.8 percent from the first quarter of 2013 to $44.4 million. Operating cash flow less distributions to non-controlling interests leaped 28.6 percent from $15.4 million in the first quarter of 2013 to $19.9 million.
Symbion. For the first quarter of 2014, the company reported $133.97 million in revenue compared to $130.38 million in the first quarter of 2013. Operating income rose 3.8 percent from $20.56 million to $21.34 million. Symbion facilities performed 51,970 cases during the first quarter of 2014, up from 51,906 in the same period in 2013. Revenue per case grew 4.3 percent from $2,602 to $2,713.
United Surgical Partners International. USPI reported $145.3 million in consolidated net revenues for the first quarter of 2014, up from $145.1 million in the first quarter of 2013. Cash flow from operating activities was $61 million this quarter, compared to $38.6 million in the prior year period. USPI also acquired two facilities in the first quarter of 2014 and closed an additional acquisition after the end of the quarter.
More Articles on Transactions and Valuation Issues:
Combing Forces: Are ASC Mergers the Answer to the Challenging Healthcare Environment?
9 Hospitals & Health Systems Planning, Opening ASCs
8 ASC Company Q1 Financial Results: Stormy, but Promising Start to 2014