West Palm Beach, Fla.-based Rennova Health said it recorded net revenues of $0.9 million in the second quarter of 2017, down from $2.6 million for the same period a year prior.
The provider of healthcare diagnostics and supportive software solutions primarily attributed the decrease to a 78 percent drop in insured test volumes in its Clinical Laboratory Operations business segment.
Rennova Health said general and administrative expenses decreased 32 percent, from $5.4 million in the second quarter of 2016 to $3.7 million for the same period of this year. The provider primarily attributed the decrease to a $1.5 million decline in employee compensation and related costs "as the company significantly reduced its headcount throughout the latter half of 2016 and into 2017 in response to the decline in revenues, and a $0.2 million reduction in maintenance costs for laboratory equipment." The company also reported a 54 percent decline in sales and marketing expenses.
Overall, the company recorded operating expenses of $5.2 million in the three months ended June 30, 2017, compared to $6.8 million in the same period a year prior.
Rennova Health ended the second quarter of 2017 with a $10.3 million net loss from continuing operations, compared with a net loss from continuing operations of $5 million for the second quarter of last year.
The company said multiple factors played a role in the change, including "an increase of $2.8 million in non-cash interest charge, a $1.7 million decline in general and administrative expenses and a $1.7 million decrease in net revenues."
Rennova Health ended the first six months of 2017 with net revenues of $1.9 million, compared with $4 million for the same period of last year. For the first half of 2017, the company recorded a $19.7 million net loss from continuing operations, up from $8.1 million for the first half of 2016.
Rennova Health's latest financial results come as the company acquired and renamed the shuttered Scott County Hospital in Oneida, Tenn. The hospital, now named Big South Fork Medical Center, reopened earlier this month. The company has also announced a planned spin off of its Advanced Molecular Services Group.