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8-K - FORM 8-K - NATIONAL HEALTHCARE CORPform8kq12011earningsanddivid.htm
EX-99 - DIVIDEND ANNOUNCEMENT PRESS RELEASE - NATIONAL HEALTHCARE CORPex992preferredandcommondivid.htm

Exhibit 99.1

[ex991nhc2011firstquartere001.jpg]


For release: May 9, 2011

Contact: Gerald Coggin, Sr. VP of Corporate Relations

Phone: (615) 890-2020


NHC Reports First Quarter Earnings


MURFREESBORO, Tenn. -- National HealthCare Corporation (NYSE Amex: NHC;  NYSE Amex: NHC.PRA), a publicly traded long-term health care company, today announced net income available to common shareholders for the quarter ended March 31, 2011 of $16,556,000 compared to $8,239,000 for the quarter ended March 31, 2010, an increase of 101%.  Net income was $1.21 per common share basic for the quarter ended March 31, 2011 compared to $.60 per common share basic for the quarter ended March 31, 2010.

Revenues for the three months ended March 31, 2011 totaled $192,948,000 compared to $172,037,000 for the same three months of 2010.

Operating results for the first quarter of 2011 benefitted from improved Medicare per diems and patient mix.  Further, other operating expense for the current period includes favorable results within our accrued risk reserves of $10,500,000 (approximately $6,825,000 after income taxes).  Excluding this adjustment, the quarter ended March 31, 2011 would have reflected an increase of 18% in net income available to common shareholders compared to the same period in 2010.  



Forward-Looking Statements

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.


About NHC

NHC affiliates operate for themselves and third parties 76 long-term health care centers with 9,548 beds.  NHC affiliates also operate 36 homecare programs, six independent living centers and 16 assisted living communities.  NHC’s other services include Alzheimer’s units, long-term care pharmacies, hospice, a rehabilitation services company, and providing management and accounting services to third parties. Other information about the company can be found on our web site at www.nhccare.com.  



Page 2

NHC Reports First Quarter Earnings

Condensed Statements of Income

(in thousands, except share and per share amounts)

 

 

 

 

 

Three Months Ended

 

 

 

 

March 31

Revenues:

 

2011

 

2010

 

Net patient revenues

 $   177,553

 

 $     157,961

 

Other revenues

       15,395

 

         14,076

 

 

Net operating revenues

      192,948

 

       172,037

 

 

 

 

 

 

 

Costs and Expenses:

 

 

 

 

Salaries, wages and benefits

      108,762

 

         96,076

 

Other operating

       41,389

 

         49,003

 

Rent

 

         9,865

 

           8,178

 

Depreciation and amortization

         6,962

 

           6,427

 

Interest

 

              89

 

              114

 

 

Total costs and expenses

      167,067

 

       159,798

 

 

 

 

 

 

 

Income Before Non-Operating Income

       25,881

 

         12,239

Non-Operating Income

         4,561

 

           4,575

 

 

 

 

 

 

 

Income Before Income Taxes

       30,442

 

         16,814

Income Tax Provision

      (11,718)

 

          (6,407)

 

 

 

 

 

 

 

Net Income

 

       18,724

 

         10,407

 

 

 

 

 

 

 

Dividends to Preferred Stockholders

        (2,168)

 

          (2,168)

 

 

 

 

 

 

 

Net Income Available to Common Stockholders

 $     16,556

 

 $        8,239

 

 

 

 

 

 

 

Earnings Per Common Share:

 

 

 

 

Basic

 

 $        1.21

 

 $          0.60

 

Diluted

 

 $        1.15

 

 $          0.60

 

 

 

 

 

 

 

Weighted average common shares outstanding

 

 

 

 

Basic

 

 13,680,135

 

   13,721,570

 

Diluted

 

 16,327,236

 

   13,725,201

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance Sheet Data

 

 

 

 

 

 

(in thousands)

March 31

 

Dec. 31

 

 

 

 

2011

 

2010

 

 

 

Cash and marketable securities

 $   253,508

 

 $     236,463

 

 

 

Current assets

      332,419

 

       322,126

 

 

 

Total assets

      839,740

 

       829,015

 

 

 

Current liabilities

      208,301

 

       223,806

 

 

 

Long-term obligations

       28,896

 

         28,861

 

 

 

Deferred lease credits

            909

 

           1,212

 

 

 

Deferred revenue

       17,116

 

         13,990

 

 

 

Stockholders' equity

      584,518

 

       561,146

 

 

 

 

 

 

 




Page 3

NHC Reports First Quarter Earnings

 

Selected Operating Statistics

 

 

Three Months Ended

 

March 31

 

2011

 

2010

Per Diems:

 

 

 

Medicare

 $   449.36

 

 $   378.28

Medicaid

 $   158.75

 

 $   155.41

Private Pay and Other

 $   246.94

 

 $   233.05

 

 

 

 

Patient Days:

 

 

 

Medicare

    119,778

 

    110,314

Medicaid

    280,701

 

    270,810

Private Pay and Other

    173,360

 

    165,066

 

    573,839

 

    546,190

 

 

 

 

Average Per Diem

 $   246.05

 

 $   223.88