Quorum Health Group reported that profits for its second quarter ended Dec. 31, 1993, rose 302% to $9.6 million, or 17 cents per share, compared with $2.4 million, or 6 cents per share, in the year-ago quarter. Second-quarter revenues for the Nashville, Tenn.-based hospital management chain rose 105% to $172 million. The quarterly figures include results from Quorum's purchase of 10 acute-care hospitals from Charter Medical Corp., Macon, Ga., in October. Quorum has sold two of those facilities. For the six-month period, net income increased 156% to $14 million, or 26 cents per share, compared with $5.5 million, or 14 cents per share, in the year-ago period. Revenues were up 59% to $262.6 million.
American Health Properties has paid $3.5 million to buy a 115,000-square-foot office building adjacent to its 135-bed Elmwood Medical Center in Jefferson, La. The office building will be leased to a subsidiary of Paracelsus Healthcare Corp. and used for medical offices. Denver-based AHP will pay for as much as $3 million in renovations. Pasadena, Calif.-based Paracelsus operates Elmwood Medical Center and 20 other hospitals.
Healthcare payments made with a Visa card grew 18% to $4 billion in 1993, according to year-end statistics from the San Francisco-based credit card company. Visa card payment volume grew by 17% in hospitals, 17% in physicians' offices and 25% in dental facilities. Acceptance of Visa cards increased 8% to more than 183,000 healthcare locations in 1993. "As out-of-pocket costs continue to rise, patients and medical providers are increasingly using payment cards instead of cash or checks to settle expenses such as deductibles and copayments," said Les Mann, Visa's vice president of healthcare marketing.
Nationwide Health Properties took a $2 million charge against earnings in the three months ended Dec. 31, 1993. The write-off represents unamortized deferred financing costs and fees related to the company's prepayment of secured debt. Fourth-quarter net income after the charge dropped 4.5% to $8.7 million, or 48 cents per share, from net income of $9.1 million, or 55 cents per share, in the year-ago period. Revenues rose 12% to $16 million. For the year, net income rose 31% to $39 million, or $2.22 per share, from $29.7 million, or $2 per share, in 1992. Funds from operations increased 11% in 1993, reflecting internal revenue growth and returns on new investments, said R. Bruce Andrews, president and chief executive officer of the Newport Beach, Calif.-based real estate investment trust.
Net income for Medaphis Corp. in the fourth quarter ended Dec. 31, 1993, rose 59% to $2.8 million, or 22 cents per share, from net income of $1.7 million, or 16 cents per share, in the year-ago quarter. Revenues soared 96% to $50.5 million. The good fourth quarter capped off a strong year for the Atlanta-based company. For the year, Medaphis saw net income rise 49% to $9.2 million, or 80 cents per share, compared with $6.1 million, or 60 cents per share, in fiscal 1992. Revenues jumped 75% to $169.5 million. Randolph G. Brown, Medaphis' chief executive officer, said strong internal growth and acquisitions contributed to revenue and earnings increases in 1993. Medaphis provides billing and accounts receivable services to hospitals and physicians.