As expected, Community Psychiatric Centers, Las Vegas, reported a $32.4 million loss for its fourth quarter ended Nov. 30, 1995.
The chain, which operates psychiatric and intensive-care hospitals, took a onetime charge of $46 million to comply with accounting standards that require it to write down the asset value of certain hospitals and goodwill. In addition, the company took a $4.6 million restructuring charge for layoffs in its U.S. psychiatric operations.
Last December, the company decided to spin off its 29 U.S. psychiatric hospitals into a separate company. CPC would continue to own the profitable operations of 15 United Kingdom psychiatric hospitals and 13 intensive-care hospitals in the United States.
Poor performance by its U.S. psychiatric hospitals contributed to a net loss on operations of $600,000, or 1 cent per share, in the fourth quarter. In the year-ago quarter, CPC reported net income of $5.5 million, or 13 cents per share. Fourth-quarter revenues increased 23% to $123.6 million.
For the year, CPC reported a loss of $41.6 million, or 95 cents per share, compared with net income of $10.2 million, or 24 cents per share, in fiscal 1994. Revenues grew 19% to $509.2 million.