Ramsay Health Care reported net income of $638,000, or 7 cents per share, for its third quarter ended March 31, compared with a net loss of $4.2 million, or 55 cents per share, in the year-ago quarter. Revenues rose 9% to $31.9 million. For the nine months, the 17-hospital chain reported net income of $1.1 million, or 12 cents per share, compared with a net loss of $3.3 million, or 46 cents per share, in the year-ago period. Revenues dropped less than 1% to $92.8 million. Reynold Jennings, president and chief executive officer, said the New Orleans-based company's residential treatment business was increasing and that Ramsay has been reducing its reliance on inpatient psychiatric revenues.
MedCath, a Charlotte, N.C.-based provider of cardiac services, reported a 6% increase in net income for its second quarter ended March 31 to $1.3 million, or 14 cents per share, compared with net income of $1.2 million, or 14 cents per share, in the year-ago quarter. Revenues grew 70% to $17.3 million. For the six months, the company reported a 38% increase in net income to $2.5 million, or 28 cents per share, compared with $1.8 million, or 23 cents per share, in the year-ago period. Revenues rose 42% to $28.5 million. The company operates one heart hospital in McAllen, Texas, and has plans to open others in Little Rock, Ark.; Tucson, Ariz.; and Austin, Texas.
Mecon, a San Ramon, Calif.-based provider of healthcare data, information products and decision-support software, reported a net loss of $1 million, or 22 cents per share, for its fiscal year ended March 31, compared with a loss of $1.5 million, or 35 cents per share, in the previous year. The results include the effects of nonrecurring merger costs of $908,000 associated with the acquisition of Managed Care Information Systems, Calabasas, Calif., in the fourth quarter. Excluding those effects, the company posted a net loss of $101,000, or 2 cents per share. Revenues increased 35% to $12 million in the latest year. In the fourth quarter, Mecon posted a net loss of $222,000, or 4 cents per share, compared with a loss of $727,000, or 16 cents per share, in the year-ago quarter. Revenues rose 40% to $3.4 million. Excluding nonrecurring merger costs, the company recorded net income of $410,000, or 7 cents per share. Mecon went public last December.
Physicians Resource Group, Dallas, completed a secondary stock offering of
5 million shares, and underwriters exercised an overallotment option for an additional 750,000 shares at $28.50 per share a week later. Of the total, 1.5 million shares were sold by existing shareholders. Proceeds of about $121 million will be used to repay debt, finance expansion and for general corporate purposes. The physician practice management company specializes in ophthalmic and optometric practices.