Mariner Health Care, Atlanta, cited increased taxes, merger-related charges and discontinued operations for its net loss of $5.7 million, or 29 cents per share, in the third quarter ended Sept. 30. Revenue fell 6.1% to $413.1 million. The company earned net income of $6.1 million, or 30 cents per share, in the year-ago quarter, including a $7.2 million gain on the sale of discontinued operations. Mariner, which operates 252 skilled-nursing centers and 12 long-term acute-care hospitals, expects to close its merger with National Senior Care in December.
WebMD, Elmwood Park, N.J., warned that it expects fourth-quarter after-tax earnings of 6 cents per share, below analysts' average forecast of 13 cents per share, and said it would register for an initial public offering early next year to spin off about 10% of its interest in WebMD Health. The unit, which includes WebMD's public and private Internet portals, recorded pre-tax income of $10 million in the third quarter ended Sept. 30, up from $8.7 million in the year-ago quarter, and an 18.8% increase in revenue to $37 million. WebMD as a whole earned $8.2 million, or 2 cents per share, on revenue of $299.6 million in the third quarter. -- by Joseph Mantone and Crain's New York Business