Kindred Healthcare, Louisville, Ky., earned $70.6 million, or $1.97 per share, in 2004, a turnaround from its loss of $75 million, or $2.16 per share, in 2003. Following through on plans to expand pharmacy operations, Kindred announced its second agreement within the past two months to acquire a long-term-care pharmacy -- two pharmacies in Southern California, with annual revenue of $50 million. Terms of the acquisition from Skilled Healthcare Group, Foothill Ranch, Calif., weren't disclosed. About 10% of Kindred's 2004 revenue of $3.53 billion came from its pharmaceutical division. Kindred blamed its 2003 loss on the discontinuing and divesting operations in states with high liability costs. The company had revenue of $3.23 billion that year. Kindred has about 75 long-term acute-care hospitals, 249 nursing homes and 31 pharmacies.
Meanwhile, Renal Care Group, Nashville, said its earnings grew 19% to $121.8 million, or $1.74 per share, on revenue of $1.35 billion in 2004. The company said investments in its dialysis programs bolstered its performance. It earned $102.1 million, or $1.37 per share, on revenue of $1 billion in 2003. Renal Care serves dialysis patients at about 420 facilities. -- by Joseph Mantone