Press Ganey, the South Bend, Ind.-based patient-satisfaction measurement firm enjoyed revenue gains in the third quarter.
Revenue increased 12.6% for the third quarter. The company reported $7.4 million in net income on $80.7 million in revenue, compared with $4.8 million in income on $71.7 million in revenue during the prior year quarter.
Press Ganey, however, reported a loss of $40.4 million in net income on $233.1 million of revenue for the nine months ended Sept. 30, and $10.5 million in income on $205.5 million in revenue for the same time period last year. The reported loss for the first nine months of 2015 includes significant expenses Press Ganey incurred that were triggered by its initial public offering in May, the company said. The calculated adjusted net income is $33.7 million for the first nine months of 2015, compared to $26.5 million for the same period in the prior year, an uptick of 27%.
While revenue has steadily increased, so have total operating expenses, which rose 17.6% in the third quarter.
The company was active in mergers and acquisition during the third quarter, and announced in September that it had acquired Healthcare Performance Improvement, a patient safety and reliability consulting and coaching firm based in Virginia Beach, Va.
At close of business Wednesday, company stock traded at $32.59 and was down 2.3%.
The company was once again ranked No. 1 on Modern Healthcare's By the Numbers list of the largest patient-satisfaction measurement firms, with 146,241 clients in fiscal 2014.
