Company Reports EPS of $0.26 on $23.9 Million Revenue;
Company Remains on Target to Achieve 15% Growth in Net Income for 2001
DENVER, Nov. 6 /PRNewswire/ -- Air Methods Corporation (Nasdaq: AIRM) reported revenue and net income for the third quarter and nine months ended September 30, 2001. Both revenue and net income represent all-time highs for a quarter and nine-month period.
For the quarter, revenue increased nine percent to $23.9 million compared to $21.9 million in the prior-year period, while net income increased 20% to $2.2 million or $0.26 per basic and diluted share compared to $1.9 million or $0.22 per basic and diluted share in the prior-year quarter. The prior-year quarter included a gain from disposition of assets in the amount of $342,000 or $.04 per share.
For the nine months, revenue increased 21% to $67.5 million compared to $56.0 million for the prior year period, and net income increased slightly to $4.4 million or $0.53 per basic share and $0.52 per diluted share compared to $4.3 million or $0.52 per basic share and $0.50 per diluted share in the year-ago period. Net income and earnings per share already exceed actual results for the entire year in 2000.
During the quarter, the Company experienced a September budget shortfall in flight revenue, net of bad debt, in excess of $450,000. The shortfall was largely attributed to the events of September 11th. Flight volumes appeared to have returned to normal levels for the month of October.
George Belsey, Chairman and CEO, said, "We are extremely pleased with these quarterly results, especially given our temporary September shortfall in flight volume. Even with the impact from lower flight volume, the Company remains on target to achieve its 2001 objective to grow organic earnings by fifteen percent."
Third Quarter Highlights:
-- Mercy Air: Mercy Air's consolidated revenue increased 11% to
12.3 million from $11.1 million, and segment net income increased 50%
to $1.8 million. Increase in earnings outpaced increase in revenue
due to lower maintenance expenses for Mercy Air's consolidated fleet.
Maintenance expense, as a percentage of revenue, decreased from 14.9%
to 12.1%, representing a $344,000 reduction.
-- Air Medical Services: Air Medical Services' revenue increased by over
12% to $10.1 million, while segment net income decreased by 10% to
839,000. The decrease in net income was attributed to a
330,000 gain on disposition of an aircraft reflected in the
prior-year quarterly results. Absent this gain, segment net income
would have increased 40% compared to the year-ago quarter.
-- Products Division: The Products Division reported revenue of
2.3 million and divisional net income of $445,000 for the quarter
compared to $2.3 million and $472,000, respectively, for the
prior-year period. Although the quarterly performance is comparable
to the prior-year period, the Division has achieved a 13% increase in
revenue and an 8% increase in divisional net income for the nine-month
period, compared with the prior year. |
