After seeing latest 10-Q:
For history on company, the Apr. 15 KSB in informative, starting with the shell company purchasing Newcare in 1994.
For Brogodon's involvement, Apr. 15 8K is instructive. Most of his shares were purchased at 1.20 to 1.50.
Darrell Tucker has at least 20,000, as well.
Book value by my calculation conforms to WSRN.COM site number of almost .32 a share. The interest coverage ratio is of course negative due to loss this quarter.
Current ratio improved to .74 vs. .39 due to a restructuring in June of over 30,000,000 in debt to pay off over 20,000,000. This works to the company's advantage in the short term.
Of great concern to me is increase in patient care expense to 90% of revenue from 70% last year. Management blames the decline in average facility occupancy rate. Their new purchases, Wakulla and Whigham, look good. Oak Manor, Central Tampa NH, and Victoria Martin, all in FLA, are lowest %.Possible writeoffs here.Accrued employee xpenses and new staff added to expense.
2 of the new hospitals run by contract- option to buy, one bought.
Long term plan is understandable- create continuum of care. The poor performance in terms of occupancy rate needs to be addressed. I will be calling company on Mon. now that I know questions to ask. I'll let you know... |
