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8-K - NATIONAL HEALTHCARE CORPform8k2014earnings.htm

Exhibit 99.1

[exhibit9912014earningsrel001.jpg]


For release:  February 20, 2015

Contact: Gerald Coggin, Sr. VP of Corporate Relations

Phone: (615) 890-2020


NHC Reports Year End Earnings


MURFREESBORO, Tenn. -- National HealthCare Corporation (NYSE MKT:  NHC, NHC.PRA), the nation's oldest publicly traded long-term health care company, today announced net operating revenues for the year ended December 31, 2014 totaled $871,683,000 compared to $788,957,000 for the year ended December 31, 2013, an increase of 10.5%. For the year ended December 31, 2014, net income available to common shareholders was $44,699,000, or $3.24 per share basic, compared to $55,942,000, or $4.05 per share basic, for the 2013 year.  The newly constructed or leased skilled nursing facilities placed in service during the 2014 year and a decrease in non-operating income negatively impacted the 2014 financial results compared to the 2013 year.  

Net operating revenues for the three months ended December 31, 2014 totaled $226,374,000 compared to $206,796,000 for the same three months in 2013, an increase of 9.5%.  Fourth quarter of 2014 net income available to common shareholders was $12,632,000, or $0.92 per basic share, compared to $14,421,000, or $1.04 per basic share, in the fourth quarter of 2013.  Excluding the operating losses from the newly constructed or leased skilled nursing facilities and the decrease in non-operating income, income before income taxes for the quarter ended December 31, 2014 would have increased $982,000 compared to the prior year period, which is a 3.8% increase.  


Forward-Looking Statements

Statements in this press release that are not historical facts are forward-looking statements. NHC cautions investors that any forward-looking statements made involve risks and uncertainties and are not guarantees of future performance. The risks and uncertainties are detailed from time to time in reports filed by NHC with the S.E.C., including Forms 8-K, 10-Q and 10-K, and include, among others, the following:  liabilities and other claims asserted against us and patient care liabilities, as well as the resolution of current litigation; availability of insurance and assets for indemnification; national and local economic conditions; including their effect on the availability and cost of labor, utilities and materials; the effect of government regulations and changes in regulations governing the healthcare industry, including our compliance with such regulations; changes in Medicare and Medicaid payment levels and methodologies and the application of such methodologies by the government and its fiscal intermediaries; and other factors referenced or incorporated by reference in the S.E.C. filings.  The risks included here are not exhaustive.  All forward-looking statements represent NHCs best judgment as of the date of this release.


About NHC

NHC affiliates operate for themselves and third parties 74 long-term health care centers with 9,462 beds.  NHC affiliates also operate 36 homecare programs, five independent living centers and 18 assisted living communities.  NHCs other services include Alzheimers units, long-term care pharmacies, hospice, a rehabilitation services company, and providing management and accounting services to third parties. Other information about the company can be found on our web site at www.nhccare.com.  



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Consolidated Statements of Income






(in thousands, except share and per share amounts)
















Three Months Ended


Twelve Months Ended





December 31


December 31





2014

2013


2014

2013

Revenues:


(unaudited)




Net patient revenues

 $   216,114

 $     196,040


 $   829,287

 $   735,837


Other revenues

       10,260

         10,756


       42,396

       53,120



Net operating revenues

      226,374

       206,796


      871,683

      788,957










Costs and Expenses:







Salaries, wages and benefits

      135,972

       123,400


      510,249

      453,560


Other operating

       50,340

         46,098


      217,143

      194,989


Facility rent


       10,019

           9,822


       39,731

       39,449


Depreciation and amortization

         9,240

           7,574


       34,384

       28,547


Interest


            599

               83


         2,165

            331



Total costs and expenses

      206,170

       186,977


      803,672

      716,876










Income Before Non-Operating Income

       20,204

         19,819


       68,011

       72,081

Non-Operating Income

         4,392

           5,674


       17,182

       30,095










Income Before Income Taxes

       24,596

         25,493


       85,193

      102,176

Income Tax Provision

       (9,796)

          (8,904)


     (31,824)

      (37,563)










Net Income


       14,800

         16,589


       53,369

       64,613










Dividends to Preferred Stockholders

       (2,168)

          (2,168)


       (8,670)

       (8,671)










Net Income Available to Common Stockholders

 $     12,632

 $      14,421


 $     44,699

 $     55,942










Earnings Per Common Share







Basic


 $        0.92

 $          1.04


 $        3.24

 $        4.05


Diluted


 $        0.88

 $          0.99


 $        3.14

 $        3.87










Weighted average common shares outstanding







Basic


 13,748,448

   13,820,554


 13,816,095

 13,829,626


Diluted


 16,821,917

   16,690,915


 14,222,133

 16,698,803










Dividends declared per common share

















Balance Sheet Data








(in thousands)

Dec. 31

Dec. 31








2014

2013






Cash and marketable securities

 $   202,302

 $     186,714






Restricted cash and marketable securities

      168,924

       155,932






Current assets

      322,525

       299,666






Property and equipment, net

      514,744

       456,798






Total assets

   1,074,123

       984,358






Current liabilities

      183,032

       167,760






Long-term debt

       10,000

         10,000






Stockholders' equity

      734,148

       688,112













-more-

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Selected Operating Statistics





(unaudited)







Three Months Ended


Year Ended


December 31


December 31


2014

2013


2014

2013

Per Diems:






Medicare

 $      440.62

 $   435.34


 $   435.77

 $   429.32

Managed Care

 $      398.04

 $   406.30


 $   398.46

 $   406.18

Medicaid

 $      170.80

 $   167.81


 $   169.14

 $   165.26

Private Pay and Other

 $      212.33

 $   210.84


 $   211.71

 $   204.52







Patient Days:






Medicare

       124,795

    119,150


    496,296

    479,716

Managed Care

        50,568

      40,413


    191,126

    148,600

Medicaid

       317,649

    304,460


 1,249,603

 1,094,942

Private Pay and Other

       179,864

    160,514


    701,258

    606,280


       672,876

    624,537


 2,638,283

 2,329,538







Average Per Diem

 $      249.02

 $   245.37


 $   247.23

 $   245.22