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HealthFitness Announces 2008 Third Quarter Results
Date:11/3/2008

rcent compared to the same period in 2007. Within the segment, staffing services revenue increased 13.3 percent, which is attributable to new customers and the expansion of services to existing customers. Program services revenue grew 44.2 percent compared to the 2007 third quarter. This gain was primarily driven by new and existing customers in the areas of eHealth platform participation, biometric screenings and health coaching and advising services.

Gross margin for the health management segment was 41.8 percent for the quarter, up from 37.0 percent for the prior-year period. Within the segment, gross margin for program services increased to 59.1 percent, from 54.8 percent for the prior-year period, driven by revenue growth and productivity enhancements related to biometric screenings and health coaching and advising services. Gross margin for staffing services expanded to 28.1 percent for the quarter from 25.8 percent for the prior-year period, reflecting lower costs for employee paid time off and expense savings for marketing initiatives, operating supplies and staff training.

Fitness Management

(in thousands)

REVENUE Q3 2008 Q3 2007

Staffing Services $9,702 $10,042

Program Services 619 580

Total Fitness Mgt $10,321 $10,622

GROSS PROFIT Q3 2008 Q3 2007

Staffing Services $2,356 $2,177

Program Services 209 294

Total Fitness Mgt $2,565 $2,471

During the 2008 third quarter, fitness management segment revenue decreased 2.8 percent compared to the same period last year, which primarily reflects
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SOURCE Health Fitness Corporation
Copyright©2008 PR Newswire.
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