Company Delivers 91% Increase in Earnings for First Half of 2008 Over 2007
WEST PALM BEACH, Fla., Aug. 5 /PRNewswire-FirstCall/ -- Metropolitan Health Networks, Inc. (Amex: MDF), a leading provider of healthcare services in Florida, today announced financial results for the six months and quarter ended June 30, 2008.
On July 28, 2008 the company reported that in the three months ended June 30, 2008, the company's Medicare Advantage HMO and its PSN realized retroactive mid-year Medicare Risk Adjustment ("MRA") premium increases totaling $6.6 million resulting from improved risk scores. Approximately half of this increase applied to premiums earned in the first half of 2008. As a result, the retroactive premium payments for the first quarter of 2008 were higher than the company's estimate of $500,000 at March 31, 2008, and had a significant impact in the second quarter of 2008 on both revenue and the medical expense ratio ("MER"). On a segment basis, the retroactive mid-year premium increases were $5.8 million and $848,000 for the PSN and HMO, respectively.
Six Months Year to Date Financial Highlights:
For the six months ended June 30, 2008, the company's revenue totaled $158.2 million compared to $138 million in the prior year period, an increase of 14.6%. Net income was $3.4 million compared to $1.8 million for the same period of 2007, an increase of 91%. Fully diluted earnings per share were $0.06 and $0.03 for the six months ended June 30, 2008 and 2007, respectively.
Year to date results for the company's core PSN business includes a
segment gain of $13.6 million before allocated overhead and income taxes.
This compares to a $13.1 million segment gain before allocated overhead and
income taxes in the prio
|SOURCE Metropolitan Health Networks, Inc.|
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