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US Oncology Reports Second Quarter Operating Results
Date:8/6/2009

adiation therapies that are reimbursed at higher rates and additional investments in diagnostic equipment.

Cancer center services revenue increased $4.8 million, or 5.2 percent, and EBITDA increased $3.3 million, or 10.5 percent, from the first quarter of 2009 which reflects increased daily radiation treatment and diagnostic scan volumes as well as improved reimbursement as discussed above.

Pharmaceutical Services

Pharmaceutical services revenue in the second quarter of 2009 was $624.2 million, a decrease of $13.1 million, or 2.1 percent, as compared to the second quarter of 2008. The revenue decrease is primarily due to a reduction in the number of physicians affiliated under OPS agreements from the prior year reflecting credit risk management in this offering, as well as lower ESA drug volumes. Pharmaceutical services EBITDA was $25.4 million for the second quarter of 2009, a decrease of $0.9 million from the second quarter of 2008 as the impact of lower revenue was partially offset by increased EBITDA from our specialty pharmacy and reimbursement support services.

Pharmaceutical services revenue in the second quarter of 2009 increased $46.6 million, or 8.1 percent, and EBITDA increased $3.0 million, or 13.4 percent, from the preceding quarter. These increases reflect higher pharmaceutical volumes associated with our network of affiliated physicians and an additional operating day.

Research and Other Services

Research and other services revenue in the second quarter of 2009 was $18.4 million, an increase of $3.8 million, or 26.0 percent, compared to the second quarter of 2008. The revenue increase is primarily due to an increase in the number of cycles completed through various research studies. In the second quarter of 2009, EBITDA from research and other services was $1.4 million, an increase of $2.1 million from the second quar
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SOURCE US Oncology, Inc.
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