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Mar 31, 2020

NHC Q1 2020 Earnings Report

NHC reported a net loss for Q1 2020, but adjusted net income remained relatively stable compared to Q1 2019.

Key Takeaways

National HealthCare Corporation reported a net operating revenue increase of 3.2% for the quarter ended March 31, 2020. However, the company experienced a GAAP net loss attributable to NHC, contrasting with a net income in the same quarter of the previous year. Adjusted net income, excluding unrealized gains and losses, showed a slight increase compared to the first quarter of 2019.

Net operating revenues increased by 3.2% compared to Q1 2019.

GAAP net loss attributable to NHC was $26,852,000, compared to a net income of $21,269,000 in Q1 2019.

Adjusted net income for Q1 2020 was $17,070,000, slightly up from $16,951,000 in Q1 2019.

GAAP diluted loss per share was $1.76, while adjusted diluted earnings per share was $1.11.

Total Revenue
$256M
Previous year: $248M
+3.2%
EPS
$1.11
Previous year: $1.11
+0.0%
Gross Profit
$109M
Previous year: $107M
+1.6%
Cash and Equivalents
$69.5M
Previous year: $38.2M
+81.9%
Free Cash Flow
$1.13M
Previous year: $5.73M
-80.3%
Total Assets
$1.26B
Previous year: $1.31B
-4.3%

NHC

NHC

Forward Guidance

Forward-looking statements involve risks and uncertainties detailed in NHC's filings with the S.E.C.

Challenges Ahead

  • Liabilities and other claims, including patient care liabilities.
  • Availability of insurance and assets for indemnification.
  • National and local economic conditions affecting labor, utilities, and materials costs.
  • Government regulations and changes in healthcare regulations.
  • Changes in Medicare and Medicaid payment levels and methodologies.