LHC Group Profit Surges On Home Care Purchases

LAFAYETTE, La. (AP) — Home nursing provider LHC Group Inc. said Tuesday its profit jumped nearly fourfold in the last quarter of 2008, as recent acquisitions boosted its home-based care revenue.

LHC said net income available to common shareholders rose to $10.5 million, or 58 cents per share, from $2.7 million, or 15 cents per share, a year earlier. Revenue increased 37 percent to $111.5 million from $81.2 million. Most of the gains came from greater home-based revenue.

Excluding a loss from discontinued operations, the company reported a profit of 60 cents per share.

Analysts expected a profit of 45 cents per share and $102.1 million in revenue, according to Thomson Reuters. LHC also raised its expectations for 2009, and in aftermarket trading its shares surged $1.98, or 10.9 percent, to $20.20. In the regular session, LHC shares advanced $1.22, or 7.2 percent, from a close of $18.22.

LHC had 206 home health locations and 19 hospice locations at the end of 2008, compared with 144 and 9, respectively, at the end of 2007. Its home-based revenue jumped to $96.7 million from $67.8 million in the fourth quarter.

In 2008, LHC's profit available to common shareholders climbed 53 percent to $30.2 million from $19.8 million.