Lincare Holdings Inc. Announces Second Quarter And First Half 2010 Financial Results

CLEARWATER, Fla., July 19, 2010 (GLOBE NEWSWIRE) -- Lincare Holdings Inc. (Nasdaq:LNCR) today announced financial results for the three and six months ended June 30, 2010.

For the quarter ended June 30, 2010, net revenues were $418.4 million, a 10.0% increase over net revenues of $380.4 million for the second quarter of 2009. Net income for the quarter ended June 30, 2010, was $46.4 million, a 38.7% increase over net income of $33.5 million for the second quarter of 2009. Diluted earnings per share were $0.47 for the quarter ended June 30, 2010, a 43.5% increase over diluted earnings per share of $0.33 for the comparable prior year period.

Revenues for the six months ended June 30, 2010, were $828.4 million, a 10.2% increase over net revenues of $752.0 million for the comparable period in 2009. Net income for the six months ended June 30, 2010, was $90.1 million, a 51.5% increase over net income of $59.5 million for the first half of 2009. Diluted earnings per share were $0.92 for the six months ended June 30, 2010, a 62.4% increase over diluted earnings per share of $0.56 for the comparable period last year.

Lincare generated $142.0 million of cash from operating activities during the first six months of 2010 and invested $54.9 million in net capital expenditures and $11.3 million in business acquisitions. The Company repurchased 1.6 million shares of its common stock during the first half of the year for $50.0 million and common shares outstanding at June 30, 2010 were 98,088,291. As of June 30, 2010, total long term obligations, including current installments, were $495.7 million and cash and investments were $125.1 million.

John P. Byrnes, Lincare's Chief Executive Officer, said, "We are pleased with Lincare's operating and financial performance in the first half of 2010."

Mr. Byrnes added, "The Centers for Medicare and Medicaid Services (CMS) recently announced the results of a new Competitive Bidding Program for items of durable medical equipment (DME) and related services in nine metropolitan markets commencing in 2011. The program restricts access to DME items for Medicare beneficiaries to a limited number of providers that CMS selects based on the lowest bid prices submitted. CMS has announced average savings of approximately 32% off the current payment rates for those items in the nine markets."