This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

CardioNet, Inc. Reports First Quarter 2011 Financial Results

CardioNet, Inc. (NASDAQ:BEAT), a leading wireless medical technology company with a current focus on the diagnosis and monitoring of cardiac arrhythmias, today reported results for the first quarter ended March 31, 2011.

First Quarter 2011 Highlights

  • Achieved gross profit of 60% on revenues of $34 million
  • Generated positive EBITDA of $1.8 million in the first quarter 2011
  • Improved operating results with a loss of $0.06 per diluted share, a 74% improvement over the first quarter 2010. On an adjusted basis, the loss per diluted share was $0.02, an 85% improvement over the first quarter 2010
  • DSO remained stable at 77 days
  • Monitored over 425,000 patients since inception
  • Biotel integration progressing as planned
  • Secured 9 new payor contracts during the quarter, covering over one million lives
  • $43 million in cash and investments with no outstanding debt as of March 31, 2011

President and CEO Commentary

Joseph Capper, President and Chief Executive Officer of CardioNet, commented: “Our operating results for the first quarter 2011 continued to show improvement. We generated positive EBITDA and had a sequential increase in patient revenue based on strong demand for MCOT TM. Our results benefitted from the addition of Biotel, which accounted for approximately 10% of revenue in the quarter.

“Cash collections remained strong despite the increased patient financial responsibility that is typical in the first quarter, given the annual resetting of patient co-pays and deductibles. Our DSO has stabilized as a result of the new systems and processes that we implemented in 2010 and we anticipate further improvement in DSO by year-end.

“Our operating results in the first quarter demonstrate significant sequential and year-over-year improvement. We remain focused on achieving the Company’s goals for 2011, which include accelerating patient volume growth, delivering world-class customer service to our physicians and patients, expanding commercial reimbursement for the MCOT TM technology, launching our next generation MCOT TM system later this year and reducing our overall cost structure. Together, these initiatives will ultimately allow CardioNet to achieve profitability despite the challenging reimbursement environment. We will also continue to assess opportunities that will provide future growth. We have built a strong operational foundation and, with $43 million in cash and investments and no debt, we believe that we are well positioned to achieve these goals.”

First Quarter Financial Results

Revenue for the first quarter 2011 was $34.0 million, an increase of 6.9% compared to $31.8 million in the first quarter 2010. The increase in revenue was primarily due to the addition of Biotel Inc. For the three months ended March 31, 2011, payor revenue was comprised of 30% Medicare and 70% commercial, and patient volume was comprised of 49% Medicare and 51% commercial.

1 of 5

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,077.29 -36.25 -0.21%
S&P 500 1,987.73 +4.20 0.21%
NASDAQ 4,475.3720 +19.3560 0.43%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs