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
TheStreet Open House

CardioNet, Inc. Reports Fourth Quarter And Full Year 2012 Financial Results

CardioNet, Inc. (NASDAQ:BEAT), the leading wireless medical technology and research services company with a current focus on the diagnosis and monitoring of cardiac arrhythmias, today reported results for the fourth quarter and full year ended December 31, 2012.

2012 Highlights

  • Generated positive adjusted EBITDA for the fourth quarter and full year 2012
  • Experienced increased patient volume year over year
  • Completed acquisition of Cardiocore Lab, Inc., a leading research services business
  • Completed acquisition of ECG Scanning and Medical Services, Inc., a cardiac monitoring company
  • Introduced CardioNet’s new wireless event device, wEvent TM
  • Reduced DSO to 56 days, a 19 day improvement compared to year end 2011
  • $18.3 million in cash and no debt as of December 31, 2012

President and CEO Commentary

Joseph Capper, President and Chief Executive Officer of CardioNet, commented: “2012 was a pivotal year for CardioNet, capped by a solid fourth quarter performance with positive adjusted EBITDA and revenue growth. The Company had several significant achievements this year, including the successful completion of two acquisitions, which provided scale and diversification. Our research services business, bolstered by the acquisition of Cardiocore in August, contributed strong results for the quarter, as evidenced by a shift in our revenue to 17% from research as compared to 1% in the fourth quarter 2011. As we have previously stated, we view the clinical research market as a significant avenue for growth.

“In our patient services segment, volume increased year over year, aided by the acquisition of ECG Scanning early in the year. During the fourth quarter, we launched the wEvent TM, our wireless event monitor, as part of our “CardioNet Comprehensive” initiative, demonstrating our focus on offering the most extensive suite of cardiac outpatient monitoring solutions in the industry. We have also aligned the sales force compensation structure to facilitate this initiative. We have seen a positive market response as we continue to grow our prescribing physician base. We believe this strategy will allow us to increase our market share and grow revenue.

“As we continue our efforts to grow the business, we have not lost focus on gaining efficiencies, improving operations or containing costs, as evidenced by the reduction in the core business’ cost structure. Over the past three years, we have removed more than $30 million of expense, resulting in a more efficient and focused organization. As part of our operational improvements, we now offer MCOT TM patient monitoring through centers on both coasts, providing better service to our patients.

“Despite the investments and the acquisitions made this year, the Company continues to maintain a strong balance sheet with over $18 million in cash and no debt. Excluding acquisitions, the Company was cash flow neutral for the year, despite capital expenditures and the shareholder and patent litigation settlements. This enabled us to reduce our DSO to 56 days, a significant reduction compared to the prior year and on par with other health care providers. With our strong balance sheet, more efficient operations and diversified business model, we are building an organization that is poised for growth.”

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 17,156.85 +24.88 0.15%
S&P 500 2,001.57 +2.59 0.13%
NASDAQ 4,562.1890 +9.43 0.21%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

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