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reported on April 27, 2009 that its Q1 FY09 net profit advanced 10.7% on higher revenue. Net income attributable to shareholders increased to $96.21 million, or $0.92 per share, from $86.93 million, or $0.80 per share, in Q1 FY08. The quarterly earnings beat the most recent consensus estimate of $0.91 per share.
Operating revenue grew 7.7% to $1.45 billion from $1.34 billion a year ago, driven by an increase in daily treatments. Dialysis and related lab services revenue improved 6.2% to $1.38 billion from $1.30 billion. Total treatments increased to 4,082,439 from 3,934,777 and treatments per day increased 5.0% to 53,365 from 50,837. Dialysis revenue per treatment, including the lab increased to $336.73 from $328.95 a year ago. In addition, patient care cost as a percentage of segment revenue rose to 68.8% from 68.7% a year earlier. Patient care costs advanced 8.1% to $1.01 billion, while general and administrative costs spiked 5.4% to $127.27 million from $120.77 million. As a result, operating income grew 7.2% to $220.60 million from $205.78 million a year ago.
DaVita repurchased a total of 744,400 of common stock for $32.00 million at an average price of $43.01 per share. The company released the findings of its IMPACT (Incident Management of Patients, Actions Centered on Treatment) pilot program, which can significantly reduce mortality rates for new dialysis patients. DVA acquired 7 centers, opened 18 new centers, merged one center, and closed one center.
Looking ahead to FY09, DaVita reiterated its operating income guidance in the range of $820.00 to $880.00 million. In addition, the company predicts operating cash flow to be in the range of $550.00 to $600.00 million.