Feb 15 2013
National Mentor Holdings, Inc. (the "Company") today announced its financial results for the first quarter ended December 31, 2012.
First Quarter Results
Revenue for the quarter ended December 31, 2012 was $294.9 million, an increase of $20.4 million, or 7.5%, over revenue for the quarter ended December 31, 2011. Revenue increased $11.5 million from organic growth, including growth related to new programs, and $8.9 million from acquisitions that closed during and after the three months ended December 31, 2011.
Income from operations for the quarter ended December 31, 2012 was $7.7 million, a decrease of $4.8 million, as compared to income from operations for the quarter ended December 31, 2011. The operating margin was 2.6% for the quarter ended December 31, 2012, a decrease from an operating margin of 4.6% for the quarter ended December 31, 2011, for the reasons discussed below with respect to net loss and adjusted EBITDA.
Net loss for the quarter ended December 31, 2012 was $8.4 million compared to net loss of $5.1 million for the quarter ended December 31, 2011, despite the increase in revenue noted above. The increase in net loss is due to the reasons discussed below with respect to adjusted EBITDA, as well as an adjustment to our tail reserve for professional and general liability claims which is required by accounting standards for companies that have claims-made insurance.
Adjusted EBITDA for the quarter ended December 31, 2012 was $26.6 million, a decrease of $1.2 million, or 4.2%, as compared to adjusted EBITDA for the quarter ended December 31, 2011. Adjusted EBITDA was negatively impacted by an increase in direct labor costs as the Company added staff to support new programs started within the last 18 months, an increase in reserves for health claims, and an increase in occupancy expense due to the new program starts.
Source:
National Mentor Holdings, Inc.