0-20260
|
6-1150326
|
(Commission file Numbers)
|
(IRS Employer Identification No.)
|
Two Manhattanville Road, Purchase, NY
|
10577
|
(Address of principal executive offices)
|
(Zip Code)
|
□
|
Pre-commencement communication pursuant to Rule 14d-2(b) under the Exchange Act
|
|
(17 CFR 240.14d-2(b)
|
□
|
Pre-commencement communication pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
|
(c)
|
Exhibits
|
Exhibit No.
|
Description of Exhibit
|
|
99.1
|
Registrant’s Press Release dated February 16, 2012
|
IntegraMed America, Inc.
(Registrant)
|
||
Date: February 16, 2012
|
By:
|
/s/Timothy P. Sheehan |
Timothy P. Sheehan
Sr. Vice President and
Chief Financial Officer
|
Conference Call:
|
Today, Thursday, February 16, 2012 at 10:00 a.m. EST
|
|
Dial-in Numbers:
|
866-395-2657 or 706-902-0717 (International)
|
|
Webcast / Replay URL:
|
www.integramed.com or www.earnings.com
|
|
Phone Replay:
|
855-859-2056 or 404-537-3406 through February 23, 2012
|
|
Conference ID #:
|
45090476
|
Summary Financial Results
(in thousands, except per share data)
(Unaudited)
|
||||||||||||||||||||||||
Three Months Ended
|
Year Ended
|
|||||||||||||||||||||||
Dec. 31,
2011
|
Dec. 31, 2010
|
%
Change
|
Dec. 31,
2011
|
Dec. 31, 2010
|
%
Change
|
|||||||||||||||||||
Revenues:
Attain Fertility Centers1
|
$ | 50,896 | $ | 46,920 | 8.5 | % | $ | 199,963 | $ | 182,443 | 9.6 | % | ||||||||||||
Vein Clinics
|
19,979 | 16,900 | 18.2 | % | 73,619 | 60,726 | 21.2 | % | ||||||||||||||||
Total Revenues
|
$ | 70,875 | $ | 63,820 | 11.1 | % | $ | 273,582 | $ | 243,169 | 12.5 | % | ||||||||||||
Operating Income:
Attain Fertility Centers
|
4,685 | 4,255 | 10.1 | % | 17,947 | 17,725 | 1.3 | % | ||||||||||||||||
Vein Clinics
|
1,160 | 556 | 108.6 | % | 3,144 | 3,491 | (9.9 | %) | ||||||||||||||||
Total Operating Income
|
$ | 5,845 | $ | 4,811 | 21.5 | % | $ | 21,091 | $ | 21,216 | (0.6 | %) | ||||||||||||
G&A Costs
|
$ | 2,794 | $ | 3,265 | (14.4 | %) | $ | 11,551 | $ | 12,668 | (8.8 | %) | ||||||||||||
Legal Settlement 1
|
- | - |
na
|
$ | 1,650 | - |
na
|
|||||||||||||||||
Net Interest Expense
|
77 | 113 | (31.9 | %) | 335 | 695 | (51.8 | %) | ||||||||||||||||
Income Before Income Taxes
|
2,974 | 1,433 | 107.5 | % | 7,555 | 7,853 | (3.8 | %) | ||||||||||||||||
Income Taxes
|
1,122 | 543 | 106.6 | % | 2,955 | 3,128 | (5.5 | %) | ||||||||||||||||
Net Income
|
$ | 1,852 | $ | 890 | 108.1 | % | $ | 4,600 | $ | 4,725 | (2.7 | %) | ||||||||||||
Diluted EPS
|
$ | 0.16 | $ | 0.08 | 100.0 | % | $ | 0.39 | $ | 0.41 | (4.9 | %) | ||||||||||||
Diluted Shares
|
11,871 | 11,774 | 0.8 | % | 11,869 | 11,429 | 3.9 | % | ||||||||||||||||
Adjusted EBITDA 2
|
5,745 | 3,875 | 48.3 | % | 18,043 | 17,185 | 5.0 | % |
(1)
|
IntegraMed’s 2011 results include a onetime, non-recurring $1.65 million pre-tax provision ($1.0 million after tax) for the settlement of a medical malpractice suit. The provision is IntegraMed’s portion of the settlement, net of insurance coverage and Partner physician contributions.
|
(2)
|
IntegraMed uses the term "Adjusted EBITDA" when reporting financial results in accordance with Securities and Exchange Commission rules regarding the use of financial measures not calculated in accordance with generally accepted accounting principles (GAAP). The Company uses Adjusted EBITDA as a management tool to measure and monitor financial performance. The definition of Adjusted EBITDA contained herein corresponds to the definition of Adjusted EBITDA contained in the Company’s credit facility; certain of the covenants contained therein are tied to Adjusted EBITDA. While providing useful information, Adjusted EBITDA should not be considered in isolation as a measure of financial performance under GAAP. Investors should be aware that Adjusted EBITDA may not be comparable to similarly titled measures presented by other companies and comparisons could be misleading unless all companies and analysts calculate this measure in the same fashion. A reconciliation to Adjusted EBITDA is provided as supplemental data for this release.
|
Q4 2011 | Q4 2010 |
$ Change
|
% Change
|
2011 | 2010 |
$ Change
|
% Change
|
|||||||||||||||||||||||||
Revenue:
|
$ | 50.9M | $ | 46.9M | $ | 4.0M | 8.5 | % | $ | 200.0M | $ | 182.4M | $ | 17.6M | 9.6 | % | ||||||||||||||||
Operating Income:
|
$ | 4.7M | $ | 4.3M | $ | 0.4M | 10.1 | % | $ | 17.9M | $ | 17.7M | $ | 0.2M | 1.3 | % | ||||||||||||||||
Fertility Partner Data:
|
||||||||||||||||||||||||||||||||
New Patient Visits:
|
7,041 | 6,787 | 254 | 3.7 | % | 29,567 | 27,922 | 1,645 | 5.9 | % | ||||||||||||||||||||||
IVF Cycles:
|
3,743 | 3,082 | 661 | 21.4 | % | 15,346 | 13,631 | 1,715 | 12.6 | % | ||||||||||||||||||||||
IUI Cycles:
|
6,486 | 5,621 | 865 | 15.4 | % | 25,158 | 23,706 | 1,452 | 6.1 | % | ||||||||||||||||||||||
Attain IVF Program Data:
|
||||||||||||||||||||||||||||||||
Applications:
|
618 | 693 | (75 | ) | (10.8 | %) | 2,816 | 2,930 | (114 | ) | (3.9 | %) | ||||||||||||||||||||
Enrollments:
|
349 | 391 | (42 | ) | (10.7 | %) | 1,663 | 1,633 | 30 | 1.8 | % | |||||||||||||||||||||
Pregnancies:
|
278 | 305 | (27 | ) | (8.9 | %) | 1,062 | 1,072 | (10 | ) | (0.9 | %) |
(In millions, except
patient & clinic data)
|
Q4 2011 | Q4 2010 |
Change
|
% Change
|
2011 | 2010 |
Change
|
% Change
|
||||||||||||||||||||||||
Revenue Mature Clinics (1)
|
$ | 15.1 | $ | 16.0 | $ | (0.9 | ) | (5.6 | %) | $ | 58.6 | $ | 58.7 | $ | (0.1 | ) | (0.1 | %) | ||||||||||||||
Revenue New Clinics (2)
|
$ | 4.9 | $ | 0.9 | $ | 4.0 | 444.4 | % | $ | 15.0 | $ | 2.0 | $ | 13.0 | 650.0 | % | ||||||||||||||||
Total Revenue:
|
$ | 20.0 | $ | 16.9 | $ | 3.1 | 18.2 | % | $ | 73.6 | $ | 60.7 | $ | 12.9 | 21.2 | % | ||||||||||||||||
Contribution Mature Clinics
|
$ | 3.1 | $ | 3.2 | $ | (0.1 | ) | (3.1 | %) | $ | 12.1 | $ | 11.6 | $ | 0.5 | 4.3 | % | |||||||||||||||
Contribution New Clinics
|
$ | (0.2 | ) | $ | (1.4 | ) | $ | 1.2 | n/a | $ | (2.3 | ) | $ | (2.1 | ) | $ | (0.2 | ) | n/a | |||||||||||||
Division Overhead Expenses
|
$ | 1.7 | $ | 1.2 | $ | 0.5 | 41.7 | % | $ | 6.7 | $ | 6.0 | $ | 0.7 | 11.7 | % | ||||||||||||||||
Total Operating Income:
|
$ | 1.2 | $ | 0.6 | $ | 0.6 | 108.6 | % | $ | 3.1 | $ | 3.5 | $ | (0.4 | %) | (9.9 | %) | |||||||||||||||
Inquiries:
|
3,332 | 3,024 | 308 | 10.2 | % | 24,360 | 20,846 | 3,514 | 16.9 | % | ||||||||||||||||||||||
New Consultations:
|
3,018 | 2,811 | 207 | 7.4 | % | 17,323 | 14,553 | 2,770 | 19.0 | % | ||||||||||||||||||||||
First Leg Starts:
|
2,305 | 2,017 | 288 | 14.3 | % | 9,763 | 8,303 | 1,460 | 17.6 | % | ||||||||||||||||||||||
Total Clinics (net):
|
45 | 41 | 4 | 9.8 | % | 45 | 41 | 4 | 9.8 | % |
(1)
|
Clinics opened prior to January 1, 2010.
|
(2)
|
Clinics opened after January 1, 2010.
|
Three months ended
December 31,
|
Year ended
December 31,
|
|||||||||||||||
2011
|
2010
|
2011
|
2010
|
|||||||||||||
(unaudited)
|
||||||||||||||||
Revenue
|
||||||||||||||||
Attain Fertility Centers
|
$ | 50,896 | $ | 46,920 | $ | 199,963 | $ | 182,443 | ||||||||
Vein Clinics
|
19,979 | 16,900 | 73,619 | 60,726 | ||||||||||||
Total Revenues
|
70,875 | 63,820 | 273,582 | 243,169 | ||||||||||||
Costs of services
|
||||||||||||||||
Attain Fertility Centers
|
46,211 | 42,665 | 182,016 | 164,718 | ||||||||||||
Vein Clinics
|
18,819 | 16,344 | 70,475 | 57,235 | ||||||||||||
Total Cost of Services
|
65,030 | 59,009 | 252,491 | 221,953 | ||||||||||||
Operating Income
|
||||||||||||||||
Attain Fertility Centers
|
4,685 | 4,255 | 17,947 | 17,725 | ||||||||||||
Vein Clinics
|
1,160 | 556 | 3,144 | 3,491 | ||||||||||||
Total Operating Income
|
5,845 | 4,811 | 21,091 | 21,216 | ||||||||||||
General and administrative expenses
|
2,794 | 3,265 | 11,551 | 12,668 | ||||||||||||
Legal Settlement
|
1,650 | |||||||||||||||
Interest income
|
(39 | ) | (42 | ) | (181 | ) | (202 | ) | ||||||||
Interest expense
|
116 | 155 | 516 | 897 | ||||||||||||
Total other expenses
|
2,871 | 3,378 | 13,536 | 13,363 | ||||||||||||
Income before income taxes
|
2,974 | 1,433 | 7,555 | 7,853 | ||||||||||||
Income tax provision
|
1,122 | 543 | 2,955 | 3,128 | ||||||||||||
Net income
|
$ | 1,852 | $ | 890 | $ | 4,600 | $ | 4,725 | ||||||||
Basic and diluted earnings per share of Common Stock:
|
||||||||||||||||
Basic earnings per share
|
$ | 0.16 | $ | 0.08 | $ | 0.39 | $ | 0.42 | ||||||||
Diluted earnings per share
|
$ | 0.16 | $ | 0.08 | $ | 0.39 | $ | 0.41 | ||||||||
Weighted average shares – basic
|
11,857 | 11,725 | 11,838 | 11,380 | ||||||||||||
Weighted average shares – diluted
|
11,871 | 11,774 | 11,869 | 11,429 |
Three months ended,
December 31,
|
Year ended,
December 31,
|
|||||||||||||||
2011
|
2010
|
2011
|
2010
|
|||||||||||||
Net Income
|
$ | 1,852 | $ | 890 | $ | 4,600 | $ | 4,725 | ||||||||
Adjustments:
|
||||||||||||||||
Interest Expense
|
116 | 155 | 516 | 897 | ||||||||||||
Income Tax Expense
|
1,122 | 543 | 2,955 | 3,128 | ||||||||||||
Depreciation & Amortization
|
2,210 | 1,767 | 8,494 | 6,846 | ||||||||||||
Amortization of Deferred Compensation
|
445 | 520 | 1,478 | 1,589 | ||||||||||||
Adjusted EBITDA
|
5,745 | $ | 3,875 | 18,043 | $ | 17,185 |
December 31,
|
December 31,
|
|||||||
2011
|
2010
|
|||||||
ASSETS
|
||||||||
Current assets:
|
||||||||
Cash and cash equivalents
|
$ | 57,909 | $ | 50,183 | ||||
Patient and other receivables, net
|
6,372 | 7,350 | ||||||
Deferred tax assets
|
2,222 | 2,510 | ||||||
Other current assets
|
8,602 | 9,611 | ||||||
Total current assets
|
75,105 | 69,654 | ||||||
Fixed assets, net
|
21,288 | 19,264 | ||||||
Intangible assets, Business Service Rights, net
|
24,114 | 22,915 | ||||||
Goodwill
|
30,334 | 30,334 | ||||||
Trademarks
|
4,442 | 4,442 | ||||||
Other assets
|
2,221 | 2,046 | ||||||
Total assets
|
$ | 157,504 | $ | 148,655 | ||||
|
||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY
|
||||||||
Current liabilities:
|
||||||||
Accounts payable
|
$ | 4,037 | $ | 3,626 | ||||
Accrued liabilities
|
17,074 | 17,265 | ||||||
Current portion of long-term notes payable and other obligations
|
3,816 | 3,784 | ||||||
Due to Fertility Medical Practices, net
|
14,229 | 11,246 | ||||||
Attain IVF Refund Program and other patient deposits
|
16,342 | 15,852 | ||||||
Total current liabilities
|
55,498 | 51,773 | ||||||
Deferred tax liabilities
|
5,277 | 2,454 | ||||||
Long-term notes payable and other obligations
|
7,187 | 10,908 | ||||||
67,962 | 65,135 | |||||||
Commitments and Contingencies
|
||||||||
Shareholders' equity:
|
||||||||
Common stock
|
119 | 117 | ||||||
Capital in excess of par
|
78,156 | 76,483 | ||||||
Other comprehensive loss
|
(42 | ) | (55 | ) | ||||
Treasury stock
|
(330 | ) | (64 | ) | ||||
Retained earnings
|
11,639 | 7,039 | ||||||
Total shareholders' equity
|
89,542 | 83,520 | ||||||
Total liabilities and shareholders' equity
|
$ | 157,504 | $ | 148,655 |
For the
Year
ended December 31,
|
||||||||
2011
|
2010
|
|||||||
(unaudited)
|
||||||||
Cash flows from operating activities:
|
||||||||
Net income
|
$ | 4,600 | $ | 4,725 | ||||
Adjustments to reconcile net income to net cash provided by operating activities:
|
||||||||
Depreciation and amortization
|
8,494 | 6,846 | ||||||
Deferred stock based compensation
|
1,478 | 1,591 | ||||||
Changes in assets and liabilities
|
||||||||
Decrease (increase) in assets:
|
||||||||
Patient and other accounts receivable
|
978 | (386 | ) | |||||
Other current assets
|
(821 | ) | (1,958 | ) | ||||
Other assets
|
4,861 | 870 | ||||||
(Decrease) increase in liabilities:
|
||||||||
Accounts payable
|
411 | 780 | ||||||
Accrued liabilities
|
(456 | ) | 1,801 | |||||
Due to medical practices
|
2,983 | 4,822 | ||||||
Attain IVF Refund patient deposits
|
490 | 2,490 | ||||||
Net cash provided by operating activities
|
23,018 | 21,581 | ||||||
Cash flows used in investing activities:
|
||||||||
Purchase of business service rights
|
(2,494 | ) | — | |||||
Purchase of fixed assets and leasehold improvements
|
(9,223 | ) | (8,110 | ) | ||||
Net cash used in investing activities
|
(11,717 | ) | (8,110 | ) | ||||
Cash flows used in financing activities:
|
||||||||
Principle repayments on debt
|
(3,667 | ) | (11,255 | ) | ||||
Common stock transactions, net
|
92 | 19,102 | ||||||
Net cash (used in) provided by financing activities
|
(3,575 | ) | 7,847 | |||||
Net increase (decrease) in cash
|
7,726 | 21,318 | ||||||
Cash and cash equivalents at beginning of period
|
50,183 | 28,865 | ||||||
Cash and cash equivalents at end of period
|
$ | 57,909 | $ | 50,183 | ||||
Supplemental Information:
|
||||||||
Interest paid
|
534 | 912 | ||||||
Income taxes paid
|
435 | 2,616 |