Segment Data

3 Months Ended

Mar. 31, 2013

Segment Data

Segment Data

2.             Segment Data

The Company has two reportable segments, Visiting Nurse (VN) and Personal Care (PC), which provide services in Florida, Ohio, Kentucky, Connecticut, New Jersey, Massachusetts, Missouri, Illinois, Alabama, Pennsylvania and Indiana.  Reportable segments have been identified based upon how management has organized the business by services provided to customers and the criteria in ASC 280, Segment Reporting.  The Company does not allocate certain expenses to the reportable segments.  These expenses are included in corporate expenses below.

The VN segment provides skilled medical services in patients’ homes largely to enable recipients to reduce or avoid periods of hospitalization and/or nursing home care.  VN Medicare revenues are generated on a per episode basis rather than a fee per visit or day of care.  Approximately 93% of the VN segment revenues are generated from the Medicare program while the balance is generated from Medicaid and private insurance programs.

The PC segment services are also provided in patients’ homes. These services (generally provided by paraprofessional staff such as home health aides) are generally of a custodial rather than skilled nature.  PC revenues are generated on an hourly basis.  Approximately 85% of the PC segment revenues are generated from Medicaid and other government programs while the balance is generated from insurance programs and private pay patients.

	Three Months Ended March 31,
	2013			2012
Net service revenues:
Visiting Nurse	$	67,956		$	70,704
Personal Care	18,902			19,246
	86,858			89,950
Operating income before corporate expenses:
Visiting Nurse	8,226			11,012
Personal Care	1,998			2,458
	10,224			13,470
Corporate expenses	5,060			5,472
Operating income	$	5,164		$	7,998
Interest expense, net	(18		)	(38		)
Income tax expense	(1,899		)	(3,028		)
Net income	$	3,247		$	4,932