Segment Data

6 Months Ended

Jun. 30, 2013

Segment Data

Segment Data

2.           Segment Data

The Company has two reportable segments, VN and Personal Care (PC), which operate locations in Florida, Ohio, Kentucky, Connecticut, New Jersey, Massachusetts, Missouri, Illinois, 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.  Approximately 93% of the VN segment revenues are generated from the Medicare program while the balance is generated from Medicaid and private insurance programs.  VN Medicare revenues include revenues from all Medicare sources including traditional Medicare and Medicare Advantage, whether paid on a per episode basis or a per visit basis.

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 June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Net service revenues:
Visiting Nurse	$	66,418		$	66,018		$	133,351		$	134,623
Personal Care	20,400			19,278			39,302			38,524
	86,818			85,296			172,653			173,147
Operating income before corporate expenses:
Visiting Nurse	6,827			10,607			15,181			21,380
Personal Care	3,176			2,303			5,173			4,761
	10,003			12,910			20,354			26,141
Corporate expenses	5,556			5,532			10,613			11,004
Operating income	$	4,447		$	7,378		$	9,741		$	15,137
Interest expense, net	(11		)	(32		)	(29		)	(70		)
Income tax expense	(1,852		)	(2,902		)	(3,802		)	(5,839		)
Net income from continuing operations	$	2,584		$	4,444		$	5,910		$	9,228