Same-facility net revenue declined 1 percent for the quarter. Thomas S. Hall, chairman, president and CEO of NovaMed, attributed the negative results to “general economic conditions,” according to a news release by the company.
“We believe that high unemployment as well as a lack of consumer confidence is responsible for the softness in surgical procedure volumes in our industry as some patients postpone procedures recommended by their physicians,” he said.
He reported that NovaMed continues to generate strong cash flow with net cash from operating activities and continues to deleverage the company’s balance sheet, using its cash to pay down its debt while “taking a cautious and conservative approach to acquisitions,” Mr. Hall said.
The company remained at 37 ASCs operated at the end of the period, the same number from the prior year second quarter.
These ASCs performed 38,643 procedures during the quarter, an average of 1,044 procedures per ASC.
Read the news release about the NovaMed second quarter.
