Medical Facilities loses US$1.7 million, despite higher first quarter revenues
Hospital owner Medical Facilities Corp. says it lost US$1.7 million in the first quarter, as higher operating expenses offset revenue growth of six per cent.
Toronto-based Medical Facilities' (TSX: DR.UN), which owns hospitals in the United States, said Thursday its loss amounted to five cents per unit. That compared with a profit of $1.6 million, or five cents per unit, in the first quarter of 2009.
Revenue for the quarter ended March 31 increased to $51.4 million from $48.2 million.
Operating expenses, including salaries and benefits, drugs and supplies, and general and administrative costs for the quarter totalled $34.5 million, or 67.3 per cent of revenue. That was up from expenses of $29.6 million, or 61.3 per cent of revenue, in the first quarter a year ago.
The company declared distributions of 27.5 cents per unit.
Medical Facilities owns controlling interests in four specialty surgical hospitals, located in South Dakota and Oklahoma, as well as two ambulatory surgery centres in California.