Skilled Healthcare Group Inc. (NYSE: SKH) recently reported Q2 2010 operating results where the company’s revenues rose to $200.97 million and the net income declined to $4.5 million when compared to the same period in 2009. The company’s occupancy rates were 83.5 percent during the second quarter of 2010, compared to 84.0 percent in the prior year period. Occupancy rates were 83.8 percent in the first quarter of 2010.
“Our solid second quarter results reflect the continued commitment to providing high quality patient care by our skilled nursing companies and through our ancillary service companies. Second quarter revenue increased both sequentially and year-over-year driven largely by the recent hospice and home care acquisition in May which is performing well. However, excluding the recent acquisition, second quarter revenues increased sequentially in spite of a difficult reimbursement environment. The integration of nine hospice and home care entities is moving along successfully and is on target for completion in the third quarter,” noted Boyd Hendrickson, Chairman and Chief Executive Officer of Skilled Healthcare Group, Inc.
SKH also announced that it has filed a Motion for Mistrial in a previously disclosed lawsuit in California where it was ordered to pay $677 million in damages to patients. The stipulation between SKH and the plaintiffs that was previously entered has expired and has not been extended and settlement discussions are on-going according to the company and the plaintiffs.
"Although we maintain that this matter should have been rejected by the court at the outset, the loss of our right to a fair and impartial jury cannot be ignored," said Boyd Hendrickson, Chairman and Chief Executive Officer of Skilled Healthcare Group, Inc. "I was astonished by the evidence we learned about this juror’s concealed bias and apparent pernicious conduct that ultimately resulted in an egregious verdict. We take patient care very seriously and firmly believe that these skilled nursing companies are adequately and appropriately staffed."
See the Q2 2010 SKH 8-K