RE:RE:A veritable Cash Cow Here are the actual cash flow numbers for the latest quarter.
Six Months Results
Net patient service revenues for the six months ended June 30, 2013 totaled $10 million, an increase of $1.5 million or 19.5%, compared to $8.4 million for the same period in 2012. The increase in net patient service revenues was primarily due to a 14.3% increase in case volume. The increase in case volume was mainly due to Northstar resyndicating the center in Dallas and adding a large pain and spine physician group in the 2nd half of 2012.
The Company recorded net loss of $1.3 million compared to a net loss of $0.1 million in the prior corresponding period. This change is primarily related to increased marketing spend in salaries and advertising as the Company is focusing more of its efforts on direct to consumer marketing. This resulted in net loss per weighted average share of $0.03.
The Company had cash flows provided by operations of $1.5 million, representing a $0.4 million decrease compared to the prior corresponding period, despite higher case volume. The decrease was caused by a decline in net income as a result of increased spending on current marketing campaigns.
For the six months ended June 30, 2013, the Company used $2.0 million in cash flows for financing activities compared to $1.1 million used in the prior corresponding period. Due to positive cash flow positions, the Company was able to make significant distributions to non-controlling interests.
At June 30, 2013, Northstar had consolidated working capital of $5.8 million, including cash of $3.5 million. This compares with $7.1 million and $4.2 million, respectively, at year-end 2012.