Envision Healthcare Sees 2014 Adj. EPS Above View - Quick Facts

(RTTNews) - Envision Healthcare Holdings Inc. (EVHC) announced that it expects 2014 full-year adjusted earnings per share to be in the range of $1.10 to $1.15 per share. Analysts polled by Thomson Reuters expect the company to report earnings of $0.84 per share for fiscal 2014. Analysts' estimates typically exclude special items.

Adjusted EBITDA for 2014 full-year is expected to be in the range of $538 million to $545 million.

This guidance includes an estimated Adjusted EBITDA benefit from Medicaid parity of $17 million to $20 million but does not include other anticipated benefits from healthcare reform. In addition to Medicaid parity, the Company anticipates incremental benefit from healthcare reform via higher EmCare volumes and rate increases at both EmCare and AMR from conversion of the previously uninsured to insured by Medicaid or State and Federal exchanges.

For the fourth-quarter of 2013, the company expects net income to be in the range of $7 million - $10 million.

The company's fourth-quarter revenue increased approximately 18% compared to the fourth quarter of 2012, excluding revenue from the 2012 Hurricane Sandy FEMA deployment. EmCare experienced revenue growth of approximately 23% over the same period last year, 17% of which was organic growth, as a result of a significant number of new contract starts during the year and in the fourth-quarter.

The Company expects fourth-quarter 2013 Adjusted EBITDA to be $126 million to $128 million excluding an anticipated reserve of $5 million to be recorded in the quarter for an unusual recent jury award for an EmCare 2011 medical malpractice case. In the fourth- quarter, EVHC experienced softer volumes and increased startup costs related to new contract starts at both American Medical Response or AMR and EmCare. The Company saw improved results in the latter part of the quarter primarily driven by higher influenza activity and seasonal volume increases.

Full year 2013 Adjusted EBITDA is now expected to be $455 million to $457 million, approximately 12.5% to 13% over prior year, excluding an unusual recent jury award for an EmCare 2011 medical malpractice case. The company expects net income for fiscal year 2013 to be in the range of $5 million - $8 million.