Key Developments For Lincare Holdings Inc.
Lincare Holdings Inc. (LNCR.O) (Nasdaq)
Lincare Holdings, Inc. Comments On FY 2009 Guidance
Lincare Holdings, Inc. announced that revenues and earnings are expected to be impacted in fiscal 2009 by reductions in Medicare reimbursement for certain items provided by the Company to Medicare beneficiaries. The Company is still evaluating the potential impact of these changes to its business, but estimates that revenues and operating income in fiscal 2009 will be negatively impacted by approximately $240 million to $255 million. According to Reuters Estimates, analysts were expecting the Company to report revenue of $1.639 billion, net profit of $162 million and EPS of $2.21 for fiscal 2009.
Lincare Holdings, Inc. Revises FY 2008 Guidance; Comments on Q3 2008 Revenue Guidance
Lincare Holdings, Inc. revised its previous guidance for the expected impact on its revenues from Medicare price reductions taking effect in 2008 as a result of recent developments affecting Medicare reimbursement for certain respiratory drugs and recent actions by the United States Congress to retroactively delay for 18 to 24 months the implementation of a competitive bidding program for durable medical equipment that was effective on July 1, 2008. The Company now estimates that revenues in 2008 will be negatively impacted by Medicare price reductions of approximately $70 million compared with previous guidance of approximately $100 million. The Company also anticipates that its revenues and related direct costs to be reduced in the third quarter 2008 by amounts similar to those that increased operating results in the second quarter. According to Reuters Estimates, analysts were expecting the Company to report revenue of $425 million for the third quarter of 2008 and $1.697 billion for fiscal 2008.
Lincare Holdings, Inc. Sees Greater Revenue Impact From Medicare Price Reductions For FY 2008
Lincare Holdings, Inc. announced that as a result of recent developments affecting Medicare reimbursement for certain respiratory drugs, the Company is revising its previous guidance for the expected impact on the Company's revenues from Medicare price reductions taking effect in fiscal 2008. The Company now estimates that revenues in fiscal 2008 to be negatively impacted by approximately $100 million compared with its previous guidance of $65-$70 million of Medicare price reductions. According to Reuters Estimates, analysts were expecting the Company to report revenues of $1.75 billion for fiscal 2008.
Lincare Holdings, Inc. Closes Convertible Senior Debentures Offering
Lincare Holdings, Inc. announced the completion of its offering of $275 million principal amount of convertible senior debentures due 2037 -- Series A (the Series A Debentures) and $275 million principal amount of convertible senior debentures due 2037 -- Series B (Series B Debentures and together with the Series A Debentures, the Debentures), in each case offered and sold to qualified institutional buyers. The Debentures issued today included $25,000,000 aggregate principal of Series A Debentures and $25,000,000 aggregate principal amount of Series B Debentures purchased pursuant to the exercise in full of an over-allotment option Lincare granted to the initial purchasers on October 25, 2007. Lincare used a portion of the net proceeds from the offering to acquire 4,461,700 shares of its common stock for approximately $150 million, and Lincare may use additional proceeds for further stock repurchases following the offering. Lincare intends to use the remaining proceeds to fund selective business acquisitions.
Lincare Holdings, Inc. Prices $500 Million Convertible Senior Debentures Offering
Lincare Holdings, Inc. announced the pricing of $250 million principal amount of convertible senior debentures due 2037 - Series A and $250 million principal amount of convertible senior debentures due 2037 - Series B. The Debentures will pay interest semiannually at a rate of 2.75% per year. The initial base conversion rate for the Debentures is 19.5044 shares of Lincare common stock per $1,000 principal amount of Debentures, equivalent to an initial base conversion price of approximately $51.27 per share.
