Chemed Q4 Profit Down - Update

(RTTNews) - Chemed Corp. (CHE), a provider of hospice care, Monday reported a drop in profit for the fourth quarter, as revenues slipped at both segments. Earnings for the quarter missed analysts estimates by a penny, while revenues also came short of expectations.

Cincinnati, Ohio-based Chemed's fourth-quarter profit dropped to $22.9 million or $1.28 per share from $26.7 million or $1.40 per share last year.

Adjusted earnings for the quarter were $1.45 per share compared to $1.57 per share last year. Analysts polled by Thomson Reuters estimated earnings of $1.46 per share for the quarter. Analysts' estimates typically exclude special items.

Service revenues and sales for the quarter dropped 5.4 percent to $348.6 million from $368.6 million last year. Analysts estimated revenues of $358.6 million for the quarter.

At Vitas unit, through which Chemed provides hospice services, net patient revenue dropped 6.1 percent to $256 million. Average daily census slipped 1.9 percent to 14,185, whiled admissions decreased 3.5 percent to 15,445.

At Roto-Rooter segment, through which the company provides plumbing and drain cleaning services, sales decreased 3.4 percent to $92.4 million. Unit-for-unit job count declined 4.8 percent to 153,357.

Looking forward to the full year 2014, the company expects adjusted earnings of $5.90 to $6.10 per share. Analysts currently estimate earnings of $5.71 per share for the year.

CHE had closed Friday's trading at $76.88, up $1.19 or 1.57%, on the NYSE.