Healthcare Services Rallies After Better-than-expected Q4 Profit

(RTTNews) - Shares of Healthcare Services Group, Inc. (HCSG) are surging more than 27% Wednesday morning after reporting better-than-expected fourth-quarter profit.

Net income for the fourth quarter increased to $22.60 million or $0.31 per share from $16.16 million or $0.22 per share in the prior-year quarter.

Excluding items, adjusted earnings for the quarter were $0.20 per share, that beat the average estimate of analysts polled by Thomson-Reuters of $0.16 per share.

Revenue for the quarter declined to $423.84 million from $424.02 million in the same quarter last year. Adjusted revenue was $425.0 million. The consensus estimate stood at $424.24 million.

Looking ahead to the first quarter, the company projects revenue in the range of $420.0 million to $430.0 million. Analysts expect revenues of $426.93 million for the quarter.

HCSG is at $12.06. It has traded in the range of $8.75 - $15.97 in the last 1 year.