CINCINNATI, July 29 LCA-Vision Inc. (Nasdaq:LCAV), a leading provider of laser vision correction services under theLasikPlus(R) brand, today announced financial and operational results for thethree months and six months ended June 30, 2008.
Second Quarter 2008 Financial & Operational Results (all comparisons areversus the second quarter of 2007)
-- Revenue was $54.2 million compared with $69.7 million; adjusted revenuewas $49.2 million compared with $70.6 million.
-- Procedure volume was 30,086 compared with 48,668.
-- Same-store revenue decreased 28%; adjusted same-store revenue decreased36%. There were 65 vision centers included in same-store revenue.
-- Operating loss was $3.0 million compared with operating income of $10.0million; the adjusted operating loss was $7.4 million compared with operatingincome of $10.9 million.
-- Net loss was $573,000 or $0.03 per diluted share, compared with netincome of $7.4 million or $0.36 per diluted share.
Year-to-Date 2008 Financial & Operational Results (all comparisons areversus the first six months of 2007)
-- Revenue was $133.7 million compared with $148.3 million; adjustedrevenue was $123.2 million compared with $154.9 million.
-- Procedure volume was 74,245 compared with 107,769.
-- Operating income was $7.5 million compared with $25.6 million; theadjusted operating loss was $2.0 million compared with operating income of$31.5 million.
-- Net income was $6.3 million or $0.34 per diluted share, compared withnet income of $18.3 million or $0.90 per diluted share.
LCA-Vision is providing adjusted revenue and operating income as a meansof measuring performance that adjusts for the non-cash impact of theaccounting for separately priced extended warranties. A reconciliation ofrevenue and operating income as reported in accordance with Generally AcceptedAccounting Principles (GAAP) is provided on the last page of this newsrelease. Management believes the adjusted information is more reflective ofoperating performance and therefore, more meaningful to investors.
"As anticipated and previously announced, total procedure volume declined38% from last year's second quarter due to the slowing rate of LasikPlus(R)pre-operative appointments booked by prospective patients and disappointingshow rates," said Steven C. Straus, Chief Executive Officer of LCA-Vision."Our quarterly adjusted revenue declined 30% as a result of lower procedurevolume; however, it was partially offset by a greater contribution fromIntraLase(R), which is now available in 74 of our 77 LasikPlus(R) visioncenters, and in June was utilized in 70% of our total procedures.
"We are committed to our strategic and operating plans, as well asbuilding on positive patient experiences, exceptional clinical outcomes,advanced diagnostic and surgical technology, and our LasikPlus(R) brandreputation, which are the foundations behind our achievement of thesignificant milestone we announced earlier this month -- our one-millionthprocedure," added Mr. Straus. "We are facing substantial business challengesas eroding consumer confidence continues to impact discretionary spending. Ourmanagement team, Medical and Optometric Advisory Boards, LasikPlus(R) surgeonsand patient-care teams are working collaboratively and diligently to makedecisions aimed at increasing procedure volumes in this weak economicenvironment. As stated in June, we are taking a more grassroots approach tooperations in recognition that all healthcare is delivered locally and oursuccess will be achieved at the local LasikPlus(R) vision center level. Amongour revenue-generating initiatives:
-- We delegated more decision-making to the local level, including settingmarket-specific hours of operations and allocating funds to support localmarketing and sales efforts.
-- Effective July 1,