InSight reports revenue growth

October 15, 1997

Imaging services provider InSight Health Services, which was formed by the merger of American Health Services and Maxum Health in June 1996, appears to be reaping the benefits of the corporate marriage. The Newport Beach, CA-based company reported robust

Imaging services provider InSight Health Services, which was formed by the merger of American Health Services and Maxum Health in June 1996, appears to be reaping the benefits of the corporate marriage. The Newport Beach, CA-based company reported robust fourth-quarter and year-end results, marking the fourth straight profitable quarter for the company.

For its fourth quarter (end-June), InSight posted total revenues of $24.9 million, a 7.4% increase compared with the combined, unaudited figure of $23.2 million by Maxum and American Health during the same period in 1996. Net income was $533,000, compared with a combined net loss before an extraordinary item of $3.5 million in 1996.

Total revenues for the year were $93.1 million, a 6.9% increase compared with a combined sum of $87.1 million for the same period in 1996. Net income was $1.3 million, compared with a combined loss per share of $3.58 last year.

InSight continues to move forward with the development of a radiology co-sourcing offering, according to Larry Atkins, president and CEO. Atkins also said that the company is making progress with the launch of its open MRI division, which will develop networks of open MRI centers (SCAN 9/11/96).