Continucare Corp. yesterday reported its first quarter fiscal year 2010 financial results. The company reported a 113% increase in net income and continued strength in the business with higher quarter-ending cash and working capital balances.

Richard C. Pfenniger, Jr., Continucare’s Chairman and Chief Executive Officer commented, “We are extremely pleased with our first quarter results,” “Record revenues, improved utilization outcomes and operating efficiencies resulted in a 113% increase in net income. Also, during the quarter we added an important new dimension to our business with the launch of Seredor Corporation and the acquisition of our first sleep diagnostic centers.”

First Quarter Highlights Include:

Revenues increased 17% compared to $65.1 million for the same period last year, with total revenue of $76.0 million
Income from operations increased 116% to $8.6 million, compared to $4.0 million for the same period last year
Launch of Seredor Corporation, a new sleep diagnostic center subsidiary to expand product offerings

Continucare had $22.8 million in cash and cash equivalents for September 30, 2009. Working capital also increased strongly with $29.8 million on September 30, 2009 from $25.5 million on June 30, 2009. The company showed a decline in total liabilities to $13.6 million at September 30, 2009 vs. $14.1 million on June 30, 2009. Shareholders’ equity was $116.9 million at September 30, 2009 compared to $111.2 million at June 30, 2009.

The Seredor subsidiary of Continucare operates and manages sleep diagnostic sleep centers at 15 locations in Florida, South Carolina, North Carolina, West Virginia, Virginia, Colorado and Ohio. The centers conduct sleep studies to determine whether patients suffer from sleep disorders. Seredor clinical staff is expertly trained and works in partnerships with physicians, neurologists, respiratory therapists and uses state-of-the-art equipment to effectively diagnose and treat patients. The most common sleep disorder, obstructive sleep apnea or OSA, afflicts more than 18 million adults in the United States.