Imaging services provider Alliance Imaging reported a drop in first-quarter revenues, although the Anaheim, CA-based company reported higher net income thanks to cost-cutting efforts and a one-time gain.
For the period (end-March 31), Alliance posted revenues of $109.4 million, down 5.1% compared with $115.3 million in the first quarter of 2006. The company turned in net income of $6.1 million, compared with net income of $5.1 million in the same period the year before.
Alliance saw its total costs and expenses drop by over $5 million, and also recorded a $2 million gain as a result of a sale/leaseback transaction. Alliance executives said the company continues to invest in growth areas such as PET/CT, fixed-site centers, and radiation oncology, and the firm believes it is well-positioned to offset the impact of the Deficit Reduction Act (DRA) of 2005, which sharply cut reimbursement for imaging centers.
By AuntMinnie.com staff writers
May 1, 2007
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