CareCentric softens report of $25M loss

Sunday, June 30, 2002

ATLANTA - Although CareCentric recently reported a loss of nearly $25 million on revenues of $21 million for its most recent fiscal year, the numbers intimate more dire financial straits than company officials say they're actually experiencing.

For example, CareCentric had to write off nearly $12 million in an impairment charge. The company's senior vice president of sales and marketing, Mark Kulik, said a lot of that charge reflects the departure of workers whose employment at Mestamed and CareCentric Solutions had been considered a non-tangible asset.

Although CareCentric's cash flow was negative, Kulik said, it was only half as bad as things were last year and this year, things are looking better. "On a quarter by quarter basis, we'll see ourselves cash flow positive," he said. HME