Rotech blames neb med reimbursement for losses
ORLANDO, Fla. – Rotech Healthcare this week reported net revenues of $122.8 million for the third quarter this year compared to $125 million for the same period last year. It reported a net loss of $1.7 million vs. a net income of $2.5 million.
The provider reported net revenues of $366.8 million for the nine months ended Sept. 30, 2011, compared to $372.7 million for the same period last year. It reported a net loss of $6.3 million vs. $600,000.
Rotech stated that decreases in nebulizer medication reimbursement and volume reduced net revenues by $2.8 million and $9.4 million for the third quarter and the nine months ended Sept. 30, respectively. Additionally, the provider stated that competitive bidding rate reductions, among other changes in Medicare reimbursement, reduced net revenue by $3.3 million and $7.2 million respectively.
Still, Rotech stated it’s growing. The provider reported that revenue generating patients, including patients from equipment and asset purchases in the core product lines of oxygen and CPAP, have grown 13.4% so far this year compared to last year.
Rotech expects those purchases to really start paying off next year.
“Equipment and asset purchases continue to be part of the growth plan going forward and are anticipated to be meaningful as we enter 2012,” stated President and CEO Philip Carter.