Tucson's Providence Service posts higher profit

2014-08-06T19:00:00Z Tucson's Providence Service posts higher profitArizona Daily Star Arizona Daily Star
August 06, 2014 7:00 pm  • 

Tucson-based Providence Service Corp. posted higher second-quarter earnings on revenues driven by growth in its social-services businesses and a recent acquisition.

Net income was $6.7 million, or 46 per share, in the second quarter ended June 30, compared with earnings of $5.9 million, or 43 cents per share a year ago. The second-quarter results included about $2.5 million in costs related to Providence’s recent acquisition of Ingeus Limited, an international workforce-development company.

Second-quarter revenue was $344 million, up nearly 20 percent from the same period in 2013.

The results beat analysts’ average expectations of second-quarter net income of 43 cents per share and revenue of $315 million.

Revenue from Providence’s Logisticare non-emergency transportation services unit grew 9.3 percent, mainly due to overall membership increases, expansion in certain markets and new contracts in Maine, Utah and Rhode Island, the company said. Revenue from human services increased 10.1 percent.

Australia-based Ingeus, which provides services for welfare-to-work programs and other employment services in 10 countries on four continents, contributed $28.8 million in second-quarter revenues.

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