Quantum Health Resources, ORANGE
Nature of Business: Provides home health care to patients affected by certain chronic disorders
Total employees: 400
In Orange County: 75
Stock listing in The Times: On NASDAQ as “QuantHlt”
Ticker Symbol: “QHRI”
Friday’s Close: $25
Change: None
Analyst Review: “Quantum provides high-quality alternate-site care for chronic patients at 35% less than a hospital charges on average. Right now it is treating three disorders very successfully, and it is positioning itself to treat additional disorders. It has aligned with drug manufactures and biotechnology companies, so that as new drugs come out of these pharmaceutical pipelines, it will be right there to participate in the advent of breakthrough drugs. Because of that, we view Quantum a low-risk way to play the biotech market. The company’s numbers tell a dynamic growth story. There is no debt, $30 million in cash and $65 million in assets. It can continue to grow business at a 30% to 35% rate per year for the next several years. I’m very bullish about this company.” --Ed Kroll, analyst, Lehman Bros., New York
SALES VS. PROFITS
(Dollar amounts in millions)
Fiscal year ending Dec. 31 Dec. 31 Dec. 31 2 Qtrs. 2 Qtrs. 1989 1990 1991 1991 1992 Net Sales $17.7 $46.4 $76.9 $35.3 $52.0 Net Profit (Loss) $.340 $1.2 $5.5 $1.9 $4.5
Corporate Outlook: “Individuals afflicted with chronic disorders want to be able to lead a fairly independent, autonomous life. Understanding that is what defines our company. Our future vision is that we benefit from the experiences we’ve gained and try to keep on top of the technological advances that might help in other diseases. We’re trying to position ourselves as a resource, so that as these drugs come through the pipeline, we can bring them to the marketplace in a way that is cost effective to the system. “ --Douglas H. Stickney, president/chairman/CEO
3-YEAR SUMMARY AND YEAR-TO-DATE: RETURN ON STOCKHOLDER INVESTMENT
Fiscal year ending Dec. 31 Dec. 31 Dec. 31 2 Qtrs. 1989 1990 1991 1991 52-Week High N/A N/A $24.25 $19.13 52-Week Low N/A N/A $13.50 $13.50 Book Value Per Share $0.61 $1.14 $4.24 $4.54 Price Per Share* N/A N/A $24.25 $19.00 Net Earnings Per Share $0.05 $0.12 $0.45 $0.17 Price-to-Earnings Ratio N/A N/A 54:1 56:1 Avg. Return on Investor Equity 8% 11% 11% 7%
Fiscal year ending 2 Qtrs. 1992 52-Week High $28.75 52-Week Low $17.75 Book Value Per Share $4.30 Price Per Share* $20.75 Net Earnings Per Share $0.33 Price-to-Earnings Ratio 31:1 Avg. Return on Investor Equity 15%
* Quantum sold 2.5 million shares in its initial public offering April 30, 1991; net proceeds: $27.9 million.
Source: Quantum Health Resources Inc.
For more information call or write, Quantum Health Resources Inc.: 790 The City Drive South, Suite 400, Orange, Calif. 92668. (714) 750-1610
