CEO of Apria Quits; COO Is Successor

Philip Carter, who led Apria Healthcare Group Inc.’s turnaround from near bankruptcy, has resigned as chief executive, the company said Wednesday.

Lawrence M. Higby, Apria’s president and chief operating officer, was named to succeed Carter.

The company, a major provider of home health-care services, also said net income rose 30% in the fourth quarter on a 13% increase in revenue, but the stock dropped $1.33 a share to $22.29 on the New York Stock Exchange.

“The stock is down because of the management change,” said J.P. Morgan analyst Matthew Ripperger.

Apria did not give a reason for Carter’s resignation.

For the quarter, Apria earned $19.9 million, or 36 cents a share, up from $15.3 million, or 28 cents, a year earlier. Revenue rose to $293.1 million from $258.3 million.

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Bloomberg News, Reuters and Dow Jones were used in compiling this report.