Story ID: 102AirMethodsAdd1
Air Methods Posts Revenue Gains
By: Mark Huber
Caption: Air medical and tourism revenues increased in the fourth quarter of 2015.
Word Count: 313
Helicopter EMS provider Air Methods saw its fourth quarter 2015 revenue jump 9.3 percent over the same period a year ago, to $272.4 million; for the year revenue was up 8.1 percent to $1.085.7 billion. 
  
“We are pleased with our fourth quarter results given the severe weather experienced in the quarter and the $4.6 million in costs that were higher than normal,” said company CEO Aaron Todd. Same-base transports declined by 223 in the quarter while same-base weather cancellations increased by 852. For the quarter, air medical services revenue increased by 7.6 percent, to $236 million compared with $219.4 million in the prior-year quarter, while segment net income decreased 2.2 percent, to $49.9 million compared from $51.1 million for the fourth quarter of 2014. The company conducted 15,817 community-based patient transports in last year’s fourth quarter compared with 14,209 in the same period in 2014, an 11.3 percent increase. Net revenue per patient transport increased by 2.2 percent, from $12,238 to $12,508 in the current year quarter. AMS maintenance expense was 16 percent higher in the current year quarter than in the prior year quarter, while total flight volume increased 3.2 percent. Fuel expense per flight hour decreased 19.6 percent. 
  
Air tourism revenues increased 9.8 percent to $28.9 million in the current year quarter compared to $26.3 million in the prior-year quarter. Tourism segment net income was $0.3 million compared to a net loss of $0.4 million in the prior-year quarter. Total passengers increased 10.2 percent to 104,751 during the current quarter compared to 95,064 in the prior-year quarter, while total flight volume increased 8 percent. Tourism fuel expense decreased 23.8 percent. 
  
Air Methods subsidiary United Rotorcraft’s external revenue increased 119.7% to $7.4 million compared to $3.4 million in the prior-year quarter and external earnings improved from a loss of $2.7 million in the year-ago period to a loss of $100,000 in the current quarter. 
  
In the fourth quarter 2015 and in the first quarter 2016, Air Methods repurchased 640,010 of its shares for $25.9 million, leaving $174.1 million remaining on its authorized share repurchase program.