|
|
Year
Ended December 31, |
| (in
thousands, except per share data) |
|
2001 |
|
2000 |
|
1999 |
 |
| Fee
revenue |
|
$ |
350,954 |
|
|
$ |
268,836 |
|
|
$ |
226,290 |
|
| Direct
expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
| Employee
costs |
|
|
101,105 |
|
|
|
78,051 |
|
|
|
61,224 |
|
| Orthodontic
supplies |
|
|
29,366 |
|
|
|
21,274 |
|
|
|
17,136 |
|
| Rent |
|
|
30,868 |
|
|
|
23,973 |
|
|
|
18,624 |
|
| Marketing
and advertising |
|
|
26,453 |
|
|
|
22,001 |
|
|
|
16,874 |
|
|
| Total
direct expenses |
|
|
187,792 |
|
|
|
145,299 |
|
|
|
113,858 |
|
| General
and administrative |
|
|
39,372 |
|
|
|
28,360 |
|
|
|
23,270 |
|
| Depreciation
and amortization |
|
|
19,825 |
|
|
|
15,175 |
|
|
|
12,238 |
|
|
| Operating
profit |
|
|
103,965 |
|
|
|
80,002 |
|
|
|
76,924 |
|
| Interest
expense |
|
|
(6,182 |
) |
|
|
(4,571 |
) |
|
|
(2,599 |
) |
| Interest
income |
|
|
480 |
|
|
|
840 |
|
|
|
395 |
|
| Non-controlling
interest in subsidiary |
|
|
(56 |
) |
|
|
— |
|
|
|
— |
|
|
| Income
before income taxes and cumulative effect of changes in accounting
principles |
|
|
98,207 |
|
|
|
76,271 |
|
|
|
74,720 |
|
| Provision
for income taxes |
|
|
37,073 |
|
|
|
28,549 |
|
|
|
28,206 |
|
|
| Income
before cumulative effect of changes in accounting principles |
|
|
61,134 |
|
|
|
47,722 |
|
|
|
46,514 |
|
| Cumulative
effect of changes in accounting principles, net of income tax benefit |
|
|
— |
|
|
|
(50,576 |
) |
|
|
(678 |
) |
|
| Net
income (loss) |
|
$ |
61,134 |
|
|
$ |
(2,854 |
) |
|
$ |
45,836 |
|
|
| Income
(loss) per share: |
|
|
|
|
|
|
|
|
|
|
|
|
| Basic
before cumulative effect of changes in accounting principles |
|
$ |
1.24 |
|
|
$ |
0.99 |
|
|
$ |
0.97 |
|
| Cumulative
effect of changes in accounting principles, net of income tax benefit |
|
|
— |
|
|
|
(1.04 |
) |
|
|
(0.02 |
) |
|
| Basic |
|
$ |
1.24 |
|
|
$ |
(0.05 |
) |
|
$ |
0.95 |
|
|
| Diluted
before cumulative effect of changes in accounting principles |
|
$ |
1.21 |
|
|
$ |
0.96 |
|
|
$ |
0.96 |
|
| Cumulative
effect of changes in accounting principles, net of income tax benefit |
|
|
— |
|
|
|
(1.02 |
) |
|
|
(0.02 |
) |
|
| Diluted |
|
$ |
1.21 |
|
|
$ |
(0.06 |
) |
|
$ |
0.94 |
|
|
| Weighted
average shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
| Basic |
|
|
49,235 |
|
|
|
48,412 |
|
|
|
47,998 |
|
|
| Diluted |
|
|
50,438 |
|
|
|
49,845 |
|
|
|
48,643 |
|
|
| Pro
forma net income for change in accounting |
|
|
|
|
|
|
|
|
|
|
|
|
| principle
effective January 1, 2000 |
|
|
N/A |
|
|
|
N/A |
|
|
$ |
32,326 |
|
| Pro
forma net income per diluted share for change in accounting |
|
|
|
|
|
|
|
|
|
|
|
|
| principle
effective January 1, 2000 |
|
|
N/A |
|
|
|
N/A |
|
|
$ |
0.66 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| See
notes to consolidated financial statements. |
|
|
|
|
|
|
|
|
|
|
|
|
|
