Cross Country Healthcare Earnings: Here’s Why Investors are Selling Shares Now

Cross Country Healthcare, Inc. (NASDAQ:CCRN) had a loss and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 3.04%.

Cross Country Healthcare, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased to $-0.31 in the quarter versus EPS of $0.04 in the year-earlier quarter.

Revenue: Decreased 10.42% to $111.73 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Cross Country Healthcare, Inc. reported adjusted EPS loss of $0.31 per share. By that measure, the company missed the mean analyst estimate of $-0.01. It missed the average revenue estimate of $126.52 million.

Quoting Management: “While our fourth quarter revenue was in-line with our expectations, our results were affected by a variety of factors that combined to result in a loss from continuing operations. Excluding the impact of the aforementioned professional liability expense, our successful efforts to improve our gross margin sequentially, primarily in our nurse and allied staffing segment, delivered results more rapidly than we had expected,” said Joseph A. Boshart, President and Chief Executive Officer of Cross Country Healthcare, Inc. “Currently, open orders for our travel nurse staffing services are significantly above the level of a year ago. Reflecting the stronger demand environment, bill rates increased in the fourth quarter, which aided in the expansion of our bill-pay spread,” he stated.

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