NHC Reports First Quarter Earnings

For release: May 9, 2011
Contact: Gerald Coggin, Sr. VP of Corporate Relations
Phone: (615) 890-2020

MURFREESBORO, Tenn. – National HealthCare Corporation (NYSE Amex: NHC; NYSE Amex: NHC.PRA), a publicly traded long-term health care company, today announced net income available to common shareholders for the quarter ended March 31, 2011 of $16,556,000 compared to $8,239,000 for the quarter ended March 31, 2010, an increase of 101%. Net income was $1.21 per common share basic for the quarter ended March 31, 2011 compared to $.60 per common share basic for the quarter ended March 31, 2010.

Revenues for the three months ended March 31, 2011 totaled $192,948,000 compared to $172,037,000 for the same three months of 2010.

Operating results for the first quarter of 2011 benefitted from improved Medicare per diems and patient mix. Further, other operating expense for the current period includes favorable results within our accrued risk reserves of $10,500,000 (approximately $6,825,000 after income taxes). Excluding this adjustment, the quarter ended March 31, 2011 would have reflected an increase of 18% in net income available to common shareholders compared to the same period in 2010.

2011 Q1 Earnings