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View All NewsAMN revenue up 12% on organic basis; growth in nurse and allied segment
AMN Healthcare Services Inc. (NYSE: AMN), the largest US healthcare staffing firm, reported third-quarter revenue rose 23.4% and was up 12% on an organic basis with the growth mainly stemming from the company’s nurse and allied solutions segment.
| (US$ thousands) | Q3 2016 | Q3 2015 | % change |
| Revenue | $472,636 | $382,859 | 23.4% |
| Gross profit | $154,467 | $126,009 | 22.6% |
| Gross margin percentage | 32.7% | 32.9% | |
| Net income | $27,296 | $33,647 | -18.9% |
Nurse and allied revenue was up 16% in the third quarter — travel nurse revenue was up 21% and allied revenue rose 10%.
Locum tenens revenue rose 6.7%. And AMN’s “other workforce solutions” segment posted growth of 124.9%. The other workforce solutions segment includes executive search, physician perm placement, recruitment process outsourcing, vendor management systems and other business lines.
Quote
“The demand for healthcare professionals and workforce solutions is strong today and is expected to continue to grow as turnover and vacancies persist at historical high levels,” said President and CEO Susan Salka.
Revenue by segment
| (US$ thousands) | Q3 2016 | Q3 2015 | % change |
| Nurse and allied solutions | $286,810 | $246,748 | 16.2% |
| Locum tenens solutions | $108,553 | $101,755 | 6.7% |
| Other workforce solutions | $77,273 | $34,356 | 124.9% |
Guidance
AMN forecast fourth-quarter revenue of between $473 million and $479 million, a year-over-year increase of between 17.5% and 19.0%.
Share price and market cap
Shares in AMN fell 9.67% to $29.90 in early afternoon trading, according to Yahoo.