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View All NewsAMN revenue up 21% in Q4
Revenue rose 21% in the fourth quarter at AMN Healthcare Services Inc. (NYSE: AMN). On an organic basis, revenue rose 10% in the quarter. The San Diego, Calif.-based firm ranks as the largest US healthcare staffing provider.
| (US$ thousands) | Q4 2016 | Q4 2015 | % change |
| Revenue | $487,858 | $402,552 | 21.2% |
| Gross profit | $158,606 | $131,804 | 20.3% |
| Gross margin percentage | 32.5% | 32.7% | |
| Net income | $26,351 | $20,165 | 30.7% |
Quote
“In addition to our strong financial performance, we made great strides in advancing our long-term strategy,” said Susan Salka, president and CEO of AMN. “We completed the integrations of B.E. Smith, HealthSource Global and Peak Health Solutions, allowing AMN to become an even more comprehensive, value-added workforce partner to our clients.”
Revenue by segment
| (US$ thousands) | Q4 2016 | Q4 2015 | % change |
| Nurse and allied solutions | $307,898 | $263,019 | 17.1% |
| Locum tenens solutions | $103,822 | $99,256 | 4.6% |
| Other workforce solutions | $76,138 | $40,277 | 89.0% |
Revenue growth in its other workforce solutions segment was bolstered by acquisitions and growth in vendor management solutions, interim nurse leadership and workforce optimization businesses. However, fourth-quarter gross margin in the other workforce solutions segment narrowed to 55.7% from 73.6% in the same period last year.
Revenue in the nurse and allied segment rose 17% with organic growth of 12%. AMN reported the division had strong growth that was also bolstered by higher-than-expected labor disruption revenue. Gross margin rose to 27.3% in the company’s nurse and allied solutions segment from 27.1% in the year-ago quarter. The average number of healthcare professionals on assignment in the nurse and allied segment rose to 8,764 in the fourth quarter from 8,032 a year ago.
Locum tenens gross margin narrowed to 30.8% in the fourth quarter from 31.2%.
Full-year results
| (US$ thousands) | 2016 | 2015 | % change |
| Revenue | $1,902,225 | $1,463,065 | 30.0% |
| Gross profit | $619,724 | $469,363 | 32.0% |
| Gross margin percentage | 32.6% | 32.1% | |
| Net income | $105,838 | $81,891 | 29.2% |
Guidance
AMN forecast first-quarter revenue of between $489 million and $495 million, a year-over-year increase of between 4.5% and 5.8%.
Share price and market cap
Shares in AMN edged up 0.32% in early afternoon trading today to $39.47. The company had a market cap of $1.9 billion, according to Yahoo.