Second-quarter revenue rose 3.4% at AMN Healthcare Services Inc. (NYSE: AMN). Excluding approximately $18 million in labor disruption revenue in the year-ago quarter, revenue rose 7% year over year; there was no labor disruption revenue reported in this year’s second quarter. 

The San Diego-based firm ranks as the largest US healthcare staffing provider, according to Staffing Industry Analysts’ annual rankings.

Quote

“Although there continues to be debate regarding potential changes to healthcare policy, several key macro-trends remain very much in our favor and should continue to provide opportunity for growth as well as the need for innovation in workforce solutions,” said President and CEO Susan Salka. “This environment, combined with the positive momentum in our MSP business and robust pipeline, provides us great confidence as we look toward 2018.”

Revenue by segment

In travel nurse staffing, AMN’s largest division, revenue rose 9% year over year, driven by both volume and pricing. Allied division revenue rose 12% to reach a record high.

Year-over-year growth in the “other workforce solutions” segment was driven by the acquisition of medical coding firm Peak Health Solutions in June 2016 and growth in the VMS, interim leadership, and workforce optimization businesses, partially offset by declines in the permanent placement businesses.

Guidance

AMN forecast third-quarter revenue of between $490 million and $496 million. The projected year-over-year revenue increase of 4% to 5% is driven primarily by growth in its nurse and allied and other workforce solutions segments. Travel nurse staffing, AMN’s largest business, is expected to grow approximately 7% year over year. There is no material labor disruption revenue included in the third quarter guidance.

Share price and market cap

Shares in AMN fell 1.11% in early afternoon trading today to $35.70. The company had a market cap of $1.71 billion, according to Yahoo.