Third-quarter revenue at Cross Country Healthcare Inc. (NASD: CCRN) rose 6.3%. However, the Boca Raton, Fla.-based healthcare staffing provider reported revenue was down 5% on a pro forma basis with the results of acquisitions added — and the results of divestitures excluded — as if the transactions occurred at the start of the measurement period.

Revenue rose in Cross Country’s nurse and allied staffing business predominantly due to its acquisition of Advantage RN LLC, the company reported. Cross Country acquired substantially all the assets of Advantage RN on July 1 for a total purchase price of $88 million.

Revenue fell in other segments.

Revenue by segment

The company said severe weather forced the closure of its travel nurse and allied office in Florida, as well as several branches, resulting in a relatively minor negative impact to revenue and profitability for the third quarter; a more significant impact is expected for the fourth quarter.

Net income attributable to common shareholders fell to $6.7 million from $14.1 million; the previous year included a gain on derivative liability of $7.1 million.

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“This was a good quarter that sets us up for an improved financial performance in 2018,” said President and CEO William Grubbs. “We have recovered from the lower operating margins earlier in the year and are growing into the investments made in recruiters and candidate attraction. I am particularly pleased that we are on track for another record year of winning new MSPs that should support our current momentum.”

Guidance

Cross Country forecasts fourth-quarter revenue will be flat to up 2%.

Share price and market cap

Shares in Cross Country fell 10.34% to $12.22 in afternoon trading today. The company had a market cap of $445.96 million, according to Yahoo at 2:29 p.m. EDT.