Cross Country Healthcare (NASDAQ: CCRN) cited near-term headwinds in its nursing segment, but its physician staffing segment posted growth. Overall, the Boca Raton, Florida-based healthcare staffing firm reported first-quarter revenue fell 39.1% to $379.2 million. It was within guidance.
“Our first-quarter results reflect our ability to execute in a challenging market. We are especially pleased with the momentum we are seeing in physician staffing, homecare and education,” President and CEO John Martins said in a press release. “With near-term headwinds for contingent nursing labor, we continue to right-size our infrastructure while managing the business for the long term.”
The company’s physician staffing business posted revenue growth of 16.3% in the first quarter to nearly $47.0 million.
However, in nurse and allied staffing — Cross Country’s largest segment — first-quarter revenue fell 43.0% to $332.2 million. Average field contract personnel on a full-time equivalent basis fell to 9,124 from the year-ago quarter’s average of 12,518.
Cross Country also recorded restructuring costs of $938,000, which includes employee termination and lease-related exit costs.
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Guidance
Cross Country forecast second-quarter revenue to be down by between 37% and 39%.
