Second-quarter net loss widened at Arcadia Resources Inc. (AMEX: KAD), a provider of healthcare, pharmacy, and staffing services. The company reported a loss of $9.2 million in the quarter ended Sept. 30, compared with a loss of $735,619 in the same period last year.

Revenue rose 1.0% to $38.7 million from $38.3 million in the second quarter of last year. Gross margin improved to 31.6% from 31.4%.

Arcadia reported a loss from continuing operations of $4.5 million. In addition, it reported a loss from discontinued operations of $4.6 million in the quarter. Arcadia sold its durable medical equipment operations in Florida and Colorado, ceased its Care Clinics Inc. operations, and sold its durable medical equipment operations at Sears stores.

Arcadia's in-home services segment, which includes staffing and home care services, posted a 1.4% increase in revenue to $31.2 million. In-home care's gross margin slipped to 26.0% from 26.7%.

Arcadia Resources Inc. (AMEX: KAD)

For the second quarter ended Sept. 30, 2007, compared with the same period in the prior year.

Revenue: $38.7 million, +1.0%