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Health care industry

North Star Universal Reports Third Quarter and Nine-Month Results for 1995

Strategic Insights

— 2 min read

North Star Universal, Inc. reported improved financial performance in the third quarter and nine-month periods ended September 30, 1995. The company's income from continuing operations increased to $722,000, or 7 cents per share, in the third quarter, compared to $538,000, or 6 cents per share, in the same period last year. Consolidated revenues for the quarter also grew to $14.3 million, up from $13.3 million in the previous year. For the nine-month period, income from continuing operations was approximately $2.1 million, or 22 cents per share, versus approximately $1 million, or 11 cents per share, in 1994. Americable and Transition Networks, two of North Star's subsidiaries, contributed to the improved performance with increased operating profits of approximately $200,000 for the quarter and $1.2 million for the first nine months of the year.

Key Takeaways:

  • North Star Universal reported income from continuing operations of $722,000, or 7 cents per share, in the third quarter of 1995, an increase of 34% from the same period last year.
  • The company's consolidated revenues for the quarter grew to $14.3 million, up 8% from $13.3 million in the previous year.
  • Americable, a provider of connectivity and networking products and services, reported improved margins and favorable expense controls, contributing to increased operating profits of approximately $200,000 for the quarter.
  • Transition Networks, which designs and manufactures connectivity devices for local area network (LAN) applications, reported a 20% increase in sales for the quarter, driven by higher volumes from both domestic and international customers.
  • Michael Foods, in which North Star Universal holds a 38% interest, recorded earnings growth in the third quarter, driven by strength in value-added sales, particularly in its Easy Eggs and refrigerated potato product lines.
  • CorVel, in which North Star Universal holds a 35% interest, continued to report record revenues and earnings, driven by the expansion of its line of preferred provider organizations (PPOs) and related patient management activities.

Statistics:

  • Income from continuing operations: $722,000 in the third quarter of 1995, up 34% from $538,000 in the same period last year.
  • Consolidated revenues for the quarter: $14.3 million in 1995, up 8% from $13.3 million in the previous year.
  • Operating profits for Americable and Transition Networks: approximately $200,000 for the quarter and $1.2 million for the first nine months of 1995.
  • Sales growth for Transition Networks: 20% in the third quarter of 1995, driven by higher volumes from both domestic and international customers.
  • Revenue growth for Michael Foods: driven by strength in value-added sales, particularly in its Easy Eggs and refrigerated potato product lines.
  • Revenue growth for CorVel: driven by the expansion of its line of PPOs and related patient management activities.

Sources:

  • North Star Universal, Inc. (PRNewswire, October 26, 1995)
  • Nasdaq (stock listings for North Star Universal, Inc., Michael Foods, Inc., and CorVel Corporation)
  • News article (no date or source mentioned)

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