InSight fights bankruptcy, reports losses for fiscal 2008

LAKE FOREST, Calif. After emerging from bankruptcy, diagnostic imaging company InSight Health Services Holding adopted fresh-start reporting in accordance with the American Institute of Certified Public Accountants’ statement of position 90-7, but its revenues have still decreased in the fiscal year ended June 30, the company announced Thursday.

InSight said its revenues had decreased from $287 million in the year ended June 30, 2007 to $265 million for the year ended June 30 of this year. For the quarter ended June 30, revenues decreased to $64.8 million, from last year’s $71.2 million.

Net cash provided by operating activities was about $3.6 million for the year ended June 30 and resulted primarily from net income and changes in certain assets and liabilities, partially offset by non-cash income and cash used for reorganization. Non-cash income includes reorganization items, partially offset by non-cash charges of impairment of goodwill and other intangible assets, depreciation and amortization and amortization of bond discount.

As of June 30, InSight had about $29.1 million in cash, cash equivalents and restricted cash, and approximately $22 million of availability under its revolving credit facility, based on its borrowing base.