Hanger Orthopedic says 4th qtr was better than expected, boosts estimate for 2009 earnings

Hanger raises forecast after giving 4Q outlook

BETHESDA, Md. — Hanger Orthopedic Group Inc. said Tuesday that its revenue and savings were better than expected in the fourth quarter, and gave forecasts that surpassed Wall Street estimates.

The company, which operates rehabilitation centers for people with braces or prosthetics, said it expects to report a quarterly profit of 35 cents to 38 cents per share and revenue of about $205 million. Analysts were projecting net income of 31 cents per share and $199.6 million in revenue, according to a Thomson Reuters survey.

Hanger also raised its estimates for the year, and its shares rose 70 cents, or 4.8 percent, to $15.11 in morning trading.

The company now expects to earn $1.10 to $1.13 per share for the year, up from $1.05 to $1.07. It called for $760 million in revenue, compared with a previous range of $750 million to $760 million. Analysts were estimating $1.06 per share and $754.6 million.

Separately, Hanger said it will move its corporate headquarters to Austin, Texas, this year because a location in the middle of the country will improve communication with its patient care centers and other facilities.

Now based in Bethesda, Md., the company says the move will be completed in the third quarter.

Hanger will offer relocation opportunities to some of its 130 employees and severance agreements and benefits continuation to those who don’t move.