Providence Service Corporation Announces an Increase to its Stock Repurchase Program
April 03 2018 - 4:15PM
The Providence Service Corporation (the “Company” or “Providence”)
(Nasdaq:PRSC) today announced that its Board of Directors has
amended its ongoing stock repurchase program to add an additional
$78 million of capacity and extend the expiration date of the
program from December 31, 2018 to June 30, 2019. As of April
3, 2018, and inclusive of this $78 million increase, the Company
has approximately $100 million of share repurchase availability
under its share repurchase program.
“The decision by Providence’s Board to increase the capacity of
our share repurchase program demonstrates our confidence in the
continued strength and long-term growth prospects of our core
business, LogistiCare,” said Providence’s interim CEO, Carter Pate.
“Further building upon the success of our previous repurchase
efforts, this increase also underscores our ongoing focus on our
capital allocation strategy. Providence’s financial position,
including a strong balance sheet and solid cash generation, permits
us to opportunistically return capital to our shareholders through
buybacks while also committing capital towards our numerous value
enhancement initiatives focused on driving revenue growth and
margin expansion at LogistiCare.”
Purchases under the Company’s stock repurchase program may be
made from time-to-time through a combination of open market
repurchases (including Rule 10b5-1 plans), privately negotiated
transactions, and accelerated share repurchase transactions, at the
discretion of the Company’s officers, and as permitted by
securities laws, covenants under existing bank agreements, and
other legal requirements. The stock repurchase program may be
suspended or discontinued at any time. The timing, number and
amount of any shares repurchased will be determined by Company
management at its discretion and will be based on a number of
factors, including its evaluation of general market and economic
conditions and the trading price of the common stock.
About Providence
The Providence Service Corporation owns
subsidiaries and investments primarily engaged in the provision of
healthcare services in the United States and workforce development
services internationally. For more information, please visit
prscholdings.com.
Forward-Looking Statements
Certain statements contained in this release constitute
“forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995. Such forward-looking
statements are based on current expectations, assumptions,
estimates and projections about our business and our industry, and
are not guarantees of our future performance. These
statements are subject to a number of known and unknown risks,
uncertainties and other factors which may cause actual events to be
materially different from those expressed or implied herein,
including factors disclosed in our annual report on Form 10-K and
subsequent filings with the Securities and Exchange
Commission. You are cautioned not to place undue reliance on
these forward-looking statements, which speak only as of the date
the statement was made. We undertake no obligation to update
or revise any forward-looking statements contained in this release,
whether as a result of new information, future events or otherwise,
except as required by applicable law.
Investor Relations
ContactLaurence Orton – VP Finance & Corporate
Controller
(203) 307-2800
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