XML 34 R12.htm IDEA: XBRL DOCUMENT v3.3.0.814
5. INVESTMENT IN JOINT VENTURES
 9 Months Ended
Sep. 30, 2015
Equity Method Investments and Joint Ventures [Abstract]  
INVESTMENT IN JOINT VENTURES

We have ten unconsolidated joint ventures where our ownership interests range from 35% to 50%. These joint ventures represent partnerships with hospitals, health systems or radiology practices and were formed for the purpose of owning and operating diagnostic imaging centers.  Professional services at the joint venture diagnostic imaging centers are performed by contracted radiology practices or a radiology practice that participates in the joint venture.  Our investment in these joint ventures is accounted for under the equity method.

 

The following table is a roll forward of our investment in joint ventures during the nine months ended September 30, 2015 (in thousands):

 

Balance as of December 31, 2014  $32,123 
Equity in earnings in these joint ventures   6,301 
Distribution of earnings   (6,255)
Equity contributions in existing joint ventures   265 
Balance as of September 30, 2015  $32,434 

 

We earned management service fees from the centers underlying these joint ventures of approximately $2.6 million and $2.3 million for the three months ended September 30, 2015 and 2014, respectively, and $6.4 million and $6.9 million for the nine months ended September 30, 2015 and 2014, respectively.

  

The following table is a summary of key financial data for these joint ventures as of September 30, 2015 (in thousands) and for the nine months ended September 30, 2015 and 2014 (in thousands):

 

Balance Sheet Data:  September 30, 2015 
Current assets  $17,551 
Noncurrent assets   87,527 
Current liabilities   (5,044)
Noncurrent liabilities   (42,245)
Total net assets  $57,789 
      
Book value of RadNet joint venture interests  $27,463 
Cost in excess of book value of acquired joint venture interests   4,971 
Total value of Radnet joint venture interests  $32,434 
      
Total book value of other joint venture partner interests  $30,326 

 

Income statement data for the nine months ended September 30,  2015   2014 
Net revenue  $85,305   $73,859 
Net income  $13,489   $9,801