Unilab Reports Profit of $3.2 Million in Quarter

Unilab Corp., a Tarzana-based provider of medical testing services, posted first-quarter net income of $3.2 million on a 3% gain in sales.

Unilab said it didn’t have any net income during the same period a year ago after the payment of preferred dividends and before an accounting change.

Revenue in the latest quarter rose to $57 million from $55 million.

As previously reported, Unilab has agreed to a restructuring plan that includes selling its non-California labs to one of its major stockholders, Corning Inc., a Corning, N.Y.-based maker of glass and communications products and a provider of lab services.

In exchange, Corning will assume $70 million of Unilab’s $93 million of current debt and reduce its ownership interest in Unilab to about 12% from the current 43%. Corning will also transfer its British clinical laboratory company, J.S. Pathology PLC, to Unilab.