Advocat Inc. reported earnings of $4.6 million in the first quarter 2004, compared with a loss of $3.1 million in the year ago quarter. Advocat attributed their earnings to higher patient revenues from a new lease on four Florida nursing homes, higher Medicare census, and Medicaid and Medicare rate increases.

First-quarter revenues for the Nashville, TN-based nursing home operator rose to $51.5 million, or 22%, compared with $43.2 million in the year ago quarter.

Advocat also sold its Canadian operations — Diversicare Canada Management Services Co., Inc – for about $11.8 million. The sale was completed May 11.