UHS - HCA Healthcare drags hospital sector after Q3 results
2023-10-24 08:39:58 ET
HCA Healthcare ( NYSE: HCA ) fell ~7% in the pre-market on Tuesday, dragging down its rivals after the hospital sector earnings bellwether set its 2023 outlook below consensus with its Q3 results.
Notable decliners include Tenet Healthcare ( THC ), Community Health Systems ( CYH ), Universal Health Services ( UHS ), Surgery Partners ( SGRY ), and Select Medical Holdings ( SEM ).
HCA ( HCA ), the largest for-profit hospital chain in the U.S., reported $16.2B in revenue for the quarter, exceeding Street forecasts with ~8% YoY growth.
“During the quarter, most aspects of our business were positive, including continued solid demand for our services, which translated into strong revenue growth,” CEO Sam Hazen remarked.
Meanwhile, the company’s adjusted EBITDA for Q3 slipped ~1% YoY to $2.9B, and its adjusted earnings per share reached $3.91, both falling short of Street estimates.
Hazen attributed the underperformance to its Valesco physician staffing joint venture, which he said fell short of expectations and hurt the overall results.
HCA ( HCA ) tightened its 2023 revenue guidance from $63.25B – $64.75B to $63.5B – $64.5B, which, however, failed to exceed Wall Street expectations of $63.93 B.
The company’s adjusted EBITDA outlook for the year at $12.3B–$12.6B also fell short of the $12.61B consensus, according to data compiled by Bloomberg .
More on HCA
- HCA Healthcare: Rx For Success
- HCA Healthcare: Impact Of Medicare Advantage Growth And Demographic Shift
- HCA Healthcare Is Beating The Industry
- HCA Healthcare reports mixed Q3 earnings; updates FY23 outlook
- HCA Healthcare Q3 2023 Earnings Preview
For further details see:
HCA Healthcare drags hospital sector after Q3 results