Dallas-based Tenet Healthcare saw its net revenue increase in the third quarter of fiscal year 2015, but including the results of both continuing and discontinued operations, the for-profit hospital operator ended the period with a net loss.
Here are six things to know about Tenet's financial and operating results for the third quarter.
1. For the period ended Sept. 30, the hospital operator reported revenue rose to $4.7 billion, up 12.4 percent from $4.2 billion a year earlier.
2. Tenet, which operates 87 acute care hospitals, experienced a 0.6 percent decline in same-hospital admissions in the third quarter of 2015, compared to the same period of 2014. However, revenue per adjusted admission improved 5.8 percent. When adjusted for outpatient activity, admissions at Tenet's facilities were up 0.7 percent year over year.
3. Driven by higher acuity cases, surgery volume at Tenet's hospitals was up 0.8 percent in the third quarter compared to the same period of last year.
4. Through its subsidiaries, partnerships and joint ventures, including United Surgical Partners International, Tenet operates 20 short-stay surgical hospitals and more than 440 outpatient centers. On a same-facility basis, cases in Tenet's ambulatory care segment increased 6.3 percent in the third quarter of 2015, with net revenue for the segment up 10.1 percent compared to the same period of 2014.
5. Tenet reported a net loss of $29 million for the third quarter of 2015, compared to net income of $9 million in the same period a year ago. Excluding write-downs, restructuring and acquisition-related charges, litigation- and investigation- related expenses and other items, Tenet generated adjusted net income from continuing operations of $30 million in the third quarter of 2015, compared to $36 million in the third same period of last year.
6. Along with reporting its financial and operating results, Tenet also said its board approved the repurchase of an additional $500 million of the hospital operator's shares.
"In light of the recent market volatility combined with the cash proceeds that we are anticipating from divestitures, our board has approved a new $500 million share repurchase authorization," said Tenet Chairman and CEO Trevor Fetter. "We regularly review our priorities for capital and believe that a share repurchase authorization is an appropriate tool to have available to us at this time."
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