Dallas-based Tenet Healthcare saw a net income of $456 million in the fourth quarter, up from $274 million over the same period in 2022, according to its financial report released Feb. 8.
Seven details:
1. Net income for 2023 was $1.3 billion, compared to $1 billion in 2022.
2. For the year ended Dec. 31, Tenet saw revenues of $20.5 billion, up 7.2% from $19.2 billion in 2022. Fourth-quarter revenue grew by 7.8% year over year to $5.4 billion.
3. Operating income hit $2.5 billion in 2023, up 12.2% from 2022. Fourth-quarter operating income increased 13.7% year over year to $735 million.
4. "Our businesses performed exceptionally well in 2023, driven by strong same facility revenue growth and disciplined operating management," Saum Sutaria, MD, chair and CEO of Tenet, said. "We carry momentum into 2024 and are focused on continuing to expand access to care and investing in cutting edge technology for our patients and physician partners, while strategically reducing our debt and growing our ambulatory care and hospital businesses."
5. Operating activities cash flow was $2.4 billion for the year ended Dec. 31, compared to $1.1 billion in the same period last year. Tenet also produced free cash flow of $1.6 billion for 2023 versus $321 million in 2022.
6. For recent transactions, Tenet completed a $2.4 billion sale of three South Carolina hospitals to Winston-Salem, N.C.-based Novant Health, or $1.75 billion post-tax. Tenet also signed a definitive agreement to sell four Orange County and Los Angeles County hospitals to UCI Health for around $975 million, or approximately $800 million post-tax. The transaction is expected to be complete this spring.
7. For ambulatory care, Tenet saw net operating revenues of $1.1 billion in the fourth quarter, up from $933 million over the same period in 2022. Its ambulatory net operating revenue for the year ended Dec. 31 was $3.9 billion, also up from $3.2 billion the previous year.