Dallas-based Tenet Healthcare was on a downward spiral when Trevor Fetter joined the for-profit hospital operator as its CFO in 1995. However, with the help of Mr. Fetter, who is now Tenet's CEO, the company has drastically changed course, according to The Dallas Morning News.
Mr. Fetter began leading Tenet in 2003, which was a tumultuous time for the hospital operator, with one of its hospitals being investigated for a kickback scheme and another for Medicare billing practices. Knowing the challenges ahead, Mr. Fetter decided to address the hospital operator's troubles head on.
Tenet moved its headquarters from Santa Barbara, Calif., to Dallas in 2004, which was the same year Mr. Fetter sold many of the company's poorly performing hospitals. The proceeds from those hospital sales were used to upgrade remaining facilities. Mr. Fetter also slowed the hospital operator's growth strategy to help improve its finances. From 2006 to 2012, Tenet only acquired one hospital, according to the report. However, Tenet did greatly expand its outpatient presence during that time to adjust to the overall shift in the healthcare industry.
The strategy has paid off, as Tenet's revenue was up 49.7 percent in 2014, compared to the year prior. The for-profit hospital operator also posted net income of $12 million in 2014, up from a net loss of $134 million in 2013, according to the report.
Those solid financials helped Tenet crack the top 10 list of the largest public companies in Dallas.
Mr. Fetter has also been the force behind other major changes at Tenet, including the development its rigorous ethics and compliance program, according to the report.
Tenet operates 80 hospitals in 14 states and 215 free-standing outpatient centers in 17 states.
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