HCA Holdings 4Q net income climbs 35 percent
NEW YORK (AP) — Hospital operator HCA Holdings said Tuesday its net income grew 35 percent in the fourth quarter, and said the health care overhaul should add to its results in 2014.
The largest U.S. hospital operator said its adjusted earnings before interest, taxes, depreciation and amortization could grow as much as 4 percent in 2014. It said 1 to 2 percent of that growth could come from the 2010 health care law.
HCA said its net income increased to $424 million, or 92 cents per share, from $314 million, or 68 cents per share. Revenue rose 5 percent, to $8.84 billion from $8.43 billion.
Analysts expected net income of 86 cents per share and $8.83 billion in revenue, according to FactSet.
The Nashville, Tenn., company runs 165 hospitals and 115 surgery centers. It said adjusted admissions at hospitals open at least a year fell 1 percent, but revenue per admission at those locations rose 4.8 percent.
HCA expects to earn between $3.45 and $3.75 a share in 2014, and it forecast revenue of $35.5 billion to $36.5 billion.
Analysts are forecasting net income of $3.78 per share and $35.99 billion in revenue.
HCA reported $6.57 billion in adjusted EBITDA in 2013 and expects that to grow to between $6.6 billion and $6.85 billion in 2014. HCA also said it expects $110 million to $130 million in income from electronic health record incentives from the economic stimulus package of 2009. However it also expects $110 million to $130 million in costs from electronic health records.
Shares of HCA Holdings Inc. picked up 84 cents to $49.30 in midday trading.