Healthcare providers' profits were up 23% in fourth quarter ended Dec. 31, 1993, according to WDI Capital Markets.
The Hilton Head, S.C.-based investment banking and advisory firm last week released its quarterly analysis of preliminary fourth-quarter earnings for 300 investor-owned healthcare companies. Earnings are adjusted for reorganizations and accounting changes.
Of the individual segments, hospital companies fared better than most, posting a 39% gain. Fourth-quarter earnings for the entire industry were down 3% in the fourth quarter compared with the year-ago period.
For the year, hospital companies reported a 58% drop, primarily because of the psychiatric providers. However, hospital company figures do not include the biggest chain, Louisville, Ky.-based Columbia/HCA Healthcare Corp., which is expected to release its fourth-quarter and year-end numbers later this month.
Managed-care companies showed big gains, reporting a 65% increase in earnings for the quarter and a 70% jump for the year.
The change in adjusted earnings for other segments were: home healthcare, down 25% for the quarter, 7% for the year; long-term care, up 46% for the quarter, 38% for the year; outpatient services, up 8% for the quarter, down 30% for the year; and rehabilitation, down 20% for the quarter, 17% for the year.