Tenet Healthcare Corp. saw patient volume rebound in the fourth quarter of 2014, leading to a stronger financial performance for the Dallas-based chain compared with its prior year.
Same-hospital admissions increased 4% and were up 4.5% when adjusted for outpatient activity. Tenet also said it had one of the largest increases in its commercial volume in more than a decade. The number of paying admissions similarly increased 6.1%.
Those numbers led to an operating margin of 7.5% for the fourth quarter compared with 4.3% in the prior-year period. Its net income increased to $61 million on nearly $4.5 billion in revenue compared with a net loss of $24 million on $3.9 billion in revenue in the fourth quarter of 2013.
Uninsured and charity admissions declined 62.4% in its five states that expanded Medicaid eligibility for low-income adults, Tenet outlined. The number of admissions for patients with health plans purchased on an exchange increased 11%.
The company last month offered a 2015 outlook that analysts had deemed conservative.
Monday, it reiterated that it is expecting 2015 adjusted earnings before interest, taxes, depreciation and amortization to be in the range of $2.05 billion to $2.15 billion, while earnings per share will be in the range of $1.32 to $2.40.
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