HCA Healthcare said Thursday it has closed on its purchase, announced in February, of a majority stake in Brookdale Senior Living's home health, hospice and outpatient therapy arm. Here are five things to know:
1) Nashville-based HCA bought an 80% equity stake in Brookdale Health Care Services for $400 million. Brookdale owns the remaining 20%.
2) Going forward, HCA and Brookdale Senior Living will operate Brookdale Health Care Services as a joint venture, which HCA says will boost quality, patient experience and access to services.
3) The portfolio includes 57 home health agencies and 22 hospice agencies in 26 states and 84 outpatient therapy locations. HCA has 186 hospitals and about 2,000 ambulatory sites of care, including surgery centers, freestanding ERs, urgent care centers and physician clinics, in 20 states and the United Kingdom.
4) Brookdale, also based in Nashville, lost $61.6 million on $749.4 million in operating revenue in the first quarter of 2021, which ended March 31, an 8.2% loss margin. That's compared with $14.9 million in operating income on $1 billion in revenue in the prior-year period, a 1.5% margin.
5) HCA's net income was $1.4 billion in the first quarter of 2021, which ended March 31, compared with $581 million in the prior-year period. The company drew $14 billion in revenue in the quarter, up almost 9% year-over-year.