HCA announces revenue increase, agreements to buy five Texas hospitals
On its earnings call this week, HCA announced its revenues increased by 3.5% to $10.623 billion in the first quarter of 2017, which is up from $10.26 billion in the first quarter of last year.
- The health system said its 2017 guidance remains the same, including between $43 and $44 billion in revenues expected this year.
HCA Healthcare not only has a new name starting May 8, but it continues to add more hospitals.
During the earnings call, HCA officials said the health system is adding another five hospitals, including four in the Houston market: the 423-bed Houston Northwest Medical Center, the 171-bed Cypress Fairbanks Medical Center Hospital, the 444-bed Park Plaza Hospital and the 65-bed long-term acute care Plaza Specialty Hospital; and one in the San Antonio area: South Texas Regional Medical Center, a 67-bed hospital.
Those aren't the only acquisitions for HCA. They are also buying a Georgia acute care hospital and hope to buy Memorial Hospital in Savannah, according to R. Milton Johnson, chairman and CEO of HCA Healthcare.
Johnson said the seven hospitals would add 2,000 beds and about $1.5 million in new annualized revenues to HCA Healthcare. HCA currently has 171 hospitals and 118 freestanding surgery centers in 20 states in the U.S and U.K.
Hospital M&A activity has continued to be on the increase with multiple transactions being announced amidst first quarter earnings reports.
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