- HCA's third quarter results beat analysts' earnings expectations at the hospital chain with more than 180 hospitals across the country.
- The Nashville-based hospital operator reported revenue climbed 11% to about $13 billion, fueled by the volume growth in surgeries, admissions and ER visits.
- The company raised its earnings guidance and announced a dividend of 40 cents per share that will be paid out on Dec. 27.
Despite broad-based volume growth for HCA, net income dipped to $612 million from $759 million during the prior-year period, though the chain didn't provide many details as to why.
Still, CEO Sam Hazen said the company experienced the "strongest same facilities growth in volume we’ve seen in over the past 17 quarters."
That's impressive considering the company has defied trends by continuing to experience inpatient admission increases for 22 consecutive quarters, including the third quarter of 2019.
Hazen said the growth was across most service lines and was balanced across 13 of the company's 14 domestic markets.
Hazen touted the company's growth in surgical procedures. The company reported an increase in both inpatient and outpatient surgical cases, with increases of 4.4% and 5.2% respectively.
Executives said the company has been focused on investing in more operating room technology and adding deeper capabilities, which they say is driving surgical performance. In particular, cardiovascular procedures and orthopaedic joint replacements played a critical part in that growth, representing gains of 7.5% and 7% respectively, Hazen said.
Comparing the same facilities quarter over quarter, admissions increased 3.2%, and emergency visits increased 4.1%.
The hospital chain is also generating more revenue for each admission to their facilities. Inpatient revenue per admission increased 4.3%.
The company raised its guidance for the year and now expects earnings per share to be between $10.30 and $10.65 per diluted share. Revenue expectations will remain the same, between $50.5 billion and $51.5 billion.