Community Health Systems, Inc. (CYH - Free Report) incurred adjusted loss of 29 cents per share in third-quarter 2019, narrower than the Zacks Consensus Estimate of a loss of 55 cents. The bottom line also improved from the year-ago quarterly loss of $1.64. The bottom-line result was mainly due to lower admissions in the quarter under review.
Quarterly Operational Update
In the third quarter, net operating revenues were $3.2 billion, surpassing the Zacks Consensus Estimate by 2.9%. However, the top line declined 5.9% year over year due to reduced admissions.
The third quarter witnessed a 9.2% decrease in admissions and an 8.4% fall in adjusted admissions from the respective year-ago figures.
Total operating costs and expenses were $3 billion, down 9.3% year over year owing to lower salaries and benefits plus minimal supplies as well as operating expenses.
Financial Update
Total assets at third-quarter end were $15.9 billion, up 0.2% from the level at 2018 end.
Cash and cash equivalents were down 19.9% from the level as of 2018 end.
In the third quarter, net cash used in operating activities was $74 million compared with net cash provided by operating activities of $346 million a year ago.
The company has a long-term debt of $13.3 billion as of Sep 30, 2019, down 0.8% from the level as of Dec 31, 2018.
2019 Guidance
Loss per share from continuing operations is now estimated between $1.75 and $1.85 while revenues are projected between $12.9 billion and $13.2 billion. Adjusted EBITDA is predicted in the range of $1.6-$1.65 billion while same store hospital annual adjusted admissions growth is likely to inch up 1.5-2.5%.
Capital expenditure is expected between $425 and $475 million whereas net cash provided by operating activities is projected between $500 and $550 million.
Zacks Rank and Performance of Other Players
Community Health has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Among other players from the medical sector having already reported third-quarter earnings, the bottom-line results of UnitedHealth Group Incorporated (UNH - Free Report) , Anthem Inc. and Centene Corporation (CNC - Free Report) topped the respective Zacks Consensus Estimate.
Today's Best Stocks from Zacks
Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2018, while the S&P 500 gained +15.8%, five of our screens returned +38.0%, +61.3%, +61.6%, +68.1%, and +98.3%.
This outperformance has not just been a recent phenomenon. From 2000 – 2018, while the S&P averaged +4.8% per year, our top strategies averaged up to +56.2% per year.
See their latest picks free >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Community Health Systems, Inc. (CYH - Free Report) incurred adjusted loss of 29 cents per share in third-quarter 2019, narrower than the Zacks Consensus Estimate of a loss of 55 cents. The bottom line also improved from the year-ago quarterly loss of $1.64. The bottom-line result was mainly due to lower admissions in the quarter under review.
Quarterly Operational Update
In the third quarter, net operating revenues were $3.2 billion, surpassing the Zacks Consensus Estimate by 2.9%. However, the top line declined 5.9% year over year due to reduced admissions.
The third quarter witnessed a 9.2% decrease in admissions and an 8.4% fall in adjusted admissions from the respective year-ago figures.
Total operating costs and expenses were $3 billion, down 9.3% year over year owing to lower salaries and benefits plus minimal supplies as well as operating expenses.
Financial Update
Total assets at third-quarter end were $15.9 billion, up 0.2% from the level at 2018 end.
Cash and cash equivalents were down 19.9% from the level as of 2018 end.
In the third quarter, net cash used in operating activities was $74 million compared with net cash provided by operating activities of $346 million a year ago.
The company has a long-term debt of $13.3 billion as of Sep 30, 2019, down 0.8% from the level as of Dec 31, 2018.
2019 Guidance
Loss per share from continuing operations is now estimated between $1.75 and $1.85 while revenues are projected between $12.9 billion and $13.2 billion. Adjusted EBITDA is predicted in the range of $1.6-$1.65 billion while same store hospital annual adjusted admissions growth is likely to inch up 1.5-2.5%.
Capital expenditure is expected between $425 and $475 million whereas net cash provided by operating activities is projected between $500 and $550 million.
Zacks Rank and Performance of Other Players
Community Health has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Among other players from the medical sector having already reported third-quarter earnings, the bottom-line results of UnitedHealth Group Incorporated (UNH - Free Report) , Anthem Inc. and Centene Corporation (CNC - Free Report) topped the respective Zacks Consensus Estimate.
Today's Best Stocks from Zacks
Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2018, while the S&P 500 gained +15.8%, five of our screens returned +38.0%, +61.3%, +61.6%, +68.1%, and +98.3%.
This outperformance has not just been a recent phenomenon. From 2000 – 2018, while the S&P averaged +4.8% per year, our top strategies averaged up to +56.2% per year.
See their latest picks free >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Get the latest research report on UNH - FREE
Get the latest research report on CYH - FREE
Get the latest research report on CNC - FREE