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HCA Healthcare Q1 Earnings Miss Estimates on Rising Expenses
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Key Takeaways
HCA Healthcare's Q1 EPS missed estimates as higher costs and weaker surgeries pressured results.
HCA saw inpatient surgeries dip 0.3% and outpatient surgeries fall 1.7%, hurting performance.
HCA's expenses rose 4.8% to $15.3B, while adjusted EBITDA missed estimates despite 1.8% growth.
HCA Healthcare, Inc. (HCA - Free Report) reported first-quarter 2026 adjusted earnings per share (EPS) of $7.15, which missed the Zacks Consensus Estimate of $7.17. However, the bottom line advanced 10.9% year over year.
Revenues rose 4.3% year over year to $19.1 billion. However, the top line lagged the consensus mark by 0.1%.
The quarterly results were affected by declining same-facility inpatient and outpatient surgeries, and elevated operating expenses. However, the downside was partially offset by modest gains in emergency room visits.
HCA Healthcare, Inc. Price, Consensus and EPS Surprise
Same-facility equivalent admissions grew 1.3% year over year in the first quarter, missing our growth estimate of 2.3%. Meanwhile, same-facility admissions advanced 0.9%, missing our growth estimate of 2.2%.
Same-facility revenue per equivalent admission rose 3.1% year over year but came lower than our growth estimate of 3.9%.
Same-facility inpatient surgeries fell 0.3% year over year, while same-facility outpatient surgeries dipped 1.7%. Additionally, same-facility emergency room visits inched up 0.3% year over year in the quarter under review.
Salaries and benefits, supplies and other operating expenses increased 4.8% year over year to $15.3 billion. The metric came higher than our estimate of $15.2 billion.
Adjusted EBITDA of $3.8 billion advanced 1.8% year over year, which missed our estimate of $3.9 billion.
HCA Healthcare operated 189 hospitals and roughly 2,600 ambulatory sites of care across 19 states and the United Kingdom as of March 31, 2026.
HCA’s Financial Update (as of March 31, 2026)
HCA Healthcare exited the first quarter with cash and cash equivalents of $940 million, which dropped 9.6% from the 2025-end level. It had a leftover capacity of approximately $4.3 billion under its credit facilities at the first-quarter end.
Total assets of $61.5 billion increased 1.2% from the figure at 2025-end.
Long-term debt, excluding debt issuance costs and discounts, was $39.5 billion, down 5.1% from the figure as of Dec. 31, 2025. Short-term borrowings and long-term debt due within one year totaled $8.5 billion.
Capital expenditures were $1.1 billion minus acquisitions during the quarter under review.
HCA’s Cash Flow
HCA Healthcare generated $2 billion in cash from operations in the first quarter of 2026, which improved 22% from the prior-year comparable period.
HCA Healthcare’s Capital Deployment Update
HCA bought back shares worth $1.6 billion in the first quarter. It had a leftover capacity of around $9.2 billion under its buyback authorization as of March 31, 2026.
The board of directors also announced a dividend of 78 cents per share, which will be paid on June 30, 2026, to its shareholders of record as of June 16.
HCA Reaffirms 2026 Guidance
Annual revenues are still anticipated to be between $76.5 billion and $80 billion, the midpoint of which indicates a 3.5% rise from the 2025 reported figure.
Management continues to forecast adjusted EBITDA to be in the range of $15.55-$16.45 billion, the midpoint of which suggests 2.8% growth from the 2025 figure.
Net income attributable to HCA Healthcare is still expected to be between $6.495 billion and $7.035 billion.
EPS is forecasted to be in the $29.10-$31.50 band, the midpoint of which implies a 7% rise from the 2025 figure.
Capital expenditures, excluding acquisitions, were expected to be between $5 billion and $5.5 billion.
The Zacks Consensus Estimate for Globus Medical’s current-quarter earnings of 92 cents per share has witnessed one upward revision in the past seven days, against no movement in the opposite direction. Globus Medical beat earnings estimates in three of the trailing four quarters and missed once, with the average surprise being 18.8%. The consensus estimate for current-quarter revenues is pegged at $728.9 million, suggesting 21.9% year-over-year growth.
The Zacks Consensus Estimate for InnovAge Holding’s current-quarter earnings of 6 cents per share has witnessed one upward revision in the past 60 days, against no movement in the opposite direction. InnovAge Holding beat earnings estimates in three of the trailing four quarters and missed once, with the average surprise being 87.5%. The consensus estimate for current-quarter revenues is pegged at $234.5 million, suggesting 7.5% year-over-year growth.
The Zacks Consensus Estimate for BrightSpring Health Services’ current-quarter earnings of 32 cents per share has witnessed three upward revisions in the past 60 days, against one movement in the opposite direction. BrightSpring Health Services beat earnings estimates in three of the trailing four quarters and missed once, with an average surprise of 40.4%. The consensus estimate for current-quarter revenues is pegged at $3.3 billion, suggesting 15.9% year-over-year growth.
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HCA Healthcare Q1 Earnings Miss Estimates on Rising Expenses
Key Takeaways
HCA Healthcare, Inc. (HCA - Free Report) reported first-quarter 2026 adjusted earnings per share (EPS) of $7.15, which missed the Zacks Consensus Estimate of $7.17. However, the bottom line advanced 10.9% year over year.
Revenues rose 4.3% year over year to $19.1 billion. However, the top line lagged the consensus mark by 0.1%.
The quarterly results were affected by declining same-facility inpatient and outpatient surgeries, and elevated operating expenses. However, the downside was partially offset by modest gains in emergency room visits.
HCA Healthcare, Inc. Price, Consensus and EPS Surprise
HCA Healthcare, Inc. price-consensus-eps-surprise-chart | HCA Healthcare, Inc. Quote
HCA’s Q1 Details
Same-facility equivalent admissions grew 1.3% year over year in the first quarter, missing our growth estimate of 2.3%. Meanwhile, same-facility admissions advanced 0.9%, missing our growth estimate of 2.2%.
Same-facility revenue per equivalent admission rose 3.1% year over year but came lower than our growth estimate of 3.9%.
Same-facility inpatient surgeries fell 0.3% year over year, while same-facility outpatient surgeries dipped 1.7%. Additionally, same-facility emergency room visits inched up 0.3% year over year in the quarter under review.
Salaries and benefits, supplies and other operating expenses increased 4.8% year over year to $15.3 billion. The metric came higher than our estimate of $15.2 billion.
Adjusted EBITDA of $3.8 billion advanced 1.8% year over year, which missed our estimate of $3.9 billion.
HCA Healthcare operated 189 hospitals and roughly 2,600 ambulatory sites of care across 19 states and the United Kingdom as of March 31, 2026.
HCA’s Financial Update (as of March 31, 2026)
HCA Healthcare exited the first quarter with cash and cash equivalents of $940 million, which dropped 9.6% from the 2025-end level. It had a leftover capacity of approximately $4.3 billion under its credit facilities at the first-quarter end.
Total assets of $61.5 billion increased 1.2% from the figure at 2025-end.
Long-term debt, excluding debt issuance costs and discounts, was $39.5 billion, down 5.1% from the figure as of Dec. 31, 2025. Short-term borrowings and long-term debt due within one year totaled $8.5 billion.
Capital expenditures were $1.1 billion minus acquisitions during the quarter under review.
HCA’s Cash Flow
HCA Healthcare generated $2 billion in cash from operations in the first quarter of 2026, which improved 22% from the prior-year comparable period.
HCA Healthcare’s Capital Deployment Update
HCA bought back shares worth $1.6 billion in the first quarter. It had a leftover capacity of around $9.2 billion under its buyback authorization as of March 31, 2026.
The board of directors also announced a dividend of 78 cents per share, which will be paid on June 30, 2026, to its shareholders of record as of June 16.
HCA Reaffirms 2026 Guidance
Annual revenues are still anticipated to be between $76.5 billion and $80 billion, the midpoint of which indicates a 3.5% rise from the 2025 reported figure.
Management continues to forecast adjusted EBITDA to be in the range of $15.55-$16.45 billion, the midpoint of which suggests 2.8% growth from the 2025 figure.
Net income attributable to HCA Healthcare is still expected to be between $6.495 billion and $7.035 billion.
EPS is forecasted to be in the $29.10-$31.50 band, the midpoint of which implies a 7% rise from the 2025 figure.
Capital expenditures, excluding acquisitions, were expected to be between $5 billion and $5.5 billion.
HCA’s Zacks Rank & Key Picks
HCA currently carries a Zacks Rank #3 (Hold).
Some top-ranked stocks in the broader medical space are Globus Medical, Inc. (GMED - Free Report) , InnovAge Holding Corp. (INNV - Free Report) and BrightSpring Health Services, Inc. (BTSG - Free Report) , each currently sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Globus Medical’s current-quarter earnings of 92 cents per share has witnessed one upward revision in the past seven days, against no movement in the opposite direction. Globus Medical beat earnings estimates in three of the trailing four quarters and missed once, with the average surprise being 18.8%. The consensus estimate for current-quarter revenues is pegged at $728.9 million, suggesting 21.9% year-over-year growth.
The Zacks Consensus Estimate for InnovAge Holding’s current-quarter earnings of 6 cents per share has witnessed one upward revision in the past 60 days, against no movement in the opposite direction. InnovAge Holding beat earnings estimates in three of the trailing four quarters and missed once, with the average surprise being 87.5%. The consensus estimate for current-quarter revenues is pegged at $234.5 million, suggesting 7.5% year-over-year growth.
The Zacks Consensus Estimate for BrightSpring Health Services’ current-quarter earnings of 32 cents per share has witnessed three upward revisions in the past 60 days, against one movement in the opposite direction. BrightSpring Health Services beat earnings estimates in three of the trailing four quarters and missed once, with an average surprise of 40.4%. The consensus estimate for current-quarter revenues is pegged at $3.3 billion, suggesting 15.9% year-over-year growth.