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HCA Healthcare (HCA) Q4 Earnings Beat Estimates, Rise Y/Y

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HCA Healthcare, Inc. (HCA - Free Report) reported fourth-quarter 2019 adjusted earnings of $3.09 per share, surpassing the Zacks Consensus Estimate by 0.9%. Moreover, the bottom line inched up 3.3% year over year on the back of higher revenues and increased admissions.

Quarterly Details

HCA Healthcare generated revenues of $13.5 billion, beating the Zacks Consensus Estimate by 1.6%. The top line was also up 10.2% from the year-ago period.

Same facility equivalent admissions increased 5% year over year while same facility admissions rose 4.7%. Same facility revenue per equivalent admission also grew 1.1% year over year.

Salaries and benefits, supplies and other operating expenses increased 10.6 % year over year to $10.8 billion.

Adjusted EBITDA totaled $2.7 billion, up 9.2% year over year.

As of Dec 31, 2019, HCA Healthcare operated 184 hospitals.

HCA Healthcare, Inc. Price, Consensus and EPS Surprise

HCA Healthcare, Inc. Price, Consensus and EPS Surprise

HCA Healthcare, Inc. price-consensus-eps-surprise-chart | HCA Healthcare, Inc. Quote

Financial Update

As of Dec 31, 2019, the company had cash and cash equivalents of about $621 million, total debt of $33.72 billion and total assets of $45.05 billion.

In the reported quarter, capex came in at $1.27 billion minus acquisitions.
Cash flows provided by operating activities were $2.5 billion, up 15.2% year over year.

Dividend and Share Repurchase Update

HCA Healthcare announced a quarterly cash dividend of 43 cents per share payable Mar 31 to its stockholders of record at the close of business on Mar 2.

The company bought back shares worth $272 million in the fourth quarter and had $1.24 billion remaining under its current repurchase authorization as of Dec 31, 2019.

Full-Year Results

The company reported 2019 revenues of $51.3 billion, up 9.95% year over year.

Net income of the company was $10.07 per share, down 5.5% year over year.

2020 Outlook

Following fourth-quarter results, the company has provided its 2020 guidance.

It expects its 2020 revenues in the band of $53.5-$55.5 billion. Adjusted EBITDA is projected to a new range of $10.25-10.65 billion.

Capital expenditures are anticipated in the range of $4-$4.2 billion.

The company expects its EPS in the bracket of $11.30-$12.10 per share.

Zacks Rank

HCA Healthcare carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Upcoming Releases From Medical Sector

Some stocks worth considering from the medical sector with a perfect mix of elements to surpass estimates in the upcoming quarterly releases are as follows:

AmerisourceBergen Corporation (ABC - Free Report) is slated to announce fourth-quarter earnings on Jan 30. The stock has an Earnings ESP of +0.82% and is Zacks #3 Ranked.

Molina Healthcare, Inc (MOH - Free Report) has an Earnings ESP of +0.48% and a Zacks Rank of 3. The company is scheduled to release fourth-quarter earnings on Feb 10.

Teladoc Health, Inc. (TDOC - Free Report) is set to report fourth-quarter earnings on Feb 26. The stock is #3 Ranked and has an Earnings ESP of +11.17%.

5 Stocks Set to Double

Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.

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