Tenet Reports Strong Second Quarter 2025 Results; Raises 2025 Financial Outlook
-
Net income available to common shareholders in second quarter 2025 was
$288 million $3.14 -
Adjusted diluted earnings per share1 increased
74% to$4.02 $2.31 -
Consolidated Adjusted EBITDA1 in second quarter 2025 increased
18.6% to$1.12 1 billion21.3% -
Second quarter 2025 Ambulatory Care Adjusted EBITDA of
$498 million 11.4% over second quarter 2024 -
Board of Directors authorized a
$1.5 billion -
FY 2025 Adjusted EBITDA Outlook is now expected to be in the range of
$4.40 billion $4.54 billion $395 million
"Our strong second quarter results extend our track record of attractive same store revenue growth, operational performance driven by fundamentals, and robust free cash flow generation," said Saum Sutaria, M.D., Chairman and Chief Executive Officer of Tenet. "We continue to make investments both organically and inorganically to expand our capabilities and innovate to better serve our patients."
Tenet’s results for second quarter 2025 versus second quarter 2024 are as follows:
|
Three Months Ended
|
Six Months Ended
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($ in millions, except per share results) |
2025 |
2024 |
2025 |
2024 |
Net operating revenues |
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Net income available to Tenet common shareholders |
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Net income available to Tenet common shareholders per diluted share |
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Adjusted EBITDA1 |
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Adjusted diluted earnings per share1 |
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-
Net income available to the Company’s common shareholders in second quarter 2025 was
$288 million $3.14 $259 million $2.64 -
Adjusted EBITDA1 in second quarter 2025 was
$1.12 1 billion$945 million -
In the second quarter of 2025, the Hospital segment recognized a
$79 million Tennessee . Second quarter 2024 results included a$30 million
Balance Sheet and Cash Flows
-
Cash flows provided by operating activities for the six months ended June 30, 2025 were
$1.75 1 billion$1.33 3 billion -
The Company produced free cash flow1 of
$1.38 5 billion$948 million -
In the three months ended June 30, 2025, the Company repurchased 4.6 million shares of common stock for
$747 million $1.09 5 billion -
The Company's Board of Directors authorized a
$1.5 billion $1.78 1 billion - The Company’s ratio of net debt to Adjusted EBITDA1 was 2.45x at June 30, 2025 compared to 2.46x at March 31, 2025 and 2.54x at December 31, 2024.
Ambulatory Care (Ambulatory) Segment
Tenet’s Ambulatory business segment is comprised of the operations of United Surgical Partners International (USPI). As of June 30, 2025, USPI had interests in 521 ambulatory surgery centers (385 consolidated) and 26 surgical hospitals (eight consolidated) in 37 states.
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Three Months Ended
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Six Months Ended
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Ambulatory segment results ($ in millions) |
2025 |
2024 |
2025 |
2024 |
Revenues |
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Net operating revenues |
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Same-facility system-wide net patient service revenues2 |
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Changes versus the Prior-Year Period |
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Same-facility system-wide net patient service revenues |
7.7 % |
7.1 % |
7.1 % |
6.8 % |
Same-facility system-wide net patient service revenue per case |
8.3 % |
6.8 % |
8.6 % |
6.8 % |
Same-facility system-wide surgical cases2 |
(0.6) % |
0.2 % |
(1.4) % |
— % |
Same-facility system-wide surgical cases on same-business day basis2 |
(0.6) % |
0.2 % |
(0.6) % |
— % |
Adjusted EBITDA, Margins and NCI |
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Adjusted EBITDA |
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Adjusted EBITDA margin |
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Adjusted EBITDA less NCI |
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-
Second quarter 2025 net operating revenues increased
11.3% compared to second quarter 2024 driven by strong net revenue per case growth, acquisitions of facilities, and increased service lines. -
Surgical business same-facility system-wide net patient service revenues increased
7.7% in second quarter 2025 compared to second quarter 2024, with cases down0.6% and net revenue per case up8.3% . Net revenue per case growth was driven by favorable case mix, increases in higher acuity volumes over the prior year, as well as favorable payer mix. -
Second quarter 2025 Adjusted EBITDA increased
11.4% compared to second quarter 2024, due to strong net revenue per case growth, disciplined expense management, and contributions from acquisitions.
Hospital Operations and Services (Hospital) Segment
Tenet’s Hospital business segment is primarily comprised of acute care and specialty hospitals, imaging centers, ancillary outpatient facilities, micro-hospitals and physician practices. It also provides comprehensive end-to-end and focused point services, including hospital and physician revenue cycle management, patient communications and engagement support and value-based care solutions.
|
Three Months Ended
|
Six Months Ended
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Hospital segment results ($ in millions) |
2025 |
2024 |
2025 |
2024 |
Revenues |
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Net operating revenues |
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Same-hospital net patient service revenues3 |
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Same-Hospital Volume Changes versus the Prior-Year Period |
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Admissions |
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Adjusted admissions4 |
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Outpatient visits (including outpatient ER visits) |
(3.2)% |
|
(1.3)% |
(0.1)% |
Emergency Room visits (inpatient and outpatient) |
(4.7)% |
|
(1.6)% |
|
Hospital surgeries |
(1.7)% |
|
(1.6)% |
(0.3)% |
Adjusted EBITDA |
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Adjusted EBITDA |
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Adjusted EBITDA margin |
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-
Second quarter 2025 net operating revenues increased
0.9% from second quarter 2024 primarily due to growth in same hospital admissions, favorable payer mix and higher acuity, partially offset by the impact of hospital divestitures in 2024. -
Same-hospital net patient service revenue per adjusted admission increased
5.2% year-over-year for second quarter 2025 primarily due to favorable payer mix, and our focus on growing higher acuity services. -
Adjusted EBITDA in second quarter 2025 was
$623 million $498 million -
In the second quarter of 2025, the Hospital segment recognized a
$79 million Tennessee . Second quarter 2024 results included a$30 million
2025 Outlook1
Tenet’s Outlook for full year 2025 (consolidated and by segment) follows.
CONSOLIDATED ($ in millions, except per share amounts) |
FY 2025 Outlook |
Net operating revenues |
|
Net income available to Tenet common stockholders |
|
Adjusted EBITDA |
|
Adjusted EBITDA margin |
|
Diluted income per common share |
|
Adjusted net income |
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Adjusted diluted earnings per share |
|
Equity in earnings of unconsolidated affiliates |
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Depreciation and amortization |
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Interest expense |
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Income tax expense5 |
|
Net income available to NCI |
|
Weighted average diluted common shares |
~91 million |
Net cash provided by operating activities |
|
Adjusted net cash provided by operating activities |
|
Capital expenditures |
|
Free cash flow |
|
Adjusted free cash flow |
|
NCI cash distributions |
|
Ambulatory Segment ($ in millions) |
FY 2025 Outlook |
Net operating revenues |
|
Adjusted EBITDA |
|
NCI |
|
Adjusted EBITDA less NCI |
|
Changes versus prior year6: |
|
Same-facility system-wide revenue |
Up |
Hospital Segment ($ in millions) |
FY 2025 Outlook |
Net operating revenues |
|
Adjusted EBITDA |
|
NCI |
|
Changes versus prior year6: |
|
Inpatient admissions |
Up |
Adjusted admissions |
Up |
Management’s Webcast Discussion of Results
Tenet management will discuss the Company’s second quarter 2025 results in a webcast scheduled for 10:00 a.m. Eastern Time (9:00 a.m. Central Time) on July 22, 2025. Investors can access the webcast through the Company’s website at www.tenethealth.com/investors.
The slide presentation associated with the webcast referenced above, a copy of this earnings press release, and a related supplemental financial disclosures document will be available on the Company’s Investor Relations website on July 22, 2025.
Cautionary Statement
This release contains “forward-looking statements” - that is, statements that relate to future, not past, events. In this context, forward-looking statements often address the Company’s expected future business and financial performance and financial condition, and often contain words such as “expect,” “anticipate,” “assume,” “believe,” “budget,” “estimate,” “forecast,” “intend,” “plan,” “predict,” “project,” “seek,” “see,” “target,” or “will.” Forward-looking statements by their nature address matters that are, to different degrees, uncertain. Particular uncertainties that could cause the Company’s actual results to be materially different than those expressed in the Company’s forward-looking statements include, but are not limited to the factors disclosed under “Forward-Looking Statements” and “Risk Factors” in our Form 10-K for the year ended December 31, 2024 and other filings with the Securities and Exchange Commission.
Footnotes
-
Tables and discussions throughout this earnings release include certain financial measures, including those related to our full year 2025 Outlook, that are not in accordance with accounting principles generally accepted in
the United States of America (GAAP). Reconciliations of GAAP measures to the Adjusted (non-GAAP) measures used are detailed in Tables #1-6 included at the end of this earnings release. Management’s reasoning for the use of these non-GAAP measures and descriptions of the various non-GAAP measures are included in the Non-GAAP Financial Measures section of this earnings release. - Same-facility system-wide revenues and statistical information include the results of the facilities in which the Ambulatory segment has an investment that are not consolidated by Tenet. To help analyze the segment’s results of operations, management uses system-wide measures, which include revenues and cases of both consolidated and unconsolidated facilities.
- For 2025, same-hospital revenues and statistical data include those for hospitals and hospital-affiliated outpatient centers operated by the Company’s Hospital segment continuously from January 1, 2024 through June 30, 2025. Amounts associated with physician practices are excluded.
- Adjusted admissions represent actual patient admissions adjusted to include outpatient services provided by facilities in our Hospital segment by multiplying actual patient admissions by the sum of gross inpatient revenues and outpatient revenues, then dividing that result by gross inpatient revenues.
-
Income tax expense is calculated by multiplying
24% (the federal corporate tax rate of21% plus an estimate of state taxes) by the sum of: pretax income less GAAP facility level NCI expense plus permanent differences, and non-deductible interest expense. - Change versus prior year is presented on a same-facility system-wide basis for USPI Ambulatory surgical cases and on a same-hospital basis for hospital statistics.
About Tenet Healthcare
Tenet Healthcare Corporation (NYSE: THC) is a diversified healthcare services company headquartered in
Non-GAAP Financial Measures
The Company believes the non-GAAP measures described below are useful to investors and analysts because they present additional information on the Company’s financial performance. Investors, analysts, Company management and the Company’s Board of Directors utilize these non-GAAP measures, in addition to GAAP measures, to track the Company’s financial and operating performance and compare the Company’s performance to its peer companies, which use similar non-GAAP financial measures in their presentations and earnings releases. The Human Resources Committee of the Company’s Board of Directors also uses certain of these measures to evaluate management’s performance for the purpose of determining incentive compensation. Additional information regarding the purpose and utility of specific non-GAAP measures used in this release is set forth below.
- Adjusted EBITDA is defined by the Company as net income available (loss attributable) to Tenet common shareholders before (1) the cumulative effect of changes in accounting principles, (2) net loss attributable (income available) to noncontrolling interests, (3) income (loss) from discontinued operations, net of tax, (4) income tax benefit (expense), (5) gain (loss) from early extinguishment of debt, (6) other non-operating income (expense), net, (7) interest expense, (8) litigation and investigation benefit (costs), net of insurance recoveries, (9) net gains (losses) on sales, consolidation and deconsolidation of facilities, (10) impairment and restructuring charges and acquisition-related costs, (11) depreciation and amortization and (12) income (loss) from divested and closed businesses (i.e., health plan businesses). Litigation and investigation costs excluded do not include ordinary course of business malpractice and other litigation and related expenses.
- Adjusted diluted earnings (loss) per share is defined by the Company as Adjusted net income available (loss attributable) to Tenet common shareholders, divided by the weighted average diluted shares outstanding in the reporting period.
- Adjusted net income available (loss attributable) to Tenet common shareholders is defined by the Company as net income available (loss attributable) to Tenet common shareholders before (1) income (loss) from discontinued operations, net of tax, (2) gain (loss) from early extinguishment of debt, (3) litigation and investigation benefit (costs), net of insurance recoveries, (4) net gains (losses) on sales, consolidation and deconsolidation of facilities, (5) impairment and restructuring charges and acquisition-related costs, (6) income (loss) from divested and closed businesses (i.e., health plan businesses) and (7) the associated impact of these items on taxes and noncontrolling interests. Litigation and investigation costs excluded do not include ordinary course of business malpractice and other litigation and related expenses.
- Free Cash Flow is defined by the Company as (1) net cash provided by (used in) operating activities, less (2) purchases of property and equipment.
- Adjusted Free Cash Flow is defined by the Company as (1) Adjusted net cash provided by (used in) operating activities, less (2) purchases of property and equipment.
- Adjusted net cash provided by (used in) operating activities is defined by the Company as cash provided by (used in) operating activities prior to (1) payments for restructuring charges, acquisition-related costs and litigation costs and settlements, and (2) net cash provided by (used in) operating activities from discontinued operations.
The Company believes that Adjusted EBITDA is a useful measure, in part, because certain investors and analysts use both historical and projected Adjusted EBITDA, in addition to other GAAP and non-GAAP measures, as factors in determining the estimated fair value of shares of the Company’s common stock. Company management also regularly reviews the Adjusted EBITDA performance for each operating segment. The Company does not use Adjusted EBITDA to measure liquidity, but instead to measure operating performance.
The Company uses, and believes investors use, Free Cash Flow and Adjusted Free Cash Flow as supplemental non-GAAP measures to analyze cash flows generated from the Company’s operations. The Company believes these measures are useful to investors in evaluating its ability to fund distributions paid to noncontrolling interests or for acquisitions, purchasing equity interests in joint ventures or repaying debt.
These non-GAAP measures may not be comparable to similarly titled measures reported by other companies. Because these measures exclude many items that are included in the Company’s financial statements, they do not provide a complete measure of the Company’s operating performance. For example, the Company’s definitions of Free Cash Flow and Adjusted Free Cash Flow do not include other important uses of cash including (1) cash used to purchase businesses or joint venture interests, or (2) any items that are classified as Cash Flows from Financing Activities on the Company’s Consolidated Statement of Cash Flows, including items such as (i) cash used to repay borrowings, or (ii) distributions paid to noncontrolling interests. Accordingly, investors are encouraged to use GAAP measures when evaluating the Company’s financial performance.
See corresponding reconciliations of the non-GAAP financial measures referred to above to the most comparable GAAP financial measures in Tables #1 - 6 below.
Tenet Healthcare Corporation |
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Financial Statements and Reconciliations |
|
Second Quarter Earnings Release |
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Table of Contents |
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Description |
Page |
Consolidated Statements of Operations |
12 |
Consolidated Balance Sheets |
14 |
Consolidated Statements of Cash Flows |
15 |
Segment Reporting |
16 |
Table #1 – Reconciliations of Net Income to Adjusted Net Income |
17 |
Table #2 – Reconciliations of Net Income to Adjusted EBITDA |
18 |
Table #3 – Reconciliations of Net Cash Provided by Operating Activities to Free Cash Flow and Adjusted Free Cash Flow |
19 |
Table #4 – Reconciliations of Outlook Net Income to Outlook Adjusted Net Income |
20 |
Table #5 – Reconciliations of Outlook Net Income to Outlook Adjusted EBITDA |
21 |
Table #6 – Reconciliations of Outlook Net Cash Provided by Operating Activities to Outlook Free Cash Flow and Outlook Adjusted Free Cash Flow |
22 |
TENET HEALTHCARE CORPORATION |
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CONSOLIDATED STATEMENTS OF OPERATIONS |
|||||||||||||||||
(Unaudited) |
|||||||||||||||||
|
|||||||||||||||||
(Dollars in millions, except per share amounts) |
|
Three Months Ended June 30, |
|||||||||||||||
|
|
2025 |
|
|
% |
|
|
2024 |
|
|
% |
|
Change |
||||
Net operating revenues |
|
$ |
5,271 |
|
|
100.0 |
% |
|
$ |
5,108 |
|
|
100.0 |
% |
|
3.2 |
% |
Equity in earnings of unconsolidated affiliates |
|
|
61 |
|
|
1.2 |
% |
|
|
61 |
|
|
1.2 |
% |
|
— |
% |
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|||||||
Salaries, wages and benefits |
|
|
2,160 |
|
|
41.0 |
% |
|
|
2,168 |
|
|
42.4 |
% |
|
(0.4 |
)% |
Supplies |
|
|
932 |
|
|
17.7 |
% |
|
|
908 |
|
|
17.8 |
% |
|
2.6 |
% |
Other operating expenses, net |
|
|
1,119 |
|
|
21.3 |
% |
|
|
1,148 |
|
|
22.4 |
% |
|
(2.5 |
)% |
Depreciation and amortization |
|
|
208 |
|
|
3.9 |
% |
|
|
208 |
|
|
4.1 |
% |
|
|
|
Impairment and restructuring charges, and acquisition-related costs |
|
|
24 |
|
|
0.5 |
% |
|
|
29 |
|
|
0.6 |
% |
|
|
|
Litigation and investigation costs |
|
|
28 |
|
|
0.5 |
% |
|
|
5 |
|
|
0.1 |
% |
|
|
|
Net losses (gains) on sales, consolidation and deconsolidation of facilities |
|
|
38 |
|
|
0.7 |
% |
|
|
(58 |
) |
|
(1.1 |
)% |
|
|
|
Operating income |
|
|
823 |
|
|
15.6 |
% |
|
|
761 |
|
|
14.9 |
% |
|
|
|
Interest expense |
|
|
(206 |
) |
|
|
|
|
(203 |
) |
|
|
|
|
|||
Other non-operating income, net |
|
|
25 |
|
|
|
|
|
29 |
|
|
|
|
|
|||
Income before income taxes |
|
|
642 |
|
|
|
|
|
587 |
|
|
|
|
|
|||
Income tax expense |
|
|
(120 |
) |
|
|
|
|
(110 |
) |
|
|
|
|
|||
Net income |
|
|
522 |
|
|
|
|
|
477 |
|
|
|
|
|
|||
Less: Net income available to noncontrolling interests |
|
|
234 |
|
|
|
|
|
218 |
|
|
|
|
|
|||
Net income available to Tenet Healthcare Corporation common shareholders |
|
$ |
288 |
|
|
|
|
$ |
259 |
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|||||||
Earnings per share available to Tenet Healthcare Corporation common shareholders: |
|
|
|
|
|
|
|
|
|
|
|||||||
Basic |
|
$ |
3.16 |
|
|
|
|
$ |
2.66 |
|
|
|
|
|
|||
Diluted |
|
$ |
3.14 |
|
|
|
|
$ |
2.64 |
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|||||||
Weighted average shares and dilutive securities outstanding (in thousands): |
|
|
|
|
|
|
|
|
|
|
|||||||
Basic |
|
|
91,135 |
|
|
|
|
|
97,267 |
|
|
|
|
|
|||
Diluted |
|
|
91,791 |
|
|
|
|
|
98,444 |
|
|
|
|
|
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TENET HEALTHCARE CORPORATION |
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CONSOLIDATED STATEMENTS OF OPERATIONS |
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(Unaudited) |
|||||||||||||||||
|
|||||||||||||||||
(Dollars in millions, except per share amounts) |
|
Six Months Ended June 30, |
|||||||||||||||
|
|
2025 |
|
|
% |
|
|
2024 |
|
|
% |
|
Change |
||||
Net operating revenues |
|
$ |
10,494 |
|
|
100.0 |
% |
|
$ |
10,476 |
|
|
100.0 |
% |
|
0.2 |
% |
Equity in earnings of unconsolidated affiliates |
|
|
117 |
|
|
1.1 |
% |
|
|
120 |
|
|
1.1 |
% |
|
(2.5 |
)% |
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|||||||
Salaries, wages and benefits |
|
|
4,279 |
|
|
40.8 |
% |
|
|
4,489 |
|
|
42.9 |
% |
|
(4.7 |
)% |
Supplies |
|
|
1,839 |
|
|
17.5 |
% |
|
|
1,836 |
|
|
17.5 |
% |
|
0.2 |
% |
Other operating expenses, net |
|
|
2,209 |
|
|
21.1 |
% |
|
|
2,302 |
|
|
21.9 |
% |
|
(4.0 |
)% |
Depreciation and amortization |
|
|
414 |
|
|
3.9 |
% |
|
|
416 |
|
|
4.0 |
% |
|
|
|
Impairment and restructuring charges, and acquisition-related costs |
|
|
43 |
|
|
0.4 |
% |
|
|
56 |
|
|
0.5 |
% |
|
|
|
Litigation and investigation costs |
|
|
45 |
|
|
0.4 |
% |
|
|
9 |
|
|
0.1 |
% |
|
|
|
Net losses (gains) on sales, consolidation and deconsolidation of facilities |
|
|
16 |
|
|
0.2 |
% |
|
|
(2,558 |
) |
|
(24.4 |
)% |
|
|
|
Operating income |
|
|
1,766 |
|
|
16.8 |
% |
|
|
4,046 |
|
|
38.6 |
% |
|
|
|
Interest expense |
|
|
(410 |
) |
|
|
|
|
(421 |
) |
|
|
|
|
|||
Other non-operating income, net |
|
|
51 |
|
|
|
|
|
54 |
|
|
|
|
|
|||
Loss from early extinguishment of debt |
|
|
— |
|
|
|
|
|
(8 |
) |
|
|
|
|
|||
Income before income taxes |
|
|
1,407 |
|
|
|
|
|
3,671 |
|
|
|
|
|
|||
Income tax expense |
|
|
(263 |
) |
|
|
|
|
(860 |
) |
|
|
|
|
|||
Net income |
|
|
1,144 |
|
|
|
|
|
2,811 |
|
|
|
|
|
|||
Less: Net income available to noncontrolling interests |
|
|
450 |
|
|
|
|
|
401 |
|
|
|
|
|
|||
Net income available to Tenet Healthcare Corporation common shareholders |
|
$ |
694 |
|
|
|
|
$ |
2,410 |
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|||||||
Earnings per share available to Tenet Healthcare Corporation common shareholders: |
|
|
|
|
|
|
|
|
|
|
|||||||
Basic |
|
$ |
7.49 |
|
|
|
|
$ |
24.49 |
|
|
|
|
|
|||
Diluted |
|
$ |
7.43 |
|
|
|
|
$ |
24.22 |
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|||||||
Weighted average shares and dilutive securities outstanding (in thousands): |
|
|
|
|
|
|
|
|
|
|
|||||||
Basic |
|
|
92,688 |
|
|
|
|
|
98,424 |
|
|
|
|
|
|||
Diluted |
|
|
93,408 |
|
|
|
|
|
99,557 |
|
|
|
|
|
|||
TENET HEALTHCARE CORPORATION |
||||||||
CONSOLIDATED BALANCE SHEETS |
||||||||
(Unaudited) |
||||||||
|
||||||||
(Dollars in millions) |
|
June 30, |
|
December 31, |
||||
|
|
2025 |
|
|
|
2024 |
|
|
ASSETS |
|
|
|
|
||||
Current assets: |
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
2,625 |
|
|
$ |
3,019 |
|
Accounts receivable |
|
|
2,533 |
|
|
|
2,536 |
|
Inventories of supplies, at cost |
|
|
338 |
|
|
|
346 |
|
Assets held for sale |
|
|
21 |
|
|
|
21 |
|
Other current assets |
|
|
1,781 |
|
|
|
1,760 |
|
Total current assets |
|
|
7,298 |
|
|
|
7,682 |
|
Investments and other assets |
|
|
2,994 |
|
|
|
3,037 |
|
Deferred income taxes |
|
|
76 |
|
|
|
80 |
|
Property and equipment, at cost, less accumulated depreciation and amortization |
|
|
6,024 |
|
|
|
6,049 |
|
Goodwill |
|
|
10,935 |
|
|
|
10,691 |
|
Other intangible assets, at cost, less accumulated amortization |
|
|
1,372 |
|
|
|
1,397 |
|
Total assets |
|
$ |
28,699 |
|
|
$ |
28,936 |
|
|
|
|
|
|
||||
LIABILITIES AND EQUITY |
|
|
|
|
||||
Current liabilities: |
|
|
|
|
||||
Current portion of long-term debt |
|
$ |
84 |
|
|
$ |
92 |
|
Accounts payable |
|
|
1,360 |
|
|
|
1,294 |
|
Accrued compensation and benefits |
|
|
793 |
|
|
|
899 |
|
Professional and general liability reserves |
|
|
275 |
|
|
|
238 |
|
Accrued interest payable |
|
|
148 |
|
|
|
149 |
|
Liabilities held for sale |
|
|
12 |
|
|
|
13 |
|
Income tax payable |
|
|
25 |
|
|
|
18 |
|
Other current liabilities |
|
|
1,574 |
|
|
|
1,607 |
|
Total current liabilities |
|
|
4,271 |
|
|
|
4,310 |
|
Long-term debt, net of current portion |
|
|
13,091 |
|
|
|
13,081 |
|
Professional and general liability reserves |
|
|
873 |
|
|
|
900 |
|
Defined benefit plan obligations |
|
|
297 |
|
|
|
298 |
|
Deferred income taxes |
|
|
230 |
|
|
|
227 |
|
Other long-term liabilities |
|
|
1,635 |
|
|
|
1,573 |
|
Total liabilities |
|
|
20,397 |
|
|
|
20,389 |
|
Commitments and contingencies |
|
|
|
|
||||
Redeemable noncontrolling interests in equity of consolidated subsidiaries |
|
|
2,826 |
|
|
|
2,727 |
|
Equity: |
|
|
|
|
||||
Shareholders’ equity: |
|
|
|
|
||||
Common stock |
|
|
8 |
|
|
|
8 |
|
Additional paid-in capital |
|
|
4,858 |
|
|
|
4,873 |
|
Accumulated other comprehensive loss |
|
|
(177 |
) |
|
|
(180 |
) |
Retained earnings |
|
|
3,702 |
|
|
|
3,008 |
|
Common stock in treasury, at cost |
|
|
(4,642 |
) |
|
|
(3,538 |
) |
Total shareholders’ equity |
|
|
3,749 |
|
|
|
4,171 |
|
Noncontrolling interests |
|
|
1,727 |
|
|
|
1,649 |
|
Total equity |
|
|
5,476 |
|
|
|
5,820 |
|
Total liabilities and equity |
|
$ |
28,699 |
|
|
$ |
28,936 |
|
TENET HEALTHCARE CORPORATION |
||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS |
||||||||
(Unaudited) |
||||||||
|
||||||||
(Dollars in millions) |
|
Six Months Ended |
||||||
|
June 30, |
|||||||
|
|
2025 |
|
|
|
2024 |
|
|
Net income |
|
$ |
1,144 |
|
|
$ |
2,811 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
||||
Depreciation and amortization |
|
|
414 |
|
|
|
416 |
|
Deferred income tax expense (benefit) |
|
|
11 |
|
|
|
(93 |
) |
Stock-based compensation expense |
|
|
41 |
|
|
|
36 |
|
Impairment and restructuring charges, and acquisition-related costs |
|
|
43 |
|
|
|
56 |
|
Litigation and investigation costs |
|
|
45 |
|
|
|
9 |
|
Net losses (gains) on sales, consolidation and deconsolidation of facilities |
|
|
16 |
|
|
|
(2,558 |
) |
Loss from early extinguishment of debt |
|
|
— |
|
|
|
8 |
|
Equity in earnings of unconsolidated affiliates, net of distributions received |
|
|
(8 |
) |
|
|
(3 |
) |
Amortization of debt discount and debt issuance costs |
|
|
12 |
|
|
|
14 |
|
Net gains from the sale of investments and long-lived assets |
|
|
— |
|
|
|
(1 |
) |
Other items, net |
|
|
(1 |
) |
|
|
(3 |
) |
Changes in cash from operating assets and liabilities: |
|
|
|
|
||||
Accounts receivable |
|
|
40 |
|
|
|
77 |
|
Inventories and other current assets |
|
|
9 |
|
|
|
16 |
|
Income taxes |
|
|
10 |
|
|
|
713 |
|
Accounts payable, accrued expenses and other current liabilities |
|
|
24 |
|
|
|
(124 |
) |
Other long-term liabilities |
|
|
32 |
|
|
|
23 |
|
Payments for restructuring charges, acquisition-related costs, and litigation costs and settlements |
|
|
(81 |
) |
|
|
(64 |
) |
Net cash provided by operating activities |
|
|
1,751 |
|
|
|
1,333 |
|
Cash flows from investing activities: |
|
|
|
|
||||
Purchases of property and equipment |
|
|
(366 |
) |
|
|
(385 |
) |
Purchases of businesses or joint venture interests, net of cash acquired |
|
|
(147 |
) |
|
|
(510 |
) |
Proceeds from sales of facilities and other assets |
|
|
14 |
|
|
|
4,048 |
|
Proceeds from sales of marketable securities and long-term investments |
|
|
37 |
|
|
|
17 |
|
Purchases of marketable securities and long-term investments |
|
|
(38 |
) |
|
|
(26 |
) |
Other items, net |
|
|
(1 |
) |
|
|
(10 |
) |
Net cash provided by (used in) investing activities |
|
|
(501 |
) |
|
|
3,134 |
|
Cash flows from financing activities: |
|
|
|
|
||||
Repayments of borrowings |
|
|
(62 |
) |
|
|
(2,179 |
) |
Proceeds from borrowings |
|
|
15 |
|
|
|
8 |
|
Repurchases of common stock |
|
|
(1,095 |
) |
|
|
(548 |
) |
Distributions paid to noncontrolling interests |
|
|
(374 |
) |
|
|
(323 |
) |
Proceeds from the sale of noncontrolling interests |
|
|
18 |
|
|
|
10 |
|
Purchases of noncontrolling interests |
|
|
(79 |
) |
|
|
(88 |
) |
Advances from managed care payers |
|
|
— |
|
|
|
342 |
|
Repayments of advances from managed care payers |
|
|
(12 |
) |
|
|
— |
|
Other items, net |
|
|
(55 |
) |
|
|
(37 |
) |
Net cash used in financing activities |
|
|
(1,644 |
) |
|
|
(2,815 |
) |
Net increase (decrease) in cash and cash equivalents |
|
|
(394 |
) |
|
|
1,652 |
|
Cash and cash equivalents at beginning of period |
|
|
3,019 |
|
|
|
1,228 |
|
Cash and cash equivalents at end of period |
|
$ |
2,625 |
|
|
$ |
2,880 |
|
Supplemental disclosures: |
|
|
|
|
||||
Interest paid, net of capitalized interest |
|
$ |
(399 |
) |
|
$ |
(459 |
) |
Income tax payments, net |
|
$ |
(242 |
) |
|
$ |
(240 |
) |
TENET HEALTHCARE CORPORATION |
||||||||||||||||
SEGMENT REPORTING |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
||||||||||||||||
|
|
Three Months Ended |
|
Six Months Ended |
||||||||||||
|
|
June 30, |
|
June 30, |
||||||||||||
(Dollars in millions) |
|
|
2025 |
|
|
|
2024 |
|
|
|
2025 |
|
|
|
2024 |
|
Net operating revenues: |
|
|
|
|
|
|
|
|
||||||||
Ambulatory Care |
|
$ |
1,270 |
|
|
$ |
1,141 |
|
|
$ |
2,464 |
|
|
$ |
2,136 |
|
Hospital Operations and Services |
|
|
4,001 |
|
|
|
3,967 |
|
|
|
8,030 |
|
|
|
8,340 |
|
Total |
|
$ |
5,271 |
|
|
$ |
5,108 |
|
|
$ |
10,494 |
|
|
$ |
10,476 |
|
|
|
|
|
|
|
|
|
|
||||||||
Equity in earnings of unconsolidated affiliates: |
|
|
|
|
|
|
|
|
||||||||
Ambulatory Care |
|
$ |
59 |
|
|
$ |
58 |
|
|
$ |
113 |
|
|
$ |
114 |
|
Hospital Operations and Services |
|
|
2 |
|
|
|
3 |
|
|
|
4 |
|
|
|
6 |
|
Total |
|
$ |
61 |
|
|
$ |
61 |
|
|
$ |
117 |
|
|
$ |
120 |
|
|
|
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA: |
|
|
|
|
|
|
|
|
||||||||
Ambulatory Care |
|
$ |
498 |
|
|
$ |
447 |
|
|
$ |
954 |
|
|
$ |
841 |
|
Hospital Operations and Services |
|
|
623 |
|
|
|
498 |
|
|
|
1,330 |
|
|
|
1,128 |
|
Total |
|
$ |
1,121 |
|
|
$ |
945 |
|
|
$ |
2,284 |
|
|
$ |
1,969 |
|
|
|
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA margins: |
|
|
|
|
|
|
|
|
||||||||
Ambulatory Care |
|
|
39.2 |
% |
|
|
39.2 |
% |
|
|
38.7 |
% |
|
|
39.4 |
% |
Hospital Operations and Services |
|
|
15.6 |
% |
|
|
12.6 |
% |
|
|
16.6 |
% |
|
|
13.5 |
% |
Total |
|
|
21.3 |
% |
|
|
18.5 |
% |
|
|
21.8 |
% |
|
|
18.8 |
% |
|
|
|
|
|
|
|
|
|
||||||||
Capital expenditures: |
|
|
|
|
|
|
|
|
||||||||
Ambulatory Care |
|
$ |
27 |
|
|
$ |
19 |
|
|
$ |
52 |
|
|
$ |
37 |
|
Hospital Operations and Services |
|
|
166 |
|
|
|
126 |
|
|
|
314 |
|
|
|
348 |
|
Total |
|
$ |
193 |
|
|
$ |
145 |
|
|
$ |
366 |
|
|
$ |
385 |
|
|
|
|
|
|
|
|
|
|
||||||||
TENET HEALTHCARE CORPORATION |
||||||||||||||||
Additional Supplemental Non-GAAP disclosures |
||||||||||||||||
Table #1 – Reconciliations of Net Income Available to Tenet Healthcare Corporation Common Shareholders to Adjusted Net Income Available to Common Shareholders |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
||||||||||||||||
|
|
Three Months Ended |
|
Six Months Ended |
||||||||||||
|
|
June 30, |
|
June 30, |
||||||||||||
(Dollars in millions, except per share amounts) |
|
|
2025 |
|
|
|
2024 |
|
|
|
2025 |
|
|
|
2024 |
|
Net income available to Tenet Healthcare Corporation common shareholders |
|
$ |
288 |
|
|
$ |
259 |
|
|
$ |
694 |
|
|
$ |
2,410 |
|
Less: |
|
|
|
|
|
|
|
|
||||||||
Impairment and restructuring charges, and acquisition-related costs |
|
|
(24 |
) |
|
|
(29 |
) |
|
|
(43 |
) |
|
|
(56 |
) |
Litigation and investigation costs |
|
|
(28 |
) |
|
|
(5 |
) |
|
|
(45 |
) |
|
|
(9 |
) |
Net gains (losses) on sales, consolidation and deconsolidation of facilities |
|
|
(38 |
) |
|
|
58 |
|
|
|
(16 |
) |
|
|
2,558 |
|
Loss from early extinguishment of debt |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(8 |
) |
Tax and noncontrolling interests impact of above items |
|
|
9 |
|
|
|
9 |
|
|
|
15 |
|
|
|
(625 |
) |
Adjusted net income available to common shareholders |
|
$ |
369 |
|
|
$ |
226 |
|
|
$ |
783 |
|
|
$ |
550 |
|
|
|
|
|
|
|
|
|
|
||||||||
Diluted earnings per share |
|
$ |
3.14 |
|
|
$ |
2.64 |
|
|
$ |
7.43 |
|
|
$ |
24.22 |
|
Less: |
|
|
|
|
|
|
|
|
||||||||
Impairment and restructuring charges, and acquisition-related costs |
|
|
(0.26 |
) |
|
|
(0.30 |
) |
|
|
(0.46 |
) |
|
|
(0.56 |
) |
Litigation and investigation costs |
|
|
(0.31 |
) |
|
|
(0.05 |
) |
|
|
(0.48 |
) |
|
|
(0.09 |
) |
Net gains (losses) on sales, consolidation and deconsolidation of facilities |
|
|
(0.41 |
) |
|
|
0.59 |
|
|
|
(0.17 |
) |
|
|
25.70 |
|
Loss from early extinguishment of debt |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(0.08 |
) |
Tax and noncontrolling interests impact of above items |
|
|
0.10 |
|
|
|
0.09 |
|
|
|
0.16 |
|
|
|
(6.28 |
) |
Adjusted diluted earnings per share |
|
$ |
4.02 |
|
|
$ |
2.31 |
|
|
$ |
8.38 |
|
|
$ |
5.53 |
|
|
|
|
|
|
|
|
|
|
||||||||
Weighted average basic shares outstanding (in thousands) |
|
|
91,135 |
|
|
|
97,267 |
|
|
|
92,688 |
|
|
|
98,424 |
|
Weighted average dilutive shares outstanding (in thousands) |
|
|
91,791 |
|
|
|
98,444 |
|
|
|
93,408 |
|
|
|
99,557 |
|
TENET HEALTHCARE CORPORATION |
||||||||||||||||
Additional Supplemental Non-GAAP disclosures |
||||||||||||||||
Table #2 – Reconciliations of Net Income Available to Tenet Healthcare Corporation Common Shareholders to Adjusted EBITDA |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
||||||||||||||||
|
|
Three Months Ended |
|
Six Months Ended |
||||||||||||
|
|
June 30, |
|
June 30, |
||||||||||||
(Dollars in millions) |
|
|
2025 |
|
|
|
2024 |
|
|
|
2025 |
|
|
|
2024 |
|
Net income available to Tenet Healthcare Corporation common shareholders |
|
$ |
288 |
|
|
$ |
259 |
|
|
$ |
694 |
|
|
$ |
2,410 |
|
Less: |
|
|
|
|
|
|
|
|
||||||||
Net income available to noncontrolling interests |
|
|
(234 |
) |
|
|
(218 |
) |
|
|
(450 |
) |
|
|
(401 |
) |
Net income |
|
|
522 |
|
|
|
477 |
|
|
|
1,144 |
|
|
|
2,811 |
|
Income tax expense |
|
|
(120 |
) |
|
|
(110 |
) |
|
|
(263 |
) |
|
|
(860 |
) |
Loss from early extinguishment of debt |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(8 |
) |
Other non-operating income, net |
|
|
25 |
|
|
|
29 |
|
|
|
51 |
|
|
|
54 |
|
Interest expense |
|
|
(206 |
) |
|
|
(203 |
) |
|
|
(410 |
) |
|
|
(421 |
) |
Operating income |
|
|
823 |
|
|
|
761 |
|
|
|
1,766 |
|
|
|
4,046 |
|
Litigation and investigation costs |
|
|
(28 |
) |
|
|
(5 |
) |
|
|
(45 |
) |
|
|
(9 |
) |
Net gains (losses) on sales, consolidation and deconsolidation of facilities |
|
|
(38 |
) |
|
|
58 |
|
|
|
(16 |
) |
|
|
2,558 |
|
Impairment and restructuring charges, and acquisition-related costs |
|
|
(24 |
) |
|
|
(29 |
) |
|
|
(43 |
) |
|
|
(56 |
) |
Depreciation and amortization |
|
|
(208 |
) |
|
|
(208 |
) |
|
|
(414 |
) |
|
|
(416 |
) |
Adjusted EBITDA |
|
$ |
1,121 |
|
|
$ |
945 |
|
|
$ |
2,284 |
|
|
$ |
1,969 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net operating revenues |
|
$ |
5,271 |
|
|
$ |
5,108 |
|
|
$ |
10,494 |
|
|
$ |
10,476 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net income available to Tenet Healthcare Corporation common shareholders as a % of net operating revenues |
|
|
5.5 |
% |
|
|
5.1 |
% |
|
|
6.6 |
% |
|
|
23.0 |
% |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA as a % of net operating revenues (Adjusted EBITDA margin) |
|
|
21.3 |
% |
|
|
18.5 |
% |
|
|
21.8 |
% |
|
|
18.8 |
% |
TENET HEALTHCARE CORPORATION |
||||||||
Additional Supplemental Non-GAAP disclosures |
||||||||
Table #3 – Reconciliations of Net Cash Provided by Operating Activities to |
||||||||
Free Cash Flow and Adjusted Free Cash Flow |
||||||||
(Unaudited) |
||||||||
|
||||||||
|
|
2025 |
|
|||||
(Dollars in millions) |
|
Q2 |
|
YTD |
||||
Net cash provided by operating activities |
|
$ |
936 |
|
|
$ |
1,751 |
|
Purchases of property and equipment |
|
|
(193 |
) |
|
|
(366 |
) |
Free cash flow |
|
$ |
743 |
|
|
$ |
1,385 |
|
|
|
|
|
|
||||
Net cash used in investing activities |
|
$ |
(314 |
) |
|
$ |
(501 |
) |
Net cash used in financing activities |
|
$ |
(996 |
) |
|
$ |
(1,644 |
) |
|
|
|
|
|
||||
Net cash provided by operating activities |
|
$ |
936 |
|
|
$ |
1,751 |
|
Less: |
|
|
|
|
||||
Payments for restructuring charges, acquisition-related costs, and litigation costs and settlements |
|
|
(45 |
) |
|
|
(81 |
) |
Adjusted net cash provided by operating activities |
|
|
981 |
|
|
|
1,832 |
|
Purchases of property and equipment |
|
|
(193 |
) |
|
|
(366 |
) |
Adjusted free cash flow |
|
$ |
788 |
|
|
$ |
1,466 |
|
|
|
2024 |
|
|||||
(Dollars in millions) |
|
Q2 |
|
YTD |
||||
Net cash provided by operating activities |
|
$ |
747 |
|
|
$ |
1,333 |
|
Purchases of property and equipment |
|
|
(145 |
) |
|
|
(385 |
) |
Free cash flow |
|
$ |
602 |
|
|
$ |
948 |
|
|
|
|
|
|
||||
Net cash provided by (used in) investing activities |
|
$ |
(194 |
) |
|
$ |
3,134 |
|
Net cash used in financing activities |
|
$ |
(154 |
) |
|
$ |
(2,815 |
) |
|
|
|
|
|
||||
Net cash provided by operating activities |
|
$ |
747 |
|
|
$ |
1,333 |
|
Less: |
|
|
|
|
||||
Payments for restructuring charges, acquisition-related costs, and litigation costs and settlements |
|
|
(39 |
) |
|
|
(64 |
) |
Adjusted net cash provided by operating activities |
|
|
786 |
|
|
|
1,397 |
|
Purchases of property and equipment |
|
|
(145 |
) |
|
|
(385 |
) |
Adjusted free cash flow |
|
$ |
641 |
|
|
$ |
1,012 |
|
TENET HEALTHCARE CORPORATION |
||||||||
Additional Supplemental Non-GAAP disclosures |
||||||||
Table #4 – Reconciliations of Outlook Net Income Available to Tenet Healthcare Corporation Common Shareholders to Outlook Adjusted Net Income Available to Common Shareholders |
||||||||
(Unaudited) |
||||||||
|
||||||||
|
|
FY 2025 |
||||||
(Dollars in millions, except per share amounts) |
|
Low |
|
High |
||||
Net income available to Tenet Healthcare Corporation common shareholders |
|
$ |
1,279 |
|
|
$ |
1,379 |
|
Less: |
|
|
|
|
||||
Impairment and restructuring charges, acquisition-related costs, and litigation costs and settlements(1) |
|
|
(150 |
) |
|
|
(100 |
) |
Net losses on sales, consolidation and deconsolidation of facilities(2) |
|
|
(16 |
) |
|
|
(16 |
) |
Tax and noncontrolling interests impact of above items |
|
|
30 |
|
|
|
20 |
|
Adjusted net income available to common shareholders |
|
$ |
1,415 |
|
|
$ |
1,475 |
|
|
|
|
|
|
||||
Diluted earnings per share |
|
$ |
14.05 |
|
|
$ |
15.15 |
|
Less: |
|
|
|
|
||||
Impairment and restructuring charges, acquisition-related costs, and litigation costs and settlements |
|
|
(1.65 |
) |
|
|
(1.10 |
) |
Net losses on sales, consolidation and deconsolidation of facilities |
|
|
(0.18 |
) |
|
|
(0.18 |
) |
Tax and noncontrolling interests impact of above items |
|
|
0.33 |
|
|
|
0.22 |
|
Adjusted diluted earnings per share |
|
$ |
15.55 |
|
|
$ |
16.21 |
|
|
|
|
|
|
||||
Weighted average basic shares outstanding (in thousands) |
|
|
90,000 |
|
|
|
90,000 |
|
Weighted average dilutive shares outstanding (in thousands) |
|
|
91,000 |
|
|
|
91,000 |
|
|
|
|
|
|
||||
(1) |
The figures shown represent the Company's estimate for restructuring charges plus the actual year-to-date results for impairment and restructuring charges, acquisition-related costs, and litigation costs and settlements. The Company does not generally forecast impairment charges, acquisition-related costs, and litigation costs and settlements because it does not believe that it can forecast these items with sufficient accuracy since some of these items are indeterminable at the time the Company provides its financial Outlook. |
|||||
(2) |
The Company does not generally forecast net gains (losses) on sales, consolidation and deconsolidation of facilities because the Company does not believe that it can forecast these items with sufficient accuracy since it is indeterminable at the time the Company provides its financial Outlook. The figures shown relate to transactions that have already occurred in 2025. |
|||||
TENET HEALTHCARE CORPORATION |
||||||||
Additional Supplemental Non-GAAP disclosures |
||||||||
Table #5 – Reconciliations of Outlook Net Income Available to Tenet Healthcare Corporation Common Shareholders to Outlook Adjusted EBITDA |
||||||||
(Unaudited) |
||||||||
|
||||||||
|
|
FY 2025 |
||||||
(Dollars in millions) |
|
Low |
|
High |
||||
Net income available to Tenet Healthcare Corporation common shareholders |
|
$ |
1,279 |
|
|
$ |
1,379 |
|
Less: |
|
|
|
|
||||
Net income available to noncontrolling interests |
|
|
(940 |
) |
|
|
(990 |
) |
Income tax expense |
|
|
(475 |
) |
|
|
(505 |
) |
Interest expense |
|
|
(825 |
) |
|
|
(815 |
) |
Other non-operating income, net |
|
|
90 |
|
|
|
100 |
|
Net losses on sales, consolidation and deconsolidation of facilities(2) |
|
|
(16 |
) |
|
|
(16 |
) |
Impairment and restructuring charges, acquisition-related costs, and litigation costs and settlements(1) |
|
|
(150 |
) |
|
|
(100 |
) |
Depreciation and amortization |
|
|
(805 |
) |
|
|
(835 |
) |
Adjusted EBITDA |
|
$ |
4,400 |
|
|
$ |
4,540 |
|
|
|
|
|
|
||||
Net income available to Tenet Healthcare Corporation common shareholders |
|
$ |
1,279 |
|
|
$ |
1,379 |
|
Net operating revenues |
|
$ |
20,950 |
|
|
$ |
21,250 |
|
Net income available to Tenet Healthcare Corporation common shareholders as a % of net operating revenues |
|
|
6.1 |
% |
|
|
6.5 |
% |
Adjusted EBITDA as a % of net operating revenues (Adjusted EBITDA margin) |
|
|
21.0 |
% |
|
|
21.4 |
% |
|
|
|
|
|
||||
(1) |
The figures shown represent the Company's estimate for restructuring charges plus the actual year-to-date results for impairment and restructuring charges, acquisition-related costs, and litigation costs and settlements. The Company does not generally forecast impairment charges, acquisition-related costs, and litigation costs and settlements because it does not believe that it can forecast these items with sufficient accuracy since some of these items are indeterminable at the time the Company provides its financial Outlook. |
|||||
(2) |
The Company does not generally forecast net gains (losses) on sales, consolidation and deconsolidation of facilities because the Company does not believe that it can forecast these items with sufficient accuracy since it is indeterminable at the time the Company provides its financial Outlook. The figures shown relate to transactions that have already occurred in 2025. |
|||||
TENET HEALTHCARE CORPORATION |
||||||||
Additional Supplemental Non-GAAP disclosures |
||||||||
Table #6 – Reconciliations of Outlook Net Cash Provided by Operating Activities |
||||||||
to Outlook Free Cash Flow and Outlook Adjusted Free Cash Flow |
||||||||
(Unaudited) |
||||||||
|
||||||||
|
|
FY 2025 |
||||||
(Dollars in millions) |
|
Low |
|
High |
||||
Net cash provided by operating activities |
|
$ |
2,750 |
|
|
$ |
3,100 |
|
Purchases of property and equipment |
|
|
(725 |
) |
|
|
(825 |
) |
Free cash flow |
|
$ |
2,025 |
|
|
$ |
2,275 |
|
|
|
|
|
|
||||
Net cash provided by operating activities |
|
$ |
2,750 |
|
|
$ |
3,100 |
|
Less: |
|
|
|
|
||||
Payments for restructuring charges, acquisition-related costs and litigation costs and settlements(1) |
|
|
(150 |
) |
|
|
(100 |
) |
Adjusted net cash provided by operating activities |
|
|
2,900 |
|
|
|
3,200 |
|
Purchases of property and equipment |
|
|
(725 |
) |
|
|
(825 |
) |
Adjusted free cash flow(2) |
|
$ |
2,175 |
|
|
$ |
2,375 |
|
|
|
|
|
|
||||
(1) |
The figures shown represent the Company's estimate for restructuring payments plus the actual year-to-date payments for restructuring charges, acquisition-related costs, and litigation costs or settlements. The Company does not generally forecast payments for acquisition-related costs, and litigation costs and settlements because it does not believe that it can forecast these items with sufficient accuracy since some of these items are indeterminable at the time the Company provides its financial Outlook. |
|||||
(2) |
The Company’s definition of Adjusted Free Cash Flow does not include other important uses of cash including (1) cash used to purchase businesses or joint venture interests, or (2) any items that are classified as Cash Flows From Financing Activities on the Company’s Consolidated Statement of Cash Flows, including items such as (i) cash used to repay borrowings, and (ii) distributions paid to noncontrolling interests. |
|||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20250722641088/en/
Investor Contact
Will McDowell
469-893-2387
william.mcdowell@tenethealth.com
Media Contact
Robert Dyer
469-893-2640
mediarelations@tenethealth.com
Source: Tenet Healthcare Corporation
