HCA Healthcare Profits Edge Higher on Florida Medicaid Windfall

Revenue climbed 9% to $20.23 billion, driven by a 2.5% uptick in same-facility admissions and a 3.6% increase in emergency room volume. While surgical activity slowed across both inpatient and outpatient departments, the company’s bottom line benefited from a $400 million net gain linked to Medicaid supplemental programs. The Florida initiative alone accounted for $1.37 billion in incremental revenue, prompting the company to raise its annual outlook for these programs to a projected gain of $300 million to $500 million.

Operational headwinds persist as the number of uninsured patients grows, a trend attributed to individuals losing coverage through health insurance exchanges. This shift in payer mix cost the company roughly $400 million in pre-tax income. Reflecting these mixed results, HCA narrowed its full-year revenue guidance to a range of $77.0 billion to $79.5 billion, while adjusting its earnings per share forecast to between $28.70 and $30.50.