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LifePoint Health, Inc. (NASDAQ:LPNT) reported earnings of 77 cents per share in fourth-quarter 2017 that missed the Zacks Consensus Estimate by 4.94%. Also, the figure declined 41.5% year over year, due to revenue decline and increase in expenses.
Operational Update
Revenues of $1.49 billion missed the Zacks Consensus Estimate by 5.3% and fell roughly 5.2% year over year.
Provision for doubtful accounts was $282.4 million in the reported quarter, up 22.7% year over year.
Equivalent admissions declined 3% year over year to 172,791 and revenue per equivalent admission was down 4.2% year over year to $8625.
Total expenses of $1.55 billion increased 1.3% year over year.
At the end of the fourth quarter, the company had 71 hospitals compared with 72 hospitals in the year-ago quarter.
Financial Update
As of Dec 31, 2017, the company had total assets of $6.29 billion, down 0.5% year over year.
Cash and cash equivalents totaled $112 million, up 16.5% year over year.
As of Dec 31, 2017, long-term debt declined 0.5% to $2.88 billion from year-end 2016.
Net cash provided by operating activities totaled $178.2 million, up 73.9% year over year.
2018 Guidance
The company expects earnings per share in the range of $4-$4.53, and adjusted EBITDA is expected within $725-$765 million.
Also, LifePoint Health projects revenues within $6.35-$6.43 billion, same hospital revenue growth of 1.4% to 2.7%, and capital expenditures of $475 million to $500 million.
Zacks Rank & Performance of Peers
LifePoint Health presently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Among the other firms in the medical sector that have reported their fourth-quarter earnings so far, the bottom line at Centene Corp. (NYSE:CNC) , Anthem Inc. (NYSE:ANTM) and UnitedHealth Group Inc. (NYSE:UNH) beat their respective Zacks Consensus Estimate.
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