HCA stock drops 10 percent following Q3 earnings report

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Source: Nashville Post
Author: Hannah Herner
Date: October 25, 2024

HCA Healthcare stock value was down about 10 percent Friday following the release of the company’s third quarter earnings report.

The Nashville-based health care giant lost revenues due to Hurricane Helene and Hurricane Milton damaging some of its properties in Florida, Georgia and North Carolina. HCA hospitals in the path of the hurricane postponed procedures, which cost the company $50 million, according to the report.

HCA anticipates $200 and $300 million in costs during the fourth quarter of 2024 due to damage that happened during October, according to the financial report.

Still, the company generated quarterly revenue of $17.49 billion, and $5.05 earnings per share. The EPA mark beat the Zacks consensus estimate of $4.97 per share. Relatedly, HCA produced a net income of $1.27 billion, compared to $1.08 billion in the third quarter of 2023.

"Our people recently, and heroically, responded to two major hurricanes in less than two weeks,” Sam Hazen, CEO of HCA Healthcare, said in a release.

”The teamwork and enterprise capabilities of HCA Healthcare were on full display before, during and after these storms. I am grateful for, and humbled by, the unwavering dedication, remarkable bravery and outstanding leadership demonstrated by our people throughout these storms. They truly demonstrated that above all else, they are committed to the care and improvement of human life."

During the third quarter, the company donated $600,000 to Meharry Medical College, and HCA’s local arm TriStar Health named a chief medical officer.

HCA shares (ticker: HCA were down nearly 10 percent in early afternoon trading Friday, with a value of $365 per share.