DaVita Healthcare Partners Inc. Reports Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended September 30, 2014; Updates Consolidated Earnings Guidance for the Year 2014; Provides Earnings Guidance for the Year 2015
Nov 6 14
DaVita HealthCare Partners Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2014. For the quarter, the company reported total net revenue of $3,251,824,000 against $2,999,586,000 a year ago. Operating income was $437,536,000 against $377,074,000 a year ago. Income from continuing operations before income taxes was $336,412,000 against $270,766,000 a year ago. Income from continuing operations was $219,784,000 or $0.85 diluted per share against $169,836,000 or $0.64 diluted per share a year ago. Net income attributable to the company was $184,122,000 or $0.85 diluted per share against $136,628,000 or $0.64 diluted per share a year ago. Adjusted operating income was $454,536,000 against $481,795,000 a year ago. The company continued to generate strong cash flows as operating cash flow was $848 million in the third quarter. This was unusually high due to: one, the timing of cash tax payments; and two, the timing of years working capital items, in particular a reduction in accounts receivable DSO.
For the nine months, the company reported total net revenue of $9,467,089,000 against $8,700,841,000 a year ago. Operating income was $1,363,056,000 against $1,065,955,000 a year ago. Income from continuing operations before income taxes was $955,308,000 against $744,958,000 a year ago. Income from continuing operations was $612,942,000 or $2.38 diluted per share against $499,692,000 or $1.96 diluted per share a year ago. Net income attributable to the company was $515,094,000 or $2.38 diluted per share against $421,168,000 or $1.96 diluted per share a year ago. Net cash provided by operating activities was $1,529,398,000 against $1,419,154,000 a year ago. Additions of property and equipment, net were $443,507,000 against $399,527,000 a year ago. Purchase of intangible assets was $50,000 against $53,000 a year ago. Adjusted operating income was $1,380,056,000 against $1,413,699,000 a year ago.
The company updated consolidated operating income guidance for 2014 to now be in the range of $1.785 billion to $1.835 billion. The company's previous consolidated operating income guidance for 2014 was in the range of $1.755 billion to $1.840 billion. The company updated consolidated operating cash flow guidance for 2014 to now be in the range of $1.700 billion to $1.800 billion. The company's previous consolidated operating cash flow guidance for 2014 was in the range of $1.450 billion to $1.550 billion. The company now expects the full year effective tax rate for 2014 to be in the range of 39.5% to 40%.
The company expects consolidated operating income for 2015 to be in the range of $1.750 billion to $1.900 billion. The company expects consolidated operating cash flow for 2015 to be in the range of $1.500 billion to $1.700 billion.
Centura Health and DaVita HealthCare Partners Inc. Form New Joint Venture in Colorado and Kansas
Nov 6 14
Centura Health and DaVita HealthCare Partners Inc. announced a new joint venture that will offer a differentiated health care delivery model to help optimize health care value and lower costs for consumers in Colorado and Kansas. The two partners will combine their expertise to provide enhanced resources that increase coordination of care, equip care providers with sophisticated analytical tools and focus on prevention. The new entity will be based in Colorado and jointly owned 50/50 by Englewood-based Centura Health and Denver-based DaVita HealthCare Partners. Together, Centura Health and DaVita HealthCare Partners will arm primary care providers, specialists and Centura Health acute and ambulatory care facilities with a range of services and tools. These include care coordination, disease management, risk stratification, consumer engagement and more. This new health care model can lessen the complexity, confusion and fragmentation of health care for consumers by helping care providers to be more effective in making critical decisions about consumer care, reducing unnecessary and costly medical interventions and rewarding providers for helping consumers actively manage and maintain their health. The new joint venture combines the expertise of the region's leading health care system and a nationally recognized leader in physician-centric coordinated care. It will be used to power Colorado Health Neighborhoods (CHN), Centura Health's physician-led network of providers.