Summary
HCA Healthcare, Inc. (HCA) in its 2010 10-K filing for the year ended December 31, 2009, presents a robust operational picture despite economic headwinds. The company operates a substantial network of 163 hospitals and 105 freestanding surgery centers across 20 states and England, underscoring its significant market presence. Key financial highlights for 2009 include revenues of $30.05 billion, a 5.9% increase year-over-year, and net income attributable to HCA Inc. of $1.05 billion. While the company experienced a decrease in its provision for doubtful accounts as a percentage of revenue, the combined total of provision for doubtful accounts, uninsured discounts, and charity care increased, reflecting the impact of a challenging economic environment on patient collections. The company's business strategy emphasizes quality care, ethical practices, leveraging market positions, and expanding its reach in key growth areas, while also focusing on physician relationships and becoming an employer of choice. Investors should note the company's substantial leverage, with total indebtedness of $25.67 billion as of December 31, 2009. While the company has access to significant credit facilities and generated strong operating cash flow, the level of debt and associated interest expenses remain a critical factor to monitor. The company's reliance on government payers (Medicare and Medicaid) and managed care plans makes it susceptible to changes in reimbursement rates and healthcare reform initiatives.
Financial Highlights
25 data points| Revenue | $26.78B |
| Interest Expense | $1.99B |
| Net Income | $1.05B |
| EPS (Basic) | $2.48 |
| EPS (Diluted) | $2.44 |
| Shares Outstanding (Basic) | 425.57M |
| Shares Outstanding (Diluted) | 432.23M |
Key Highlights
- 1HCA operated 163 hospitals and 105 freestanding surgery centers as of December 31, 2009, demonstrating a significant scale of operations.
- 2Revenues grew to $30.05 billion in 2009, a 5.9% increase from 2008, indicating continued demand for healthcare services.
- 3Net income attributable to HCA Inc. was $1.05 billion in 2009, a substantial improvement from $673 million in 2008.
- 4The company's primary revenue sources are Medicare (23%), Managed Care & other insurers (52%), indicating a diverse payer mix but also reliance on these large entities.
- 5Total debt stood at $25.67 billion as of December 31, 2009, highlighting a highly leveraged capital structure.
- 6Same facility revenues increased by 6.1% in 2009 compared to 2008, suggesting strong performance from existing operations.
- 7The company reported a significant increase in combined self-pay revenue deductions (charity care and uninsured discounts) to $8.36 billion in 2009, reflecting economic pressures on patients.