HCA Healthcare 4Q Profit Hit by Higher Taxes; Plans Quarterly Dividends
By Ian Walker
HCA Healthcare Inc. (HCA) on Tuesday declared a first-time quarterly dividend, despite reporting a 41% fall in fourth-quarter income due to higher taxes.
The Nashville, Tenn.-based health-are services provider earned a quarterly profit of $474 million, or $1.30 a share, compared with $920 million, or $2.39, for the same period last year. It paid $736 million in taxes, compared with $480 million for the final quarter of 2016. Of this, $301 million related to recent the Tax Cuts and Jobs Act.
Analysts expected a profit of $690 million.
Sales rose to $11.56 billion, from $10.64 billion for the fourth quarter ended Dec 31., 2016. This compares with analysts forecasts of $11.21 billion according to FactSet.
The board has declared a quarterly dividend of 35 cents a share.
The company said it expects to report a profit of $8.50 to $9.00 a share for 2018 and revenue of $45 billion to $46 billion.
HCA also said it now plans to spend $10.5 billion over the next three years as it pursues growth opportunities in its existing markets. This compares with previous plans to spend $8.2 billion.
Write to Ian Walker at email@example.com; @IanWalk40289749
(END) Dow Jones Newswires
January 30, 2018 09:45 ET (14:45 GMT)Copyright (c) 2018 Dow Jones & Company, Inc.