Community Health Systems, Inc. (NYSE: CYH) (the "Company") today
announced financial and operating results for the three and six months
ended June 30, 2012.
Net operating revenues for the three months ended June 30, 2012, totaled
$3.2 billion, an 8.1 percent increase compared with $3.0 billion for the
same period in 2011. Income from continuing operations increased to
$102.2 million, or $0.93 per share (diluted), for the three months ended
June 30, 2012, compared with $92.9 million, or $0.81 per share
(diluted), for the same period in 2011. Net income attributable to
Community Health Systems, Inc. common stockholders was $0.93 per share
(diluted) for the three months ended June 30, 2012, compared with $0.39
per share (diluted) for the same period in 2011. Weighted-average shares
outstanding (diluted) were 89.5 million for the three months ended
June 30, 2012, and 91.8 million for the three months ended June 30, 2011.
Adjusted EBITDA for the three months ended June 30, 2012, was $483.1
million compared with $462.3 million for the same period in 2011,
representing a 4.5 percent increase. Adjusted EBITDA is EBITDA adjusted
to exclude discontinued operations, loss from early extinguishment of
debt and net income attributable to non-controlling interests. The
Company uses adjusted EBITDA as a measure of liquidity. Net cash
provided by operating activities for the three months ended June 30,
2012, was $295.6 million compared with $397.2 million for the same
period in 2011.
The consolidated operating results for the three months ended June 30,
2012, reflect a 3.0 percent increase in total admissions and a 5.7
percent increase in total adjusted admissions compared with the same
period in 2011. On a same-store basis, admissions decreased 2.0 percent
while adjusted admissions increased 0.5 percent compared with the same
period in 2011. On a same-store basis, net operating revenues increased
4.5 percent compared with the same period in 2011.
Net operating revenues for the six months ended June 30, 2012, totaled
$6.5 billion, a 9.8 percent increase compared with $6.0 billion for the
same period in 2011. Income from continuing operations increased to
$201.9 million, or $1.79 per share (diluted), for the six months ended
June 30, 2012, compared with $184.5 million, or $1.62 per share
(diluted), for the same period in 2011. Net income attributable to
Community Health Systems, Inc. common stockholders was $1.78 per share
(diluted) for the six months ended June 30, 2012, compared with $1.05
per share (diluted) for the same period in 2011. The results for the six
months ended June 30, 2012, include a $0.48 per share (diluted) net
benefit from the resolution of an industry wide governmental settlement
and a payment update relating to prior periods, a $0.10 per share
(diluted) charge to establish reserves for certain legal matters, and a
$0.44 per share (diluted) loss from the early extinguishment of debt.
Excluding these previously mentioned items, income from continuing
operations attributable to Community Health Systems, Inc. common
stockholders was $1.85 per share (diluted) for the six months ended
June 30, 2012, and net income attributable to Community Health Systems,
Inc. common stockholders was $1.84 per share (diluted) for the six
months ended June 30, 2012. Weighted-average shares outstanding
(diluted) were 89.2 million for the six months ended June 30, 2012, and
92.0 million for the six months ended June 30, 2011.
Adjusted EBITDA for the six months ended June 30, 2012, was $1.0 billion
compared with $919.4 million for the same period in 2011, representing a
10.8 percent increase. Net cash provided by operating activities for the
six months ended June 30, 2012, was $482.9 million compared with $584.7
million for the same period in 2011.
The consolidated operating results for the six months ended June 30,
2012, reflect a 3.1 percent increase in total admissions and a 6.9
percent increase in total adjusted admissions compared with the same
period in 2011. On a same-store basis, admissions decreased 2.2 percent
while adjusted admissions increased 1.5 percent compared with the same
period in 2011. On a same-store basis, net operating revenues increased
4.4 percent compared with the same period in 2011.
Commenting on the results, Wayne T. Smith, chairman, president and chief
executive officer of Community Health Systems, Inc., said, "Community
Health Systems delivered a solid financial and operating performance for
the second quarter of 2012. Revenues were up 8.1 percent on a
consolidated basis and 4.5 percent on a same-store basis compared with
the second quarter of last year. We are especially pleased with our
volume trend improvement, with moderation in the rate of decline in
admissions and an increase in adjusted admissions on a same-store basis,
compared with a year ago. These results reflect execution of our key
strategies for success - implementing best practice standards, making
selective acquisitions, improving operational efficiencies and
recruiting physicians. In addition, our focus on disciplined expense
management across our hospital network has yielded positive results in a
challenging environment."