HCA - Earnings call transcript Q1 2024

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Welcome to the HCA Healthcare First Quarter 2024 Earnings Conference Call. Today's call is being recorded. At this time, for opening remarks and introductions, I would like to turn the call over to Vice President of Investor Relations, Mr. Frank Morgan. Please go ahead, sir.

Frank Morgan

to today's welcome and morning, everyone call. on Good our Hazen; and me this Bill Sam is morning With CFO, CEO, Rutherford. Sam prepared and remarks some and then Bill we'll take will provide questions.

remind call in forward-looking any More that uncertainties are current Sam, turn and call management's from today's information statements over our filings. on numerous I should today's to results the let Before might me expectations, that everyone based other actual factors that in those contain are may to risks, release differ these press materially listed forward-looking and various on expressed cause statements and today. be SEC factors

On non-GAAP EBITDA net income this as a financial such measure. is measures attributable to A and reconciling HCA supplemental we in morning's adjusted may Healthcare today's table release. reference on is adjusted EBITDA, included which providing call, information

and being I'll With of This Sam. the recorded, call call turn today. now a morning's later be that, will replay to available over is the call

Samuel Hazen

you. volume everybody, past year Frank, positive quarter in mix driven financial this business right. results the generated and our momentum solid fundamentals into payer broad-based we that morning the The margins. This joining for thank by of continued first call. All growth, strong you improved saw thank Good XXXX. and were to operating

to growing networks we to our our the of As demand our performance, backdrop stability the year, of across for we rest communities. our services look our overall remain encouraged the by enhanced serve and

have and discharge to satisfaction, in better emergency be needed capacity outcomes, our reduced key efficient measures The deliver management services, our finally, who of stay improved nonfinancial increased which people of for in with metrics, patients HCA patients including accelerated and more and to of improvements quality length transferred inpatient to hospitals. to acceptance Healthcare process with increased time room continue

the share in visits growth increased $X.XX. company. categories, procedures quarter. the metrics volumes were earnings up increased first admissions were prior across solid X%, to of volume as diluted favorable Same-facility equivalent X% and inpatient grew almost Most per cardiac compared year-over-year, As to also quarter X%. the surgeries and adjusted emergency Inpatient rehab had year, admissions, in admissions almost the X% our room other grew X% including

equivalent primarily While had revenue X%. mix, this drove favorable increased payer Medicaid surgery of outpatient volume. to the year-over-year the We and which due admissions calendar redetermination cases the the to most growth declined and total a domestic effect admissions. in decrease of process, divisions decline considerable All in attribute inpatient

upward levels the volumes mix Last the the And were The as a payer almost XX% revenue mix of coupled they admission. trend XX% volume continuing of as year. slightly, X.X% to total. metrics, with years. acuity improved prior over these past compared Commercial X% for we our the few grew Same-facility have reimbursement case increased admissions. business and finally, seen represented of higher result approximately year, equivalent equivalent inpatient per

across continue our line Operating in We make expectations. most with costs categories agenda. progress to cost on our were

sites for or increased to added of we X,XXX. plan, care around capacity. facilities our bed to And the our X% number almost spending As by part inpatient of capital X% approximately

to to should position remainder As objectives. while believe maintain company we in meet a operations disciplined the which long-term will invest the agenda, to we we year, our strategic our of move through our continuing the approach favorably appropriately

him my It's for done. well to I I with will last congratulate the job his turn with the want him earnings over privilege his a years, want call to company. again for been on I Bill these work to tremendous career to and that, him With call. thank

William Rutherford

with continue And that. performance to represents a operational year, quarter a balanced strong and disciplined believe thank everyone. we performance and Sam, of time. We the over capital Great. to value start generate combine first appreciate Good morning, you, our allocation solid to

the year X% top prior same-facility line in highlighted with the over quarter. revenue quarter. growth XX.X% volume, mix almost strong had growing the revenues growth We the Sam that our and same-facility metrics in drove acuity

on highlight So operating costs. me a our let few points

Adjusted Overall, operating solid quarter. EBITDA margin XX.X% year. the as-reported revenue costs were cost was were a the with basis results points percent from of managed prior Labor well. in labor XXX as improving

as trends We which improved of basis revenues X.X% continue prior labor, total cost. the represented from Supply to contract and year. see prior year XX from the on points cost improved XX.X% a labor good of percent

remained past line While other with professional has the -- operating revenue quarters. prior expense and our the relatively fee as sequential costs a year, for moderate in to of contributed The expectations. continued percent X has it performed compared consistent to grown of growth

Valesco In addition, better than quarter. performed expectations our in operations the the

of was reminder, year. represented the $X.XX recorded EBITDA billion the quarter, will prior as X.X% a we Adjusted a last $XXX over year. quarter mention, in which I million favorable in increase first settlement a

the with for during So performance company quarter. pleased are first operational we the the

me speak continue allocation a outstanding billion. to flow $X.X during $X.X of we just of repurchased And just operations the Cash $X.X balanced was to expenditures let Next, shares billion employ billion totaled as under from under quarter. the capital in our capital. we allocation quarter. Capital

stated And full remains sheet morning, we we this in leverage from positioned perspective. end Our ranges. And reaffirming we XXXX debt finally, low to year well range. release our the believe our guidance adjusted guidance near are are balance a EBITDA of our

turn look it the we that, up Frank Q&A, questions. to for over I'll and and call to open your forward with So

Frank Morgan

Thank ask Bill. instructions Operator, who'd Instructions] you, you to question. may give now [Operator for those a like

Operator

[ from ]. from your And Rice comes line the Instructions] Suisse Credit first A.J. of [Operator question

Albert Rice

service highlight? you was wondered anything talked were there strong. one inpatient areas that Or of strong. can point, at quite was I those well. Any about business particularly if would laying the be back your comparisons the as that lines the along know year, know the interesting still there maybe than thought comment else the as don't you out Obviously, side half. were half that's would stronger first you be I if view. I

Samuel Hazen

Sam. it's A.J.,

As performance, seen had greater portfolio in than I had had company. admissions. XX growth my with mentioned, I've experience volume we I across best inpatient XX%. our growing Actually, division the of hospitals the think, in Every broad-based the growth company we in

So another We the portfolio broadly. of X/X of grew our X/X X%, XX%. almost company across than greater had really our greater volume portfolio than grow by so strong

look not you you the When but you in aggregate portfolio, our metrics. hospital the the divisions, similar only at within performance divisions disaggregate see when

services, a the standpoint broad-based so year-over-year line service well. bit, very grow Even across a And as on from growth on basis. as side was saw little a the board. volume far line births As obstetrics, down that's we the inpatient strong service in been

were was And necessarily outpatient of on then that it favorable, outcomes and it's on I outpatient influenced the as outpatient lost. side, But known that with on outpatient the surgery, the mentioned, everybody volume calendar surgery. underneath volumes we the which effects to mostly the the exception our Medicaid not surgery,

A because we some And don't the to have with We have think actually of again those that's maybe migrated this those are And that of that cases just an employer. working deductibles, to to of theory period time. some that know at co-pays point. patients process. due is for the deferred and redetermination we exchange or

surgery our was and revenue up. overall business outpatient within our profitability But

result the was positive. but end the the metric So at may day, of look the challenged,

look that we would the toward So say as more volumes, that, anticipate slightly do the volume be comparisons as far I we of difficult. rest year, the as will

will and But my by continue we mentioned encouraged demand. be we're the as may that an to we we It as from at demand positioning what sustain of backdrop not in standpoint this over strong, level, will pretty competitive the as I where health year expect, be course we see to particular overall well growth. are but as be the the comments, care for of able

Operator

next Hynes line question comes Your of Mizuho. the from from Ann

Ann Hynes

Medicaid your I talked I just you you you was from And on a remarks, prepared then a think impact impact you So negative the in think how quarter? volumes. had think, do revenue rule know, the Can what having was? redeterminations benefit quantify you secondly, two-midnight in the about

William Rutherford

It's Bill. quantify. to hard Yes. this Ann, is

we those either we're redeterminations, Perhaps maintaining which our saw up or HICS previously are Regarding saw we I a just we of end XX% positive. year, those doing coverage. large portion is in think of to last seeing seeing, best We're people And not. track towards those a coverage, the employer-sponsored of percentage end Medicaid are that. as large of

there a to So we going And to believe time is redeterminations. on small benefit over we're positive here. that monitor Medicaid continue

it's two-midnight rule, I'd the early. still On say

two-midnight it's encouraging volume in to inpatient two-midnight we think point, all not see seeing some the accordance a I'll from to do at benefit. to And modest of some We signs. still completed We providing statusing a due emphasize this that's going still But it's We're and new adjudication rules. rule. we believe believe are modest But benefit the the claims grow. with be our processes. have there's starting early

Operator

Your next from of Pito the Bank. Chickering question Deutsche comes from line

Pito Chickering

Can talk the at a first back launchpad? of pressure tracking than about there there? the of going percent Valesco how how And year? should seeing? OpEx see half in And any XQ? expenses that besides quarter as it level else any Does think OpEx is then revenues you're as we of in the you a that Is quantification pressure better the sort off Does of business using continue expectations? about to

William Rutherford

Bill. is Yes, Pito, this

Let me start.

other primary over operating are know I the consistent influencing I'll first, two last that So second I factors you as past in costs. recall pro the there's mostly see think, emphasize it's quarters think began fee from others the we quarter in very year. comparisons of to pressures the X year-over-year though. And been that and

year-over-year looking least we we're sequential fees We're at growth several quarters. to that. for the past So the begin as that pro moderate pleased in of still effect have some seeing we're at

the taxes we in. the that increase programs think just is participate in contributor I And supplemental provider the related expected payment second to

was two are expectations. think I those in our mostly, year-over-year line So contributors. really with it And the primary

for the that As the balance of of go think revenue again OpEx will hopefully through the past and continue consistent we percent relatively year. I X quarters, are forward, the

Operator

Leerink Your next Whit question Mayo comes of from the from line Partners.

Benjamin Mayo

million there's $XXX not same-store almost revenue of quarter. the It that's about segment looks this in like

modest to XX, on drag. maybe less missing? that earnings, last the million, spent. could don't $XXX quarter? than I point Anything maybe acquired basis trying margins. campuses you you I'm did a impact the XX the those You if almost the be this that any really million have just M&A $XXX quarter, out figure like Because I'm is entirety of mean,

there, So Bill, out could be me if helpful. you that help would

William Rutherford

And think difference Yes. entity between Wise the there's And last Health be same-store in the operations we did I other System would Well, the probably non-same-store. year. that's would the then Valesco and be probably in One, that acquire two. the the consolidated.

Operator

Your next the Brian Tanquilut from of line Jefferies. comes from question

Brian Tanquilut

congrats and the years, Bill, the retirement again. on the thanks for all help over

on Just staffing labor, labor? a with on question my and temp quantification for or bit. Valesco improvement you both can share in further Any us little nurse you touched expectation Valesco on

William Rutherford

start me Valesco. with Let

call, for as X Obviously, we 'XX. to quarters for generate amount said in the the have So had But anticipate we in them Valesco our kind in that 'XX, we've of year-end we in them 'XX. X had same quarters. we'll operations

again, to But is us So flagged that's I sequential I full for a think improvement. some still that's resulting basis. on think basically in be year good guidance

On stabilized, cost, a in up. still Turnover to trends teams initiatives has continue seen. hiring, contract labor. as with of we've and be The number the pleased the labor we recruiting have

forward. down go As is think labor I We as still year-over-year. to room still mentioned, there's XX% contract go more we our

again, So in think in we're overall we're position a pleased, trends. I labor and again good

Operator

is line the Hendrix of Capital RBC from Markets. Your Ben from next question

Benjamin Hendrix

to Wanted Bill. follow Congratulations, the some commentary. of mix up on

losses. detail fits mix. losses volume you more one pickup how offset, commercial could You strong know said wanted of about really into exchange I on on three you've in offset Medicaid Medicaid see talked some exchange to that. had redetermination I being kind

on So on are that And Or are still we volume lull? of offset to just kind wondering kind are of recapture. where enough a exchange we seeing we that?

William Rutherford

Yes, Bill.

Let me one. that with start

in mix. is our increase the health XX% managed exchanges. by We're are seeing overall pleased We range. care with very That insurance XX%, fueled the

XX% to close the Our quarter. exchange volume up first in was

see, we north a markets little enrollment The XX%. of up perhaps in data is our

of volume So the landing HICS some our chunk little And both big that. employer-sponsored delta, as are redetermined well higher redeterminations, we coverage that that least off is as who probably attributable is are volume. seeing as I in people a Medicaid than to think at a

good it's we or growth borrowing. you, X% that. roughly so of our seen still really But Remind have in

And tell pleased that. we we're where with that are in so Hard cycle. to

trends I we're very end, may think there we the the be process. to at seeing the state's far. in least with so But pleased redetermination we're

before, said benefit I think Medicaid has the us. On as I for redeterminations, it provided some

was. who individuals track to either we're continue their being in We what or the employer-sponsored of coverage coverage. seeing landing presenting are HICS redetermined that people And previous are

Operator

next Your from question Gary from of line Taylor Cowen. the TD is

Gary Taylor

congrats. two that so so just missed, be me, there -- want you'll My I your out jumped get Bill, to those. numbers were at two comment really on

number be is, occupancy to does peaking first more on leverage? at least or leverage mean, professional last I I Could I expense the operating other just is I all-time and decade. you've think, mean, The of think we're mean, through, room labor in on in operating high fees? want And there still terms the reported of outside that

moderated. tough versus phenomenon XX% in And And up then last is the just had huge a first where there's SEPs be trying And up very seasonality redeterminations other new or numbers the a that ER anything or just kind plus around to X% year, that's we're same-store quarter mind brings would ER for similar a I'm through and visits comp of comp. anything we think against that like that ACA, if you. to with then

Samuel Hazen

it's Gary, Sam.

retention, with our staffing agenda operating environment be supply to I When really backdrop. what over is actually necessary making you we for think the in last we the pretty we're levels. have months And believe made one, enhanced our number to we've improvements operating create positive recruitment, in look occupancy again that order a our better XX a the that at accommodate models agenda, patients. sure, care demand pleased solid

level. we executed and that's demand so our and through capacity our as leverage. and centers grow, down. efforts. in company meeting our have normal in patients our rooms And forth. receive to aspect around our imperatives necessarily market really acuity the transfer around at And but are is more went the beds, length management high again management to open inside And case had our us as second of compromising whatever That of actually up mentioned, teams we The stay more our operating not emergency our allowed a

a X quarter proxy over is the perfect never business. quarter X for

continue our in other labor And so believe other we run. fees, over we of the we're moderate scenarios costs incremental of pro we time, volume because exception fixed when looking will inside in at to over platform, we will sort longer have with the have see expenses. fixed which leverage a most business our we have And cost operating of operating

think, are year. we bed a over add this We So inpatient capacity. come to little online had, versus X% I investing year last

years. capacity We have a the significant to pipeline of capital that will help next deliver more X.X over inpatient X

So that's, that question.

the is room, you visits at of commercial finding was Medicaid, our strong emergency level in the slightly really metric. redeterminations, room emergency On on up speaks underneath the a the look basis. down up and a XX% self-pay, room look room, We're emergency Bill year-over-year point in That which were emergency to making when around a XX% different business. mix within the our

day, same dynamic level emergency we had room so year. emergency year obviously, see our X the business this inside of of room extra leap we so And business, the

it encouraged normal So emergency back we're about in going on pull rooms. our that in But quarters. what's would

discharged be improved. floor because as to patient have patient We service coming of have out the the I seen improved time dynamics a to comments, service of as mentioned has process process revitalize there a or to COVID. for in we've a levels And my a had the be to well robust our prepared The for as time markedly. agenda levels admitted lot

emergency on satisfaction rooms on basis. Our year-over-year continues to also in a a our improve patient basis sequential and

well. proving on-campus efforts we're emergency And particular in are both that line our important investing service to be Additionally, to as those off-campus. platform and room

and encouraged in our network care room So role urgent areas. overall to continue in And platform a what's on emergency huge play model. the we both our be by going

Operator

Lake Your comes of next question Research. Justin from Wolfe the line from

Justin Lake

my Let to over his years, all me your congrats Bill really appreciate add bud. retirement, help the on

Medicaid, on expectations DPP So your an my update get trying question for DSH. and to was

benefit You at believe. shouldn't benefit, I a that's say gross here I in billion reported XXXX. the number, $X.X

the number kind to then metric of back, could the you there? big Appreciate increase if have that's on COVID, XXXX, benefit much net And the to of of kind again. these us you go How how update give what that number the like hoping increased much can of number expecting think XXXX. as pre a XXXX this some transparency, of tell pre handy, and was you're should in you gross on relative for -- then? what an the programs we us back looked Maybe

William Rutherford

Yes.

the Justin, on reflect our still let But year-end think to belief I today. that's upfront. back that me back we'll get our try. don't you if discussion, to I And 'XX, have I to have

just these are a of DPP our fundamentally There's First, programs Medicaid really level of reimbursement. set, them. part lot

lot associated. states lot But them a We complexity a have with have some or XX these programs. have XX variables of of

use when believe settlements programs, year, 'XX, not in be 'XX, some to versus do revenue reoccur there's the still largely a expect these we headwind that to going going So 'XX because the in that as a to at we full realized forward. modest backdrop. But look we we of

we And that In still But for so going quarter-by-quarterly component full the think have. be may revenue still year, a the modest on trends. be factors that's to our headwind quarter, that X any there's we there influence belief.

terms state Each of has little in a whether or they're contribution-based. bit different tax-based

quoted have have back there disclosed revenue remained we So the don't number our handy. I ratios get maybe operating that consistent. have But relatively on to that levels, within And clearly XX-K. with we'll the 'XX that are you expenses you the associated to

Operator

Your Barclays. [Operator the Andrew line from next question of comes Instructions] from Mok

Andrew Mok

comments just OpEx. I wanted to made Bill. to I echo on to follow the other just on wanted you congratulations up

on Valesco. progression make from timing Valesco given sounds it the sense, of like performed the better, confused QX. I'm moderated. still the sequential think Because fees physician comparisons But I all year-over-year

a was it my step from And QX supplemental that understanding actually would payments levels. bit down elevated

we larger trying something some of a understand or line, OpEx don't we decrease item or other more leverage given that trends. kind those the see just I'm that unexpected OpEx didn't there why Is other understand So to other line? on in

William Rutherford

say have No. supplemental in we our expense growth payment I'd state did quarter-by-quarter.

that are the Justin's those. timing there said come variables in I of certain As response, on

So were was up. on And small fees sequentially, it the up just pro was up there. that sequentially,

is state makes So it expectations, pretty sequentially, those there the think pro to the other operating highlight. and at payment. trends else you out sense, the two when call line are our that And fees look were main the I factors much with in in I'd but supplemental nothing

Operator

next Your the of question comes of from Kevin America. line Bank Fischbeck,

Kevin Fischbeck

away guess, guys maybe I questions. about lot was are quarter. I the an guidance. giving you about changing X% Obviously, talk sure reaffirmed So every providing guidance is you two was volume everything there's in or the -- that. But question, just providing about volumes. for X% to update an guess, one And guidance, move line, because how been so about without I QX a exactly from update if I just that on your guidance guess, reaffirming of trying that around you're to wasn't communication really then in the that whether actually second, year. you're thinking the

You're X% start. to above

what towards seeing or we that the trend year to kind see XXXX? less imply will this back more move there that that end think year long-term in you're is So a line? to where longer-term some more to still about that line maybe be does in XXXX of in long-term How demand for volume markets? trend that the relative you Are line trend with room up your Or to that do to X%. we're X%? is X% like going And you

William Rutherford

Kevin, this Bill. is

ask Let me in. add to Sam I'll start and

wide not typically guidance we range talked would and in our a tried years. But accommodate guidance, we in the as normal ranges, of QX the in to are I year-end guidance set ranges outcomes. as believe we've call On adjust to the enough

to of you get will, the out guidance of trying And if so trend, every quarter-by-quarter. want to we reset

believe, they've that time. business is long-term last been Day we've and over They're trends in And guidance Investor I our highlighted years year, highlighted over overall kind think of pretty are we based And our that. solid. predictable durable. we on the the

not side volume we're to circumstances there's So on planning here. trends, comment that. And either adjust the of to warrant material on can again, Sam on quarter-by-quarter unless

very guidance. to fourth perhaps And the side volume pleased, last volume, quarter kind As get remind we've into overall some demand. second started high of strong see very you annual on end of the as half we're trends year. comparisons, said, and positive we third strong the in very do year-over-year -- We'll we volume our up we

a the up where hopefully, we will little bit. with high So we're efforts, trends the comps very volume end But the side. will year-over-year are. adjust on And pleased these

Samuel Hazen

Thank add. to else Nothing you.

Operator

Your Wells the Baxter, next of question comes line from Stephen Fargo.

Stephen Baxter

Medicaid on payment these about year? bow Just XXXX? the question, you're in there remind first hopefully now Is to of evenly that just we quarter the the can kind in any of are the us, each put a state-directed accruing point keep to or at the rest you mind quarter lumpiness

proactively to that, are out? that you issue, your that to of And week job seeking just of this more on do around Or kind your states tie here? a published of maybe to doing got this programs do maybe these earlier optimistic more better the states final think do you have then feel rule

William Rutherford

me. There Yes, these. when of is some we the let recognize variability in timing

under established starting part, would we For were we've to programs while get had actually programs, until the funds flow. on history basis. typically new accrual and most wait With some an a we

much We recognizing So bit as got practices. Relative little we as work to working year-by-year. accrue there's it's can that rule in positive. go changes capi payments. was review receive We're we were a our those there some It on take a basis. a it's as We earlier accruing. we terms still that for previous bit development week, But states the Remind annual potential add-on to lump released positive as of mix. historical a started this that It an a some through we through view But it. we And of bit, for [ people, generally, as will to little we but a for removes potential this as tried implement Florida early. us. the started it those ] see to generally, little way providers time variability some assessment. of is we sum the we and how But payments. year, for

Operator

Your next question comes Jason from the from Cassorla of line Citi.

Jason Cassorla

the confidence I of the just to wage X%, in gives you're follow on kind you agenda benefiting trended reduced on the know give growth labor. the want contract front spend on first per like. quarter and seeing of and patient you your quarter think there's from how year? anything When I balance about the SWB first just of and labor a up the you're offsets quarter we labor sense then about a can within that day us for productivity that if of the

William Rutherford

inflation line in we helping our and the labor seeing in and X% to that's Yes, teams wage retention executing that. obviously, And a and -- labor and labor And offset, that over to with got turnover we level. mean, there. lot be said I we to as expectations. to on we're from pleased starting recruitment our well initiatives reductions we've the are of with are And are trends X.X% continue about efforts very year, talked core anticipate trends. on contract we've to our past We

that be have are year expectations. to So I would line the our are in initiatives underway. And continue with core trends right say this the we seeing we labor that

Operator

line comes question the Lance Bernstein. from of Your Wilkes, next

Lance Wilkes

getting on I debt any shifted to of there where over more consumers impacting And folks backdrop you're sort of any of on comment One could if other question here. there on real that's the where impacts sort any impacting on the And follow-up if or question. constraints. due your on appetite outpatient you or my out any surgeries. things give labor was bad overall are then you're and that is and hiring that pipeline maybe perhaps just any seeing wondering stuff comment if either redeterminations was categories seeing

William Rutherford

any I'd of me have let labor, diversity we call labor if cohorts. I to employer Relative the great don't obviously, of And are I that. pipeline job. Yes, things geography, teams there's diversity mean, attempt on know out. of specific doing a different

is Our nurse hiring up.

we And or HICS think And outpatient unique both perhaps that so think redeterminations can on the growth combination volume to I I in others the anything call the there's that. And Sam influencing relative our would on earlier, to the that more don't of I surgery, sensitivity there's thesis that that. add and little and a year some just it bit those due about of that co-pays. relative in redetermination, spoke procedures some the Medicaid working perhaps deductible of to is early elective a on

in As in Sam mentioned all self-pay outpatient and levels. surgeries was in his Medicaid comments, almost of drop our

has relative normalize that perhaps more saying, say can't I debts, rebound see we've on that So And we'll be impact of kind to how on our right efforts will there. question time or need we're seen pending as the are out. year. And material debts some a individuals this no, little bit any yet of plays in There's what resulted that your growth any Medicaid there impact throughout a on now. are not eligibility the collectibility stage. in change to some it in on that bad that we're But of status still to as pursuing our on begins at that call self-pay bad we

Operator

Research. question Your Joshua the from Nephron Raskin is line from of next

Joshua Raskin

you've in XX my let's My tiny And sort but was lot deployment quarter. then as projects trending next of add call any timing. new higher bit, and obviously months? there's in and out all on is so sort next in CapEx. also of the the a specifically over years. maybe the generally X of capacity bunch the to a of down X.X years question just recent I'll it the got It for guess, thanks a Bill, I congrats, I speak flattish to well. know Could year-over-year, call CapEx you to the help. been

Samuel Hazen

This quarter the timing. is And is Sam. The amount for to point. your is flattish, it

down. We haven't slowed anything

be to construction expect or But somewhere close number somewhere at year that we guided than Some our we so. some projects to $X.X is different at level. we quarter, which for paces anticipate around billion last of the move to the

we're business invested in that want. that So more ever the network we the need because development the in investing we of than we've capacity

And so those efforts year. continue as the we go this course through of

on would As would you out, Antonio, have that excited about open new call this later of capacity San the hospital particular up that. west We're Texas will far a in as we any that that community. side year I tell I

that year. a other major have come over campuses the will projects We online on of host

think growth I somewhere which this so. the our is that or to year, capacity, the year, be bed another when we we similar will experienced maybe conclude X%

growing previously, I of as expand as exactly investing also number or we're I to as mentioned in there. business. the a investing existing units. how of overall don't But emergency spending. we in me the new front units invest in But much room we're of As as we have capacity our reflection as as areas our our of more far consistently we're is anticipating inside those

patients. We surgical again for so continue invest nurses and for in in elevated levels infrastructure equipment continue or capabilities improve facilities. it's the forth, our offerings also at those to our technology and and Whether our basic physicians investments to

we so as some in have that well. increases And embedded

returns. the And what on. money And our proven about that's continue to So spending we're have excited we positive really very that can we're generate patterns we believe our case.

Operator

line next is Your Fitzgerald. of Sarah from the Cantor James, question

Sarah James

could the give us were. surgeries I was what wondering outpatient commercial you if

comp just it positive to to trying that last pieces, I was quarters? understand of if coming last we're it still where it's with the know I year. was But Just be. it think a tough like off expected piece you the all few was moving

class. a graduating Galen, then you your are within weeks I of think, first And guys few

has how of class? just the strategically, or get Did that panned your share So commitments the you better work graduating out? of wondering

Samuel Hazen

Sam. is This

surgery, commercial say On I the side generally a in performed the of it it's aggregate flat, effects outpatient affected would so than Again, the as surgery calendar whole. outpatient general. better

had have well. With outpatient dramatic to has Galen, as spending And business. a But in or had I on that's just it past. Medicaid, seeing respect surgery anything graduating we outpatient the structural our in we mentioned, anticipating mentioned. classes our aren't investments capital surgery platform our Specifically, we as more effect as with

our the our company. see as is the We component we continue that sort there. to agenda have campuses early we within graduates our our and facilities organization. of integrate in our And for And of continue say to more into opportunities it's nursing those we within effectively. seeing of to larger Galen expand priorities are to one improvement really retaining within It's improvement And solidified. organization incremental ones completely

numerous of that have stages early in development. We are campuses

when per campuses allowing of students We us student campuses will into end across again clinical create with the XX,XXX graduate. and or between X,XXX around integrate those to and X,XXX by good them hopefully pipeline through experience, somewhere integration really they have XX retain somewhere a graduating year, roughly XXXX system them the

by we're our of strategy. that's And in encouraged that. But So still early we're the the effects efforts. seeing

Operator

the Your from next question is line from JPMorgan. Sternick of Cal

Calvin Sternick

quarter? the seeing what a volumes saw you you the rebound We've perspective softening others heard were you're some some from commentary Can about from January into strong demand that in then talk March. and April? with And February volume of expected if in

if into the in you any quarter? could supplemental one come also Medicaid could retro payments, have visibility now any on right clarification And just through second programs do I ask the that

William Rutherford

This specific is don't have differences one. always but answer the we no. last I'll of no timing visibility. aspects, No, specific certain visibility, Bill, There's

Samuel Hazen

simply inpatient and period. elective purposes business as and as calendar longer we quarter previously, days, the understand judge the was And I difficult what's of the period that what's we holidays during working and March a mentioned Easter business not for time has had really had business every elective effects. working because As over days, to again, far outpatient time working. we of volumes, business a calendar less

the with grew influenced was prepared will inpatient however, outpatient in into our month mentioned admissions, actually respect quarter. of markets. we're quarter. in by X backdrop you, I our But comments, of softer. We as that tell encouraged give in our overall my March. the aggregate to for I next We and demand activity soft don't was So sort guidance it clearly the the

Operator

to this remarks. today. call And closing I for Frank like to Morgan Q&A for back concludes our And turn would session over the

Frank Morgan

for Have our Wally, questions. us have and additional call. a your if thanks, We call. day. a Give I'm for around this you hope weekend. you a afternoon nice have today, thank good everyone, you help joining

Operator

your This rest day. concludes today's call. of Enjoy the conference

disconnect. now may You

HCA Healthcare (HCA) 26 Apr 242024 Q1 Earnings call transcript