[Mon 8:45 a.m. July 24, 2000]
By DAVID A. FOX
HCA (HCA) said Monday that it had second-quarter earnings, before huge charges, of 40 cents a share, higher than the 36 cents a share consensus estimate of 23 analysts surveyed by Zacks.
The Nashville-based hospital company said it had operating earnings of $223 million, or 40 cents a share, up from 31 cents a share in the year-ago period. Revenue slipped to $4.1 billion from $4.2 billion due to nine fewer hospitals being in the system. Same-facility revenue climbed 5.2%
The company took a previously announced $498 million, or 89 cents a share, after-tax charge, to settle portions of an investigation by the Department of Justice. HCA also took a $16 million gain from reallocated insurance unit funds. It lost $34 million from its shared-services initiatives and Internet strategies and losses on assets held for sale.
HCA had a net loss of $272 million, or 48 cents a share, versus a gain of $106 million, or 18 cents a share, in the second quarter of 1999.
HCA shares opened 69 cents lower Monday morning to $31.25.