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- **Record EBITDA Growth**: 2025 adjusted EBITDA guidance raised to $4.47B-$4.57B (+$445M midpoint), driven by USPI and hospital segment strength.
- **Free Cash Flow Expansion**: Guidance increased to $1.495B-$1.695B, up $250M midpoint, reflecting strong cash conversion.
- **Strategic Investments**: $875M-$975M CapEx for high-acuity services, new hospital openings, and M&A (11 centers acquired Q3).
- **Resilience to Market Risks**: Minimal exposure to exchange subsidies (7% of revenues), robust cash collection performance from Conifer.

**【CEO Summary Section】**
- **Revenue and EBITDA Growth**: Q3 2025 net operating revenues of $5.3 billion, consolidated adjusted EBITDA of $1.1 billion (12% YoY growth). USPI adjusted EBITDA grew 12% to $492 million, with same-facility revenues up 8.3%.
- **M&A and Expansion**: Acquired 11 centers, opened 2 de novo hospitals, including a new facility in Port St. Lucie, Florida. Full-year 2025 adjusted EBITDA guidance raised to $4.47B-$4.57B.
- **Hospital Segment Performance**: Adjusted EBITDA up 13% to $607 million, same-store admissions +1.4%, revenue per admission +5.9%.
- **Free Cash Flow**: Guidance increased to $1.495B-$1.695B, driven by strong cash collection and cost controls.

**【CFO Financial Commentary】**
- **Segment Breakdown**: USPI EBITDA margin 38.6%, hospital segment margin 15.1%. Salary/wage expenses improved 160bps to 41.7% of net revenues.
- **Cash Flow and Repurchases**: Q3 free cash flow $778M, year-to-date $2.16B. Repurchased 598K shares ($93M) in Q3, total $1.2B year-to-date.
- **Balance Sheet**: Leverage ratio 2.3x EBITDA, no debt maturities until 2027. Capital allocation priorities: USPI growth, hospital investments, debt management, and buybacks.

**【Q&A Highlights】**
- **Q4 Outlook**: No impact from expiring subsidies expected; USPI capacity sufficient for seasonal demand. Exchange exposure minimal (7% of revenues).
- **CapEx and Investments**: 2025 CapEx guidance raised to $875M-$975M, focused on high-acuity services and technology.
- **Labor and Inflation**: Labor costs well-managed; tariffs and supply chain inflation under control via vendor partnerships.
- **M&A Strategy**: Continued focus on ASCs and de novo hospitals, with $300M+ spent year-to-date.
- **2026 Outlook**: Stable demand, disciplined cost controls, and focus on high-acuity services expected to drive growth.

Tenet Healthcare (THC)-28 Oct 25-2025 Q3 Earnings call transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

THC

THC fundamentals

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