DALLAS - Tenet Healthcare Corporation (Tenet) (NYSE: THC) today announced its results for the quarter and year ended December 31, 2023.
Our businesses performed exceptionally well in 2023, driven by strong same facility revenue growth and disciplined operating management, said Saum Sutaria, M.D., Chairman and Chief Executive Officer of Tenet. We carry momentum into 2024 and are focused on continuing to expand access to care and investing in cutting edge technology for our patients and physician partners, while strategically reducing our debt and growing our ambulatory care and hospital businesses.
Balance Sheet and Cash Flows
Cash flows provided by operating activities for the year ended December 31, 2023 were $2.374 billion versus $1.083 billion for the year ended December 31, 2022 (or $2.091 billion excluding $880 million of repayments associated with Medicare advances and $128 million of payroll tax deferrals from FY 2020).
The Company produced free cash flow1 of $1.623 billion for the year ended December 31, 2023 versus $321 million for the year ended December 31, 2022 (or $1.329 billion excluding repayments of Medicare advances and deferred payroll tax payments).
In the three months ended December 31, 2023, the Company repurchased 1,626,208 shares of common stock for $110 million. In the year ended December 31, 2023, the Company repurchased 3,112,191 shares of common stock for $200 million.
The Company s ratio of net debt to Adjusted EBITDA1 was 3.89x at December 31, 2023 compared to 4.10x at December 31, 2022.
Recent Transactions
On February 1, 2024, the Company announced the completion of the sale of three hospitals and related operations in South Carolina to Novant Health for approximately $2.4 billion (approximately $1.75 billion after-tax).
On February 1, 2024, the Company announced it had signed a definitive agreement to sell four hospitals and related operations in Orange County and Los Angeles County, California to UCI Health for approximately $975 million (approximately $800 million after-tax). The transaction is expected to be completed in the spring of 2024, subject to customary regulatory approvals, clearances, and closing conditions.
The Company estimates that as a result of the pre-tax book gains from these two transactions, the Company s income tax expense would be favorably impacted in 2024 by approximately $190 million due to a reduction in interest expense limitations.
Cautionary Statement
This release contains forward-looking statements - that is, statements that relate to future, not past, events. In this context, forward-looking statements often address the Company s expected future business and financial performance and financial condition, and often contain words such as expect, anticipate, assume, believe, budget, estimate, forecast, intend, plan, predict, project, seek, see, target, or will. Forward-looking statements by their nature address matters that are, to different degrees, uncertain. Particular uncertainties that could cause the Company s actual results to be materially different than those expressed in the Company s forward-looking statements include, but are not limited to the factors disclosed under Forward-Looking Statements and Risk Factors in our Form 10-K for the year ended December 31, 2022 and other filings with the Securities and Exchange Commission.
About Tenet Healthcare
Tenet Healthcare Corporation (NYSE: THC) is a diversified healthcare services company headquartered in Dallas. Our care delivery network includes United Surgical Partners International, the largest ambulatory platform in the country, which operates or has ownership interests in more than 480 ambulatory surgery centers and surgical hospitals. We also operate 58 acute care and specialty hospitals, approximately 160 other outpatient facilities, a network of leading employed physicians and a global business center in Manila, Philippines. Our Conifer Health Solutions subsidiary provides revenue cycle management and value-based care services to hospitals, health systems, physician practices, employers and other clients. Across the Tenet enterprise, we are united by our mission to deliver quality, compassionate care in the communities we serve.
Contact:
Will McDowell
Tel: 469-893-2387
Email: william.mcdowell@tenethealth.com
Robert Dyer
Tel: 469-893-2640
Email: mediarelations@tenethealth.com
TENET HEALTHCARE CORPORATION 
