DaVita Q1 2024 Earnings Report
Key Takeaways
DaVita Inc. reported consolidated revenues of $3.071 billion for the first quarter of 2024. The company's operating income was $484 million, with a diluted earnings per share of $2.65. They also repurchased 2.1 million shares of common stock.
Consolidated revenues reached $3.071 billion.
Operating income totaled $484 million, while adjusted operating income was $463 million.
Diluted earnings per share stood at $2.65, and adjusted diluted earnings per share was $2.38.
The company repurchased 2.1 million shares at an average price of $112.76 per share.
DaVita
DaVita
DaVita Revenue by Segment
DaVita Revenue by Geographic Location
Forward Guidance
DaVita provided its 2024 financial outlook, including adjusted operating income between $1.875 billion and $1.975 billion, adjusted diluted net income per share between $9.00 and $9.80, and free cash flow between $900 million and $1.150 billion.
Positive Outlook
- Adjusted operating income is projected between $1,875 million and $1,975 million.
- Adjusted diluted net income per share is expected to be in the range of $9.00 to $9.80.
- Free cash flow is anticipated to be between $900 million and $1,150 million.
- Company has current cash collections used to pay down the revolving line of credit.
- Company received interest-free funding from UnitedHealth Group under the Temporary Funding Assistance Program.
Challenges Ahead
- Macroeconomic and marketplace conditions continue to generate significant risk and uncertainty.
- Future results could vary materially from the guidance provided.
- Change Healthcare outage increased days sales outstanding which negatively impacted operating cash flows for the quarter
- Company experienced delays in claims processing as a result of the Change Healthcare outage.
- Company increased in outstanding borrowings under the Company's revolving credit facility.
Revenue & Expenses
Visualization of income flow from segment revenue to net income