Tenet Healthcare's Q3 profit beats estimates driven by same-store growth

Tenet Healthcare

28/10/2025 10:55

Overview

Tenet Q3 2025 revenue beats analyst expectations, growing 3.2% yr/yr

Adjusted EPS for Q3 2025 beats consensus, rising 26.3% yr/yr

Company raises FY 2025 Adjusted EBITDA outlook by $50 mln at midpoint

Outlook

Tenet raises FY 2025 Adjusted EBITDA outlook to $4.47 bln-$4.57 bln

Company expects FY 2025 net operating revenues of $21.15 bln-$21.35 bln

Tenet forecasts FY 2025 diluted EPS of $14.66-$15.37

Result Drivers

SAME-FACILITY REVENUE - Strong growth in same-facility net patient service revenues drove Q3 results, particularly in Ambulatory Care

FAVORABLE PAYER MIX - Higher acuity volumes and favorable payer mix boosted net revenue per case in Q3 2025

EXPENSE MANAGEMENT - Disciplined expense management contributed to 12.1% growth in Q3 Adjusted EBITDA

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Net Operating Revenue
Beat
$5.28 bln
$5.25 bln (16 Analysts)
Q3 Adjusted EPS
Beat
$3.70
$3.30 (18 Analysts)
Q3 EPS
$3.86


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 20 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the healthcare facilities & services peer group is "buy"

Wall Street's median 12-month price target for Tenet Healthcare Corp is $225.00, about 3.9% above its October 27 closing price of $216.17

The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 13 three months ago

Press Release: ID:nBw8TzPsna

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)