Shares of Tenet Healthcare Corporation (NYSE:THC) advanced 2.7% in premarket trading on Tuesday after the healthcare services company reported quarterly results that beat market expectations and raised its full-year forecast.
For the third quarter, Tenet posted adjusted earnings per share of $3.70, outpacing analyst estimates of $3.34. Revenue reached $5.29 billion, slightly above the projected $5.26 billion and up 3.2% from $5.13 billion in the same period a year earlier.
Consolidated Adjusted EBITDA climbed 12.4% year over year to $1.099 billion, while the Adjusted EBITDA margin stood at 20.8%. The Ambulatory Care segment — which includes surgical hospitals and outpatient surgery centers — delivered a 12.1% increase in Adjusted EBITDA to $492 million compared to Q3 2024.
“Our high acuity service line focus and operational discipline enabled us to deliver strong same store revenue growth and attractive operational performance and free cash flow in the third quarter,” said Saum Sutaria, M.D., Chairman and CEO of Tenet.
The Hospital segment reported a 1.5% increase in same-hospital admissions and a 0.7% uptick in surgeries compared to the previous year. Same-hospital net patient service revenue per adjusted admission grew 5.9% year on year, supported by a more favorable payer mix and higher acuity services.
For the full year 2025, Tenet raised its guidance and now expects adjusted EBITDA between $4.47 billion and $4.57 billion — an increase of $50 million at the midpoint. Earnings per share are projected in the range of $15.93 to $16.26, surpassing the consensus estimate of $15.83.
The company also continued its share buyback program, repurchasing 0.6 million shares for $93 million during the quarter. This brings total repurchases to 7.8 million shares, or $1.188 billion, over the first nine months of 2025.