HCA Holdings (NYSE: HCA) reported Q1 EPS of $1.69, may not compare to the analyst estimate of $2.75. Revenue for the quarter came in at $12.86 billion versus the consensus estimate of $13.14 billion.

• During the first quarter of 2020, the Company recorded losses of $295 million, or $0.66 per diluted share, on retirement of debt and gains of $7 million, or $0.02 per diluted share, on sales of facilities. Results for the first quarter of 2019 included $86 million in revenues, or $0.19 per diluted share, as a result of finalizing an arbitration with a payer related to out-of-network claims.

COVID-19

The Company believes the extent of COVID-19’s adverse impact on its operating results and financial condition will be driven by many factors, most of which are beyond the Company’s control and ability to forecast. As a result, at this time the Company cannot reasonably estimate the impact the COVID-19 pandemic will have on its operating and financial results. Due to this continued uncertainty, the Company is withdrawing its previously issued guidance for 2020.

The Company has taken numerous actions over the course of the past few weeks to provide the safest possible environment for its employees, affiliated physicians, and patients. In addition to these actions, the Company implemented a pandemic pay program that provides salary support for its employees who are not getting their full pay. The Company’s response plan has multiple facets and continues to evolve as the pandemic unfolds.

As a national healthcare provider, the Company has taken steps to support its mission and enhance its operational and financial flexibility during the COVID-19 pandemic. As a precautionary measure, the Company has taken a number of actions, including the following:

• Implemented certain cost reduction initiatives;
• Suspended its authorized share repurchase program;
• Reduced certain planned capital expenditures;
• Executed a new $2 billion 364-day term loan facility (which was undrawn at March 31, 2020) to supplement revolver availability; and
• Subsequent to March 31, 2020, requested accelerated Medicare payments as provided for in the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

Dividend

In addition to the actions described above, the Company has taken the additional precautionary step to enhance its financial flexibility by suspending its quarterly dividend program. The Company expects to evaluate resumption of the quarterly dividend program at a future date

For earnings history and earnings-related data on HCA Holdings (HCA) click here.