Aug 4 (Reuters) – DaVita said on Tuesday revenue per treatment was lower in the second quarter, blaming declining enrollments for dialysis treatments as patients dropped out of Obamacare plans following the end of pandemic-era subsidies.
Shares of the company, which maintained its annual profit forecast, were down as much as 7% in after-hours trading.
Here are some details:
• Revenue per treatment for the quarter was $415.87, lower than $417.59 in the prior period, with the company also pointing to lower revenue from phosphate binders, an oral medication used by dialysis patients to prevent phosphorus buildup in their blood
• The lower revenue per treatment came in line with expectations, the company said.
• DaVita has previously said it expects an estimated $40 million impact in 2026 and about $70 million in 2027 from the expiry of ACA subsidies
• The company provides dialysis services through outpatient clinics and at home for patients with chronic kidney failure across the U.S.
• The Colorado-based company reaffirmed its 2026 adjusted per-share profit expectations of between $14.10 and $15.20, compared with analysts’ estimates of $14.82, according to data compiled by LSEG.
• On an adjusted basis, it reported a profit of $4.02 per share for the quarter ended June 30, above estimates of $3.88 per share.
• The company reported quarterly revenue of $3.55 billion, largely in line with estimates of $3.50 billion.
(Reporting by Unnamalai L in Bengaluru; Editing by Sriraj Kalluvila)
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