Tenet Healthcare Corporation · NYSE:THC

Tenet Healthcare — Q1 2010 Earnings Presentation

7 slides from Tenet Healthcare's earnings presentation, May 4, 2010

  1. Slide 1: Q1'10 Earnings Call

    Q1’10 Earnings Call May 4, 2010

  2. Slide 2: Forward-looking statements

    Forward-looking statements Certain statements contained in this presentation constitute forward-looking statements. Such forward-looking statements are based on management's current expectations and involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual

  3. Slide 3: Q1'10 Highlights

    Q1’10 Highlights  $298mm adjusted EBITDA, 7.2% increase (Q1’10 versus Q1’09) – Cost efficiencies and pricing offset soft volumes  Confirm 2010 EBITDA outlook range of $985mm to $1.05 B 3

  4. Slide 4: Q1'10 Highlights (cont)

    Q1’10 Highlights (cont)  Volumes – March volumes materially stronger than January and February – April’s volumes in line with March – ED’s relative strength reflects decline in elective volumes  Pricing – Inpatient pricing growth 160 bp stronger than prior 2010 outlook assumptions – Outpatient pri

  5. Slide 5: Q1'10 Highlights (cont)

    Q1’10 Highlights (cont)  Cost efficiency – 1.3% increase in total controllable cost – Malpractice expense continues to decline – Savings from new HQ offices  Bad Debt – $33mm increase in bad debt expense (Q1’10 versus Q1’09) – $6mm increase in cost of providing uncompensated care(1) (Q1’10 versus

  6. Slide 6: 2010 Outlook Assumptions - REVISED

    2010 Outlook Assumptions - REVISED Line Revised Initial # (5/4/10) Outlook 1 Admissions - growth (%) (1.5) – (0.5) (0.5) - 0.5 2 Outpatient visits - growth (%) 1.0 – 2.0 3.0 - 4.0 3 Inpatient Revenue per Admission - growth (%) 3.0 – 4.0 2.0 - 3.0 4 Outpatient Revenue per Visit - growth (%) 4.0 – 5.0

  7. Slide 7: April 1-Dec 31, 2010 – Cash Walk Forward ($mm)

    April 1-Dec 31, 2010 – Cash Walk Forward ($mm) Low High EBITDA Outlook (Q2’10 - Q4’10) 687 752 Add Back: Stock Compensation Charges 27 31 Changes in Cash from Operating Assets and Liabilities 151 172 Interest Payments (268) (288) Adjusted Net Cash Provided by Operating Activities – Cont. Ops. 597 66

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