NYSE$CYH

Community Health Systems Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Announced fourth quarter and year ended December 31, 2021 results

Community Health Systems, Inc. reported a net operating revenue of $3.233 billion for Q4 2021, a 3.7% increase compared to the same period in 2020. Net income attributable to Community Health Systems, Inc. stockholders was $178 million, or $1.34 per share (diluted). Adjusted EBITDA was $540 million, including $46 million of pandemic relief funds.

  • Net operating revenues totaled $3.233 billion.
  • Net income attributable to Community Health Systems, Inc. stockholders was $178 million, or $1.34 per share (diluted).
  • Adjusted EBITDA was $540 million, including $46 million of pandemic relief funds.
  • On a same-store basis, admissions decreased 3.9 percent and adjusted admissions increased 1.7 percent, compared with the same period in 2020.

Headline financials

Total Revenue

$3.23B

Previous: $3.12B+3.7%
EPS (adj)

$1.15

Previous: $0.96+19.8%
Capital Expenditures

$135M

Previous: $123M+9.8%
Free Cash Flow

-$666M

Previous: -$47M-1317.0%
Net Income

$223M

Previous: $352M-36.6%
Operating Income

$424M

Previous: $435M-2.5%
Gross Profit

$1.38B

Previous: $1.24B+11.1%
Cash & Equivalents

$507M

Previous: $1.68B-69.7%
Total Assets

$15.2B

Previous: $16B-4.9%
Stock-Based Comp

$7M

Previous: $5M+40.0%

Revenue & EPS history

CHS · Revenue · Quarterly

$3.23B

Q4 2021+3.7%vs Q4 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Forward guidance

The Company’s projections exclude the following: Effect of debt refinancing activities, including gains and losses from early extinguishment of debt; Impairment of goodwill and long-lived assets; Previously recorded pandemic relief funds and the potential recognition of additional pandemic relief funds; The impact of any potential future divestitures; Gains or losses from the sales of businesses; Employee termination benefits and restructuring costs; Resolution of government investigations or other significant legal settlements; Costs incurred in connection with divestitures; and Other significant gains or losses that neither relate to the ordinary course of business nor reflect the Company’s underlying business performance.

Tailwinds

  • Net operating revenues (in millions) $ 12,600 to $ 13,100
  • Adjusted EBITDA (in millions) $ 1,825 to $ 1,975
  • Net income per share - diluted $ 1.00 to $ 1.50
  • Weighted-average diluted shares (in millions) 133.0 to 134.0
  • Total fixed rate debt is expected to average approximately 100% of total debt during 2022.

Headwinds

  • impact of government actions on us, including with respect to vaccine mandates, testing requirements, travel restrictions and other virus containment measures
  • changes in net revenue due to patient volumes, payor mix and evolving macroeconomic conditions
  • the extent to and manner in which states support increases, decreases or changes in Medicaid programs, implement health insurance exchanges or alter the provision of healthcare to state residents through legislation, regulation or otherwise
  • any security breaches, loss of data, actual or perceived failures to comply with legal requirements governing the privacy and security of health information or other regulated, sensitive or confidential information, or legal requirements regarding data privacy or data protection, and other cybersecurity incidents
  • any potential impairments in the carrying value of goodwill, other intangible assets, or other long-lived assets, or changes in the useful lives of other intangible assets

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

+1.7%

Avg return

Earnings day

+3.6%

Avg return

5 days after

+2.4%

Avg return

30 days after

55%

38 / 69 earnings

Positive

+52.4%

Q4 2022

Best reaction

-41.0%

Q2 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.3%+6.3%+3.0%
Q4 2025+5.7%+4.5%-13.5%
Q3 2025+25.8%+29.1%-4.3%
Q2 2025+0.0%-0.7%+7.7%
Q1 2025+18.5%+11.1%+51.0%
Q4 2024+7.8%+9.9%-22.4%
Q3 2024-22.6%-25.3%-33.5%
Q2 2024+17.5%+27.9%+24.9%
Q1 2024+9.8%+11.1%+20.9%
Q4 2023-28.4%-27.7%-11.6%
Q3 2023-7.0%-18.0%+12.1%
Q2 2023+11.8%-8.4%-18.9%
Q1 2023-39.9%-42.3%-48.4%
Q4 2022+52.4%+56.3%-0.6%
Q3 2022+36.8%+35.4%+68.9%
Q2 2022-41.0%-39.6%-38.6%
Q1 2022-4.2%-19.1%-40.1%
Q4 2021-10.1%-21.3%-15.1%
Q3 2021+19.1%+28.9%+28.4%
Q2 2021-6.4%-8.3%-13.1%
Q1 2021+0.3%+15.2%+37.9%
Q4 2020-7.6%-9.3%+28.3%
Q3 2020+19.2%+30.3%+78.3%
Q2 2020+14.2%+26.4%+37.8%
Q1 2020-7.4%-22.9%-11.8%
Q4 2019+42.7%+27.8%-44.2%
Q3 2019-17.0%-30.4%-32.6%
Q2 2019+12.9%+25.8%+39.7%
Q1 2019-1.7%-4.0%-19.9%
Q4 2018+12.8%+21.4%+8.5%
Q3 2018-6.3%+20.0%+33.3%
Q2 2018+2.3%+9.5%+16.7%
Q1 2018+34.7%+26.5%+8.2%
Q4 2017-11.6%-15.0%-31.6%
Q3 2017-23.1%-26.6%-26.3%
Q2 2017-7.8%-8.8%+6.9%
Q1 2017+19.9%+11.7%+2.8%
Q4 2016+33.8%+33.6%+21.7%
Q3 2016+0.8%+4.9%+3.0%
Q2 2016-1.5%-0.5%-19.3%
Q1 2016-22.1%
Q4 2015-22.1%
Q3 2015-2.4%
Q2 2015+1.2%
Q1 2015-7.6%
Q4 2014+1.2%
Q3 2014-5.0%
Q2 2014-4.9%
Q1 2014-7.2%
Q4 2013+0.3%
Q3 2013-0.3%
Q2 2013+2.2%
Q1 2013+4.7%
Q4 2012+1.4%
Q3 2012+2.4%
Q2 2012-4.3%
Q1 2012+5.2%
Q4 2011+5.3%
Q3 2011-2.7%
Q2 2011-6.4%
Q1 2010-3.5%
Q1 2011+0.1%
Q4 2008+8.0%
Q4 2010+8.0%
Q3 2009+2.0%
Q3 2010+2.0%
Q4 2009+4.3%
Q2 2009+4.3%
Q2 2010+4.3%

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