Tenet Healthcare raises its 2026 outlook again after third-quarter earnings and revenue beat estimates
The hospital operator lifted its full-year adjusted EBITDA range by $195 million at the midpoint and its adjusted free cash flow range by $100 million.
Tenet Healthcare raised its 2026 forecasts for a second straight quarter after third-quarter results came in above expectations. CEO Saum Sutaria said the outperformance was driven by "sustained same-store revenue growth and effective expense management."
Earnings were $6.64 a share, $1.97 better than expected. Revenue was $5.63 billion against $5.57 billion expected.
For the full year, Tenet now expects net operating revenue of $22.05 billion to $22.45 billion. It expects adjusted EBITDA of $5.05 billion to $5.20 billion, up $195 million at the midpoint. Adjusted diluted earnings are forecast at $22.05 to $23.01 a share.
The adjusted free cash flow range rose by $100 million to $2.825 billion to $3.125 billion. That gives the raise a cash element that the earnings beat alone does not show.
The second-quarter release also lifted guidance, so the higher ranges now rest on the two drivers Sutaria named holding through the fourth quarter. Whether the earnings range proves conservative depends on the same two.
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