The Denver-based company did manage total revenues of nearly $3 billion for 2018.
An eventful Q4 for DaVita Inc. ended with the company posting a net income loss of $150 million, according to its year-end earnings report released Wednesday afternoon.
The Denver-based company's operating metrics were positive, including $388 million in income and $307 million in cash flows, which contributed to an overall $2.8 billion consolidated revenue for 2018.
Focus for the quarter was placed on the latest developments of DaVita's dialysis business and the pending sale of DaVita Medical Group to OptumHealth, a subsidiary of UnitedHealth Group.
In mid-December, United reduced its purchase price from $4.9 billion to $4.4 billion, citing "underlying business performance" as well as a desire to further advance the deal through its regulatory phases as reasons for the move.
The valuation adjustment resulted in DaVita adding a $219 million charge to its DaVita Medical Group business, which was accounted for as a larger $252 million charge.
Dialysis continued to be a solid producer for DaVita in Q4, with per-day treatments increasing by 3.1%, even as it explores potential growth opportunities outside of its core operations.
DaVita's earnings report produced a negative reaction initially, as the company's stock price dropped in after hours trading.
ADDITIONAL Davita Q4 EARNINGS REPORT HIGHLIGHTS:
- In Q4, DaVita compiled $30 million in advocacy costs used to counter union efforts and ballot initiatives.
- United's purchase of DaVita Medical Group is expected to close some time in Q1.
- DaVita also acquired a controlling interest in a previously disclosed nonconsolidated dialysis partnership, producing a $28 million non-cash gain.
For complete financial information, review DaVita's filing with the Securities and Exchange Commission.
Jack O'Brien is the finance editor at HealthLeaders, a Simplify Compliance brand.
Photo credit: KIEV, UKRAINE - Dec 18,, 2018: DaVita Healthcare company logo seen displayed on smart phone - Image / Editorial credit: IgorGolovniov / Shutterstock.com