Industry
Tenet Healthcare Reports Q3 Net Income of $1 Billion, Raises Outlook
Tenet Healthcare reported $1 billion in net income for the third quarter of 2026, up from $342 million a year earlier, with operating margin rising to 31.1% from 16.8%. Net operating revenue grew to $5.6 billion, boosted in part by $646 million from the early termination of Conifer's revenue-cycle contract with CommonSpirit Health. Hospital segment revenue rose 6.1%, though gains were partly offset by fewer patients with ACA exchange coverage, while ambulatory segment revenue grew 7.5%. Tenet raised its full-year 2026 outlook, now projecting net income of $3 billion to $3.1 billion and adjusted EBITDA of $5.1 billion to $5.2 billion.
Why it mattersThe mention of declining ACA exchange enrollment as a revenue drag signals coverage losses that could eventually shift more uncompensated or Medicaid-dependent patients onto hospitals' books.