Denver-based DaVita HealthCare Partners' second quarter net income plummeted 68.7 percent to $53.4 million, down from $170.5 million in the same period of last year, the Denver Business Journal reported.
The loss stems from a reported $176 million in goodwill impairment charges — including losses on the sale of an Arizona managed care business, a partial sale on another company and damages and liabilities accrued from a Nevada hospice business, according to the report.
The company's second quarter adjusted net income was $1.01 per share excluding the one-time losses, but diluted net income per share was 26 cents.
DaVita's net revenue climbed about 8.5 percent year over year to $3.72 billion in the second quarter, up from $3.43 billion in the same quarter of last year. DaVita's lower-than-expected growth in fee-for-service and Medicare Advantage revenues impeded the growth of its managed care division, DaVita CEO Kent Thiry said.
After accounting for expenses, DaVita ended the second quarter with operating income of $431 million, compared to operating income of $409 million in the same period of the year prior.
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