Quorum Health Corporation announced unaudited consolidated earnings results for the second quarter and six months ended June 30, 2017. For the quarter, net operating revenues were $530,146,000 against $529,737,000 a year ago. Loss from operations was $362,000 against $259,255,000 a year ago. Loss before income taxes was $30,820,000 against $288,531,000 a year ago. Net loss attributable to the company was $30,630,000 or $1.09 per basic and diluted share against $245,061,000 or $8.63 per basic and diluted share a year ago. Net cash used in operating activities was $27,481,000 against net cash provided by operating activities of $36,796,000 a year ago. Capital expenditures for property and equipment were $15,925,000 against $20,367,000 a year ago. Capital expenditures for software were $1,663,000 against $1,278,000 a year ago. EBITDA was $20,224,000 against LBITDA of $227,792,000 a year ago. Adjusted EBITDA was $34,430,000 against $29,232,000 a year ago. Capital expenditures including software for the quarter were $17.6 million. Of the $17.6 million, approximately $12.8 million was spent on the Oregon project. The company has spent approximately $73.4 million over the life of this project. Loss per share attributable to Quorum Health Corporation stockholders, excluding adjustments was $0.42 compared to $0.82 a year ago. Net operating revenues for the quarter were negatively impacted by a decrease of $18.2 million from the four hospitals divested in December 2016 and in the first half of 2017, and a decrease of $11.3 million resulting from the Company's inability to accrue in the 2017 period for the California Hospital Quality Assurance Fee program revenues for the 2017 to 2019 program period pending approval by Centers for Medicare & Medicaid Services. Adjusted EBITDA was negatively impacted by the Company's inability to accrue for the California HQAF program in the 2017 period. Capital expenditures including software for the quarter were $17.6 million.

For the six months, net operating revenues were $1,057,786,000 against $1,079,288,000 a year ago. Income from operations was $664,000 against loss from operations of $238,164,000 a year ago. Loss before income taxes was $57,324,000 against $294,892,000 a year ago. Net loss attributable to the company was $58,191,000 or $2.08 per basic and diluted share against $250,063,000 or $8.80 per basic and diluted share a year ago. Net cash used in operating activities was $8,955,000 against net cash provided by operating activities of $61,193,000 a year ago. Capital expenditures for property and equipment were $39,142,000 against $33,207,000 a year ago. Capital expenditures for software were $3,169,000 against $3,804,000 a year ago. EBITDA was $43,370,000 against LBITDA of $175,544,000 a year ago. Adjusted EBITDA was $60,572,000 against $85,456,000 a year ago. Adjusted EBITDA was negatively impacted by the company's inability to accrue for the California HQAF program in the 2017 period. Loss per share attributable to Quorum Health Corporation stockholders, excluding adjustments was $1.02 compared to $0.77 a year ago. Adjusted EBITDA was negatively impacted by the Company's inability to accrue for the California HQAF program in the 2017 period.

For the second quarter ended June 30, 2017, impairment of long-lived assets and goodwill was $12,900,000 against $250,400,000 a year ago.

The company updated financial outlook for the year ending December 31, 2017. The company expects net operating revenues for the year ending December 31, 2017 to range from $2.050 billion to $2.100 billion. The company expects adjusted EBITDA for the year ending December 31, 2017 to range from $150 million to $170 million and adjusted EBITDA, adjusted for Potential Divestitures to range from $170 million to $190 million. The guidance gives effect to: divestitures and potential divestitures; the approval of the California Department of Health Care Services' HQAF Program by CMS, which the company estimates to be approved in the fourth quarter of 2017 at approximately $21 million, approximately $13 million less than 2016; the reduction of approximately $7 million in electronic health records incentives earned in 2017 compared to the 2016 amounts; the inclusion of approximately $10 million to $13 million of non-cash stock-based compensation and other non-cash benefits expense and approximately $25 million to $26 million of non-cash insurance expense; and no estimate for the effects of any changes to the Affordable Care Act.