Company: THC
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000070318-25-000009
Chunk: 40

Company: TENET HEALTHCARE CORP
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 40
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 available (loss attributable) to noncontrolling interests.

For unconsolidated affiliates, our statements of operations reflect our earnings in two line items:

•equity in earnings of unconsolidated affiliates—our share of the net income (loss) of each facility, which is based on the facility’s net income (loss) and the percentage of the facility’s outstanding equity interests owned by USPI; and

•management and administrative services revenues, which is included in our net operating revenues—income we earn in exchange for managing the day‑to‑day operations of each facility, usually computed as a percentage of each facility’s net revenues.

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Table of Contents

The following table presents selected revenue and expense information for our Ambulatory Care segment:

 Years Ended December 31,Increase(Decrease)20242023Net operating revenues$4,534 $3,865 17.3 %Grant income$— $1 (100.0)%Equity in earnings of unconsolidated affiliates$250 $218 14.7 %Salaries, wages and benefits$1,137 $964 17.9 %Supplies$1,187 $1,045 13.6 %Other operating expenses, net$650 $531 22.4 %

Revenues

Our Ambulatory Care net operating revenues increased by $669 million, or 17.3%, during the year ended December 31, 2024 compared to 2023. The change was driven by (1) a $447 million increase from 2023 and 2024 acquisitions and purchases of controlling interests, partially offset by the impact of the sale or closure of certain facilities, and (2) a $222 million increase in same‑facility net operating revenues, which was attributable to improved case volume, incremental revenue from new service lines and negotiated commercial rate increases.

Salaries, Wages and Benefits

Salaries, wages and benefits expense increased by $173 million, or 17.9%, during the year ended December 31, 2024 compared to 2023. This change was driven by a $140 million increase from 2023 and 2024 acquisitions and purchases of controlling interests, partially offset by the impact of the sale or closure of certain facilities. A $33 million increase in same‑facility salaries, wages and benefits expense, due primarily to higher surgical case volumes, also contributed to the increase.