DaVita gains after upbeat quarterly profit prompts annual forecast raise
May 2 (Reuters) -DaVita DVA.N raised its annual profit forecast on Thursday banking on strong demand for its kidney dialysis services, sending its shares up 3.7% in trading after the bell.
The healthcare services provider raised the lower end of its 2024 adjusted per share profit forecast range by 30 cents to $9, while keeping the higher end intact at $9.80.
Analysts on average estimate an annual profit of $9.01 per share, according to LSEG data.
The Colorado-based firm provides care to patients suffering from chronic kidney failure in the United States through a network of outpatient clinics and at-home dialysis services.
DaVita's first-quarter revenue was $3.07 billion, beating analysts' estimate of $3.03 billion, according to LSEG data.
In the reported quarter ended March 31, the company said it experienced delays in processing claims as a result of the Change Healthcare outage, adding that as of Thursday, it was current on primary claims submissions.
On an adjusted basis, DaVita reported a profit of $2.38 per share for the quarter, topping analysts' estimate of $1.95 per share.
Reporting by Pratik Jain in Bengaluru; Editing by Pooja Desai
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