Astrana Health (ASTH) shares plummeted 14.90% in pre-market trading on Friday, following the release of its disappointing third-quarter earnings report. The healthcare facilities and services provider reported earnings that fell far short of analyst expectations, triggering a significant sell-off among investors.
For the quarter ended September 30, Astrana Health reported adjusted earnings of just 1 cent per share, dramatically lower than the mean expectation of 44 cents per share from nine analysts. This result also represents a substantial drop from the 33 cents per share reported in the same quarter last year. The company's reported net income for the quarter was a mere $373,000, painting a grim picture of its profitability.
While Astrana's revenue rose 99.7% to $956.05 million, slightly beating the analyst consensus of $952.79 million, it wasn't enough to offset concerns about the company's bottom line. This marks the fourth consecutive quarter that Astrana Health has missed analyst expectations, potentially raising questions about the company's financial management and future outlook. Despite the stock's previous gains of 17.7% this quarter and 5.8% year-to-date, today's pre-market plunge suggests a significant shift in investor sentiment following this earnings report.
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