Revenue during the quarter grew 21.09 percent to $1,585.70 million from $1,309.50 million in the previous year period. Total expenses were 29.44 percent of quarterly revenues, down from 92.34 percent for the same period last year. This has led to an improvement of 6290 basis points in operating margin to 70.56 percent.

However, the adjusted EBITDA for the quarter stood at $188 million compared with $172.70 million in the prior year period. At the same time, adjusted EBITDA margin contracted 133 basis points in the quarter to 11.86 percent from 13.19 percent in the last year period.

"We are pleased with our results for the quarter," said William F. Carpenter III, Chairman and Chief Executive Officer of LifePoint Health. "We are disciplined operators, and our core business is solid and performing well. In the quarter, we generated strong cash flows and drove sequential improvement in our same-hospital margins when excluding the impact of meaningful use. This quarter, we were active buyers of LifePoint shares, and we will continue to allocate capital to drive the greatest long-term value for our shareholders. In addition, our acquisition pipeline remains strong, and we remain the partner of choice for many hospitals and health systems across the country."

The company has spent $347.20 million cash to meet investing activities during the nine month period as against cash outgo of $308.60 million in the last year period.

The company has spent $28.60 million cash to carry out financing activities during the nine month period as against cash outgo of $112 million in the last year period.

Cash and cash equivalents stood at $240.90 million as on Sep. 30, 2016, down 23.08 percent or $72.30 million from $313.20 million on Sep. 30, 2015.

Working capital declines
LifePoint Health, Inc. has witnessed a decline in the working capital over the last year. It stood at $629.40 million as at Sep. 30, 2016, down 8.84 percent or $61 million from $690.40 million on Sep. 30, 2015. Current ratio was at 1.80 as on Sep. 30, 2016, down from 2.08 on Sep. 30, 2015.

Cash conversion cycle (CCC) has decreased to 8 days for the quarter from 34 days for the last year period. Days sales outstanding went down to 47 days for the quarter compared with 52 days for the same period last year.

Days inventory outstanding has decreased to 27 days for the quarter compared with 54 days for the previous year period. At the same time, days payable outstanding went down to 67 days for the quarter from 72 for the same period last year.