Community Health Systems (CHS) saw its bonds across the curve drop by over 2-5 points after the company missed expectations in 1Q 2023, casting doubts on the rest of 2023. The hospital chain reported a $51mn loss or vs. a $1mn loss during the same period last year. While the company reported a rise in patient volumes, the CEO noted that “substantially all of the increase in volume” was from lower paying Medicare Advantage (MA) patients. Also, its operating costs and expenses rose about 2% to $2.9bn with analysts citing an unfavorable payer mix, and higher workforce expenses amongst others as detractors.
CHS’s 6.875% 2029s were down the most, by 5.7 points to 68.89, yielding 14.95%.
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