Shares of Select Medical Holdings Corporation saw an increase on Thursday after the company announced that it is in discussions with lenders to refinance its debt. The stock rose by 6.8% and reached $32.16, reflecting a 30% increase for the year.
In connection with the refinancing talks, the Mechanicsburg, Pa.-based hospital operator released preliminary results for the quarter ended June 30. Select Medical expects its net operating revenue to be $1.67 billion, surpassing the analysts’ forecast of $1.645 billion. Comparatively, in the same quarter last year, the company generated $1.585 billion in revenue.
Moreover, Select Medical anticipates its diluted earnings per common share to reach 61 cents, a notable increase from the 43 cents reported a year ago. This projection also exceeds the expectation of 54 cents by analysts polled by FactSet.
As of the second quarter’s end, the company estimates its debt to be $3.75 billion, with approximately $100 million in cash reserves.
Full second-quarter earnings for Select Medical Holdings Corporation are scheduled to be reported on August 3.