| Summary of Segment Net Revenues, Segment Operating Income (Loss) and Reconciliation of Segment Income to Consolidated Income Before Income Taxes |
The following is a summary of segment revenues, segment operating margin, and a reconciliation of segment operating margin to consolidated income before income taxes: | | | | | | | | | | | | | | | | | | | | | | | | | Three months ended June 30, | | Six months ended June 30, | | 2026 | | 2025 | | 2026 | | 2025 | | Segment revenues: | | | | | | | | | U.S. dialysis | | | | | | | | | Patient service revenues: | | | | | | | | | External sources | $ | 2,993,948 | | | $ | 2,890,709 | | | $ | 5,908,902 | | | $ | 5,696,136 | | | Intersegment revenues | 11,361 | | | 16,716 | | | 31,833 | | | 28,450 | | | U.S. dialysis patient service revenues | 3,005,309 | | | 2,907,425 | | | 5,940,735 | | | 5,724,586 | | | Other revenues | | | | | | | | | External sources | 6,514 | | | 5,966 | | | 12,790 | | | 11,974 | | | | | | | | | | | Total U.S. dialysis revenues | 3,011,823 | | | 2,913,391 | | | 5,953,525 | | | 5,736,560 | | | Other—Ancillary services | | | | | | | | | Patient service revenues | 372,429 | | | 316,162 | | | 730,272 | | | 613,728 | | | Other external sources | 181,193 | | | 166,689 | | | 317,668 | | | 281,217 | | | Intersegment revenues | 3,087 | | | 2,836 | | | 6,375 | | | 5,565 | | | Total ancillary services | 556,709 | | | 485,687 | | | 1,054,315 | | | 900,510 | | | Total net segment revenues | 3,568,532 | | | 3,399,078 | | | 7,007,840 | | | 6,637,070 | | | Elimination of intersegment revenues | (14,448) | | | (19,552) | | | (38,208) | | | (34,015) | | | Consolidated revenues | $ | 3,554,084 | | | $ | 3,379,526 | | | $ | 6,969,632 | | | $ | 6,603,055 | | | Significant segment expenses: | | | | | | | | | U.S. dialysis | | | | | | | | | Patient care costs | $ | 2,004,694 | | | $ | 1,928,462 | | | $ | 3,973,750 | | | $ | 3,841,890 | | | General and administrative | 330,892 | | | 312,089 | | | 650,664 | | | 594,768 | | | Depreciation and amortization | 146,461 | | | 156,782 | | | 301,631 | | | 313,681 | | Other segment items(1) | (8,200) | | | (6,786) | | | (16,464) | | | (12,396) | | | U.S. dialysis segment expenses | 2,473,847 | | | 2,390,547 | | | 4,909,581 | | | 4,737,943 | | | Segment operating margin: | | | | | | | | | U.S. dialysis | 537,976 | | | 522,844 | | | 1,043,944 | | | 998,617 | | Other—Ancillary services(2) | 57,050 | | | 56,714 | | | 62,882 | | | 53,906 | | | Total segment operating margin | 595,026 | | | 579,558 | | | 1,106,826 | | | 1,052,523 | | Reconciliation of segment operating income to consolidated income before income taxes: | | | | | | | | | Corporate administrative support | (16,025) | | | (41,717) | | | (45,933) | | | (75,745) | | | Consolidated operating income | 579,001 | | | 537,841 | | | 1,060,893 | | | 976,778 | | | Debt expense | (150,256) | | | (146,062) | | | (295,387) | | | (281,117) | | | Debt extinguishment and modification costs | (2,035) | | | — | | | (2,035) | | | — | | | Other income (loss), net | 8,300 | | | (22,851) | | | 12,773 | | | (40,400) | | | Income before income taxes | $ | 435,010 | | | $ | 368,928 | | | $ | 776,244 | | | $ | 655,261 | |
|