DaVita

“no further losses from our investment in Mozarc since we have now recognized the cumulative losses equal to our investment.”

DaVita has fully written down its Mozarc joint venture to zero, ending the drag from Mozarc losses on other income.

“an approximately $200 million minority investment alongside a majority investment from Ares' Private Equity Funds to acquire Elara Caring.”

Ares' private equity funds are taking the majority position in the Elara Caring acquisition alongside DaVita's minority stake, a new PE-backed platform in home health.

“we announced a strategic clinical partnership with Elara Caring, a leading home care provider to establish an ESKD-focused offering.”

DaVita is making a ~$200M minority investment in and clinical partnership with home-care provider Elara Caring to build an ESKD-focused home-care offering, expanding Elara's kidney-care reach.

“a portion of these shares were repurchased from Berkshire Hathaway pursuant to the terms of our publicly filed repurchase agreement, which formulaically results in Berkshire's ownership remaining at or below 45%.”

Berkshire Hathaway remains DaVita's largest holder; DaVita buys shares directly from Berkshire under a standing agreement that formulaically caps Berkshire's ownership at or below 45%.

“our publicly filed repurchase agreement with Berkshire Hathaway. According to that agreement, just prior to each DaVita earnings call, we buy from Berkshire the number of shares necessary to return its ownership to 45%.”

DaVita describes its contractual, formulaic repurchase mechanism that keeps Berkshire Hathaway's ownership stake at 45%, underscoring Berkshire's continued large equity position in DVA.

“That Berkshire sale that came out today, was that just part of the normal -- to get to that 45% range, and that's what it is?”

Berkshire Hathaway, DaVita's largest shareholder, sold a routine tranche of shares under the standstill agreement to stay within its target ~45% ownership range, confirmed by management as normal course.

“And obviously, FMC is ramping up their HDF rollout for next year.”

DaVita's largest dialysis competitor, Fresenius Medical Care (FMC), is ramping up its own high-volume hemodiafiltration (HDF) rollout next year, part of the industry-wide push toward better middle-molecule clearance technology.

“Baxter's Theranova dialyzer has been in the market in the U.S. for several years.”

An analyst asks DaVita about its use of Baxter's Theranova middle-molecule dialyzer, an existing device technology already available for use in DaVita's U.S. clinics.

“Below the OI line, we incurred $18 million of other loss, mostly related to Mozarc, our joint investment with Medtronic. We expect this to be a consistent quarterly run rate for the remainder of the year.”

DaVita's joint venture with Medtronic (Mozarc Medical) produced an $18 million quarterly loss below the operating income line, a run rate management expects to continue through the year.

“In a year with several unique hurdles, including change healthcare outage and hurricane disruption of our supply chain, I am reminded of the resilience of our organization and inspired by the passion of our dedicated care teams.”

The Change Healthcare (UnitedHealth) cyberattack outage was cited as one of the year's operational hurdles affecting DaVita's claims and collections processing.

“last quarter, we highlighted the temporary closure of Baxter's North Cove facility to Hurricane Helene and the related impact on home dialysis.”

Baxter's North Cove peritoneal dialysis solution plant was shut down by Hurricane Helene, disrupting DaVita's home dialysis supply and contributing to lost patient admissions that persist into 2025.