(Adds details on one-time expenses, share price, background)
Nov 7 (Reuters) - DaVita Inc, the biggest U.S. dialysis service provider, reported a quarterly loss on Tuesday, hurt by higher expenses and a one-time charge.
The company’s shares fell 2.5 percent to $57.50 in extended trading.
Operating expenses and charges rose about 41 percent to $4.12 billion. A majority of the expenses were incurred in the form of a $601 million non-cash goodwill impairment charge in the company’s DaVita Medical Group segment.
The company’s results come amid controversy over a U.S. Department of Health and Human Services rule aimed at preventing dialysis providers from using premium assistance from outside charities to steer patients into Obamacare individal insurance plans instead of Medicare or Medicaid to receive higher payments for medical services.
Net loss attributable to the company was $214.5 million, or $1.14 per share, in the third quarter ended Sept. 30, compared with a profit of $571.3 million, or $2.76 per share, a year earlier.
Excluding items, DaVita earned 81 cents per share. Total net revenue rose 5.2 percent to $3.92 billion. (Reporting by Divya Grover and Anuron Kumar Mitra in Bengaluru; Editing by Savio D‘Souza and Shounak Dasgupta)