Tenet’s Profit Declines 11%

Tenet Healthcare Corp. said Wednesday that its fiscal first-quarter earnings fell 11% because of cuts in government payments, slower reimbursements from insurers and higher costs at newly purchased hospitals.

Santa Barbara-based Tenet, the nation’s second-largest hospital chain, said profit from operations fell to $122 million, or 39 cents a share, in the quarter ended Aug. 31, from $137 million, or 44 cents, a year ago. The results were in line with the 38-cent average estimate of analysts polled by First Call Corp. Revenue rose 12.5% to $2.87 billion.

Tenet’s shares fell 13 cents to close at $19.63 on the New York Stock Exchange.