Health-care services provider Community Health Systems, Inc. (CYH: Quote), which acquired by smaller rival Health Management Associates, Inc. in late January, reported Tuesday a profit for the fourth quarter that more than halved from last year, reflecting higher impairments and charges as well as a revenue drop amid a decline in admissions.

Adjusted earnings per share significantly missed analysts' expectations, while quarterly revenues matched their estimates. The company also provided earnings and revenue guidance for the full-year 2014, in line with Street view.

The company completed its $7.6 billion cash and stock deal to acquire Health Management Associates on January 27, which was agreed upon on July 30, 2013.

"Our financial and operating results for the fourth quarter reflect a continuation of the challenging operating environment for health care providers over the past year. As we previously announced, weakness in volume, combined with higher bad debts and a less favorable payor mix, affected our operating revenues during the fourth quarter," Chairman and CEO Wayne Smith said in a statement.

The Franklin, Tennessee-based hospitals operator reported net income of $28.18 million or $0.30 per share for the fourth quarter, sharply lower than $62.57 million or $0.69 per share in the prior-year quarter.

Excluding items, adjusted income per share from continuing operations was $0.49, compared to last year's $0.85. On average, 22 analysts polled by Thomson Reuters expected earnings of $0.67 per share for the quarter. Analysts' estimates typically exclude special items.

Net revenues for the quarter declined 1.4 percent to $3.23 billion from $3.28 billion in the same quarter last year, and matched eighteen Wall Street analysts' consensus estimate of $3.23 billion.

Same hospital admissions decreased 10.5 percent, and adjusted hospital admissions declined 6.7 percent.

Operating margins for the quarter contracted 130 basis points to 7.3 percent from last year as total costs and expenses as a percentage of total revenues increased 130 basis points.

For fiscal 2013, the company reported net income of $141.20 million or $1.51 per share, lower than $265.64 million or $2.96 per share in the prior year. Excluding items, adjusted income per share from continuing operations was $2.40, compared to last year's $3.55.

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Community Health Systems Adj. Profit Misses View; Guides 2014 In Line