Davita HealthCare Partners released 1st quarter 2013 results on May 7, 13. Adjusted income from continuing operations for the three months ended March 31, 2013 was $196.9 million, or $1.84 per share. HCP's performance was solid in the quarter with operating income of $110 million. Total capitated HCP members grew 5.8% sequentially, of which 2.1% was acquisition-related. Year-on-year, member months grew 20.3%, of which 16.2% was acquisition-related. For the rolling twelve months ended March 31, 2013, operating cash flow was $1,148 million and free cash flow was $764 million. For the three months ended March 31, 2013, operating cash flow was $379 million and free cash flow was $299 million. Adjusted operating income for the three months ended March 31, 2013 was $467 million, excluding a pre-tax loss contingency reserve of $300 million, as further discussed below. Operating income for the three months ended March 31, 2013 including this item was $167 million.
Davita took a 300 million contingency reserve—relating to the two physician relationship investigations—that is part of a comprehensive offer to settle all the related civil administrative and criminal matters. DaVita may not reach a final settlement the 300 million figure was just an estimate. The investigation is solely about physician relationships. It primarily relates to their physician joint ventures, which are subject to complex regulations under both anti-kickback and other loss. There have been no allegations concerning: the quality of care Davita provides, the cost of the government or the utilization of medical services.
Davita showed strong growth in the U.S. dialysis treatments with 5,628,799, or 73,579 treatments per day, representing a per day increase of 8% over the first quarter of 2012. Non-acquired treatment growth in the quarter was 4.3% over the prior years first quarter. Normalized non-acquired treatment growth in the quarter was 4.4% over the prior years first quarter. U.S. dialysis revenue per treatment increased $10.28 from the prior quarter.
Management updated guidance for 2013. They have increased their consolidated operating income guidance to now be in the range of $1,800 million to $1,900 million. In addition, they updated their operating income guidance for dialysis services and related ancillary businesses for 2013 to be in the range of $1,400 million to $1,450 million. Their previous dialysis service and related ancillary businesses guidance was in the range of $1,350 million to $1,450 million. Operating income guidance for HCP for 2013 is still expected to be in the range of $400 million to $450 million and consolidated operating cash flows for 2013 are still expected to be in the range of $1,350 million to $1,500 million. Also as a result of sequestration there is a 2% cut in Medicare rates, which is about $20 million per quarter reduction in dialysis Medicare revenue.