Advocate Aurora reports $600.8M loss in first half of year

Advocate Aurora Health ended the first half of this year with a net loss, according to financial documents released Aug. 22. 

Advocate Aurora Health, which was formed in 2018 and has dual headquarters in Downers Grove, Ill., and Milwaukee, reported revenue of $7.1 billion in the first two quarters of this year, up from $6.7 billion in the same period a year earlier. 

The health system's expenses were also up. Expenses climbed 9 percent year over year to $7 billion in the first six months of this year. Expenses increased across all categories, including salaries, wages and benefits. 

Advocate Aurora entered into a definitive merger agreement in May with Charlotte, N.C.-based Atrium Health , and Advocate Aurora said it expects the deal, which is subject to regulatory review, to close by the end of 2022. In the first half of this year, Advocate Aurora recorded nonrecurring expenses related to the proposed merger with Atrium. 

Advocate Aurora ended the first half of this year with operating income of $51.2 million, down from $264.6 million in the same period of 2021. 

After factoring in nonoperating items, the health system reported a net loss of $600.8 million in the first half of this year, compared to net income of $1.1 billion in the same period a year earlier. 

 

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