Allina's annual net income drops 73%

Allina Health's revenue declined year over year in 2020, and the Minneapolis-based health system ended the year with an operating loss, according to unaudited financial documents released Feb. 12.

Allina's revenue was down 2.3 percent in 2020 compared to a year earlier. The health system received government assistance to help offset revenue losses tied to the COVID-19 pandemic. Through Dec. 31, Allina received $183.2 million in aid from the state and federal government. 

Allina's operating expenses declined year over year, and it ended 2020 with an operating loss of $31.2 million. 

The health system said patient volume began to recover in the final quarter of 2020. 

"While inpatient hospital admissions were reduced by almost 40% in April 2020, versus April 2019, such activity had recovered to 85% of the comparable period in December 2020," Allina said. "Operating income for the fourth quarter 2020 was $71.8 million, versus an approximately $85 million operating loss for the second quarter." 

After factoring in nonoperating items, Allina ended 2020 with net income of $81.1 million, down 73 percent from $302 million a year earlier. 

As of Dec. 31, the health system had 281 days cash on hand.  

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