Centegra loses $30M after opening Huntley hospital


Crystal Lake, Ill.-based Centegra Health System reported a $30.1 million operating loss in the first three quarters of this fiscal year, which the system partially attributed to increased operating costs associated with the opening of a hospital in Huntley, Ill., and a rise in uncompensated care, according to Crain's Chicago Business.

The loss follows the opening of its 128-bed Centegra Hospital-Huntley (Ill.) in August 2016. However, Centegra executives said the losses didn't come from a lack of patient volume, according to the report.

Centegra spokesperson Michelle Green told Crain's Chicago Business, "As anticipated, we started incurring operational costs six months before we opened Centegra Hospital-Huntley to orient staff and prepare the hospital to serve patients. Like other health systems throughout Illinois and the country, we have been affected by changing reimbursements and additional financial pressures."

In a financial filing obtained by Crain's Chicago Business, Centegra said the system's operating loss could increase to $40 million for the fiscal year ending June 30. The loss in the first three quarters is triple what Michael Eesley, CEO of Centegra, anticipated.  

Copyright © 2021 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.


Featured Whitepapers

Featured Webinars