CHS records $64M loss in Q1 as admissions remain down

Franklin, Tenn.-based Community Health Systems recorded a financial loss in the first quarter of 2021 as it continued to see hampered admissions, the for-profit system said in financial documents released April 28. 

The health system reported a net loss of $64 million in the first quarter of 2021. This compares to a net income of $18 million in the same period last year. The health system partially attributed the loss to a 7.2 percent decrease in adjusted admissions compared to the same period in 2020.

CHS saw its net operating revenue decline 0.4 percent in the first quarter to $3 billion, when compared to the same period last year. 

"Our market leadership teams continue to adjust their operating models as COVID cases fluctuate, by managing shifts in volumes, revenue, and expenses to achieve the best possible results," Tim Hingtgen, CEO of CHS said in the financial report. "At the same time, we are making targeted capital investments and leveraging enterprise-wide programs to ensure our services are both accessible to consumers and facilitate growth over time."

CHS said in the first quarter it repaid about $18 million of the advanced Medicare payments it received. 

The health system also completed the sale of three hospitals in January, one hospital in February and one hospital in April. CHS said that while the company's formal hospital divestiture spree has ended, it may continue to receive interest from parties for some of its hospitals and it will consider the bid if it is in its best financial interest.

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