Greensboro, N.C.-based Cone Health recorded operating income of $16.7 million for the six months ended March 31, down 39.8 percent from operating income of $27.8 million in the same period of the year prior.
The six-hospital system reported revenue increased nearly 10 percent year over year, according to its unaudited financial statement. The financial boost was partially attributable to growth in patient service revenue. Although Cone Health saw inpatient volume dip slightly in the six months that ended March 31, outpatient volume, surgical cases and emergency room visits were up.
However, rising expenses offset the system's revenue gains. Overall, expenses crept up 11.9 percent over the year prior, with costs associated with supplies increasing 14.2 percent. The system said supplies for intensive inpatient surgeries and drug expenses for cancer treatments largely drove the cost increase.
Cone Health ended the six-month period with a 2 percent operating margin, down from a 3.7 percent operating margin in the same period a year earlier.
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