Indiana University Health operating margin more than doubles in 2014

Indiana University Health, a 17-hospital system based in Indianapolis, recorded a 13.9 percent operating margin in 2014, up from a 6.2 percent operating margin the previous year.

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The system’s revenue increased to $5.7 billion in 2014, up from $5.2 billion in 2013. IU Health’s operating income grew to $795.3 million last year, which was a significant increase over its operating surplus of $323.6 million in 2013.

The increase in the system’s operating income was attributable largely to IU Health keeping its expenses under control. The system’s supply costs and salary and benefit costs were both down in 2014.

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