Indianapolis-based Indiana University Health reported higher operating revenue and income in the first quarter compared to one year ago.
The 16-hospital system, which posted a net loss of $715 million in 2022, saw operating revenue in the first quarter increase 8 percent year over year to $2.08 billion, according to a May 1 news release. First-quarter operating expenses rose 4 percent year over year to $2.04 billion.
As a result, IU Health reported operating income of $45.1 million for the first quarter compared to a loss of $29.8 million for the same period in 2022.
When including the performance of its investment portfolio and other nonoperating items, IU Health reported a bottom-line gain of $311.7 million in the first quarter, compared to a $358.5 million loss one year ago.
"Though operating results were slightly positive in the first quarter, inpatient volume fell short of pre-pandemic levels," Jenni Alvey, senior vice president and CFO said in the news release. "Hospitals' financial and operating challenges that began with the pandemic continued with the ongoing shortage of clinical staffing, which has driven labor costs higher. As the year progresses, we will continue to focus on reducing administrative expenses, optimizing surgical volumes, improving efficiencies in clinical staffing, and hiring additional permanent team members."