The 18-hospital system saw its revenue reach $2 billion in the three-month period ending June 30, an increase of 18 percent from the same period in 2020.
Its expenses also rose year over year, from $1.5 billion in the second quarter of 2020 to $1.7 billion in the second quarter of 2021.
Despite the expense increase, IU Health saw its operating income grow 77 percent year over year. In the second quarter of this year, IU Health’s operating income was $221.7 million, compared to $125.2 million recorded in the second quarter of 2020.
After factoring in investment gains of $388.5 million and debt extinguishment, IU Health ended the second quarter of 2021 with a net income of $553.6 million, up from $421.7 million recorded in the second quarter of 2020.
IU Health said that so far in 2021 it has seen more pressures on its workforce as demand for care rises. In response to these increased pressures, IU Health will invest in its staff to ensure it can care for patients. As part of its response, IU Health will increase its minimum base pay for staff to $16 per hour, and that will grow to $18 per hour with two years of service.
“IU Health has responded to the current environment by re-investing in resources and our highly skilled workforce to serve our patients’ healthcare needs,” said Jenni Alvey, senior vice president and CFO of IU Health.
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.
