Without federal funds from the Coronavirus Aid, Relief and Economic Security Act, the median Kaufman Hall operating margin index was -3.68 percent, and it was -3.3 percent with CARES.
As hospitals delayed nonurgent and outpatient care to manage the COVID-19 surge, providers saw a drop in outpatient volumes and revenue. But hospital expenses rose because of workforce shortages and supply chain issues.
Kaufman Hall found that from December to January:
- The median change in operating margin without CARES decreased 71.3 percent.
- Operating room minutes fell 15.7 percent.
- The average length of stay rose 8.6 percent.
- Labor expense per adjusted discharge climbed 14.6 percent.
- Total expense per adjusted discharge increased 11.6 percent.
Read the full report here.
