Massachusetts Hospital Profits Improving in 2012

Acute-care hospitals in Massachusetts are seeing improved financial performance from fiscal year 2011 through the first two quarters of fiscal year 2012, as the median total margin increased from 2.1 percent last year to 3 percent this year, according to data from the Massachusetts Center for Health Information and Analysis.

Advertisement

The average operating margin across all Massachusetts acute-care hospitals was 1.7 percent last year, and in the first two quarters of FY 2012, the median operating margin stood at 2.2 percent.

However, like other states, certain types of hospitals are enjoying more financial stability than others. Disproportionate share hospitals reported a median total margin of 1.7 percent and an operating margin of 1 percent in the first half of 2012. Non-disproportionate share hospitals recorded margins of 4.4 percent and 2.3 percent, respectively.

Hospitals in central Massachusetts, which includes the Worcester area, also recorded the lowest total margin of any region at 0.4 percent. Hospitals in southeast Massachusetts, which includes New Bedford and Taunton, recorded the highest total margin at 5 percent. Hospitals in the metropolitan Boston area reported a median total margin of 2.7 percent in the first two quarters of 2012.

More Articles on Massachusetts Hospital Finance:

Partners HealthCare Absorbs $42M Tax Under New State Health Law
Tufts Medical Center, Vanguard Health Systems Announce Joint Venture
37% of Massachusetts Hospitals Lost Money in FY 2011

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.

Advertisement

Next Up in Financial Management

Advertisement

Comments are closed.