Mayo Clinic's operating income nearly doubles in Q1

Ayla Ellison -

Rochester, Minn.-based Mayo Clinic ended the first quarter of 2018 on strong financial footing.

Mayo Clinic reported revenues of $3.1 billion in the first quarter of this year, compared to $2.9 billion in the same period of 2017, according to recently released unaudited financial statements. The boost was partially attributable to higher medical service revenue, which climbed 6.4 percent year over year.

After factoring in expenses, which grew from $2.8 billion to $2.9 billion year over year, Mayo ended the first quarter of 2018 with operating income of $198 million. That's compared to the same period of 2017, when Mayo recorded operating income of $101 million.

Mayo said it has approximately $665 million worth of construction projects in the works. Those costs will be expended over the next three to five years. In addition, Mayo is in the process of replacing its EMR system. The systemwide Epic implementation is part of a multiyear technology modernization project, which Mayo officials estimate encompasses $1.5 billion worth of investments.

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