The health system reported revenue of nearly $1.4 billion in the third quarter of this year, down from $1.5 billion in the same period a year earlier. The decline was attributed to a 23.6 percent decline in patient service revenue.
After factoring in expenses, which declined 2.3 percent year over year, Northwestern Memorial HealthCare ended the third quarter with an operating loss of $63.2 million. In the same period of 2019, it reported operating income of $51.3 million.
The health system posted a net loss of $284.9 million in the three months ended May 31, compared to a net loss of $897,000 a year earlier.
To help offset losses tied to the COVID-19 pandemic, the health system applied for and received Medicare advanced payments of about $412 million, including $353 million received in the third quarter. It will start repaying the funds in August.
Northwestern Memorial HealthCare also received $187 million in COVID-19 relief grants, which do not have to be repaid. About $161 million in grants was received in the third quarter, the health system said.
More articles on healthcare finance:
Jackson Health ‘on a disastrous course’ after missing out on COVID-19 relief aid, CEO says
16 recent hospital credit rating downgrades
Hospitals overbilled Medicare $1B by upcoding claims, inspector general finds
Becker’s 3rd Annual Fall Chief Pharmacy Officer Summit is the top tier event that the people leading the future of pharmacy convene. This 3-day event is built specifically for Chief Pharmacy Officers and senior pharmacy leaders. The sessions examine the workforce, financial and clinical priorities shaping pharmacy today. Becker’s is where candid discussions flourish and new ideas thrive. Becker's 3rd Annual Fall Chief Pharmacy Officer Summit
