New Orleans-based Ochsner Health recorded an operating income of $157.8 million (2% operating margin) in 2024, up from an operating income of $104 million (1.4% margin in 2023, according to its April 23 financial report.
The system reported operating revenue of $7.7 billion for the 12 months ended Dec. 31, a 5.7% increase over 2023. Patient service revenue increased 3.3% year over year to $5.2 billion. The system attributed the growth to increased average daily census and clinic visits. Premium revenue increased 5.3% to $519.2 million and includes revenue for approximately 43,000 senior members covered under capitated contracts.
Operating expenses rose 5% year over year to $7.6 billion. Salaries and wages increased 5.1% to $3.3 billion. Medical supplies and services rose 11.9% to $1.9 billion, driven largely by increased drug prices tied to higher volume and price inflation in its retail and 340B pharmacies and infusion suites.
Ochsner had 117 days cash on hand as of Dec. 31, up from 116 on the same date in 2023. The system reported long-term debt of $2.2 billion as of year-end.
The system recorded a net income of $243.1 million in 2024, up from $196.8 million in 2023.