Albuquerque, N.M.-based Presbyterian Healthcare Services saw revenues decrease in 2017, but ended the year with a significant increase in net income, according to recently released bondholder documents.
The eight-hospital system reported revenues of $3.12 billion in 2017, down from revenues of $3.14 billion the year prior. The decrease was at least partially due to a decrease in net premiums. The system's net patient service revenue climbed from $1.02 billion to $1.07 billion year over year.
At the same time, Presbyterian saw expenses grow 0.5 percent in 2017 compared to 2016, which is attributable to increased supply costs, increased spending on salaries, wages and employee benefits, and increased professional fees.
With expenses factored in, Presbyterian ended 2017 with operating income of $48.6 million, compared to $74.9 million in 2016.
Gains from nonoperating income, including investment income, spurred the system's significant increase in net income. Presbyterian ended 2017 with net income of $300.7 million, up from $157.4 million the year prior.
More articles on healthcare finance:
6 recent hospital, health system outlook and credit rating actions
J&J heir gifts Boca Raton Regional Hospital $25M: 3 things to know
Memorial Hermann exec: Consumers expect convenient bill pay — It's time for healthcare to catch up