Texas Health Resources' Operating Margin Tops 8%

Listen
Text
  • Small
  • Medium
  • Large

For Arlington-based Texas Health Resources, 2013 was a very profitable year, as the massive health system posted $319.3 million of operating income — a 10.6 percent jump from 2012.

TexasHealthResourcesRevenue at THR increased to $3.85 billion, resulting in an 8.3 percent operating margin. THR's operating margin was 7.8 percent in 2012. A majority of the system's net patient service revenue came from managed care contracts and other commercial payers. Medicare and Medicaid only represented 34.3 percent of THR's patient revenue last year.

In addition to highly profitable operations, THR recorded large gains in investment income. THR's total profit soared 63.8 percent to $704.6 million. Realized and unrealized gains on investments equaled more than $448 million last year.

Texas Health Resources is one of the largest faith-based, nonprofit health systems in Texas. The system owns, operates or has joint ventures with 17 acute-care hospitals, six short-stay hospitals and 15 outpatient surgery centers. THR's assets totaled more than $6.1 billion at the end of 2013.

The 2014 fiscal year will be the last for Douglas Hawthorne, as he will step down as CEO by the end of the year, a position he has held since 1997 when the system was created.

More Articles on Health System Finance:
UHS Acute-Care Hospitals Post 20% Margin in Q1
UnityPoint Ends 2013 With Improved Margin, $2.8B in Revenue
Norton Healthcare Posts Positive 2013 Despite High EHR Costs

Copyright © 2021 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.

 

Featured Whitepapers

Featured Webinars