UPMC gets financial boost from 20% spike in health plan membership

Pittsburgh-based UPMC reported strong financial results for the first six months of its fiscal year 2016, including a 17.5 percent year-over-year increase in health plan revenue.

Fueled by growth in insurance services, UPMC's operating revenues grew to $6.3 billion in the first half of the fiscal year, up 6.2 percent from the same period a year earlier. UPMC Health Plan membership grew 20 percent over the past year to 2.9 million members.

UPMC's operating income increased 4.7 percent year over year to $201 million in the first six months of FY 2016. The health giant's operating margin dipped slightly to 3.2 percent, down from 3.3 percent in the same period of the year prior.

UPMC Executive Vice President and CFO Robert A. DeMichiei was pleased with the system's financial results. "UPMC's solid financials sustain our ongoing ability to keep reinvesting in clinical care advances and scientific innovation," he said. "Over the last decade, UPMC has reinvested more than $5 billion to upgrade its technology, facilities and infrastructure, all toward ensuring top-quality care and the best patient experience."

More articles on healthcare finance:

CMS proposes hike in Medicare Advantage payments: 7 things to know
Partners HealthCare earnings dragged down by Epic transition
5 latest hospital closures

Copyright © 2023 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.


Featured Whitepapers

Featured Webinars