The University of Texas MD Anderson Cancer Center in Houston is beginning to see its finances rebound, according to a Houston Chronicle report.
The hospital saw a combined $102 million operating loss in September and October 2016 and a $9 million operating loss in November 2016, the Houston Chronicle previously reported. MD Anderson lost another $58 million in December 2016. These losses preceded the hospital's decision in January to eliminate about 1,000 jobs, or 5 percent of its 20,000-person workforce. By April, MD Anderson recorded its fourth consecutive month of positive operating margins.
Although the hosital still has an operating loss of $44 million for fiscal year 2017, Stephen Hahn, MD, COO of MD Anderson, told the Houston Chronicle he is optimistic revenues will exceed expenses by the fiscal year's Aug. 30 end date. Dr. Hahn noted revenue is up 6 percent from January through April and expenses rose 1 percent during that time period.
"No promises, but we're optimistic the ship has been turned in the right direction," he said. "The balance sheet is excellent and our revenue is up significantly."
Dr. Hahn told the Houston Chronicle increased patient volumes, improved collections and "a continued holding of the line on expenses" all helped drive MD Anderson's better financial picture.