Charlotte, N.C.-based Advocate Health reported $449.8 million in operating income (2.7% margin) in the first six months of 2024, a substantial improvement on the $85.7 million gain (0.6% margin) posted during the same period last year.
Through the first six months of 2024, revenue for the 67-hospital system increased 9.5% year over year to $16.7 billion while expenses grew by 7.5% to $16.2 billion, according to financial documents published Aug 27.
Labor costs increased 6.8% year over year to $9.4 billion and the costs of supplies and drugs increased 14.6% to $3.6 billion.
Year over year for the six-month period, inpatient and outpatient surgeries grew by 1.9% and 1.4%, respectively. Emergency department visits climbed 6% while work relative value units increased 9.1%.
As of June 30, days of cash on hand was 266, compared to 268 on Dec. 31, 2023. Advocate Health's total long-term debt stands at $7.4 billion.
After factoring in nonoperating items, including investment returns, Advocate Health reported a net income of $1.3 billion for the first six months of 2024, compared to a net gain of $997.9 million during the same period in 2023.
Here is a breakdown of Advocate Health's results for the six-month period by division:
Advocate Aurora Health
Revenue: $8.3 billion (+6% YOY)
Expenses: $8 billion (+4.6% YOY)
Operating income: $249.5 million (+86% YOY)
Net income: $648.1 million (+33.9% YOY)
The Charlotte-Mecklenburg Hospital Authority Combined Group
Revenue: $4.73 billion (+12.3% YOY)
Expenses: $4.66 billion (+12.1% YOY)
Operating income: $72.2 million (+24.5% YOY)
Net income: $565.7 million (+43.7% YOY)
Atrium Health Wake Forest Baptist
Revenue: $ 2.51 billion (+7.1% YOY)
Expenses: $2.52 billion (+7.2% YOY)
Operating loss: $18.2 million (+26.4% YOY)
Net income: $62.7 million (+33% YOY)