Pittsburgh-based Allegheny Health Network reported an operating loss of $40 million (-3% margin) in the third quarter of 2024, an improvement from an operating loss of $60.1 million (-5% margin) in the third quarter of 2023, according to its most recent financial report.
Here are four things to know:
1. Net loss for AHN was $13 million in the third quarter of 2024, down from a net loss of $66.8 million in the third quarter of 2023.
2. Total revenue for the system was $1.3 billion in the third quarter, an 8% increase from $1.2 billion during the same period in 2023. Expenses were $1.3 billion in the third quarter, up from $1.2 billion during the same quarter in 2023.
3. Days of cash on hand for the system was 51 on Sept. 30, 2024, and AHN has a long-term debt of $884.7 million.
4. AHN is part of Highmark Health, which saw an operating income of $273 million and net income of $529 million in the first nine months of 2024, according to a Nov. 26 Highmark news release. Highmark Health Plans saw an operating income of $275 million through Sept. 30, 2024 and $16.6 billion in operating revenue.
"The health insurance organization faced headwinds from rising health care usage, continued effects of Medicaid redeterminations, and high prescription drug costs, particularly GLP-1s," the release said.