Charlotte, N.C.-based Atrium Health recorded a net income of $279.3 million in the first quarter of 2021 after posting a $940.7 million net loss in the first quarter of last year, according to financial documents unveiled May 11 at the health system's quarterly board meeting.
In the quarter ended March 31, Atrium Health saw its net operating revenue grow 8.4 percent to $2 billion. The revenue increases were attributed to a boost in higher acuity patient volumes, improved commercial payer mix and increases in net reimbursement rate, including COVID-19-related Medicare reimbursement boosts.
After factoring in expense growth of 8.4 percent, the health system ended the quarter with an operating loss of $17.6 million. This compares to an operating loss of $30.6 million recorded the same period one year prior. Atrium Health said the operating loss came as it faced its peak COVID-19 volume in January.
Atrium Health's net income was largely attributed to nonoperating gains, which totaled $296.8 million in the first quarter. This compares to an nonoperating loss of $910.1 million recorded in the same period last year.
Atrium Health CFO Anthony DeFurio said during a board meeting May 11 that the system invested $154 million, or 7.7 percent of its revenue, on ongoing capital investments in the first quarter, including facility upgrades, IT system updates and constructing medical office buildings.
One of the large capital projects Atrium Health is focused on is its innovation district in Charlotte, expected to boost the local economy and draw partners and talent from various sectors.