COVID-19 craters Lifespan's revenue

Lifespan, a nonprofit health system based in Providence, R.I., ended March with a $32.7 million operating loss and continued to face financial damage from the COVID-19 pandemic in April. 

The health system said total patient volume was down nearly 31 percent in April, compared to the same period a year earlier, according to bondholder documents. Revenue was down $23.8 million year over year, and the health system had an operating loss of $43.1 million before receipt of federal grants. Factoring in $36.6 million in federal grants, Lifespan's operating loss totaled $6.5 million in April. 

Though Lifespan ended the month with net income of $4.8 million due to a boost from nonoperating items, health system leaders say more financial support is needed. 

"As our patient census slowly increases to more normal levels in the months to come, we hope to see a return to our pre-Covid improving financial performance," Lifespan President and CEO Timothy Babineau, MD, said in an emailed statement to the Providence Journal. "However, it is quite clear that additional federal and state financial assistance will be absolutely necessary for us to continue to provide the vital healthcare services upon which the state relies during this prolonged recovery period."

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