Detroit-based Henry Ford Health System saw revenues and net income decrease year over year in 2018, according to audited financial documents released March 22.
Five things to know:
1. In 2018, Henry Ford Health System reported net income of $86.8 million on revenues of $5.9 billion. That's compared to 2017, when the system recorded net income of $146.5 million on revenues of $6 billion.
2. Henry Ford Health System saw net patient service revenue climb 9.4 percent year over year in 2018. Management said the increase was attributable to several factors, including increased outpatient volume.
3. The system's consolidated expenses decreased 1.1 percent in 2018 compared to the year prior.
4. Henry Ford Health System's net income dropped in 2018 due to a $55.3 million loss on investments. The system reported investment income of $95.8 million in 2017.
5. The health system said the investment loss in 2018 was primarily attributable to market conditions and a change made in October 2017 that transferred its investments previously accounted for as available-for-sale securities to trading securities. "This change resulted in $90 million of unrealized losses for the year ended Dec. 31, 2018, recorded in investment income that would have previously been recorded in the statement of changes in net assets had the change not been made," Henry Ford Health System management said.
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