Salt Lake City-based Intermountain Health has reported $399 million in operating income (3.1% margin) for the nine months ending Sept. 30, more than double the $157 million operating gain (1.3% margin) reported in the same period last year.
Revenue for the nine-month period increased 7.8% year over year to $12.8 billion, including a 9.1% increase in patient services to $7.6 billion, according to financial documents published Nov. 12.
Expenses for the nine months ending Sept. 30 increased 6.5% year over year to $11.9 billion. Under expenses, labor costs grew by 4.6% year over year to $5.4 billion and supply costs increased 7% to $2.3 billion.
After accounting for nonoperating items, such as investment returns, Intermountain reported a net income of $1.9 billion for the nine-month period, compared to $912 million in the prior-year period.
"Our leaders and caregivers have worked very hard to make positive strides in our financial performance despite a very challenging healthcare economic climate. Our 2024 YTD performance represents a meaningful improvement over 2023 and 2022," CFO Clay Ashdown said in a statement shared with Becker's. "However, pressures on both revenues and expenses necessitate continued operational vigilance and increased innovation. Of greater importance, our excellent clinical and safety outcomes continue as our consolidated organization becomes more deeply integrated."
Intermountain Healthcare and Broomfield, Colo.-based SCL Health merged into a 33-hospital system with more than 58,000 employees in April 2022, less than eight months after signing a letter of intent to explore the transaction. SCL contributed eight hospitals and $4.2 billion in net assets to the combined organization.