Kentucky's Baptist Health reports improved 2.6% operating margin in Q2

Louisville, Ky.-based Baptist Health reported operating income of $28.8 million in its latest quarter ending May 31 as its operating margin increased to 2.6 percent.

Those figures compared with a loss of $10 million and an operating margin of -1 percent in the same period in 2022.

The results for the nine months ending May 31 were not as positive as the nine-hospital system reported a $35.1 million operating loss for the period as expenses rose almost 6.6 percent. That loss compares with operating income of $56.8 million in the same period in 2022.

Revenues rose slightly in the nine-month period to total $3.1 billion, but salaries and benefits rose 2.7 percent and supply expenses increased 12.5 percent compared with the same period ending May 31, 2022. The operating margin declined from 1.9 percent to -1.1 percent.

Contract labor expenses for the nine-month period were down $10.4 million, with such expenses at their lowest as of May 31 since Nov. 30, 2021.

Net income totaled $43.8 million for the second quarter and $21.7 million for the nine months.



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