New York City-based Montefiore Health System saw its operating margins improve to -0.5% for the nine months ending Sept. 30 —- up from -2.6% for the same period last year, according to financial documents published Nov. 28.
Year over year for the nine-month period, revenue for the 10-hospital system increased 8.4% to $5.61 billion and expenses increased 6.8% to $5.64 billion. Its operating loss for the nine-month period was $28.6 million in 2023, compared with $136.1 million in the prior-year period.
Montefiore Medical Center, the health system's flagship facility, saw its operating margin climb by 0.3% year over year to -1.6% for the nine months ending Sept. 30, 2023.
"The small year-over-year improvement to our bottom line is associated with an upward trend in inpatient and outpatient volumes," management said in a statement shared with Becker's. "While we are seeing this uptick, we remain below our pre-pandemic patient volume and reimbursement for care provided remains inadequate with Medicaid not fully covering the cost of care."
After including the performance of its investment portfolio and other nonoperating items, the health system ended the nine-month period with a net loss of $21.2 million, compared with a net loss of $308.5 million for the same period in 2022.
"Inflationary measures and costs associated with labor continue to impact our bottom line," according to the health system. "As we look ahead, we will continue to work with our federal, state and city government partners to ensure institutions like ours which care for populations that are mostly insured by Medicare and Medicaid, can stay afloat."