In 2011, 32 of the largest 40 hospitals in Washington reported positive total profit margins, although the overall numbers were lower than 2010, according to a Washington Healthcare News report.
In 2010, 37 of the largest 40 hospitals in the state had positive total margins. Although the total profit figures were down year-over-year, operating revenue was up. Thirty-six of the 40 hospitals had higher operating revenue in 2011 than 2010, indicating several Washington hospitals have some leverage with payors.
However, the report said Washington hospitals will most likely succumb to future financial pressures that Moody's Investors Service and Standard & Poor's Ratings Service have outlined.
"Washington hospitals were still in good financial shape in 2011 but the trend indicates decreasing financial health," according to the report. "This continues to be a concern in light of healthcare reform and state and federal cuts targeting reimbursement to hospitals."
In 2010, 37 of the largest 40 hospitals in the state had positive total margins. Although the total profit figures were down year-over-year, operating revenue was up. Thirty-six of the 40 hospitals had higher operating revenue in 2011 than 2010, indicating several Washington hospitals have some leverage with payors.
However, the report said Washington hospitals will most likely succumb to future financial pressures that Moody's Investors Service and Standard & Poor's Ratings Service have outlined.
"Washington hospitals were still in good financial shape in 2011 but the trend indicates decreasing financial health," according to the report. "This continues to be a concern in light of healthcare reform and state and federal cuts targeting reimbursement to hospitals."
More Articles on Hospital Profits:
Credit Downgrades: How Could They Impact a Hospital's Capital Structure?
Moody's: 118 Statistics on Non-Profit Hospital Medians
9 Major For-Profit Hospital Operators Release Quarterly Earnings