Appleton, Wis.-based ThedaCare saw net income fall in the first quarter of 2018 as the nonprofit system experienced higher investment income in the same quarter a year prior.
Nonprofit ThedaCare posted net income of $1.8 million in the three months ended March 31, according to recent unaudited bondholder documents. That's down nearly 94 percent from $29.8 million recorded in the same quarter of 2017. The system told Becker's Hospital Review ThedaCare recorded $25.5 million in investment income during the previous first quarter, but not in the same period this year.
At the same time, ThedaCare saw total operating revenues increase 3.5 percent to $233.7 million in the first quarter of this year. The system primarily attributed the revenue growth to strong inpatient admissions and an increase in ambulatory care volumes.
ThedaCare's operating expenses were up nearly 5 percent year over year to $232 million. The system pointed to rising labor and supply costs as reasons for the increase. Specifically, ThedaCare said pharmaceutical costs like oncology medication reflected the largest increase.
"We are implementing interventions to streamline recruiting, improve retention and reduce turnover, as well as developing a framework for clinical reviews of alternative oncology pharmaceuticals," a ThedaCare spokesperson told Becker's.
ThedaCare recently announced its intent to acquire physician group Fox Valley Hematology & Oncology, which has locations across northeast Wisconsin.