Pittsburgh-based UPMC saw its net income reach $574 million in the first quarter of 2021, a more than $1.2 billion increase over the net loss of $653 million recorded in the same quarter last year, according to recently released financial results.
The healthcare system recorded $6 billion in revenue in the quarter ending March 31, up from the $5.5 billion recorded in the same three-month period last year. The revenue consisted of $2.4 billion in net patient service revenue and nearly $3 billion from its insurance division. The health system also recorded $609 million in other revenue in the quarter.
UPMC saw growth in both its patient service revenue and insurance plan revenue. In particular, it attributed insurance division revenue growth of $82 million versus the same period one year prior to increased enrollment, lower administrative costs and continued management of healthcare service utilization.
UPMC saw its expenses rise year over year to $5.7 billion in the first quarter of this year, up from $5.5 billion recorded in the first quarter of 2020.
As a result, UPMC saw an operating income of $288 million, or a 4.8 percent operating margin in the first quarter of 2021. This compares to an operating income of $16 million, or a 0.3 percent operating margin, recorded in the same quarter one year prior.