Adams Health Network (AHN) continues to show a bottom financial line that is in the black even though total operating revenue for the first 11 months of 2012 totaled $2,119,962 less than what had been budgeted for that same time period.
The key, that hospital officials noted to members of the AHN Board of Trustees at their monthly meeting Wednesday night, is that expenses are also significantly less than what had been expected, to the tune of $1,759,867.
Non-operating revenue for the hospital, which includes the CEDIT tax money given by the city and county to the hospital to help pay the bond issue for the new hospital, among other things, has allowed the facility to show a balance of $484,846 to the good (the original budget estimate was $589,465). The non-operating revenue has come to $1,234,954 so far this year or over $255,000 more.
Actual income for the hospital this year has been $38,248,561 compared to expenses of $38,998,669. After the first 11 months of 2011, the positive balance for the hospital was $104,947, putting it nearly $380,000 ahead of last year.
Board members reviewed statistics provided by the hospital staff that showed that in comparing November 2011 to November 2012, the hospital has had more inpatient admissions (2,042 to 1,978), more inpatient critical access admissions (1,653-1,605), and more inpatients admitted at Adams-Woodcrest (259-60). Also, patient days have been generated at the hospital’s two nursing homes, with Adams-Woodcrest going from 38,549 days last year to 41,926 this year and Adams-Heritage from 19,543 to 19,796.
There has been a slight increase in the number of babies born (197-193), while outpatient admissions are up 64,475 to 63,692, and emergency room visits jumped from 10,270 to 10,665 in the first 11 months of 2012.
Decreases noted included surgeries performed (1,579 this year compared to 1,674 in 2011), patient days generated at the hospital (5,811 in 2011 to 5,717 this year), inpatient admissions at Adams-Heritage (38 vs.49), and inpatient admissions in the Adams Extended Care Center (217 this year compared to 325 last year).
Indiana hospitals seem to be faring better financially than others across the United States. Adams Memorial Hospital has 105 days of cash on hand (number of days it could survive without receiving any payments from individuals, insurance companies, or the government), with the average Indiana hospital having 95 days; across the United States that figure drops to 68 days.
The AMH operating margin is also better than other Indiana averages (6.13 percent to 3.97 percent for other Hoosier hospitals) and the national average is just 0.75 percent.
Chief Financial Officer Dane Wheeler noted that 70.19 percent of the hospital income is generated from outpatient revenue, a hike of 5.15 percent this year. Hoosier health facilities see that figure even higher as they average 77.38 percent.
The average daily inpatient census is 17.50 at AMH, which is up slightly from 2011 at 17.13. Wheeler also noted in his report that 51 percent of the AMH inpatients are on Medicare.