Dive Brief:
- In 2014, Norfolk, VA-based Sentara Healthcare continued to see operating gains, partially due to transactions that boosted its operating surplus by 23.3%
- The not-for-profit health system reported a total of $4.7 billion in operating revenue for 2014, an increase of 9.2% over the previous year.
- At the end of the year, Sentara had a surplus of $359.9 million and a net margin of 7.7%, down from 14.1% in 2013.
Dive Insight:
Over the last several years, Sentara has done a great deal of consolidating, merging with Halifax Regional in 2013 and striking a deal with Bon Secours Health System in 2011 to operate Sentara Princess Ann Hospital. As the system has grown, expenses have grown as well. Non-operating gains have had the biggest impact on the health system's net margin—and also on its bottom line—dropping from $390 million in 2013 to $92.7 million in 2014.