- Mayo Clinic reported operating income of $198 million in the first quarter of 2018, up from $101 million in the same period a year ago.
- Revenues at the Rochester, Minnesota-based nonprofit health system totaled $3.1 billion, compared with last year’s $2.9 billion, on higher medical service revenues, even as expenses rose.
- Meanwhile, a group of nurses hired to help install Mayo’s new Epic EHR are accusing the vendor overseeing the project, HCI Group, of mistreatment and bungling assignments, MPRNews reports.
Nearly $2.6 billion in the quarter came from medical service revenue, which includes inpatient procedures requiring overnight stays, certain outpatient operations and emergency care for critical conditions and trauma. Mayo reported $629 million in medical services for Medicare patients and $80 million for Medicaid enrollees.
The strong growth in operating income came despite a year-over-year increase in expenses from $2.8 billion to $2.9 billion, according to unaudited financial statements.
Mayo has committed about $665 million to construction projects over the next three to five years. The projects involve patient care, research and educational facilities, the Clinic said.
Mayo said the rollout to Epic's EHR, slated for completion this year, will cost approximately $294 million.
Still struggling is Catholic Health Initiatives with an operating income loss of $35.3 million in the third quarter of fiscal year 2018, more than twice its loss in the same period a year earlier
Meanwhile, for-profit health systems are seeing modest gains in earnings. Universal Health Services reported an 8.7% increase in net income for the first quarter — to $224 million from $206 million the prior year. Net revenue was $2.7 billion, versus $2.6 billion in 2017. HCA Healthcare also reported an increase in revenue and admissions.