Phelps Health continues to have steady growth with the health system's total cash and investments increasing by $15.2 million from Dec. 31, 2018.
Phelps Health’s net operating revenue was over budget by 0.8 percent reaching $22.3 million in September of this fiscal year, Chief Financial Officer for Phelps Health Jana Cook said at Phelps Health's October Board of Trustees meeting.
Cook said the $187,000 variance in net patient service revenue for the month was due to the health system’s adjusted average daily census of 266 patient days coming in 0.7 percent over budget and an increase in surgical services cases over budget by 5 percent in September.
Operating expenses came in over budget by 2.8 percent in September reaching $22.2 million. Cook said the cost of supplies and the use of agency personnel contributed to the $610,000 variance in operating expenses for the month.
Supplies expense was over budget by $421,000 due to the cost of chemotherapy drugs in September, while purchased services was over budget by $374,000 related to the use of agency personnel. Cook said this was partially offset by salaries and wages expenses coming in under budget by $110,000 for the month.
The health system’s income from operations was under budget for the month, Cook said. Income from operations ran $422,000 below budget totaling $74,000 in September, while income from operations through September of fiscal 2019 was under budget by $2.2 million totaling $4.1 million.
Phelps Health’s income from operations as a percentage of net operating revenues was 2 percent through September compared to the health system’s budget of 3.1 percent.
In September, Phelps Health’s net income was over budget by $299,000 totaling $1.4 million. The health system’s net income ran over budget by $5.6 million, reaching $17.8 million through the first nine months of this fiscal year.
Net income as a percentage of total revenues was 8.2 percent compared to the health system’s budget of 6 percent through September.
Phelps Health’s non-operating income in September was over budget by $721,000 reaching $1.3 million due to favorable market conditions, Cook said.
Total cash and investments have grown by $15.2 million from Dec. 31, 2018, and Cook said as of Sept. 30, Phelps Health’s cash and investments totaled $156.2 million.
Phelps Health’s total debt increased by $376,000 from Dec. 31, 2018, and as of Sept. 30 the health system’s debt totaled $61.3 million, Cook said.