Nebraska Non-Profit Hospital Organizations Net Income 8.6% of Revenues in 2013

From a review of audited annual financial statements shown at Electronic Municipal Market Access (EMMA), I found 5 Nebraska Non-Profit Hospital Organizations with Net Assets above $400 mil each.

These 5 Nebraska Non-Profit Hospital Organizations generated Total Bottom Line Net Income of a very strong 8.6% of Total Operating Revenues in 2013 and also of 8.2% in 2012.

The only problem with these strong operating results in 2013 for these Nebraska Non-Profit Hospital Organizations was that instead of taking the high road and responsibly reducing their Patient Service Pricing, these Nebraska Non-Profit Hospital Organizations elected to retain these excessively high Bottom Line Profits, which also added to both their Net Assets and their treasure chest of Investments in Stocks and Bonds.

Below are the Bottom Line Net Income and Total Operating Revenues for each of these 5 Nebraska Non-Profit Hospital Organizations for 2013 and for 2012:

		Most	2013				2012
		Recent	Bottom	2013	2013		Bottom	2012	2012
		Fiscal	Line	Total	Net		Line	Total	Net
		Year	Net	Operating	Income		Net	Operating	Income
Nebraska Hospital Organ	City HQs	End	Income	Revenues	Margin		Income	Revenues	Margin
			mil $s	mil $s	%		mil $s	mil $s	%
Non-Profit Hospitals
Children's Hospital & Med Ctr	Omaha	Dec 13	76	307	24.8%		41	284	14.4%
Clarkson Regional Health Svcs	Omaha	Jun 13	7	38	18.4%		22	33	66.7%
Bryan Medical Center	Lincoln	May 13	70	463	15.1%		51	464	11.0%
Nebraska Medical Center	Omaha	Jun 13	25	803	3.1%		37	802	4.6%
Nebraska Methodist Health	Omaha	Dec 13	18	668	2.7%		33	655	5.0%
Total all 5			196	2,279	8.6%		184	2,238	8.2%

There is a very positive aspect to these very high Bottom Line Profits of some of these Nebraska Non-Profit Hospital Organizations.  These incredibly high Profits are getting added to the Net Assets (Financial Strength) of these Nebraska Hospital Organizations.

Thus a key beneficiary of this should be Nebraska citizens electing to buy health insurance on the Health Insurance Exchange.  This exceptional Net Asset growth driven by these exceedingly high Bottom Line Profits gives these Nebraska Hospital Organizations the financial flexibility to moderate their pricing for hospital and other health care procedures in their negotiations with health insurance companies which ultimately determines what insurance premium prices are set at by health insurance companies on the Health Insurance Exchange.

And armed with audited financial data concerning the excessively high profits earned by these Nebraska Non-Profit Hospital Organizations, Health Insurance Companies should be able to do a much better job in representing their policy holders, including those getting Health Insurance on the Health Insurance Exchange.



















Details to come.