Livonia, Mich.-based Trinity Health recorded higher revenue and net income in the first half of fiscal year 2020 than in the same period a year earlier, according to unaudited financial documents released March 6.
During the first half of fiscal 2020, which ended Dec. 31, Trinity reported operating revenue of $9.7 billion, a 2.4 percent increase over the same period of fiscal 2019. Operating expenses climbed 2.5 percent year over year to $9.6 billion.
Trinity ended the first two quarters of fiscal 2020 with operating income of $102.6 million and an operating margin of 1.1 percent. That’s compared to the same period of fiscal 2019, when the health system recorded operating income of $113.4 million and a 1.2 percent operating margin.
The health system said increases in patient volume, higher payment rates and the divestiture of Camden, N.J.-based Lourdes Health System in June helped margins in the first half of fiscal 2020. Those improvements were offset by higher operating expenses and, to a lesser extent, $25 million in costs related to Trinity’s conversion to the Epic EHR platform.
After factoring in nonoperating items, including an increase in investment returns, Trinity reported net income of $805.7 million in the first half of fiscal 2020, compared to an operating loss of $301.5 million in the same period a year earlier.
HENRY KOTULA 