Colorado’s hospital systems aren’t expecting this fiscal year to be much better after a tough 2022, though executives have said they plan to try to rein in spending.
State hospitals had a combined profit margin on patient care of 4.7% in 2022, about half their margin in 2021, according to the Colorado Hospital Association. Including investment losses, their total profit margin fell to 1.5%, compared to around 14% in each of the previous three years.
Julie Lonborg, vice president of communications and media relations at the Colorado Hospital Association, described the 2022 financial results as a blow to the industry. Hospitals need a margin of around 4% to meet the maintenance of their buildings and equipment, as well as other costs related to continuing care, she said.
“We have a lot of people below that,” she said.
The Denver Post spoke with leaders of the state’s major hospital systems about how they plan to meet their financial challenges in 2023.
– Full article via Meg Wingerter, The Denver Post
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