Community Health Systems Back In The Black
The hospital operator, which is the largest one by actual hospital count, benefited from its acquisition of Health Management Associates Inc. and from changes in uninsured rates and admissions resulting from the health law. Meanwhile, HCA, the largest hospital chain by revenue, will increase its capital spending to make room for new patients thanks to its market share and the impact of the health reforms.
The Wall Street Journal:
Community Health Swings To A Profit
Community Health Systems Inc. swung to a profit in the first quarter as the hospital operator continued to benefit from its acquisition of Health Management Associates Inc. and from higher admissions and lower uninsured rates after a federal health-care overhaul. More than 11 million people have signed up for health coverage in state and federal marketplaces under the Affordable Care Act. (Armental, 5/5)
Modern Healthcare:
Community Health Systems Returns To The Black As Patients Come Back
Community Health Systems, the largest chain by hospital count, has struggled in recent years to maintain patient volume at its rural facilities. But patients have started to return and the company is also capitalizing on cost savings from its 2014 merger with Health Management Associates. Those factors allowed the Franklin, Tenn.-based chain to return to the black in the first quarter after posting a net loss in the same period last year. (Kutscher, 5/5)
Modern Healthcare:
With Strong Volume And Financials, HCA Makes Plans To Spend
HCA, the largest hospital chain by revenue, will increase its capital spending over the next three years to make room for the additional patients it is seeing thanks to market share gains and healthcare reform. The Nashville-based company said Tuesday that it plans to spend $7.7 billion over the three-year period, or $500 million more than it has previously committed. (Kutscher, 5/5)
And in news from the insurance industry -
The Wall Street Journal:
Aetna To Stop Covering Routine Use Of Power Morcellator
Aetna Inc. will stop covering routine use of the laparoscopic power morcellator this month, marking the most direct blow from a major health insurer to a surgical tool that regulators determined can spread hidden cancer in women. (Kamp, 5/5)
