Mass General Brigham: COVID-19 costing us $400m a month
Hospital system reports $1.6b quarterly loss
MASS GENERAL BRIGHAM said COVID-19 is costing the hospital system about $400 million a month in lost patient revenue, which contributed to an operating loss of $178 million for the three-month period ending March 31.
“The duration of the projected revenue loss will depend on many factors, including the resumption of elective procedures, the effect of the economic downturn on demand for services and payer mix, and the extent of federal and state advances and grants as well as the health care industry’s ability to continue to convince patients that it is safe to return for non-COVID care,” the hospital system said in an earnings report.The hospital reported an overall loss of $1.6 billion for the three-month period, with $1.1 billion coming from lackluster investment performance. During the same quarter in 2019, the hospital system reported an overall gain of $623 million and a $107 million gain from operations.
Mass General Brigham, the new name for Partners Healthcare, said it is responding to the financial downturn by cutting capital expenditures by $550 million, or 50 percent, and imposing an administrative hiring freeze.