As of the July, 2022, release via CMS

MERCY HOSPITAL FORT SMITH

CMS id: 040062
7301 ROGERS AVENUE, FORT SMITH AR 72917. County: SEBASTIAN
System: SISTERS OF MERCY HEALTH SYSTEM
CBSA: Fort Smith, AR-OK

The 358-bed, acute-care hospital had $54,382,616 in net service to patients*, with a total profit margin of 17.17044% in fiscal year 2021, the latest year available.
It spent 4.75% of its operating expenses on uncompensated care and reported $1,452,383 in Medicaid shortfall.

* For more about Net Service to Patients and operating revenue, please the finance section below.

Note: Medians are from acute-care hospitals with "complete" fiscal years. For more about how we calculated medians and cost reports in general, please click here.

Details

	2017	2018	2019	2020	2021
# of days in fyear	365	365	365	366	365
Ownership	nfp	nfp	nfp	nfp	nfp
Acute beds Median	280 118	280 118	280 119.5	280 118	237 119
Total beds Median	397 162	400 162	397 162	397 162	358 163.5
FTEs Median	1,574.00 788.06	1,722.00 793.42	1,588.00 806.03	1,590.10 787.61	1,551.69 804.34

Finances As they appear in worksheet G3 of the cost reports.

Note: Net Patient Revenue is considered operating revenue, which means Net Service to Patients is considered operating profit. Click here for more about cost report financials

Hospital cost reports are an enormously complicated dataset. There are whole organizations and an offical CMS vendor dedicated to helping researchers work with the data.
It's important to understand that hospital financials in cost reports are not organized in the same as other sources such as annual financial reports to bond holders.

The biggest difference is the concept of operating revenue and profit. Net Service to patients (NS2P), which is the sum of net patient revenue minus operating expenses, is considered the equivalent of operating profit according to the Medicaid and CHIP Payment and Access Commission (MACPAC). See the last paragraph of "Primary Data Sources" on page 55 of Annual Analysis of Disproportionate Share Hospital Allotments to States (PDF).

That would make Net Patient Revenue = operating revenue.

All this makes things challenging when comparing what's reported in cost reports to other sources. It becomes clearer when you consider that, beyond the purpose of reimbursement, cost reports are a tool for policymakers trying to understand the financial situation of a hospital doing the tasks specific to hospitals.

In other words, while a facility with a division that formulates drugs might include earnings from that as operating revenue in their corporate annual result, this is not central to the operations of a hospital caring for patients and so it is counted as "other income." (See below the financials section for more on "other income")

The healthcare consulting firm HMP, in a former partnership with Modern Healthcare, did develop a formula for estimating operating revenue closer to what one might find in other sources. We no longer use this for the following reasons:

The measure was not widely used beyond HMP and Modern Healthcare. Many hospitals had their own internal estimates of operating revenue and profit.
Because of this, there was confusion when reporting operating results for individual hospitals. There was often pushback when a facility's internal numbers did not match what Modern Healthcare was reporting.
The formula includes revenue from portions of the "other income" section, which may also include non-operating revenue. HMP themselves point out in a caveat on their site that they cannot exclude all non-operating revenue from their measure.

HMP's operating measure has proven problematic in the past for our reporting and the partnership with them ended years ago. It's best to not use a measure that we alone cannot defend.

	2017	2018	2019	2020	2021
Net patient revenue ? Median	275,818,189 150,932,746	314,870,364 158,950,878	350,252,160 168,696,998	348,979,170 163,454,693	402,791,946 186,589,412
Operating expenses Median	250,754,947 149,311,209	296,722,205 156,110,414	312,944,658 164,890,568	317,736,808 166,516,854	348,409,330 180,120,888
Net income from service 2 patients (NS2P) ? Median	25,063,242 -964,173	18,148,159 -643,601.5	37,307,502 -116,254	31,242,362 -5,025,862	54,382,616 -1,284,564
NS2P margin ? Median	9.09% -0.62	5.76% -0.29	10.65% 0.18	8.95% -5.07	13.50% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for MERCY HOSPITAL FORT SMITH compared to all** acute-care hospitals, from CMS cost reports.
Note: NS2P is considered operating margin by MACPAC. The chart below is interactive: click or touch to see more.

* Data range does not show outliers, which fall beyond the minimum and maximum of the range.
** From cost reports with complete fiscal years. Number of acute-care hospitals available to calculate medians:

2017	2018	2019	2020	2021
3,157	3,092	3,050	3,052	2,566

	2017	2018	2019	2020	2021
Other income* Median Click here to show/hide details	22,361,626 5,089,215	22,666,465 4,572,541	21,055,756 5,268,134	13,099,725 13,092,619	17,842,008 12,369,236
⊳ Line 6: Contributions ? ⊳ Median	49,686 224,999	266,111 199,009	228,057 206,870.5	360,919 194,343	450,227 249,496
⊳ Line 7: Investments ? ⊳ Median	245,120 299,524	123,309 188,688.5	19,647 370,813	12,316 309,361.5	-279,968 375,329
⊳ Line 8: Revenue from telephone service	NULL	NULL	NULL	NULL	NULL
⊳ Line 9: Revenue from tv and radio	--	--	--	--	--
⊳ Line 10: Purchase discounts	0	0	0	0	0
⊳ Line 11: Rebates and refunds of expenses	0	0	0	0	0
⊳ Line 12: Parking lot receipts	0	0	0	0	0
⊳ Line 13: Revenue from laundry and linen service	0	0	0	0	0
⊳ Line 14: Revenue from meals sold to emplyees and guests	1,281,318	1,414,169	1,501,513	1,418,271	999,717
⊳ Line 15: Revenue from rental of living quarters	0	0	0	0	0
⊳ Line 16: Revenue from sale of medical and surgical supplies	0	0	0	0	0
⊳ Line 17: Revenue from sale of drugs to other than patients	19,989	89,271	18,233	3,574	770
⊳ Line 18: Revenue from sale of medical records and abstracts	150,101	186,826	172,149	162,776	70,196
⊳ Line 19: Tuition (fees, sale of textbooks, uniforms, etc.)	0	0	0	0	0
⊳ Line 20: Revenue from gifts, flowers, coffee shops, canteen	1,074,801	968,489	1,021,891	836,074	749,717
⊳ Line 21: Rental of vending machines	3,019	4,166	5,361	6,657	2,491
⊳ Line 22: Rental of hospital space	4,539,361	5,795,495	5,203,721	957,766	893,006
⊳ Line 23: Gov appropriations ? ⊳ Median	0 1,017,693	0 983,261.5	0 1,173,286	0 1,987,202	0 1,597,664
⊳ Sum Line 24	14,998,231	13,818,629	12,885,184	9,341,372	14,955,852
Total income ? Median	47,424,868 6,586,430	40,814,624 6,767,106	58,363,258 8,419,950	44,342,087 8,094,175	72,224,624 15,162,888
Non-operating expenses Median	32,346,003 146,289.5	39,931,262 164,857	0 89,880.5	11,435 106,761	-88 31,473.5
Net income Median	15,078,865 6,043,842	883,362 5,845,112	58,363,258 7,606,259	44,330,652 7,283,041	72,224,712 14,957,241
Net margin Median	5.05697% 4.62%	0.26171% 4.42%	15.71829% 5.16%	12.24337% 5.2%	17.17044% 9.25%

* About "Other income": Other income, or line 25 in worksheet G3, is the sum of lines 6 through 24. It includes three lines that are considered non-operating revenue - contributions, investments and government appropriations. Medians are included for these three lines. It also contains items that are not central to providing healthcare, such as revenue from parking or gift shops.
"Sum Line 24" is a special case. Called "Other (specify)" in the cost reports, CMS allows for this line to be "subscripted," or divided into sublines like 002400, 002401, 002402. And hospitals do that, up to 100 lines, to detail income (and sometimes negative returns) that are otherwise not covered in the previous "other" lines. Therefore, "Sum Line 24" is the sum of all the lines 24.

Range* of total profit (loss) margins

= Total margin for MERCY HOSPITAL FORT SMITH compared to all** acute-care hospitals, from CMS cost reports.
The chart below is interactive: click or touch to see more.

2017	2018	2019	2020	2021
3,157	3,092	3,050	3,052	2,566

Medicare revenue

Inpatient and outpatient revenue

	2017	2018	2019	2020	2021
All inpatient revenue Median Click here to show/hide details	59,793,548 23,241,334	65,915,785 23,709,545	64,280,368 24,248,380	61,339,628 22,858,541	62,723,490 23,620,613
"All inpatient revenue" is made up of any Medicare payments for routine inpatient, swingbed SNFs, TEFRA, IPF, IRF, inpatient long-term care, CAH and inpatient SNF facilities. Medians are only calculated when there are sufficient facilities reporting revenue.
⊳ Routine inpatient revenue ⊳ Median	54,293,533 21,577,146	60,350,567 22,041,594	59,266,998 22,722,063	54,799,536 21,570,441	56,266,165 22,140,684
⊳ Swingbeds ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Tax Equity and Fiscal Responsibility Act payments (TEFRA) ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Inpatient psychiatric facility (IPF) ⊳ Median	0 1,845,420	0 1,757,392	0 1,738,842	0 1,510,463	0 1,393,140
⊳ Inpatient rehabilitation facility (IRF) ⊳ Median	5,500,015 3,535,627	5,565,218 3,746,588	5,013,370 3,782,288	6,540,092 3,865,578	6,457,325 3,983,889
⊳ Long-term care hospital (LTCH) ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Critical-access hospitals ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Skilled-nursing facilities (SNF) ⊳ Median	0 1,203,033	0 1,215,295	0 1,313,657	0 1,365,298	0 1,179,746
All outpatient revenue Median Click here to show/hide details	28,061,699 11,160,864	40,046,360 11,987,345	49,436,669 12,926,866	49,337,537 11,884,480	48,716,066 13,145,163
"All outpatient revenue" is made up of any payments for routine outpatient, HHA, CMHC, rural health and other federally-qualified health clinics. Medians are only calculated when there are sufficient facilities reporting revenue.
⊳ Routine outpatient revenue ⊳ Median	27,092,688 10,918,923	38,734,320 11,706,976	48,216,544 12,615,917	47,955,223 11,458,116	47,481,054 12,776,716
⊳ Home Health agencies (HHA) ⊳ Median	969,011 1,282,808	1,312,040 1,407,728	1,220,125 1,341,512	1,382,314 1,407,046	1,235,012 1,476,867
⊳ Community mental health clinics (CMHC) ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Rural health clinics ⊳ Median	0 618,038	0 697,279	0 690,232	0 684,010	0 670,558
⊳ Other federally qualified health clinics ⊳ Median	0 --	0 --	0 --	0 --	0 --

Other payments

Item	2017	2018	2019	2020	2021
Graduate Medical Education (GME) Median	0 3,284,314	0 3,250,551	0 3,386,837	0 3,360,806	0 3,508,953
Disproportionate-share hospital (DSH) Median	1,926,789 594,888	2,193,828 595,761	2,050,757 577,894	1,970,747 542,168	1,990,880 549,667
Outlier Median	1,778,059 582,572	1,060,127 538,116	1,430,896 212,434	139,745 126,559	180,930 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	4,904,148 3,662,910	4,364,520 3,730,911	294,574 4,081,319	4,459,223 4,643,908	1,452,383 4,389,147
Charity care Median	4,776,993 2,654,636	5,199,236 2,940,659	6,138,183 3,380,215	13,830,330 3,488,738	12,070,248 3,233,405
Uncompensated care (UCC) Median	14,067,705 5,147,790	10,612,539 5,337,617	17,834,072 5,711,082	18,663,946 5,923,418	16,554,625 5,508,107
UCC as a % of operating expenses Median	5.61% 3.24	3.58% 3.12	5.70% 3.21	5.87% 3.3	4.75% 2.86
Total shortfall/UCC Median	18,971,853 9,489,989	14,977,059 9,424,297	18,128,646 10,120,158	23,123,169 11,171,337	18,007,008 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	95,997,436 52,142,039	107,735,580 54,485,252	105,206,162 57,395,589	106,052,420 58,830,919	110,778,268 61,722,907
Salaries as a % of operating expenses Median	38.28 36.68	36.31 36.56	33.62 36.37	33.38 35.93	31.80 35.24
Intern, resident salaries* Median	0 2,598,592	0 2,686,824	0 2,753,773	0 2,937,156	0 2,909,848
Contract intern, resident salaries* Median	0 1,251,927	0 1,186,494	0 1,204,885	0 1,279,653	0 1,469,317
Contract adjusted salaries, direct-care Median	5,401,693 1,449,244	6,627,492 1,475,986	3,319,764 1,563,078	7,017,723 1,721,954	11,212,264 2,991,828
Contract hours, direct-care Median	96,976.00 22,725	110,985.00 23,018.5	63,671.80 24,503.48	149,285.00 25,026.5	137,948.18 33,786
Contract wages, direct-care Median	55.70 64.67	59.72 64.53	52.14 65.06	47.01 68.97	81.28 88.94

* in an approved program

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Cost reports are self-reported by the facility, are subject to revision and should be considered preliminary.

* Net Service to patients (NS2P) equals net patient revenue minus operating expenses. NS2P is considered the equivalent of operating profit according to the Medicaid and CHIP Payment and Access Commission (MACPAC). See the last paragraph of "Primary Data Sources" on page 55 of Annual Analysis of Disproportionate Share Hospital Allotments to States (PDF).

About medians

Medians are calculated from reports with "complete" fiscal years, or reports with fiscal years of at least 300 days and no more than 420 days.

In cases where there are fewer than 50 values reported, medians are not calculated. For childrens' hospitals, it's when fewer than 20 are reported.

Web app by Tim Broderick | email.