As of the July, 2022, release via CMS

NORTON HOSPITALS INC

CMS id: 180088
200 E. CHESTNUT ST, LOUISVILLE KY 40202. County: JEFFERSON
System: NORTON HEALTHCARE INC
CBSA: Louisville/Jefferson County, KY-IN

The 1,465-bed, acute-care hospital had $277,926,767 in net service to patients*, with a total profit margin of 12.86573% in fiscal year 2021, the latest year available.
It spent 1.16% of its operating expenses on uncompensated care and reported $0 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	1,058 118	1,110 118	1,137 119.5	1,126 118	1124 119
Total beds Median	1,364 162	1,430 162	1,454 162	1,450 162	1,465 163.5
FTEs Median	7,852.47 788.06	7,596.31 793.42	7,795.24 806.03	7,795.45 787.61	8,068.75 804.34

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	1,860,274,286 150,932,746	1,948,330,283 158,950,878	2,049,774,662 168,696,998	2,046,532,968 163,454,693	2,479,474,863 186,589,412
Operating expenses Median	1,714,865,230 149,311,209	1,789,194,255 156,110,414	1,886,735,443 164,890,568	2,012,235,556 166,516,854	2,201,548,096 180,120,888
Net income from service 2 patients (NS2P) ? Median	145,409,056 -964,173	159,136,028 -643,601.5	163,039,219 -116,254	34,297,412 -5,025,862	277,926,767 -1,284,564
NS2P margin ? Median	7.82% -0.62	8.17% -0.29	7.95% 0.18	1.68% -5.07	11.21% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for NORTON HOSPITALS INC 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	10,228,900 5,089,215	7,404,619 4,572,541	6,678,416 5,268,134	67,224,437 13,092,619	47,140,642 12,369,236
⊳ Line 6: Contributions ? ⊳ Median	7,672,388 224,999	4,932,262 199,009	5,663,129 206,870.5	4,245,703 194,343	10,382,896 249,496
⊳ Line 7: Investments ? ⊳ Median	2,556,512 299,524	2,472,357 188,688.5	1,015,287 370,813	2,187,513 309,361.5	3,601,272 375,329
⊳ 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	0	0	0	0	0
⊳ 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	0	0	0	0	0
⊳ Line 18: Revenue from sale of medical records and abstracts	0	0	0	0	0
⊳ Line 19: Tuition (fees, sale of textbooks, uniforms, etc.)	0	0	0	0	0
⊳ Line 20: Revenue from gifts, flowers, coffee shops, canteen	0	0	0	0	0
⊳ Line 21: Rental of vending machines	0	0	0	0	0
⊳ Line 22: Rental of hospital space	0	0	0	0	0
⊳ 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	--	--	--	60,791,221	33,156,474
Total income ? Median	155,637,956 6,586,430	166,540,647 6,767,106	169,717,635 8,419,950	101,521,849 8,094,175	325,067,409 15,162,888
Non-operating expenses Median	0 146,289.5	0 164,857	0 89,880.5	0 106,761	0 31,473.5
Net income Median	155,637,956 6,043,842	166,540,647 5,845,112	169,717,635 7,606,259	101,521,849 7,283,041	325,067,409 14,957,241
Net margin Median	8.32065% 4.62%	8.51550% 4.42%	8.25293% 5.16%	4.80291% 5.2%	12.86573% 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 NORTON HOSPITALS INC 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	230,013,459 23,241,334	232,973,112 23,709,545	242,577,431 24,248,380	215,706,544 22,858,541	206,804,222 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	230,013,459 21,577,146	232,973,112 22,041,594	242,577,431 22,722,063	215,706,544 21,570,441	206,804,222 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	0 3,535,627	0 3,746,588	0 3,782,288	0 3,865,578	0 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	135,973,635 11,160,864	144,205,124 11,987,345	157,167,831 12,926,866	159,915,030 11,884,480	182,684,685 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	135,973,635 10,918,923	144,205,124 11,706,976	157,167,831 12,615,917	159,915,030 11,458,116	182,684,685 12,776,716
⊳ Home Health agencies (HHA) ⊳ Median	0 1,282,808	0 1,407,728	0 1,341,512	0 1,407,046	0 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	13,626,441 3,284,314	13,602,376 3,250,551	13,991,697 3,386,837	12,975,108 3,360,806	12,409,375 3,508,953
Disproportionate-share hospital (DSH) Median	10,974,708 594,888	11,324,508 595,761	11,516,593 577,894	10,743,912 542,168	9,296,049 549,667
Outlier Median	4,774,177 582,572	5,464,383 538,116	1,202,485 212,434	1,429,166 126,559	3,419,346 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	0 3,662,910	633,376 3,730,911	579,544 4,081,319	0 4,643,908	0 4,389,147
Charity care Median	14,751,332 2,654,636	11,947,536 2,940,659	12,770,630 3,380,215	17,394,048 3,488,738	11,269,497 3,233,405
Uncompensated care (UCC) Median	30,286,237 5,147,790	20,585,369 5,337,617	23,454,819 5,711,082	32,072,101 5,923,418	25,457,814 5,508,107
UCC as a % of operating expenses Median	1.77% 3.24	1.15% 3.12	1.24% 3.21	1.59% 3.3	1.16% 2.86
Total shortfall/UCC Median	30,286,237 9,489,989	21,218,745 9,424,297	24,034,363 10,120,158	32,072,101 11,171,337	25,457,814 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	513,899,694 52,142,039	504,177,629 54,485,252	533,169,309 57,395,589	565,539,241 58,830,919	615,268,584 61,722,907
Salaries as a % of operating expenses Median	33.41 36.68	29.50 36.56	29.45 36.37	29.68 35.93	28.33 35.24
Intern, resident salaries* Median	296,903 2,598,592	338,894 2,686,824	363,827 2,753,773	358,975 2,937,156	357,641 2,909,848
Contract intern, resident salaries* Median	11,655,139 1,251,927	12,114,177 1,186,494	12,557,849 1,204,885	0 1,279,653	0 1,469,317
Contract adjusted salaries, direct-care Median	23,461,229 1,449,244	17,665,899 1,475,986	19,864,776 1,563,078	0 1,721,954	35,233,975 2,991,828
Contract hours, direct-care Median	505,785.93 22,725	435,127.62 23,018.5	483,930.00 24,503.48	0.00 25,026.5	297,934.17 33,786
Contract wages, direct-care Median	46.39 64.67	40.60 64.53	41.05 65.06	0.00 68.97	118.26 88.94

* in an approved program

Return to top

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.