As of the July, 2022, release via CMS

LEHIGH VALLEY HOSPITAL-HAZLETON

CMS id: 390185
700 EAST BROAD STREET, HAZLETON PA 18201. County: LUZERNE
System: --
CBSA: Scranton--Wilkes-Barre, PA

The 150-bed, acute-care hospital had $18,148,054 in net service to patients*, with a total profit margin of 32.16603% in fiscal year 2021, the latest year available.
It spent 2.95% of its operating expenses on uncompensated care and reported $1,648,754 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	122 118	122 118	122 119.5	122 118	122 119
Total beds Median	150 162	150 162	150 162	138 162	150 163.5
FTEs Median	775.84 788.06	602.00 793.42	587.00 806.03	534.00 787.61	488.00 804.34

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	117,421,042 150,932,746	111,701,585 158,950,878	117,823,791 168,696,998	113,592,796 163,454,693	123,102,758 186,589,412
Operating expenses Median	116,279,227 149,311,209	111,169,252 156,110,414	116,622,306 164,890,568	111,512,271 166,516,854	104,954,704 180,120,888
Net income from service 2 patients (NS2P) ? Median	1,141,815 -964,173	532,333 -643,601.5	1,201,485 -116,254	2,080,525 -5,025,862	18,148,054 -1,284,564
NS2P margin ? Median	0.97% -0.62	0.48% -0.29	1.02% 0.18	1.83% -5.07	14.74% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for LEHIGH VALLEY HOSPITAL-HAZLETON 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	13,189,387 5,089,215	10,065,246 4,572,541	10,873,239 5,268,134	10,038,701 13,092,619	31,620,172 12,369,236
⊳ Line 6: Contributions ? ⊳ Median	15,621 224,999	21,473 199,009	20,263 206,870.5	2,038 194,343	3,975 249,496
⊳ Line 7: Investments ? ⊳ Median	11,393,816 299,524	6,377,379 188,688.5	6,806,918 370,813	3,108,493 309,361.5	27,769,425 375,329
⊳ Line 8: Revenue from telephone service	NULL	NULL	NULL	NULL	NULL
⊳ Line 9: Revenue from tv and radio	--	--	--	--	--
⊳ Line 10: Purchase discounts	3,871	0	0	0	0
⊳ Line 11: Rebates and refunds of expenses	11,264	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	842,636	465,083	428,646	323,581	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	35,129	0	0	0	0
⊳ Line 18: Revenue from sale of medical records and abstracts	3,978	135	607	675	0
⊳ Line 19: Tuition (fees, sale of textbooks, uniforms, etc.)	19,383	0	0	0	0
⊳ Line 20: Revenue from gifts, flowers, coffee shops, canteen	18,640	865	0	0	0
⊳ Line 21: Rental of vending machines	0	0	5,396	5,893	4,533
⊳ Line 22: Rental of hospital space	267,288	272,544	315,392	1,243,335	1,561,974
⊳ 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	577,761	2,927,767	3,296,017	5,354,686	2,280,265
Total income ? Median	14,331,202 6,586,430	10,597,579 6,767,106	12,074,724 8,419,950	12,119,226 8,094,175	49,768,226 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	14,331,202 6,043,842	10,597,579 5,845,112	12,074,724 7,606,259	12,119,226 7,283,041	49,768,226 14,957,241
Net margin Median	10.97248% 4.62%	8.70317% 4.42%	9.38229% 5.16%	9.80270% 5.2%	32.16603% 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 LEHIGH VALLEY HOSPITAL-HAZLETON 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	29,336,493 23,241,334	27,725,835 23,709,545	25,522,608 24,248,380	22,123,565 22,858,541	22,625,149 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	24,635,977 21,577,146	22,700,049 22,041,594	21,114,852 22,722,063	18,317,022 21,570,441	18,880,172 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	4,700,516 3,535,627	5,025,786 3,746,588	4,407,756 3,782,288	3,806,543 3,865,578	3,744,977 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	11,105,134 11,160,864	11,798,849 11,987,345	12,283,317 12,926,866	11,118,549 11,884,480	11,442,198 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	9,414,040 10,918,923	10,171,822 11,706,976	10,706,706 12,615,917	9,670,984 11,458,116	10,117,503 12,776,716
⊳ Home Health agencies (HHA) ⊳ Median	1,691,094 1,282,808	1,627,027 1,407,728	1,576,611 1,341,512	1,447,565 1,407,046	1,324,695 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	615,615 594,888	660,840 595,761	580,038 577,894	513,512 542,168	517,102 549,667
Outlier Median	130,330 582,572	166,829 538,116	282,352 212,434	125,433 126,559	192,064 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	3,654,414 3,662,910	3,295,741 3,730,911	5,689,921 4,081,319	5,222,792 4,643,908	1,648,754 4,389,147
Charity care Median	1,297,758 2,654,636	2,371,758 2,940,659	1,859,116 3,380,215	1,909,979 3,488,738	1,962,569 3,233,405
Uncompensated care (UCC) Median	2,465,086 5,147,790	3,633,065 5,337,617	3,264,556 5,711,082	3,220,724 5,923,418	3,098,498 5,508,107
UCC as a % of operating expenses Median	2.12% 3.24	3.27% 3.12	2.80% 3.21	2.89% 3.3	2.95% 2.86
Total shortfall/UCC Median	6,119,500 9,489,989	6,928,806 9,424,297	8,954,477 10,120,158	8,443,516 11,171,337	4,747,252 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	45,277,446 52,142,039	37,509,839 54,485,252	36,690,792 57,395,589	35,578,920 58,830,919	32,338,111 61,722,907
Salaries as a % of operating expenses Median	38.94 36.68	33.74 36.56	31.46 36.37	31.91 35.93	30.81 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	40,967 1,449,244	5,340,073 1,475,986	7,229,626 1,563,078	7,897,114 1,721,954	5,389,287 2,991,828
Contract hours, direct-care Median	692.00 22,725	150,341.00 23,018.5	153,089.00 24,503.48	150,750.00 25,026.5	128,623.00 33,786
Contract wages, direct-care Median	59.20 64.67	35.52 64.53	47.22 65.06	52.39 68.97	41.90 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.