As of the July, 2022, release via CMS

METHODIST H/C MEMPHIS HOSPT.

CMS id: 440049
1265 UNION AVENUE, MEMPHIS TN 38104. County: SHELBY
System: METHODIST LEBONHEUR HEALTHCARE
CBSA: Memphis, TN-MS-AR

The 1,329-bed, acute-care hospital had $-106,817,888 in net service to patients*, with a total profit margin of -0.57597% in fiscal year 2021, the latest year available.
It spent 5.43% of its operating expenses on uncompensated care and reported $40,689,414 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	951 118	915 118	927 119.5	940 118	902 119
Total beds Median	1,383 162	1,362 162	1,362 162	1,339 162	1,329 163.5
FTEs Median	8,417.00 788.06	8,361.00 793.42	8,130.00 806.03	7,571.00 787.61	7,750.00 804.34

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	1,766,467,690 150,932,746	1,847,831,390 158,950,878	1,734,532,863 168,696,998	1,367,377,122 163,454,693	1,727,566,471 186,589,412
Operating expenses Median	1,844,318,879 149,311,209	1,908,589,702 156,110,414	1,797,461,222 164,890,568	1,798,471,831 166,516,854	1,834,384,359 180,120,888
Net income from service 2 patients (NS2P) ? Median	-77,851,189 -964,173	-60,758,312 -643,601.5	-62,928,359 -116,254	-431,094,709 -5,025,862	-106,817,888 -1,284,564
NS2P margin ? Median	-4.41% -0.62	-3.29% -0.29	-3.63% 0.18	-31.53% -5.07	-6.18% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for METHODIST H/C MEMPHIS HOSPT. 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	187,225,905 5,089,215	214,476,097 4,572,541	178,259,263 5,268,134	500,816,131 13,092,619	96,312,865 12,369,236
⊳ Line 6: Contributions ? ⊳ Median	0 224,999	0 199,009	0 206,870.5	0 194,343	0 249,496
⊳ Line 7: Investments ? ⊳ Median	34,246,000 299,524	41,202,547 188,688.5	44,554,784 370,813	311,558,792 309,361.5	49,618,942 375,329
⊳ 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	8,626,374	8,739,265	9,321,119	8,591,348	8,954,986
⊳ 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	144,353,531	164,534,285	124,383,360	180,665,991	37,738,937
Total income ? Median	109,374,716 6,586,430	153,717,785 6,767,106	115,330,904 8,419,950	69,721,422 8,094,175	-10,505,023 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	109,374,716 6,043,842	153,717,785 5,845,112	115,330,904 7,606,259	69,721,422 7,283,041	-10,505,023 14,957,241
Net margin Median	5.59836% 4.62%	7.45368% 4.42%	6.02945% 5.16%	3.73202% 5.2%	-0.57597% 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 METHODIST H/C MEMPHIS HOSPT. 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	271,100,806 23,241,334	280,015,208 23,709,545	278,304,249 24,248,380	255,989,688 22,858,541	226,303,015 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	266,269,286 21,577,146	275,831,554 22,041,594	274,953,502 22,722,063	253,534,052 21,570,441	224,552,415 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	4,831,520 1,845,420	4,183,654 1,757,392	3,350,747 1,738,842	2,455,636 1,510,463	1,750,600 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	150,096,329 11,160,864	142,883,378 11,987,345	93,858,998 12,926,866	70,876,567 11,884,480	71,482,465 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	150,096,329 10,918,923	142,883,378 11,706,976	93,858,998 12,615,917	70,876,567 11,458,116	71,482,465 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	21,391,699 3,284,314	21,854,457 3,250,551	21,516,177 3,386,837	19,975,552 3,360,806	17,392,981 3,508,953
Disproportionate-share hospital (DSH) Median	10,236,331 594,888	10,881,762 595,761	9,756,831 577,894	8,685,424 542,168	7,246,143 549,667
Outlier Median	8,712,457 582,572	9,108,996 538,116	5,778,434 212,434	4,974,109 126,559	6,656,428 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	70,561,309 3,662,910	99,496,290 3,730,911	115,470,689 4,081,319	20,393,115 4,643,908	40,689,414 4,389,147
Charity care Median	85,760,989 2,654,636	90,578,079 2,940,659	101,174,930 3,380,215	86,166,784 3,488,738	92,835,260 3,233,405
Uncompensated care (UCC) Median	101,415,099 5,147,790	121,551,761 5,337,617	144,698,412 5,711,082	96,089,568 5,923,418	99,698,158 5,508,107
UCC as a % of operating expenses Median	5.50% 3.24	6.37% 3.12	8.05% 3.21	5.34% 3.3	5.43% 2.86
Total shortfall/UCC Median	171,976,408 9,489,989	221,048,051 9,424,297	260,169,101 10,120,158	116,482,683 11,171,337	140,387,572 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	653,438,860 52,142,039	660,358,262 54,485,252	650,255,430 57,395,589	646,235,905 58,830,919	663,931,764 61,722,907
Salaries as a % of operating expenses Median	35.43 36.68	34.60 36.56	36.18 36.37	35.93 35.93	36.19 35.24
Intern, resident salaries* Median	97,215 2,598,592	96,251 2,686,824	15,254 2,753,773	16,796 2,937,156	10,986 2,909,848
Contract intern, resident salaries* Median	24,006,426 1,251,927	24,417,462 1,186,494	25,267,620 1,204,885	25,056,408 1,279,653	26,433,154 1,469,317
Contract adjusted salaries, direct-care Median	49,340,418 1,449,244	41,278,576 1,475,986	31,753,916 1,563,078	19,105,510 1,721,954	37,594,457 2,991,828
Contract hours, direct-care Median	979,403.00 22,725	862,896.45 23,018.5	495,290.00 24,503.48	303,034.28 25,026.5	442,037.53 33,786
Contract wages, direct-care Median	50.38 64.67	47.84 64.53	64.11 65.06	63.05 68.97	85.05 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.