As of the July, 2022, release via CMS

THE UNIVERSITY OF TEXAS MEDICAL BR.

CMS id: 450018
301 UNIVERSITY BLVD, GALVESTON TX 77555. County: GALVESTON
System: --
CBSA: Houston-The Woodlands-Sugar Land, TX

The 804-bed, acute-care hospital had $-206,772,538 in net service to patients*, with a total profit margin of 16.99665% in fiscal year 2021, the latest year available.
It spent 5.90% of its operating expenses on uncompensated care and reported $3,778,249 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	gov	gov	gov	gov	gov
Acute beds Median	405 118	399 118	458 119.5	536 118	587 119
Total beds Median	567 162	561 162	653 162	749 162	804 163.5
FTEs Median	4,629.70 788.06	4,715.20 793.42	4,708.11 806.03	5,028.17 787.61	4,862.88 804.34

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	570,755,030 150,932,746	588,048,288 158,950,878	822,099,861 168,696,998	851,101,564 163,454,693	1,034,402,736 186,589,412
Operating expenses Median	838,643,462 149,311,209	850,858,471 156,110,414	1,064,137,355 164,890,568	1,163,022,045 166,516,854	1,241,175,274 180,120,888
Net income from service 2 patients (NS2P) ? Median	-267,888,432 -964,173	-262,810,183 -643,601.5	-242,037,494 -116,254	-311,920,481 -5,025,862	-206,772,538 -1,284,564
NS2P margin ? Median	-46.94% -0.62	-44.69% -0.29	-29.44% 0.18	-36.65% -5.07	-19.99% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for THE UNIVERSITY OF TEXAS MEDICAL BR. 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	448,416,795 5,089,215	449,993,895 4,572,541	456,307,801 5,268,134	545,122,046 13,092,619	461,934,099 12,369,236
⊳ Line 6: Contributions ? ⊳ Median	1,434,413 224,999	1,693,912 199,009	1,543,835 206,870.5	1,811,145 194,343	1,784,275 249,496
⊳ Line 7: Investments ? ⊳ Median	1,741,672 299,524	3,096,861 188,688.5	4,755,787 370,813	3,529,807 309,361.5	349,485 375,329
⊳ 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.)	11,879,312	12,669,092	13,194,088	12,826,283	12,807,557
⊳ 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	364,681,374 1,017,693	369,420,210 983,261.5	372,131,703 1,173,286	384,205,535 1,987,202	319,882,299 1,597,664
⊳ Sum Line 24	68,680,024	63,113,820	64,682,388	142,749,276	127,110,483
Total income ? Median	180,528,363 6,586,430	187,183,712 6,767,106	214,270,307 8,419,950	233,201,565 8,094,175	255,161,561 15,162,888
Non-operating expenses Median	100,756 146,289.5	-288,585 164,857	66,858 89,880.5	823,712 106,761	834,458 31,473.5
Net income Median	180,427,607 6,043,842	187,472,297 5,845,112	214,203,449 7,606,259	232,377,853 7,283,041	254,327,103 14,957,241
Net margin Median	17.70336% 4.62%	18.06018% 4.42%	16.75549% 5.16%	16.64331% 5.2%	16.99665% 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 THE UNIVERSITY OF TEXAS MEDICAL BR. 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	96,628,947 23,241,334	113,555,966 23,709,545	128,098,770 24,248,380	134,256,832 22,858,541	148,619,183 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	96,628,947 21,577,146	113,555,966 22,041,594	128,098,770 22,722,063	134,256,832 21,570,441	148,619,183 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	55,057,144 11,160,864	61,352,876 11,987,345	62,413,376 12,926,866	59,275,952 11,884,480	65,657,693 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	55,057,144 10,918,923	61,352,876 11,706,976	62,413,376 12,615,917	59,275,952 11,458,116	65,657,693 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	25,363,755 3,284,314	29,454,104 3,250,551	30,984,009 3,386,837	32,746,398 3,360,806	34,623,760 3,508,953
Disproportionate-share hospital (DSH) Median	2,733,499 594,888	2,819,713 595,761	3,096,642 577,894	3,208,825 542,168	2,994,439 549,667
Outlier Median	2,510,190 582,572	2,712,897 538,116	3,441,498 212,434	874,398 126,559	1,205,853 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	1,555,417 3,662,910	4,218,550 3,730,911	4,284,906 4,081,319	5,196,801 4,643,908	3,778,249 4,389,147
Charity care Median	42,617,963 2,654,636	43,854,842 2,940,659	44,042,582 3,380,215	50,599,683 3,488,738	54,435,169 3,233,405
Uncompensated care (UCC) Median	57,965,812 5,147,790	61,894,685 5,337,617	61,623,837 5,711,082	71,529,447 5,923,418	73,223,847 5,508,107
UCC as a % of operating expenses Median	6.91% 3.24	7.27% 3.12	5.79% 3.21	6.15% 3.3	5.90% 2.86
Total shortfall/UCC Median	59,521,229 9,489,989	66,113,235 9,424,297	65,908,743 10,120,158	76,726,248 11,171,337	77,002,096 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	1,025,520,786 52,142,039	1,051,403,951 54,485,252	1,088,011,742 57,395,589	1,115,990,864 58,830,919	1,171,334,451 61,722,907
Salaries as a % of operating expenses Median	53.79 36.68	53.72 36.56	52.02 36.37	51.69 35.93	51.10 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	9,073,077 1,449,244	7,435,245 1,475,986	8,336,128 1,563,078	8,842,700 1,721,954	9,584,700 2,991,828
Contract hours, direct-care Median	209,827.13 22,725	168,906.00 23,018.5	201,266.69 24,503.48	188,049.25 25,026.5	200,649.83 33,786
Contract wages, direct-care Median	43.24 64.67	44.02 64.53	41.42 65.06	47.02 68.97	47.77 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.