As of the July, 2022, release via CMS

COVENANT MEDICAL CENTER

CMS id: 450040
3615 19TH ST, LUBBOCK TX 79410. County: LUBBOCK
System: ST JOSEPH HEALTH SYSTEM
CBSA: Lubbock, TX

The 380-bed, acute-care hospital had $-101,034,787 in net service to patients*, with a total profit margin of -6.93998% in fiscal year 2021, the latest year available.
It spent 6.95% of its operating expenses on uncompensated care and reported $153,514 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	181	366	365
Ownership	nfp	nfp	nfp	nfp	nfp
Acute beds Median	287 118	287 118	283 119.5	269 118	283 119
Total beds Median	394 162	394 162	380 162	366 162	380 163.5
FTEs Median	2,445.00 788.06	2,236.00 793.42	2,113.00 806.03	1,954.00 787.61	1,973.00 804.34

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	466,950,101 150,932,746	431,440,016 158,950,878	227,366,372 168,696,998	391,719,778 163,454,693	415,402,420 186,589,412
Operating expenses Median	530,421,551 149,311,209	460,778,628 156,110,414	201,435,454 164,890,568	487,661,059 166,516,854	516,437,207 180,120,888
Net income from service 2 patients (NS2P) ? Median	-63,471,450 -964,173	-29,338,612 -643,601.5	25,930,918 -116,254	-95,941,281 -5,025,862	-101,034,787 -1,284,564
NS2P margin ? Median	-13.59% -0.62	-6.80% -0.29	11.40% 0.18	-24.49% -5.07	-24.32% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for COVENANT MEDICAL CENTER 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	128,771,243 5,089,215	41,715,332 4,572,541	20,275,081 5,268,134	77,948,179 13,092,619	68,072,306 12,369,236
⊳ Line 6: Contributions ? ⊳ Median	0 224,999	0 199,009	0 206,870.5	62,005 194,343	83,790 249,496
⊳ Line 7: Investments ? ⊳ Median	4,999,709 299,524	5,468,146 188,688.5	5,627,549 370,813	1,152,507 309,361.5	28,926,479 375,329
⊳ Line 8: Revenue from telephone service	NULL	NULL	NULL	NULL	NULL
⊳ Line 9: Revenue from tv and radio	--	--	--	--	--
⊳ Line 10: Purchase discounts	4,146	9,670	0	0	0
⊳ Line 11: Rebates and refunds of expenses	180,098	381,516	347,757	885,558	0
⊳ Line 12: Parking lot receipts	362,885	366,421	176,062	340,124	0
⊳ Line 13: Revenue from laundry and linen service	0	0	0	0	0
⊳ Line 14: Revenue from meals sold to emplyees and guests	3,388,164	3,028,173	1,766,445	2,877,731	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	9,099	1,344,680	2,791,163	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.)	2,243,827	2,182,225	1,820,953	2,560,724	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	1,152,010	633,137
⊳ 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	117,583,315	28,934,501	7,745,152	68,917,520	38,428,900
Total income ? Median	65,299,793 6,586,430	12,376,720 6,767,106	46,205,999 8,419,950	-17,993,102 8,094,175	-32,962,481 15,162,888
Non-operating expenses Median	0 146,289.5	0 164,857	0 89,880.5	0 106,761	590,551 31,473.5
Net income Median	65,299,793 6,043,842	12,376,720 5,845,112	46,205,999 7,606,259	-17,993,102 7,283,041	-33,553,032 14,957,241
Net margin Median	10.96147% 4.62%	2.61578% 4.42%	18.65843% 5.16%	-3.83103% 5.2%	-6.93998% 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 COVENANT MEDICAL CENTER 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	92,740,015 23,241,334	101,562,505 23,709,545	55,069,329 24,248,380	95,948,351 22,858,541	86,149,281 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	92,351,613 21,577,146	101,562,505 22,041,594	55,069,329 22,722,063	95,948,351 21,570,441	86,149,281 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	388,402 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	44,024,406 11,160,864	23,887,854 11,987,345	13,411,186 12,926,866	23,525,526 11,884,480	20,739,649 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	44,024,406 10,918,923	23,887,854 11,706,976	13,411,186 12,615,917	23,525,526 11,458,116	20,739,649 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	906,231 3,284,314	984,715 3,250,551	685,211 3,386,837	936,553 3,360,806	1,007,611 3,508,953
Disproportionate-share hospital (DSH) Median	1,202,756 594,888	967,285 595,761	335,281 577,894	803,825 542,168	596,079 549,667
Outlier Median	4,279,355 582,572	6,892,625 538,116	538,468 212,434	783,582 126,559	685,597 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	159,750 3,662,910	71,320 3,730,911	79,188 4,081,319	146,784 4,643,908	153,514 4,389,147
Charity care Median	19,512,971 2,654,636	18,568,780 2,940,659	21,677,108 3,380,215	40,197,071 3,488,738	32,230,605 3,233,405
Uncompensated care (UCC) Median	25,441,062 5,147,790	22,929,654 5,337,617	22,211,245 5,711,082	44,727,393 5,923,418	35,913,831 5,508,107
UCC as a % of operating expenses Median	4.80% 3.24	4.98% 3.12	11.03% 3.21	9.17% 3.3	6.95% 2.86
Total shortfall/UCC Median	25,600,812 9,489,989	23,000,974 9,424,297	22,290,433 10,120,158	44,874,177 11,171,337	36,067,345 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	144,975,140 52,142,039	134,058,034 54,485,252	68,398,208 57,395,589	131,090,467 58,830,919	134,483,087 61,722,907
Salaries as a % of operating expenses Median	27.33 36.68	29.09 36.56	33.96 36.37	34.15 35.93	33.48 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	2,135,544 1,449,244	1,656,137 1,475,986	876,949 1,563,078	471,210 1,721,954	2,298,510 2,991,828
Contract hours, direct-care Median	72,053.14 22,725	21,624.80 23,018.5	15,304.41 24,503.48	14,370.84 25,026.5	18,147.00 33,786
Contract wages, direct-care Median	29.64 64.67	76.59 64.53	57.30 65.06	32.79 68.97	126.66 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.