As of the July, 2022, release via CMS

HOUSTON METHODIST ST. JOHN HOSPITAL

CMS id: 450709
18300 ST. JOHN DRIVE, NASSAU BAY TX 77058. County: HARRIS
System: THE METHODIST HOSPITAL- CORPORATE DI
CBSA: Houston-The Woodlands-Sugar Land, TX

The 178-bed, acute-care hospital had $49,597,153 in net service to patients*, with a total profit margin of 19.15593% in fiscal year 2021, the latest year available.
It spent 5.88% of its operating expenses on uncompensated care and reported $4,096 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	164 118	164 118	164 119.5	164 118	164 119
Total beds Median	178 162	178 162	178 162	178 162	178 163.5
FTEs Median	748.91 788.06	775.29 793.42	0.00 806.03	824.49 787.61	875.87 804.34

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	129,189,769 150,932,746	160,767,874 158,950,878	200,092,316 168,696,998	189,276,370 163,454,693	257,550,275 186,589,412
Operating expenses Median	127,465,318 149,311,209	143,646,775 156,110,414	169,071,121 164,890,568	177,214,008 166,516,854	207,953,122 180,120,888
Net income from service 2 patients (NS2P) ? Median	1,724,451 -964,173	17,121,099 -643,601.5	31,021,195 -116,254	12,062,362 -5,025,862	49,597,153 -1,284,564
NS2P margin ? Median	1.33% -0.62	10.65% -0.29	15.50% 0.18	6.37% -5.07	19.26% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for HOUSTON METHODIST ST. JOHN HOSPITAL 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	2,405,700 5,089,215	1,727,879 4,572,541	-5,199,580 5,268,134	1,644,367 13,092,619	-322,859 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	223,482 299,524	89,058 188,688.5	77,893 370,813	115,946 309,361.5	250,496 375,329
⊳ 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	615,814	544,388	714,545	566,708	598,033
⊳ 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	1,826	6,433	2,565	4,955	3,448
⊳ Line 19: Tuition (fees, sale of textbooks, uniforms, etc.)	985	0	88	0	4,687
⊳ Line 20: Revenue from gifts, flowers, coffee shops, canteen	1,870	126	0	0	0
⊳ Line 21: Rental of vending machines	9,657	11,512	10,653	8,619	6,018
⊳ Line 22: Rental of hospital space	475,089	480,412	489,777	438,573	-1,584,132
⊳ 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	1,076,977	595,950	-6,495,101	509,566	398,591
Total income ? Median	4,130,151 6,586,430	18,848,978 6,767,106	25,821,615 8,419,950	13,706,729 8,094,175	49,274,294 15,162,888
Non-operating expenses Median	640,472 146,289.5	3 164,857	0 89,880.5	0 106,761	0 31,473.5
Net income Median	3,489,679 6,043,842	18,848,975 5,845,112	25,821,615 7,606,259	13,706,729 7,283,041	49,274,294 14,957,241
Net margin Median	2.65182% 4.62%	11.59967% 4.42%	13.24914% 5.16%	7.17928% 5.2%	19.15593% 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 HOUSTON METHODIST ST. JOHN HOSPITAL 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	13,168,142 23,241,334	16,634,346 23,709,545	19,967,759 24,248,380	22,396,660 22,858,541	24,025,794 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	13,168,142 21,577,146	16,634,346 22,041,594	19,967,759 22,722,063	22,396,660 21,570,441	24,025,794 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	5,402,906 11,160,864	7,313,525 11,987,345	9,443,049 12,926,866	9,535,900 11,884,480	13,399,324 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	5,402,906 10,918,923	7,313,525 11,706,976	9,443,049 12,615,917	9,535,900 11,458,116	13,399,324 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	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	0 594,888	121,764 595,761	288,128 577,894	289,496 542,168	216,386 549,667
Outlier Median	557,354 582,572	523,859 538,116	164,849 212,434	60,457 126,559	97,335 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	9,454 3,662,910	0 3,730,911	15,266 4,081,319	0 4,643,908	4,096 4,389,147
Charity care Median	8,764,543 2,654,636	7,634,124 2,940,659	10,072,522 3,380,215	12,580,805 3,488,738	11,061,544 3,233,405
Uncompensated care (UCC) Median	11,149,722 5,147,790	10,149,839 5,337,617	11,856,504 5,711,082	13,510,669 5,923,418	12,218,943 5,508,107
UCC as a % of operating expenses Median	8.75% 3.24	7.07% 3.12	7.01% 3.21	7.62% 3.3	5.88% 2.86
Total shortfall/UCC Median	11,159,176 9,489,989	10,149,839 9,424,297	11,871,770 10,120,158	13,510,669 11,171,337	12,223,039 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	52,837,953 52,142,039	57,536,708 54,485,252	65,549,371 57,395,589	64,790,893 58,830,919	73,424,362 61,722,907
Salaries as a % of operating expenses Median	41.45 36.68	40.05 36.56	38.77 36.37	36.56 35.93	35.31 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	385,797 1,449,244	565,389 1,475,986	46,205 1,563,078	558,969 1,721,954	4,187,706 2,991,828
Contract hours, direct-care Median	3,971.00 22,725	5,227.00 23,018.5	259.00 24,503.48	5,150.70 25,026.5	34,685.00 33,786
Contract wages, direct-care Median	97.15 64.67	108.17 64.53	178.40 65.06	108.52 68.97	120.74 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.