As of the July, 2022, release via CMS

TEXAS ORTHOPEDIC HOSPITA

CMS id: 450804
7401 SOUTH MAIN STREET, HOUSTON TX 77030. County: HARRIS
System: HCA
CBSA: Houston-The Woodlands-Sugar Land, TX

The 49-bed, acute-care hospital had $94,670,773 in net service to patients*, with a total profit margin of 45.17937% in fiscal year 2021, the latest year available.
It spent 0.64% of its operating expenses on uncompensated care and reported $10,856 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	forprofit	forprofit	forprofit	forprofit	forprofit
Acute beds Median	49 118	49 118	49 119.5	49 118	46 119
Total beds Median	49 162	49 162	49 162	49 162	49 163.5
FTEs Median	361.43 788.06	372.15 793.42	0.00 806.03	376.03 787.61	380.08 804.34

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	151,559,488 150,932,746	169,866,365 158,950,878	191,045,672 168,696,998	190,168,710 163,454,693	215,120,348 186,589,412
Operating expenses Median	88,623,381 149,311,209	96,120,115 156,110,414	102,830,039 164,890,568	102,363,169 166,516,854	120,449,575 180,120,888
Net income from service 2 patients (NS2P) ? Median	62,936,107 -964,173	73,746,250 -643,601.5	88,215,633 -116,254	87,805,541 -5,025,862	94,670,773 -1,284,564
NS2P margin ? Median	41.53% -0.62	43.41% -0.29	46.18% 0.18	46.17% -5.07	44.01% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for TEXAS ORTHOPEDIC HOSPITA 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	3,199,459 5,089,215	3,441,123 4,572,541	3,681,115 5,268,134	7,090,631 13,092,619	4,595,456 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	0 299,524	0 188,688.5	0 370,813	0 309,361.5	0 375,329
⊳ 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	457,832	545,862	622,333	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	460,836	503,660	523,204	404,517	443,792
⊳ 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	233	177	167	679
⊳ Line 19: Tuition (fees, sale of textbooks, uniforms, etc.)	0	0	0	0	0
⊳ Line 20: Revenue from gifts, flowers, coffee shops, canteen	14,407	232,379	278,975	128,707	215,233
⊳ Line 21: Rental of vending machines	1,340	2,098	2,350	2,484	2,586
⊳ Line 22: Rental of hospital space	1,988,765	2,008,370	2,053,058	1,848,793	2,263,258
⊳ 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	276,279	148,521	201,018	4,705,963	1,669,908
Total income ? Median	66,135,566 6,586,430	77,187,373 6,767,106	91,896,748 8,419,950	94,896,172 8,094,175	99,266,229 15,162,888
Non-operating expenses Median	0 146,289.5	0 164,857	8 89,880.5	6 106,761	9 31,473.5
Net income Median	66,135,566 6,043,842	77,187,373 5,845,112	91,896,740 7,606,259	94,896,166 7,283,041	99,266,220 14,957,241
Net margin Median	42.73457% 4.62%	44.53782% 4.42%	47.19265% 5.16%	48.10731% 5.2%	45.17937% 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 TEXAS ORTHOPEDIC HOSPITA 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	15,180,868 23,241,334	18,362,503 23,709,545	21,357,744 24,248,380	20,008,546 22,858,541	22,140,684 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	15,180,868 21,577,146	18,362,503 22,041,594	21,357,744 22,722,063	20,008,546 21,570,441	22,140,684 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	5,351,656 11,160,864	7,028,493 11,987,345	8,534,423 12,926,866	9,093,141 11,884,480	9,907,020 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	5,351,656 10,918,923	7,028,493 11,706,976	8,534,423 12,615,917	9,093,141 11,458,116	9,907,020 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	0 595,761	0 577,894	0 542,168	0 549,667
Outlier Median	95,556 582,572	177,795 538,116	21,716 212,434	7,585 126,559	37,088 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	152,112 3,662,910	26,845 3,730,911	0 4,081,319	15,686 4,643,908	10,856 4,389,147
Charity care Median	242,930 2,654,636	364,166 2,940,659	376,806 3,380,215	512,631 3,488,738	519,649 3,233,405
Uncompensated care (UCC) Median	500,927 5,147,790	633,386 5,337,617	632,690 5,711,082	780,739 5,923,418	765,872 5,508,107
UCC as a % of operating expenses Median	0.57% 3.24	0.66% 3.12	0.62% 3.21	0.76% 3.3	0.64% 2.86
Total shortfall/UCC Median	653,039 9,489,989	660,231 9,424,297	632,690 10,120,158	796,425 11,171,337	776,728 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	24,889,214 52,142,039	25,854,639 54,485,252	27,224,482 57,395,589	26,352,334 58,830,919	28,057,868 61,722,907
Salaries as a % of operating expenses Median	28.08 36.68	26.88 36.56	26.23 36.37	25.72 35.93	23.28 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	406,254 1,449,244	486,505 1,475,986	528,139 1,563,078	517,738 1,721,954	875,495 2,991,828
Contract hours, direct-care Median	7,789.00 22,725	10,902.00 23,018.5	11,500.00 24,503.48	9,322.92 25,026.5	8,333.00 33,786
Contract wages, direct-care Median	52.16 64.67	44.63 64.53	45.93 65.06	55.53 68.97	105.06 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.