Financial Data Analysis
Running Head: FINANCIAL DATA
Financial Data Analysis
Wanda Douglas
Financial Management In Health Care /HCS 577
April 02, 2012
Tricia Jenkins
Financial Data Analysis Since 1975, Patton Fuller Community Hospital (PFCH) has been serving the people of the Kelsey and the surrounding communities. PFCH is a for-profit organization and is owned by physician active within the facility. Owned by the physicians active at the hospital, the organization is governed by a 14 member board of directors, which consist of 12 physician-owners, with the Chief Executive Officer (CEO) and the Chief Financial Officer (CFO) as non-voting members. The facility is dedicated to providing cutting-edge medical services. PFCH commitment to quality patient care has allowed the facility to grow to where it is today. As a 600-bed, full-service hospital, Patton Fuller Community Hospital is the premier healthcare facility in the Northwest Valley. According to the CFO of PFCH, the hospital derives 80% of its revenue from inpatient activity and 20% of its revenue is from the emergency department and other outpatient services. However in 2008, PFCH mourned the passing of Abigail Baderman, who was a long-time benefactor of the hospital. In December 2009, pursuant to the probate of her will, the hospital received a bequest from her estate, recognized as an unrestricted donation. In addition, PFCH investment income took a hit because the declines in the stock market and real estate markets. This caused PFCH to reassess the value of its investments and, on their auditors’ advice, to write down those assets. Even though PFCH had some minor setbacks in 2008 and 2009, the organization is now heading in the right direction. According to PFCH CEO, the organization had a successful year. The organization net patient revenues have grown by over 9%, yet most expenses have been kept to an increase of just 3%. An analysis of the unaudited financial statements
Financial Data Analysis
Wanda Douglas
Financial Management In Health Care /HCS 577
April 02, 2012
Tricia Jenkins
Financial Data Analysis Since 1975, Patton Fuller Community Hospital (PFCH) has been serving the people of the Kelsey and the surrounding communities. PFCH is a for-profit organization and is owned by physician active within the facility. Owned by the physicians active at the hospital, the organization is governed by a 14 member board of directors, which consist of 12 physician-owners, with the Chief Executive Officer (CEO) and the Chief Financial Officer (CFO) as non-voting members. The facility is dedicated to providing cutting-edge medical services. PFCH commitment to quality patient care has allowed the facility to grow to where it is today. As a 600-bed, full-service hospital, Patton Fuller Community Hospital is the premier healthcare facility in the Northwest Valley. According to the CFO of PFCH, the hospital derives 80% of its revenue from inpatient activity and 20% of its revenue is from the emergency department and other outpatient services. However in 2008, PFCH mourned the passing of Abigail Baderman, who was a long-time benefactor of the hospital. In December 2009, pursuant to the probate of her will, the hospital received a bequest from her estate, recognized as an unrestricted donation. In addition, PFCH investment income took a hit because the declines in the stock market and real estate markets. This caused PFCH to reassess the value of its investments and, on their auditors’ advice, to write down those assets. Even though PFCH had some minor setbacks in 2008 and 2009, the organization is now heading in the right direction. According to PFCH CEO, the organization had a successful year. The organization net patient revenues have grown by over 9%, yet most expenses have been kept to an increase of just 3%. An analysis of the unaudited financial statements