How are Louisiana hospitals doing financially?

90 of 153 Louisiana hospitals (59%) reported a loss on patient care in their latest full-year Medicare cost report, compared with 55% nationwide. The median operating margin was -3.8%, lower than the U.S. median of -1.6%. The operating margin leaves out donations, investment income and grants, so some of these hospitals still end the year in the black.

Louisiana hospitals reported $385.6 million in charity care (the cost of free or discounted care for patients who qualify) in their latest full-year reports. The largest amounts came from University Medical Center New Orleans ($72.2 million), Our Lady of the Lake Regional Medical Center ($36.0 million), Ochsner Foundation Hospital ($32.4 million), LSU Medical Center-Univ Hosp ($27.7 million), Tulane Medical Center ($26.5 million).

Louisiana ranks 34 of 50 states by the median operating margin of its hospitals (1 = highest). A larger share of its hospitals lost money on patient care than the U.S. as a whole (59% vs 55%).

Ochsner Foundation Hospital in New Orleans reported the most net patient revenue: $2.5 billion in its latest full-year cost report, with 955 beds and an operating margin of -4.8%.

It is how much a hospital keeps from patient care after paying its operating costs, as a share of its patient revenue. A margin of 5% means the hospital kept 5 cents of every dollar it earned from patients; a negative margin means patient care cost more than it brought in. It excludes donations, investment income and grants.