1. CAHMPAS Financial Indicators for Our Hospital
CAHMPAS Team
North Carolina Rural Health Research and Policy Analysis Center
Cecil G. Sheps Center for Health Services Research
725 Martin Luther King, Jr. Boulevard
Chapel Hill, NC 27514
April 3, 2018

2. Profitability: Total Margin
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
2.74%
Net income
Total revenue
Definition
Interpretation
Measures the control of expenses relative to revenues

3. Profitability: Cash Flow Margin
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
6.99%
Net income – (Contributions, investments, and appropriations +
Depreciation expense + Interest expense)
Net patient revenue + Other income –
Contributions, investments, and appropriations
Definition
Measures the ability to generate cash flow from providing patient care services
Interpretation

4. Profitability: Return on Equity
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
5.32%
Definition
Net income
Net assets
Measures the net income generated by equity investment (net assets)
Interpretation

5. Profitability: Operating Margin
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
0.93%
Net patient revenue + Other revenue – Total operating expenses
Net patient revenue + other revenue
Definition
Measures the control of operating expenses relative to operating revenues
Interpretation

6. Liquidity: Current Ratio
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
2.48
Definition
Current assets
Current liabilities
Interpretation
Measures the number of times short-term obligations can be paid using short-term assets

7. Liquidity: Days Cash on Hand
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
77.72 days
Cash + temporary investments + investments
(Total expenses – Depreciation) / Days in period
Definition
Measures the number of days an organization could operate if no cash was collected or received
Interpretation

8. Liquidity: Days in Net Accounts Receivable
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
51.34 days
Net patient accounts receivable
(Net patient revenue) / Days in period
Definition
Measures the number of days that it takes an organization to collect its receivables
Interpretation

9. Liquidity: Days in Gross Accounts Receivable
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
58.91 days
Gross patient accounts receivable
(Gross patient revenue) / Days in period
Definition
Measures revenue cycle performance (in comparison with days in net A/R.
Interpretation

10. Capital Structure: Equity Financing
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
59.78%
Net assets
Total assets
Definition
Measures the percentage of total assets financed by equity
Interpretation

11. Capital Structure: Debt Service Coverage
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
3.35 times
Definition
Net income + Depreciation Expense + Interest expense
Notes and loans payable (short term) * (365/DIP) + Interest expense where DIP means days in period
Interpretation
Measures the ability to pay obligations related to long-term debt, principal payments and interest expense

12. Capital Structure: Long-Term Debt to Capitalization
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
27.20%
Long-term debt
Long-term debt + Net assets
Definition
Interpretation
Measures the percentage of total capital that is debt

13. Revenue: Outpatient Revenues to Total Revenues
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
77.74%
Total outpatient revenue
Total patient revenue
Definition
Measures the percentage of total revenues that are for outpatient revenues (including, for example, Rural Health Clinics, free-standing clinics, and home health clinics
Interpretation

14. Revenue: Patient Deductions
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
43.46%
Definition
Contractual allowances + Discounts
Gross total patient revenue
Interpretation
Measures the allowances and discounts per dollar of total patient revenue

15. Revenue: Medicare Inpatient Payer Mix
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
72.70%
Definition
Medicare inpatient days
Total inpatient days – Nursery bed days – NF Swing bed days
Interpretation
Measures the percentage of total inpatient days that are provided to Medicare patients

16. Revenue: Hospital Medicare Outpatient Payer Mix
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
37.10%
Definition
Hospital Outpatient Medicare charges
Hospital total outpatient charges
Measures the percentage of total outpatient charges that are for Medicare patients
Interpretation

17. Revenue: Hospital Medicare Outpatient Cost to Charge
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
0.45
Hospital Medicare Outpatient Costs
Hospital Medicare Outpatient Charges
Definition
Interpretation
Measures outpatient Medicare costs per dollar of outpatient Medicare charges

18. Revenue: Medicare Acute Inpatient Cost per Day
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
$2,592
Medicare acute inpatient cost
(Medicare Inpatient Days (excl. HMO))
Definition
Measures the average daily cost of a Medicare acute inpatient
Interpretation

19. Cost: Salaries to Net Patient Revenue
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
44.90%
Definition
Salary expense
Net patient revenue
Measures the percentage of net patient revenue that are labor costs
Interpretation

20. Cost: Average Age of Plant
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
10.48 years
Definition
Accumulated depreciation
Depreciation expense * (365 / Days in Period)
Measures the average age in years of the fixed assets of an organization
Interpretation

21. Cost: FTEs per Adjusted Occupied Bed
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
5.61 FTEs
Definition
Number of FTEs
Adjusted occupied beds**
Interpretation
Measures the number of full-time employees per each occupied bed
** (Inpatient days – NF Swing days – Nursery days) *
(Total patient revenue / (Total inpatient revenue – Inpatient NF revenue – Other LTC Revenue)) / Days in period

22. Cost: Average Salary per FTE
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
$56,197
Salary Expense
Number of FTEs
Definition
Interpretation
Measures the price and mix of labor.

23. Utilization: Average Daily Census Swing-SNF Beds
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
1.53 beds
Inpatient swing bed SNF days
Days in period
Definition
Interpretation
Measures the average number of swing-SNF beds occupied per day

24. Utilization: Average Daily Census Acute Beds
2016
Our Hospital
2016 Peer Group
Median CAH
2016 State
2016 U.S.
2.70 beds
Inpatient acute care bed days
Days in period
Definition
Interpretation
Measures the average number of acute care beds occupied per day

25. Summary of Results for Our Hospital