Kaiser Foundation Hospitals and Health Plan Report First Quarter 2013 Financial Results
OAKLAND, Calif., May 10, 2013 /PRNewswire/ — Kaiser Foundation Hospitals, Kaiser Foundation Health Plan, Inc., and their respective subsidiaries (KFH/HP) reported today a combined total operating revenue of $13.3 billion for the quarter ending March 31, 2013, compared to $12.7 billion in the same period in 2012. Operating income was $545 million in the first quarter of 2013, compared to $507 million in the same quarter last year. Net non-operating income was $220 million in the first quarter of 2013, compared to net non-operating income of $263 million in the same quarter of 2012. As a result, net income for the first quarter was $765 million, versus $770 million in the same period of 2012. First quarter results are frequently higher than subsequent quarters due to timing of revenue and expense trends.
Capital spending in the first quarter of 2013 was $779 million, compared to $861 million in the same quarter in 2012. KFH/HP’s capital spending reflects our continued investments in technology and facilities to support our members’ needs, and the cost of rebuilding hospitals to comply with California earthquake standards.
Total membership increased by approximately 56,000 members since Dec. 31, 2012, and is currently approximately 9.1 million members.
“We are pleased that our financial performance allows us to continue to invest in facilities and technology that enhance the care and service we provide to our members, patients and the communities we serve,” said Kathy Lancaster, executive vice president and chief financial officer. “We continue seismic rebuilding projects at four hospitals, underscoring our commitment to providing a safe and sustainable environment for health care delivery.”
Kaiser Permanente continues its leadership in providing new and innovative ways to improve care and the total health of its members and patients. Kaiser Permanente members can access My Health Manager, Kaiser Permanente’s personal health record, to manage their personal health information online. Currently, kp.org serves over 4.25 million members who are registered online. During the first quarter of 2013, members securely viewed 8.6 million laboratory results, exchanged 3.7 million emails with their Kaiser Permanente caregivers and requested 3.4 million online prescription refills.
“We are committed to providing affordable, convenient health care for all our members and patients and continually improving that care whether in our hospitals, clinics, member homes, or online,” said Chairman and Chief Executive Officer George Halvorson. “This continuous improvement is how we fulfill our promise of delivering total health.”
Consistent with our not-for-profit mission, KFH/HP devotes its resources to improve the health of its members and the communities it serves. In the first quarter of 2013, KFH/HP funded 207 charitable grants and donations nationwide. KFH/HP community benefit investment supports a wide range of KFH/HP and safety net provider programs that provide care for low-income individuals and underserved communities. KFH/HP also supports community-based health partnerships, conducts research and trains health care workers.
Except for historical information contained herein, the matters discussed in this media release are forward-looking statements that involve risks and uncertainties. Actual results may differ materially based on a number of factors including, but not limited to: the impact of competitive products and pricing; government regulations; changing membership requirements and the change in business and economic conditions. Forward-looking statements are based on information as of the date of this press release, and we assume no obligation to update or revise any of these forward-looking statements, whether as a result of new information, future events or otherwise.
About Kaiser Permanente
Kaiser Permanente is committed to helping shape the future of health care. We are recognized as one of America’s leading health care providers and not-for-profit health plans. Founded in 1945, our mission is to provide high-quality, affordable health care services and to improve the health of our members and the communities we serve. We serve approximately 9.1 million members in nine states and the District of Columbia. Care for members and patients is focused on their total health and guided by their personal physicians, specialists and team of caregivers. Our expert and caring medical teams are empowered and supported by industry-leading technology advances and tools for health promotion, disease prevention, state-of-the art care delivery and world-class chronic disease management. Kaiser Permanente is dedicated to care innovations, clinical research, health education and the support of community health. For more information, go to: www.kp.org/newscenter.
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SOURCE Kaiser Permanente