Boca Hospital Finance Report Cites “Material Gains” Despite Losses

BOCA RATON– Officials at Boca Raton Regional Hospital have released financial results for Fiscal Year 2012 and the first quarter of Fiscal Year 2013. After experiencing its first decline in financial performance in four years during Fiscal 2012, the hospital rallied in the first quarter of the new fiscal year to realize material gains.

“Our step back in financial performance can be largely attributed to volume declines that were the short-term result of our actions in Fiscal 2012 to position the hospital for long-term success,” said Jerry Fedele, president and CEO at Boca Regional.

Fedele cited such operational improvements as the introduction of electronic medical records and a hospitalist program as examples of initiatives that had positive impact on patient care, but were ones of significant change to physicians utilizing Boca Regional. “These changes, while advancing the level of care we provide, were material and undoubtedly had an effect on physician utilization until they became comfortable with them.”

For the 12 months ending June 30, 2012, Boca Regional incurred a net loss of $10.1 million. For the first quarter of its new fiscal year, which ended on September 30, 2012, the hospital incurred a net loss of $1.4 million. This first quarter 2013 performance represents an improvement of $5.9 million over the corresponding time period last year and is the best first quarter performance under the current leadership since 2008. Boca Regional, given the seasonal nature of its patient population, traditionally budgets losses through the first part of its fiscal year.

During the most recent time period, Boca Regional saw increased patient volumes. Total discharges were up by 2.3 percent compared to the same period in the prior year. Total surgical cases improved by 2.5 percent, outpatient radiation oncology procedures increased 24.8 percent; cardiac catheterizations were 8.7 percent better than the prior year and deliveries increased by 3.8 percent.

The hospital continues to be the busiest center for robotic surgery inPalm BeachCounty, increasing its number of procedures during the corresponding fiscal quarters from 75 to 117.

“We are greatly encouraged by the results of our first quarter and believe they reflect that we have weathered the setback that was brought about by the evolution in the way we provide care,” said Fedele. “I remain confident that this fiscal year will conclude in a manner that continues the significant financial improvement we saw during the last four fiscal years of our current administration.”