Kaiser Permanente suffers $1.5B web loss in third quarter

Kaiser Permanente reported a $1.5 billion web loss inside the third quarter, as market situations nonetheless weigh closely upon monetary efficiency. A yr in the past, the well being system generated $1.6 billion in web earnings.

working income elevated 4.7% to $24.three billion, however funds rose 5.2%. Kaiser Permanente, a nonprofit constructed-in well being system based mostly in Oakland, California, posted a $seventy five million working loss inside the third quarter, in contrast with $38 million in working earnings in final yr’s third quarter. Kaiser’s working margin was -zero.three%.

The third-quarter outcomes observe a tough start to the yr. Kaiser reported a mixed web lack of properly over $2 billion inside the essential half of 2022. CEO Greg Adams attributes this yr’s losses to greater prices, current chain factors, labor shortages and ongoing influence from COVID-19.

Kaiser reported much less capital spending inside the third quarter: $820 million in contrast with $878 million the prior yr. Tom Meier, agency treasurer, acknowledged the system simply isn’t pulling again from its general capital spending plan.

aside from monetary woes, Kaiser has additionally clashed with union workers this yr. hundreds of psychological well being workers went on strike over months-prolonged affected person wait instances from August till mid-October, when the two sides reached an settlement. A yr in the past, Kaiser narrowly averted one other strike as workers raised considerations about pay and staffing.


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