GLOVERSVILLE, NY (04/10/2009)(readMedia)-- Nathan Littauer Hospital and Nursing Home has finished fiscal year 2008 with a positive operating margin, marking the 7th straight year in the black.
The hospital's operating margin was 2.8% on revenues of $77.7 million. Hospital leaders presented the information to the Board of Directors recently. Because Littauer is nonprofit, positive finances are referred to as an operating margin rather than a profit. As a nonprofit institution, Littauer will use its operating margin to reinvest in facilities and equipment, ensuring the highest quality of care for its increasing patient population.
Laurence E. Kelly, Littauer's CEO and President stated, "These are challenging times for any healthcare organization. The sector has been wrought with fluctuation and chaos because of budget and reimbursement changes coupled with the plummeting stock market. However, with our strong vision and our financial leadership, we have managed the unpredictability successfully." He added, "I do not know of any hospital in our region that has operated in the black during all of these seven years."
Mr. Kelly notes, "There is a strong correlation between a hospital's fiscal strength and its ability to provide quality patient care. Improving quality of care requires continued investment in clinical technologies, computer systems, physical facilities and staff. Our positive financial results have allowed us to not only strengthen our balance sheet but also make the needed capital and operating investments to continue to be a great community hospital."
HANYS (Healthcare Association of New York State) President Daniel Sisto said: "Hospitals in every region of the state have been severely impacted by repeated state health care cuts over the last several years. For Nathan Littauer Hospital to come through such difficult times without sustaining an operating loss is a rare accomplishment."
"We are in a strong position fiscally, thanks to a team effort at Littauer. Every management meeting begins with in-depth analysis of our financial standing followed by a review of updated patient quality reports. Negotiating the financial landscape in the future will be challenging- particularly with the uncertainty of our economy and national health care policy." said Henry Legendziewicz, Senior Vice President and Chief Financial Officer of Littauer. He explained, "The Hospital's projected state budget cuts will be just over $1 million. We had adjusted our 2009 budget in December to reflect these cuts." Mr. Legendziewicz notes, "Agility is our strong suit."
Nathan Littauer's family of healthcare services had 4,876 patient discharges and observation cases in the fiscal year 2008. The Hospital also saw 4,900 surgical cases, both inpatient and outpatient, in their operating rooms. Meanwhile, the eight primary care centers in Fulton County handled more than 92,000 patient visits.
In the year ahead, Littauer will strive to increase capacity to meet the growing needs of patients. Littauer recently announced the renovation of their maternity unit. Other projects include an expanded and enhanced Emergency Department, slated for 2010. Both projects will be funded with cash. Mr. Kelly explained, "We have carved a niche for ourselves in securing cutting-edge technology and we will continue that trend. We are adding new surgical towers to our operating rooms, a technology which our surgeons are thrilled about."
"We have always been the hospital of choice for Fulton County and our fiscal strength will ensure the Littauer tradition will continue. Even with our financial strength our patient satisfaction numbers were very strong in 2008, in some areas exceeding 91%. In the year ahead we will increase our capacity while improving patient care, efficiency, and quality throughout the Hospital." concluded Mr. Kelly.
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