The company reported a net income of $158 million in 2010, compared to $197 million in 2009. Novant also reported a 12 percent decrease in operating income to $65 million.
According to Fred Hargett, CFO of Novant, the company saw a decline in demand for outpatient surgery, due to deferrals of elective procedures; diagnostic imaging, due to rising deductibles in insurance plans; and physician office visits. He also said the company has seen an increase in the number of patients admitted to hospitals, inpatient surgeries and emergency rooms.
One of the largest employers in North Carolina, Novant employs 26,000 workers and operates 13 hospitals, 359 physician clinics and 105 outpatient centers. The system said its investment earnings also dropped 24 percent in 2010 to $93 million, mimicking the movement of the stock market. Earnings for the company’s top three executives also experienced a drop for the 2010 fiscal year.
Read the Winston-Salem Journal report on Novant Health.
Read more company news:
–AmSurg to Acquire National Surgical Care for $173.5M
–Medical Facilities Corp. Announces “Record Year” Results, Revenue Increases 51%
