Fletcher Allen Releases First Quarter 2007 Financial Results

BURLINGTON VT - Fletcher Allen reported a net operating income of $7.6 million for the first quarter of the 2007 Fiscal year.  The first quarter covers the period beginning October 1st and ending December 31, 2006.

First Quarter Results

The net operating income for the first quarter was $3.5 million better than budget amount of $4.2 million, and $9.6 million better than the first quarter in FY 2006, in which the organization experienced a loss of approximately $1.9 million.

Net operating revenues for the first quarter were $182 million, approximately $5.9 million above budgeted revenues.  The organization's operating expenses for the quarter were $174.7 million, $2.4 million above budget, resulting in the net operating income of $7.6 million and an operating margin of 4.2% for the first quarter.  By comparison, the organization had an operating margin of -1.2% in the first quarter of FY 2006.

Operating earnings before interest, depreciation and amortization (EBIDA) for the period totaled $19.9 million compared to the $17.2 budget figure and $10.2 million for the first quarter of FY 2006.

Days cash on hand was measured at 85 days for the quarter compared to 74 days last year.

Key volumes measures were favorable for the first quarter. Total inpatient discharges were below budget by 239 (4.1%).  However, Combined Inpatient and Outpatient Days, a measure of the number of patients in the hospital each day, were 20% above budget, and physician office visits were slightly above budget, and 4.3% higher than last year for the same quarter.

The institution began making its quarterly financials public with the release of the first quarter results for FY 2003 in February 2003.  The audited financial statements for the years ended September 30, 2005 and 2006, as well as the quarterly results for FY 2003 through the first quarter of FY 2007, are available on the Fletcher Allen Web site at www.fletcherallen.org.

About Fletcher Allen Health Care

Fletcher Allen Health Care, in alliance with the University of Vermont College of Medicine, is Vermont's only academic health center and is one of 125 in the country. Fletcher Allen also serves as the community hospital for the greater Burlington area. Fletcher Allen has more than 6,000 employees and serves one million people in Vermont and northern New York through more than 35 patient care sites and 100 outreach clinics.

FY 2007 First Quarter Financial Results