Report: Pottstown Hospital Loss $40.6M in Fiscal 2022
POTTSTOWN PA – Among hospitals in the Tower Health system, Pottstown Hospital lost the most money – $40.6 million – during fiscal 2022, the Philadelphia Business Journal reported this week.
That operating deficit, and others across the health care network headquartered in West Reading, in part created an overall net operating loss of just under $195 million for Tower Health’s fiscal year ending June 30, Journal reporter John George wrote in the newspaper’s Monday (Aug. 22, 2022) edition.
Reading Hospital continues to be Tower Health’s only profitable hospital. Weighing it down in addition to the loss at Pottstown, the Journal stated, were losses of
- $36.7 million at Brandywine Hospital in Coatesville, now closed and being offered for sale;
- $27.3 million at Phoenixville Hospital;
- $20.6 million at Chestnut Hill Hospital in Northwest Philadelphia, which in the future will be jointly owned by Temple Health, Redeemer Health, and the Philadelphia College of Osteopathic Medicine;
- $15.3 million at Jennersville Hospital, earlier closed and now purchased by ChristianaCare in Wilmington DE; and
- $10.3 million at St. Christopher’s Hospital for Children in North Philadelphia, jointly owned by Tower Health and Drexel University.
For Tower Health the good news is that its total losses were significantly lower, down about 20 percent, than those of the previous year at $243.5 million. Still, George reported, the system continues to carry $2.18 billion in long-term debt. Its revenue during the fiscal year also “dipped” slightly, he wrote, to $2.17 billion in fiscal 2022 from $2.19 billion in fiscal 2021.
Tower Health CEO P. Sue Perrotty explained the system’s challenges during the fiscal year were higher costs for personnel, as well as “supply chain problems, high supply costs, no CARES Act funding, and drops in inpatient admissions,” George wrote.
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