Two years after it closed, Rocky Mountain Medical Center in Salt Lake City still is depressing profits at Iasis Healthcare Corp., Franklin, Tenn., the company said today. Province Healthcare Co., Brentwood, Tenn., also reported lower earnings for the three months ended June 30. Privately held Iasis said it earned $82,000 for its third quarter, compared with $8.8 million in the 2002 third quarter. Revenue was up 16.2%, to $278.8 million. The company took an $11.7 million charge for an expected loss on the likely sale of Rocky Mountain's campus to retail developers. Iasis reported stronger volume than other for-profit chains have for the quarter; adjusted admissions rose 2.7% at Iasis' 14 hospitals. For the nine months, the company earned $18.5 million, down about 15% from the year-ago period, on revenue of $805 million.
Province said it earned $9.7 million, or 20 cents per share, for its second quarter, a 12% decline from the year-ago quarter's earnings of nearly $11 million, or 22 cents per share. Revenue was up 13%, to $195.8 million. Province operates 20 hospitals. A 39% increase in the company's provision for bad debt, to $17.8 million, and a 23% increase in other operating expenses, to $25 million, outpaced the revenue gain. Adjusted admissions rose 1.4% for the quarter and 1.8% for the six months, but inpatient admissions were down 0.7% and 1.7% for the same time periods, respectively. For the six months, profits declined 14% to $19.5 million, or 40 cents per share, on revenue of $390.2 million. -- by Vince Galloro