The American Medical Association nearly doubled its operating profit in 2004, earning a record $39.8 million compared with $20.1 million in 2003, according to the association's annual report, released at a news conference. The AMA also unveiled a three-year marketing and branding campaign complete with an updated logo. Michael Maves, AMA executive vice president and chief executive officer, said the association will redirect much of its $20 million annual marketing budget to the campaign, which includes national print, television and radio commercials. Maves said his goal is to increase membership 1% in 2005 and boost the group's influence. The AMA ended 2004 with 244,530 members, down about 5,500 from 2003. The AMA is preparing to open its annual meeting Saturday in Chicago.
The year was the AMA's fourth straight in the black after financial struggles in the late 1990s. Officials attributed the gain in operating profit to increased revenue in several divisions, including royalties and credentialing products, boosting overall revenue to $269.9 million, up $13.5 million from 2003. Meanwhile, general and administrative expenses were down almost 6%, or $10 million, as the AMA trimmed compensation, benefits and costs for professional services and consulting. Not all the numbers were positive: Dues revenue dropped to $48.1 million from $49 million in 2003, as membership dipped for the fifth straight year. -- by Michael Romano