Kaiser Foundation Health Plan and Kaiser Foundation Hospitals reported net income of $2.1 billion in 2009 compared with a $794 million loss in 2008, a swing attributed largely to improved performance of the financial markets.
Kaiser reports $2.1 billion 2009 profit
The operating performance of the Oakland, Calif.-based company's not-for-profit hospitals and health plan was slightly better for the year ended Dec. 31, with $1.6 billion earned in 2009 on $42.1 billion revenue—a 3.8% margin—compared with $1.5 billion income on $40.3 billion revenue the previous year, a 3.6% margin. Investments, however, yielded $524 million in 2009 after losing $2.3 billion in 2008.
“We are pleased that our operating income remained stable despite the challenges of 2009,” Kathy Lancaster, executive vice president and chief financial officer, said in a news release. “We are also pleased that our non-operating income benefits from the partial recovery of the financial markets and returned to a level that more appropriately supports our investments in our care delivery infrastructure.”
Health-plan membership declined by about 64,000 to 8.6 million at the end of the year, the company reported.
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